Got fake currency from ATM?

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Cases of getting fake currency notes are coming from across the country. This is an alarming situation for the banking system. Getting counterfeit currency notes from ATMs shows the strong flow of fake notes in the economy.

This surge finally incurs loss to the common man who brings out money from ATMs. Banks do not take the responsibility of such fake currency dispenses through ATM until concrete evidence is available. Since, it’s very difficult to prove the source of fake notes, so, at last the person gets nothing even after a complaint.

Earlier, the law used to hold the bearer of counterfeit notes responsible for it. This person was liable to be sued under different sections for holding the machine that produces a fake note, making forged notes and circulating the same in the economy. This was very troublesome for the innocent person when they receive counterfeit currency notes from ATMs. Still, the law is not changed, and a new law is required to be introduced where the source of fake notes should be made accountable for forgery and aggrieved party doesn't suffer the loss.

RBI Guidelines

For controlling such activities, RBI issued some guidelines few months back. According to these guidelines, banks should have a currency checking machines to prove the genuineness of the notes. Banks should use it before accepting the notes from depositors and remove the fake notes from the system.

Before putting money into ATMs, same process should be followed. The sub-contractors, who take care of ATMs, should follow the same instructions. The guidelines also included an order to keep a machine at ATM booths where the public can check the genuineness of currency before accepting them.

However, some of the banks have not yet followed these instructions. Many of them are even trying to neglect these guidelines. They simply depend on their sub-contractors and ignore their responsibilities. Many cases are filed, but due to lack of evidence from the customer side, taking action is not possible and they don’t get their money back. Due to lack of time and personnel, they don’t check all currency notes. They just follow a random procedure of checking a few notes and enter all notes in the system.

What to do for safety?

No law exists for preventing the interest of counterfeit note holder’s interest because evidence is not available. People can take various precautions to prevent risk from losing their money and caught with fake notes.

First of all, check whether your bank is following the guidelines issued by RBI or not. ATMs should be equipped with proper authentication machines. If it’s not there, ask the bank about existing mechanism to detect fake currency. Avoid withdrawing money without proper authentication.

While accepting notes from anywhere, check the authenticity by verifying the symbols that is printed on currency notes such as the portrait of Mahatma Gandhi, clauses and signature of governor, seal, etc. RBI releases such verification symbols on their website and media from time to time.

Before leaving from the ATM, show the fake currency facing towards the camera, which available in every ATM room. Though this is not a bank approved step but it can help you to prove the about your genuineness.

Once you receive notes and you find them fake, don’t hesitate to file a complaint and get into legal procedure. Return the note back to bank, and they will remove it from the system. File an FIR and give your possible evidence of receiving money from the specific ATM.

If you got fake note from ATM during an odd time, say in the night then lodge your grievance in the complaint register available with the guard. Don’t forget to mention the fake note number while writing the complaint. It would be even better if you can manage to take the sign of guard on the complaint to prove your stand. Even after doing all this, you need to prove everything to the bank officials to replace the counterfeit money.

Finally

Getting fake currency from ATM is a result of bank’s negligent actions and filing a complaint against them can help the law in checking the same. Once they are caught with non-compliance of regulations, they can be held responsible, and you can get the money back. This will also prevent from the future frauds and stop the circulation of fake currencies through ATMs.



Source: InvestmentYogi is one of the leading personal finance websites in India