Demonetised cash not valid for cash deposits in small savings schemes

 Demonetised cash not valid for cash deposits in small savings schemes

On Wednesday, RBI asked banks not to accept demonetized Rs 500 and Rs 1000 notes for depositing in small saving schemes with an immediate effect, an official notification stated it. No reason has been assigned for this type of move.

Government of India has decided that subscribers are not allowed to deposit demonetized currency in small saving schemes. Banks are advised not to accept Rs 500 and 1000 notes in deposits in small saving schemes with immediate effect stated by RBI.

Small saving schemes include Public Provident Fund (PPF), Post Office Saving Schemes, National Savings Certificates (NSC), Senior Citizen Savings Scheme (SCSS) Account and Kisan Vikas Patra (KVP) among others.