MICR code consists of how many digits- 9 digits. (First three digits denotes city, next three digits representing the bank and the last three digits representing the bank branch)
What is the minimum limit in RTGS system -2 lakhs (there is no upper limit in RTGS)
What is full form of CTS – Cheque Truncation System
Under which service, customers may access their bank account and perform basic transactions from any of the member branch offices – Core Banking Solution (CBS)
Exchange of cash flow in different currency is known as – Currency Swap
Assets or loans which stop performing after 90 days is known as Non Performing Asset (NPA).
Who controls the Monetary Policy in India – RBI (Reserve Bank of India).
RuPay card is issued by NPCI (National Payments Corporation of India).
Definition of Current Account deficit – A measurement of a country’s trade in which the value of goods and services it imports exceeds the value of goods and services it exports.
Full form IFSC – Indian Financial System Code ((The IFSC is an 11 digit alpha numeric code, with the first four digits identifying the bank, fifth is numeric (kept 0) and the last six digits represent the bank branch.))
Commercial paper can be issued for a maximum period of 365 days or 1 year.
The Mutual funds in India follow accounting standards laid by SEBI (Securities and Exchange Board of India)
Minimum amount for Certificate of Deposit has been fixed at Rs. 1 Lakh.
AML is a term mainly used in the financial and legal industries. Expand the term AML- Anti Money Laundering
PIN is a number allocated to an individual and used to validate electronic transactions. Expand PIN (Personal Identification Number)
Repo rate is the rate is the rate at which RBI lends money to the commercial banks.
A cheque which is presented to a bank after 3 months from date of issue is considered as stale cheque and will often not be honored for cash or deposit at a bank.
Bancassurance: The selling of life assurance and other insurance products and services by banking institutions.
KYC: KYC guidelines is to prevent banks from being used, intentionally or unintentionally, by criminal elements for money laundering or terrorist financing activities. Know Your Customer (KYC) guidelines are issued under: Ans: Section 35A of the Banking Regulation Act, 1949
BSBDA (Basic Savings Bank Deposit Account): the credits in a financial year does not exceed rupees Rs. 1 lakh
In BSBDA (Basic Savings Bank Deposit Account) the balance at any point of time does not exceed rupees: Ans: Rs. 50,000
In BSBDA (Basic Savings Bank Deposit Account) the withdrawals and transfers in a month does not exceed rupees Rs. 10,000
CASA: Current Account Saving Account
In what denominations Commercial Paper (CP) can be issued Rs. 5 lakh
2500 is the minimum denomination of Treasury bills to issue in India.
Certificate of Deposit (CD) cannot issue Regional Rural Banks (RRBs) and Local Area Banks (LABs)
ASBA: Application Supported by Blocked Amount.
Depositor Education and Awareness Fund (DEAF) is maintained with RBI.
Cash Reserve Ratio (CRR) is the amount of funds that the banks have to keep with Central Bank (RBI).
Maximum amount per transaction NEFT limit for cash-based remittances to Nepal Rs. 50,000.
CAR: Capital Adequacy Ratio
When money is lent or borrowed for one day or on overnight basis it is known as Call Money.
When money is lent or borrowed for between 2 days and 14 days it is known as Notice money
When money is lent or borrowed for a period of more than 14 days, it is known as Term money.
Treasury Bills and Certificate of Deposit are considered as the negotiable money market instruments.
Commercial Paper (CP) is an unsecured money market instrument issued in the form of a Promissory note
5 lakhs is the upper limit in Public Provident Fund (PPF).
As per RBI guidelines, with effect from April 1, 2012, the validity period of Cheques, Demand Drafts, Pay Orders and Banker’s Cheques is 3 months.
90 days is the time limit for an asset or loan to be declared as Non-Performing Asset.
Deposit Insurance and Credit Guarantee Corporation (DICGC) does not cover Primary co-operative societies.
RBI measure to liquidate the market: Repo rate.
Full form of EFT: Electronic Fund Transfer
Fastest mode of transaction: RTGS
Daily Basis Bank pays interest on savings account.
What is the loan limit for education under priority sector for studies abroad Rs. 20 lakh (Loans to individuals for educational purposes including vocational courses upto Rs.10 lakh for studies in India and Rs. 20 lakh for studies abroad are included under priority sector.)
Fixed Deposit (FD)Account may be opened for a minimum period of: Ans: 7 days 52 and minimum amount Rs.1000 required to open a Fixed Deposit (FD).
The Banks has converted all ‘no – frills’ accounts’ into Basic Savings Bank Deposit Accounts
‘Pradhan Mantri Jan Dhan Yojana’ is a Scheme for Financial inclusion & overdraft facility to be provided in ‘Pradhan Mantri Jan Dhan Yojana’ scheme Rs. 5,000.
In CBS, C stands for Core Banking Solution.
In CRAR, A stands for Capital to Risk Weighted Assets Ratio)
IMPS – Immediate Payment Service is an interbank electronic instant mobile money transfer service through mobile phones in India, the facility is provided by NPCI (National Payment Corporation of India).
The Central Bank of India has adopted new measure of inflation Consumer Price Index (CPI)
When a cheque is torn into two or more pieces and presented for payment, such a cheque is mutilated cheque.
Deputy Governor of RBI appellate authority in Banking Ombusdsman. If any customer is not satisfied by the decision of Banking Ombudsman, customer can appeal against the award before the appellate authority within 30 days.
ATMs or Cash Dispensing machine which are owned and operated by Non-Banking Financial Companies are called White Label ATMs.
RBI gave in-principle for Banking license to IDFC and Bandhan and Minimum capital requirement for new banks in private sector is 500 crore.
A Non-Banking Financial Company (NBFC) is a company registered under Companies Act, 1956 and Minimum capital requirement for Non-Banking Financial Company (NBFC) is Rs. 500 crore.
The NBFCs are allowed to accept/renew public deposits for a minimum period of 12 months ( and maximum period of 60 months)
A NBFCs cannot offer interest rates higher than the ceiling rate prescribed by RBI and the present ceiling 12.5%pa.
Minimum capital requirement for Foreign banks that want to set up operations in India is Rs. 500 crore.
100 crores minimum paid-up capital requirement of both small banks and payments banks in India.
RBI extended the timeline for full implementation of Basel III norms till 31 March 2019.
SLR (Statutory Liquidity Ratio) is the amount a commercial banks needs to maintain in the form of Cash or Gold or govt. approved securities.
Marginal Standing Facility (MSF) is the rate at which banks borrow funds overnight from the Reserve Bank of India (RBI) against approved government securities.
Treasury bills (T-bills) issue Government of India and Treasury bills are available for a minimum amount Rs. 25,000
to implement GST (Goods & Services Tax) new indirect tax regime from 1st April 2016.
RBI extends deadline for exchanging pre-2005 currency from June 30, 2015 to December 31, 2015.
2000 amount RBI allows in ‘Tap and pay’ transactions without PIN.
RBI lifted a ban on carrying Indian bank notes of Rs 1,000 and Rs. 500 denominations to and from Nepal and Bhutan.
Pension scheme for unorganized sector Swavalamban.
Full form of REIT: Real State Investment Trust.
Forward Market Commission merge with SEBI.
Purpose of starting Minor account for 10 years children Financial inclusion.
Full form of CVV: Card Verification Value.
(BIS)Bank of International Settlement headquarters in Switzerland.
RBI appoints Banking Ombudsman officer.
IFRS full form International Financial Reporting Standards.
Corporate Social Responsibility committee headed is by Anil Baijal.
NABARD is the Regulatory body for RRBs.
Mutual funds regulated by SEBI (Securities and Exchange Board of India).
MTSS stand for Money Transfer Service scheme.
2% of NDTL amount of money can RBI lend to a bank.