Do banks accept coins for deposit in India?

When the legal tender can be accepted without any limit, then it is known as unlimited legal tender, when the legal tender is accepted with a certain maximum limit then it is known as limited legal tender.

Coins in India are presently being issued in denominations of 10 paise, 20 paise, 25 paise, 50 paise, one rupee, two rupees and five rupees . Coins upto 50 paise are called ‘small coins’ and coins of Rupee one and above are called ‘Rupee Coins’.

The RBI Offices, where Issue Department is functioning, offer the facility to members of the public to exchange their notes including soiled and mutilated notes and coins including uncurrent or worn out coins . The Bank is committed to provide exchange facility free of cost at its counters during business hours.

Coins of All Denominations are Legal Tender – RBI It is clarified for the benefit of public that all coins including 25 paise and 50 paise coins are legal tender and will continue to be so.

On 30 June 2011 , when the 25 paisa and all other lower denomination coins were officially demonetised, the 50 paise coin became the lowest circulating denomination of the Indian rupee.

The British regular issue coin closest to the coin’s nominal value is the twenty pence coin. The coins were issued for commemorative purposes and were not intended for circulation, although they remain legal tender and must be accepted at Post Offices.

i) Limited legal tender. It is that money which no person can be forced to accept beyond a certain maximum limit fixed by law. For instance in India, coins are limited legal tender because coins of 5, 10, 20 and 25 paise can be accepted up to maximum sum of र 1000 as per Coinage bill passed on 11th Aug.