₹500 Notes To Be Discontinued From March 2026? No, Viral Claim Is False

The Claim

An X user wrote, “Bye Bye 500 rupees currency notes. 75% ATMs Dispense ₹100 And ₹200 Notes By September, 90% By March Next Year: RBI To Banks.”

Find links to the claims here and here.

What We Found:

1. No Verified Reports On Discontinuation of ₹500 Notes

BOOM ran a Google search with relevant keywords and did not find any credible sources confirming the discontinuation of ₹500 notes. We also could not find any press release or official notification on the RBI website matching the viral claim.

2. ATMs to start dispensing ₹100 & ₹200 notes regularly

Upon further search, we found an April 28, 2025 RBI notification, directing banks to ensure a steady supply of ₹100 and ₹200 notes to improve public access to frequently used currency denominations.

According to the circular, by September 30, 2025, 75% of all ATMs in the country are directed to dispense either ₹100 or ₹200 denomination banknotes from at least one cassette. And by March 31, 2026, 90% of all ATMs are directed to dispense the same amount.

A cassette in an ATM is a cash tray that holds a specific denomination of banknotes. Currently ATMs in India are equipped to hold 4 cassettes each, meaning the RBI has asked banks to configure only one cassette (out of the four) to dispense ₹100 or ₹200 denomination banknotes.

The circular does not mention discontinuing ₹500 notes in the circular.

3. RBI official denies claim

BOOM also contacted an RBI official who, on the condition of anonymity, confirmed that the claim is false and directed us to a clarification posted by the Union government’s Press Information Bureau handle.