Deck 1: Banking Terms and Concepts: From Demand Deposits to Central Banks and Rtgs

Question 1

Demand deposit also known as ---------------- .

A)Current a/c
B)Fixed Deposit a/c
C)Capital a/c
D)Recurring Deposit

Answer 1

Current a/c

Question 2

Commercial banks to expand deposit through expanding their loans and advances is known as--------.

A)Credit creation
B)Trade discount
C)Deposit
D)Bank advances

Answer 2

Credit creation

Question 3

Rediscounting and giving advance the central bank charges interest at a rate which is known as --------------.

A)CRR
B)SLR
C)Bank rate
D)Credit

Answer 3

Bank rate

Question 4

The nationalization of 14 commercial bank was on -----------------------.

A)19 July 1969
B)15 Aug 1972
C)15 April 1980
D)19 Jan 1959

Question 5

The State Bank of India was established under the State Bank of India Act on ----------------.

A)1935
B)1948
C)1955
D)1952

Question 6

----------------commission recommended the formation of a central bank in 1926.

A)Narasimham Committee
B)Bretton Wood Committee
C)Hilton Young Committee
D)Banking Enquiry Committee

Question 7

Overdraft is a credit facility granted by commercial bank to------------- holders.

A)Current a/c
B)Cash a/c
C)Capital a/c
D)Reserve Fund

Question 8

Money at call and short notice is also known as----------------------.

A)Capital market
B)Interbank call money market
C)Financial system.
D)Financial call money

Question 9

Creation of derivative deposit out of the money from primary deposit is called---------------------

A)Cash credit
B)Lending money
C)Credit creation
D)Loan and advances

Question 10

The first joint stock Bank in India?

A)IDBI
B)ICICI
C)Imperial Bank
D)Allahabad Bank

Question 11

"Buy now pay latter" is the motto of a---------------------

A)ATM
B)Debit card
C)Credit card
D)MICR

Question 12

E-purse is a prepaid card and is known as -----------------.

A)Stored value card
B)Electronic card
C)E-cash
D)Electronic credit card

Question 13

----------------means the transfer of money from one bank a/c to another electronically

A)EFT
B)SWIFT
C)NEFT
D)E-purse

Question 14

Bank a/c over the world are inter-linked through satellite provided by------------------.

A)PSAM
B)SWIFT
C)EFT
D)NEFT

Question 15

In India , RTGS has been implemented on --------- .

A)26 March 2004
B)26 March 1998
C)26 March 1994
D)26 March 2002

Question 16

-------------is a funds transfer mechanism where account to another bank account is real time.

A)NEFT
B)EFT
C)ECS
D)RTGS

Question 17

MICR is a------------------digital code.

A)9
B)11
C)7
D)13

Question 18

CTS was introduced RBI in-------.

A)February 1995
B)January 2006
C)July 2004
D)February 2008

Question 19

------------------------ Conversion of physical cheque into electronic form for transmission to the paying bank.

A)CTS
B)ECS
C)RTGS
D)None of the above

Question 20

CORE stands for---------------- .

A)Central operations of Exchange
B)Centralized Online Real time Exchange
C)Challenge of Online Real time Exchange
D)Centralized Online Real time Efficiency

Question 21

Banking services that increasingly rest on technology and communication system is popularly known as ---------------.

A)Hi-tech banking
B)Internet banking
C)Mobile banking
D)All the above

Question 22

----------- is also called Virtual Banking or anywhere banking.

A)Hi-tech banking
B)Off shore banking
C)Internet banking
D)None of the above

Question 23

Deposit are secondary or derived from the primary deposits is known as-------------.

A)Credit creation
B)Multiple credit creation
C)Single credit creation
D)Derivative deposit

Question 24

The Govt.delegates the right of--------------to the central bank.

A)Printing currency note
B)Coins
C)One Rupee note
D)All of these

Question 25

The deposit balances kept by all commercial banks with the central bank are known as---------.

A)Earning per share
B)Reserve
C)Cash reserve
D)General reserve