RBI has amended the Note Refund Rules, for exchange of mutilated currency notes. RBI has tweaked the rules following the introduction of new denominations of Rs.2000 and Rs.200 currency notes and also new versions of other denomination such as Rs.10, 50, 100 & 500.
Under the new rules, mutilated note of equal to or more than rupees fifty denomination may be refunded in full or half, if the minimum undivided area of the single largest piece of the note is as specified (see table 1 below).
That means, one may not get anything, if the single largest piece of note is less than specified area.
For example, if the area of single largest piece of a Rs.2000 note is less than 44 sq. cm., nothing will be refunded. And if the area is 44 sq. cm. or above but below 88 sq. cm. only Rs.1000 will be refunded.
While for mutilated note of less than rupees fifty denomination may be refunded in full if the undivided area of the single largest piece of the note is as specified (see table 2 below).