Even banks refuse to accept ₹ 10 coins

Insecure hoard: A pile of ₹ 10 coins with a trader in Karimnagar town.

Insecure hoard: A pile of ₹ 10 coins with a trader in Karimnagar town.   | Photo Credit: By K M Dayashankar

Traders reject them on demonetisation rumours

An unusual situation is prevailing in Karimnagar district with the traders, shopkeepers, hoteliers and also the bankers refusing to accept the ₹10 coins.

The traders, shopkeepers and others were refusing to accept ₹10 coins following rumours that the government had banned them. On the other hand, the bankers have refused to accept them on the pretext of not having enough space to store it in the bank and also because it takes more time to count the coins.

Earlier, several petty traders had accepted ₹10 coins from the consumers. These traders when they went to the banks to deposit their collection were turned down by the banks on the grounds that the branch did not have enough space to store the coins.

Growing pile

The other reason offered by the bank officials for not accepting the coin was that it was time consuming and disrupted other banking operations. “Now even I am refusing to accept the ₹10 coins as I have a pile of coins worth more than ₹30,000,” a shopkeeper Sampath said.

The Karimnagar Milk Producer Company or the Karimnagar Dairy which collects several lakhs in ₹10 coins is worried following the bankers refusing to accept the coins.

“We have more than ₹20 lakh in coins piled up in various dairy parlours,” Dairy marketing manager Rajashekhar Reddy complained.

No space

A bank manager said that they were unable to accept the ₹10 coins because of workload and no space to store the coins in the strong room as they were holding huge piles of the demonetised ₹500 and ₹1000 notes. The Reserve Bank of India (RBI) is yet to collect it from the branches, he added.

Further, the same customers are unwilling to accept ₹10 coins from the bank on the grounds that they cannot carry the weight, the banker pointed out.

RBI directive

He also said that the RBI had given directions to accept up to ₹10,000 in ₹ 10 coins from a customer. But, the consumers were coming to the banks carrying large sums in ₹10 coins. It would be a difficult task for the bank staff to count the coins, he maintained.

Karimnagar consumer council activist N. Srinivas said that no one can refuse to accept ₹10 coin as it is legal tender issued by the RBI. “If the banks or traders are refusing to accept the legal money, let them give it in writing so that we can approach the RBI and ombudsman to take legal action,” he said.

If the bankers have an issue on the amount let them take a declaration from the customer rather than refuse to accept a deposit, said.

Why you should pay for quality journalism - Click to know more

Recommended for you
This article is closed for comments.
Please Email the Editor

Printable version | Feb 26, 2020 4:39:11 AM |

Next Story