One rupee coin: There is a discussion in India these days whether a coin of 1 rupee is no longer in trend? The reason behind this discussion is that many shopkeepers refuse to take it. However, it is also true that these coins are still in trend in some parts of India. But, in some parts it is assumed by taking it. Today we will try to know what this confusion is the truth and what the Reserve Bank of India says.

Legal Tender

Indian laws (information of the website of Coinage Act, 2011 and RBI) states that coins worth Rs 1 or more are considered to be legitimate payments in any transaction, provided they are coins, weight and standard and do not break or completely bad. RBI’s Master Circular Facilitation Four Exchange of Notes and Quoin clearly states that bank branches cannot refuse for notes and coins (Small Denomination notes & coins) transactions or exchange. This means that it is legally compulsory to accept a normal coin of Rs 1, except a broken or bad coin.

But why do shopkeepers still believe?

In reality, complaints of many shopkeepers and small traders refuse to take 1 rupee coins are constantly reported. The main reasons behind this are:

Lack of trust/ myth: Some people assume that the government or RBI has closed or made the coins of 1 rupee closed or made illegal. The basis of such rumors is often old news or wrong information.

Discomfort/ count problem: Small coins take heavy and longer to count, making shopkeepers avoid taking them.

Lack of identification: Shopkeepers sometimes have fear of fake coins, if they are not confident of identifying on-spots.

lack of awareness: Many traders and the general public do not know that a coin of 1 rupee is still valid in circulation.

Trial of RBI and other institutions

The RBI has periodically told the public through press releases that all current coins are valid paying and they should be accepted. The RBI has especially overcome confusion over coins of 10 rupees, making it clear that all 10 rupees coins are valid and not accepting them can be a violation of rules. The post office has also confirmed that they Rbi All notes and coins issued by accepted, so if no shopkeeper in the market takes a coin of 1 rupee, then you can deposit it in a nearby post office.

Other than this, Government It has also arranged that bank branches can accept small value coins like ₹ 1 and ₹ 2 by weighing, especially if they are in the entire pack. This means that a coin of 1 rupee is still legally in circulation and accepting it is a rule for traders and not the option.