Rs. 500, Rs. 1000 notes banned: Things You Must Know

Meritnation|Nov 9th, 2016 06:04pm

banner_500The Central Government announced on Tuesday, November 8 that it is banning the use of Rs. 500 and Rs. 1000 notes with immediate effect. This sudden decision to demonetize currency notes of Rs 500 and Rs 1000 is aimed at cutting down illicit stocks of black money and the rampant menace of fake currency. The Reserve Bank of India (RBI) has come up with an explanation of the whole scheme. We present you with the top ten important things that will ease your understanding of this major economic change. (Source: RBI)



This is a step that has been taken to curb corruption. Many businesses, such as real estate, where there are large sums of unaccounted money, will be worst hit. It will force people to take all this ‘unaccounted for’ money to the bank if they want to keep it.  

Although by and large hailed as a positive step, it is not without its share of complications. The most pressing concern seems to be related to how it will impact those without bank accounts. All the workers in the informal sector, who are largely dependent on cash  – whether for daily wages or as payments for goods & services – are surely going to be in for some tough times in the days ahead.

This move by the government is also hailed by many as a “promising move” towards a cashless economy. More and more people are now forced to go digital, at least in these 2-3 days! Whether it is grocery shopping or paying the electricity bills, it is truly cashless all the way!

In the long run, this move is likely to have a favourable impact. Till then, there will undoubtedly prevail some chaos and confusion.

How are your friends, family, parents reacting to this development? What is your take on it? Do you think it is a wise move? We would love to hear from you. Send in your reactions as comments to this blog. We look forward to hearing from you.


Add Comment Total Comments (45)

  • 1. adwiteeya  |  February 5th, 2017 at 6:57 pm

    the steps awesome i wish a little more strictness should have been there and a little more convience for people but still I SUPPORT OUR PM SAB BOLO JAI MODI MHARAJ KI

  • 2. Avdhesh Tondak  |  December 9th, 2016 at 10:09 am

    A bold move my Mr. PM Narendra Modi

  • 3. mohit  |  November 29th, 2016 at 10:36 pm

    This step is very good and you must be praise it to take out to black money

  • 4. Ruba Balu  |  November 26th, 2016 at 4:56 pm

    It is a very good decision by our PM to avoid corruption. If this will continue then surely corruption can be ended in our country. And we can also achieve what A.P.J. Abdul Kalam said that by 2020 India will be a developed country. So I strongly support this decision.

  • 5. Adarsh Saxena  |  November 24th, 2016 at 9:18 pm

    A very good step taken by the government of India against the corruption.
    But what if some government employees are corrupt?
    Tell me!!

  • 6. Abimanyu Yadav  |  November 19th, 2016 at 1:46 pm

    Dear sir / Madam
    Its very highly courageous and not expecting anything and able to face everything that’s our great PM NAMO
    It can be termed as manotary revolution
    We have to strengthen our PM hand
    Maily against pakistan and local anti social elements
    Jai hind

  • 7. shaurya ranjan  |  November 16th, 2016 at 9:49 pm

    nice thing in indias history

  • 8. Himanshu Singh  |  November 16th, 2016 at 7:58 pm

    Hatts Off to our PM MODI.
    He has the guts to take some bold decisions against Black Money,Corruption.
    I respect his decisions and other people should also respect his decision.

  • 9. Nikhil Dutta  |  November 15th, 2016 at 7:20 pm

    Excellent decision and as an example regarding hardship , today I only waited for 30mts to deposit old notes and withraw 12000 from my SBI account in comparison to about an hour and a half 4 days back. Situation getting normalised with issue of new 100/ rs notesd.
    Of course daily earners ar having difficulties still now.
    After all most peaple are happy to bear this temporary inconvenience.
    Hats Off to our Govt.

  • 10. Arel shane  |  November 15th, 2016 at 7:09 am

    Prime Minister Modiji has taken a very good decision to fight against black money. I really appreciate him !!

  • 11. Basheer Abdul rahman  |  November 14th, 2016 at 11:36 pm

    Any person’s, organization’s or government’s decision never become hundred percent wrong or right.i mean this decision also like my above opinion.
    I can’t see any political leader, real estate owner,blade company like high intrust money dealers or corporate cmpany standing in front of the bank to change their old money to the new except locals, farmers,fishermen etc. so this greate decision never effect black or fake money because the black money and fake money is not just money it is something else and these are living in our country with “z” grade security by ourselves so we should change our mind that this decision is not greate nor wrong but just a political strategy

  • 12. sapna  |  November 14th, 2016 at 10:01 pm

    yes this is only starting .now our p.m is like god for honest people………..

  • 13. GEETA B  |  November 13th, 2016 at 12:53 pm

    This is great decision taken by our PM.
    common people are safe not to worry.we are proud to have such Prime Minister.

  • 14. Dr.shanthisivakumar  |  November 13th, 2016 at 12:36 pm

    yes.It is a very good move.Hatsoff to our PM Modi,for this.

  • 15. Bhagabati charan mohanty  |  November 12th, 2016 at 8:13 pm

    The steps taken by the govt. of India is irresponsible unprecedented,immature step.
    (1)Corrupt practice will not decline.
    (2)Insignificant black money recovery may occur .
    (3)Terrorism never be minimized by this step. FUTURE will SPEAK.But it is fact that this action caused millions of people suffering in the entire country from 8th Nov. no body knows how many days this will prevail for the wills & whims of immature leadership who dose not care to keeps his own given words during election and also least concerned about the present sufferings of entire population of our country.

  • 16. V.KOLANGIAPPAR  |  November 12th, 2016 at 5:13 pm

    Such a bolt decision which will recover our economy conditions to good extend. People may suffer for time being, which is some thing like personal adjustment in families. We want real freedom from block money hats of India!

  • 17. Shraddha  |  November 12th, 2016 at 12:23 pm

    It is a very nice decision by the central government . In haridwar and at many places 500 and 1000 Rs . notes were found in the rivers means some people just throw their money in the rivers . But is it a great loss to our economy ? This is a good decision as many fake notes had came in market .

  • 18. Nabanil  |  November 12th, 2016 at 11:45 am

    Recent news reports show that BJP government knew long time before about the changing of notes and may have taken steps to change any black money that they may have to white.And the new 2000 rupees notes take lesser space than 1000 rupees notes. So all that I can say is that Modi govt. did this for their own benefit and this step would make transfer of black money between people easier.

  • 19. Mira Mamnani  |  November 12th, 2016 at 2:32 am


  • 20. anshika  |  November 11th, 2016 at 10:19 pm

    that the way to take out a black money. but I know all these things by my parents

  • 21. K R Janaki  |  November 11th, 2016 at 8:34 pm

    I welcome this whole-heartedly. Salute to our honorable PM for taking this bold and useful decision.

  • 22. Suneetha Rajesham  |  November 11th, 2016 at 2:11 pm

    Initially, any change causes a few disturbances. This is a big change. So the ripples will be larger and bigger. We should all stand firm against these disturbances and make sure the change over takes place smoothly, for this change is for the betterment of our own country.

  • 23. Ansih Kumbhar  |  November 11th, 2016 at 1:29 pm

    This should have been done by previous Government. But they failed to do due this due to lack of will power and vested interest. Its is bold decision by Modi Government. Salute to Mr. Modi. History will remember Mr Modi as a great visionary & revolutionary leader, who always keeps India leading from front.

    Jai Hind. Bharat Mata ki Jai,

  • 24. raj kishor patnaik  |  November 11th, 2016 at 12:49 pm

    really, a very good move and I truly support the campaign started by Mr.Narendra Modi(P.M)

  • 25. K H Babu  |  November 11th, 2016 at 11:49 am

    The main aim is to transfer money into banks.Not much so called black money will come out.Govt knows it clearly.To bring all transactions through
    Banks. BANKS will have more money, This is all as planned by GOVT AND Industrialists.It is good, but method is very bad.Even now proper arrangements must be made for drawing our own money from banks/Post offices/ATM’s.

  • 26. Ramadevi  |  November 11th, 2016 at 11:07 am

    While I agree that this is a positive move and will have long term benefits, the weaker sections of the economy are suffering. The daily wage earners including agricultural laborers, farmers, auto rickshaw drivers, and many such others – cannot earn their daily wages because of paucity of cash. Even cab drivers and auto drivers are impacted adversely because they do not have the means to fuel their vehicles and so cannot earn their money. India is a country where the vast majority earns daily wages and this section is without food and basic needs in the interim.

    That said, I do welcome the move. Many people have been encouraged (forced) to go online and are finding it a pleasant experience.

    I do hope over a period of time we can go completely cashless like the Swedish economy.

    This move is one of the 5 principles advocated by Anil Bokil as part of Arthakranti. If the Govt adopts all 5 principles in toto, we will have truly eradicated corruption ad black money. Do hope the Govt has the guts to adopt all 5 measures quickly.

  • 27. Sharan  |  November 11th, 2016 at 10:30 am

    Even though I am not knowing in full the impact of this policy, I really admire our Prime Minister to bold enough to take such a lightning decision

  • 28. Lokesh  |  November 10th, 2016 at 11:25 pm

    Whatever the decision our prime minister has taken i am a part of his campaign and i am highly supportive to him and also from this campaign we can remove corruption fro cities,area, vicinity and many more parts degraded with this black money…

  • 29. Sakshi Agrawal  |  November 10th, 2016 at 9:46 pm

    Really I m too happy with this decision of P.M. MODI. This is return gift from modiji to all those people who work honestly . great work done by him and whenever and however I get chance to work for him I will work for him

  • 30. NANDAN N KINI  |  November 10th, 2016 at 9:03 pm

    decision is best decision taken by any prime minister
    modiji is declared best pm by UNESCO.

  • 31. VENKATESAN  |  November 10th, 2016 at 8:35 pm

    It is definitely a great thinking and move by our PM. Though we faced a great difficulty in these two days for the day-today transactions, we have to think our nation’s growth. I am sure our PM will make arrangements for the new OHD notes not to be floated by anti-social elements as fake again, as they were done before. Let’s have the spirit together and support our PM on his daring and transparent steps towards growth of our country. Of course country is not a separate thing. It’s only us. JAI HIND !!!

  • 32. Rajapandi  |  November 10th, 2016 at 8:30 pm

    Thank you for the information…
    I fully agree & understand..
    Definitely it is a good move.. Jai Hind..

  • 33. Manju Dhar  |  November 10th, 2016 at 8:01 pm

    It’s a very wise,good and bold step.
    To save our country soldered are laying their lives,to salute their sacrifice we should help the government to to do the justice for every honest citizen of this country.A d hear the short term inconvenience for better tomorrow.

  • 34. Peter  |  November 10th, 2016 at 7:57 pm

    Thanks. This is the best step the prime minister has taken. We appreciate.

  • 35. Name  |  November 10th, 2016 at 7:50 pm

    Nice move. We should support the move as it helps in curbing terror activities, fake notes and bring out the hidden money to circulation. At least we can know howmuch money we the people of india together have !!

  • 36. Manish  |  November 10th, 2016 at 7:46 pm

    Well I shocked to hear this ban of rs 500 and 1000 denomination notes…
    But really a good decision taken by modiji to curb the black money… There will no impact on middle class people… But will be difficult for those people who don’t hv bank.. For eg those are in agricultural area and small traders any other..

  • 37. Rafeeq  |  November 10th, 2016 at 7:36 pm

    There is no word to express my appreciation for the decision taken by our government to stop hawala and forged currency. People might have suffered some difficulties but it is for good cause. A big blow to those who earned money in illegal way.

  • 38. sudarshan.rao  |  November 10th, 2016 at 7:32 pm

    It is definitely a honest effort to eradicate black money.But one can be sure about setting things right.

  • 39. Nasir  |  November 10th, 2016 at 7:04 pm

    Really I respect PM for this decision he did it in sudden movement to stop corrupted people to spend all black money he is a great man India will improvement and progress with this leader

  • 40. raghavendra kumar bodigam  |  November 10th, 2016 at 6:40 pm

    wise and bold decision by central govt

  • 41. Hema  |  November 10th, 2016 at 6:24 pm

    Thank you….thanks for giving this information. I was wondering why did they ban notes of 500 and 1000 Rs….thanks for this information

  • 42. Parminder Kumar  |  November 10th, 2016 at 6:20 pm

    No dought, its a wise move.

  • 43. SIVAKUMAR  |  November 10th, 2016 at 6:01 pm

    definitely a good move. Every good action has its own de-merit and difficulty at the beginning. Let us face and bring the nation up. Fortunately we have a bold PM for us. Let us support him to make India better. Jaihind

  • 44. GAUTAM ROY  |  November 10th, 2016 at 5:35 pm

    Whatever prime minuister has done he has done right thing, all the black marketeres will come out from their snake bill or any other animal housing society,moreover the terroism will nearly come to an end, it will take time even the maiosm,this all funding come from the politicians,black marketeres,industralist etc, money goes from one border to another and there is lot of money transaction in border both genuine and fake,being an expert in forensic science and given evidence of NIA cases in the court of law and see how the defence lawyer fights with me by saving the terroists in front of me by asking silly questions and his funding is also been done by the terroists.Bravo PM MODI YOU ARE GREAT IN ALL RESPECTS BEING A DARE DEVIL GUJRATI ,MY IN LAWS ARE FROM VADODARA.Common people nothing to worry all will be safe,that much money has been printed how much it has been circulayted by RBI,regards gautam 9250017707

  • 45. S K RUNGTA CA  |  November 10th, 2016 at 5:18 pm

    any how now turnover all business man will be accounted thru bank and people dealing exclusively in cash not maintaing account not filing INCOME TAX return will now will in the books of income tax


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