Limited Legal Tender | Unlimited Legal Tender |
The coins of smaller denominations are considered as limited legal tenders (say 1/2/5 rupee coins) because they are acceptable only for meeting financial transactions of lower value (say meeting your short distance bus/auto fare) | The rupee notes of higher denominations (say 100/500/1000 rupee notes) are considered as unlimited legal tenders because they can be used settling claims relating to high value transactions. |