In the era of social media, a message reaches millions of people in the blink of an eye. But the problem arises when these messages are based on half-baked or completely false claims. Recently, one such claim went viral on social media, in which it was said that the Reserve Bank of India (RBI) is going to stop the circulation of Rs 500 notes from March 2026 and these notes will not be dispensed even from ATMs. This claim created both confusion and concern among people. After all, what is the truth? Let us know the whole matter.
What does the viral claim say?
The message spread on social media claimed that after March 2026, Rs 500 notes will gradually go out of circulation. In some posts it was even said that withdrawal of Rs 500 notes from ATMs would be completely stopped. Such things started reminding people of the demonetization of 2016, which naturally increased the panic.
PIB told the whole truth
Seeing the growing confusion, the government’s fact-checking agency, the Press Information Bureau (PIB), had to step in. PIB’s fact check team clearly said that all the claims being spread about Rs 500 notes are fake and misleading. PIB clarified that RBI has not made any announcement regarding demonetization of Rs 500 notes or stopping their withdrawal from ATMs. The Rs 500 note is a completely legal tender and can further be used for cash transactions. PIB appealed to the people not to believe in such rumors and to confirm any news from official sources before sharing it.
ATM and Rs 500 notes
The reality is that in most of the ATMs in the country, only Rs 500 notes are in stock. The reason for this is that people can easily withdraw large amounts of money at one go. If Rs 500 notes are removed from the ATM, it can cause huge problems in cash withdrawal. At present there is no plan from the government or RBI to take any such step.
Such rumors have spread before also
This is not the first time that a rumor has spread regarding Rs 500 notes. Similar claims were made in June 2025 and August 2025, which were rejected by the government. Minister of State in the Finance Ministry, Pankaj Chaudhary had also clarified in Parliament that there is no proposal to stop the supply of Rs 500 notes.
Latest Business News