Important Banking Awareness Q & A

Important Banking Awareness Questions

1. MICR code consists of how many digits?

Ans: 9 digits.

(First three digits denotes city, next three digits representing the bank and the last three digits representing the bank branch)

2. What is the minimum limit in RTGS system?

Ans: 2 lakhs (there is no upper limit in RTGS)

3. What is full form of CTS?

Ans: Cheque Truncation System

4. Under which service, customers may access their bank account and perform basic transactions from any of the member branch offices.

Ans: Core Banking Solution (CBS)

5. Exchange of cash flow in different currency is known as:

Ans: Currency Swap

6. Assets or loans which stop performing after 90 days is known as:

Ans: Non Performing Asset (NPA)

7. Who controls the Monetary Policy in India?

Ans: RBI (Reserve Bank of India) 

8. Which card is issued by NPCI (National Payments Corporation of India)?

Ans: RuPay Card

9. Definition of Current Account deficit:

Ans: 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.

10. Full form IFSC ?

Ans: Indian Financial System Code

11. Commercial paper can be issued for a maximum period of:

Ans: 365 days or 1 year.

12. The Mutual funds in India follow accounting standards laid by:

Ans: SEBI (Securities and Exchange Board of India)

13. Minimum amount for Certificate of Deposit has

been fixed at:

Ans: Rs. 1 Lakh

14. AML is a term mainly used in the financial and legal industries. Expand the term AML:

Ans: Anti Money Laundering

15. PIN is a number allocated to an individual and used to validate electronic transactions. Expand PIN:

Ans: Personal Identification Number

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16. What is Repo rate?

Ans: It is the rate is the rate at which RBI lends money to the commercial banks.

17. What is Stale Cheque?

Ans: 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.

18. What is Bancassurance?

Ans: The selling of life assurance and other insurance products and services by banking institutions.

19. The objective of KYC guidelines is to prevent banks from being used, intentionally or unintentionally, by criminal elements for money laundering or terrorist financing activities. What is the full form of KYC?

Ans: Know Your Customer (KYC)

20. Know Your Customer (KYC) guidelines are issued under:

Ans: Section 35A of the Banking Regulation Act, 1949

21. In BSBDA (Basic Savings Bank Deposit Account) the credits in a financial year does not exceed rupees:

Ans: Rs. 1 lakh

22. In BSBDA (Basic Savings Bank Deposit Account) the balance at any point of time does not exceed rupees:

Ans: Rs. 50,000

23. In BSBDA (Basic Savings Bank Deposit Account) the withdrawals and transfers in a month does not exceed rupees:

Ans: Rs. 10,000

24. At which rate RBI give loans to commercial banks?

Ans: Repo rate

25. Full form of CASA:

Ans: Current Account Saving Account

26. In what denominations Commercial Paper (CP) can be issued?

Ans: Rs. 5 lakh

27. What is the minimum denomination of Treasury bills to issue in India?

Ans: Rs. 25,000

28. Who cannot issue Certificate of Deposit (CD)?

Ans: Regional Rural Banks (RRBs) and Local Area Banks (LABs)

29. Expand ASBA:

Ans: Application Supported by Blocked Amount

30. Depositor Education and Awareness Fund (DEAF) is maintained with:

Ans: RBI

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31. Cash Reserve Ratio (CRR) is the amount of funds that the banks have to keep with:

Ans: Central Bank (RBI)

32. What is the maximum amount per transaction NEFT limit for cash-based remittances to Nepal?

Ans: Rs. 50,000

33. What does CAR stands for?

Ans: Capital Adequacy Ratio

34. IFSC code consists of _____ alpha numeric code.

Ans: 11 digits

(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.)

35. When money is lent or borrowed for one day or on overnight basis it is known as:

Ans: Call Money

36. When money is lent or borrowed for between 2 days and 14 days it is known as:

Ans: Notice money

37. When money is lent or borrowed for a period of more than 14 days, it is known as:

Ans: Term money

38. Treasury Bills and Certificate of Deposit are considered as the ____instruments.

Ans: negotiable money market

39. Commercial Paper (CP) is an unsecured money market instrument issued in the form of a _____.

Ans: Promissory note.

40. What is the upper limit in Public Provident Fund (PPF)?

Ans: Rs. 1.5 lakhs

41. As per RBI guidelines, with effect from April 1, 2012, the validity period of Cheques, Demand Drafts, Pay Orders and Banker's Cheques is _____. 

Ans: 3 months

42. What is the time limit for an asset or loan to be declared as Non-Performing Asset?

Ans: 90 days

43. Deposit Insurance and Credit Guarantee Corporation (DICGC) does not cover: 

Ans: Primary co-operative societies

44. RBI measure to liquidate the market:

Ans: Repo rate.

45. Full form of EFT:

Ans: Electronic Fund Transfer

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46. Fastest mode of transaction:

Ans: RTGS

47. Alphanumeric code on cheque is known as:

Ans: Indian Financial System Code (IFSC)

48. Bank pays interest on savings account?

Ans: Daily Basis

49. What is the loan limit for education under priority sector for studies abroad?

Ans: 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.)

50. RuPay Card is an Indian version of credit/ debit card is launched by which organization:

Ans: NPCI (National Payments Corporation of India)

51. Fixed Deposit (FD)Account may be opened for a minimum period of:

Ans: 7 days

52. What is the minimum amount required to open a Fixed Deposit (FD)?

Ans: Rs.1000

53. The Banks has converted all ?no - frills' accounts? into:

Ans: Basic Savings Bank Deposit Accounts

54. 'Pradhan Mantri Jan Dhan Yojana' is a Scheme for:

Ans: Financial inclusion

55. How much overdraft facility to be provided in 'Pradhan Mantri Jan Dhan Yojana'  (PMJJY) scheme?

Ans: Rs. 5,000

56. In CBS, C stands for: 

Ans: Core

57. In CRAR, A stands for:

Ans: Assets (Capital to Risk Weighted Assets Ratio)

58. IMPS - Immediate Payment Service is an interbank electronic instant mobile money transfer service through mobile phones in India, the facility is provided by:

Ans: NPCI (National Payment Corporation of India)

59. The Central Bank of India has adopted new measure of inflation:

Ans: Consumer Price Index (CPI)

60. When a cheque is torn into two or more pieces and presented for payment, such a cheque is called:

Ans: mutilated cheque

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61. How much fee charged to file a complaint under Banking Ombudsman? 

Ans: Banking Ombudsman does not charge any fee

62. Who is the appellate authority in Banking Ombusdsman?

Ans Deputy Governor of RBI 

63. If any customer is not satisfied by the decision of Banking Ombudsman, customer can appeal against the award before the appellate authority within how many days from the date of receipt?

Ans 30 days

64. ATMs or Cash Dispensing machine which are owned and operated by Non-Banking Financial Companies are called:

Ans: White Label ATMs.

65. RBI gave in-principle for Banking license to:

Ans: IDFC and Bandhan

66. Minimum capital requirement for new banks in private sector is:

Ans: Rs. 500 crore

67. A Non-Banking Financial Company (NBFC) is a company registered under the:

Ans: Companies Act, 1956

68. Minimum capital requirement for Non-Banking Financial Company (NBFC) is:

Ans: Rs. 500 crore

69. The NBFCs are allowed to accept/renew public deposits for a minimum period of:

Ans: 12 months ( and maximum period of 60 months)

70. A NBFCs cannot offer interest rates higher than the ceiling rate prescribed by RBI? What is the present ceiling?

Ans: 12.5 per cent per annum

71. Minimum capital requirement for Foreign banks that want to set up operations in India is: 

Ans: Rs. 500 crore

72. What is the minimum paid-up capital requirement of both small banks and payments banks in India?

Ans: Rs. 100 crore

73. RBI extended the timeline for full implementation of Basel III norms till:

Employment News : 12th - September to 18 September 2015

1. BHEL ( Bharat Heavy Electricals Limited)
   Name of Post – Fitter and Welder 
   No. of Vacancies – 200
   Last Date –30.09.2015
2. UPSC(Union Public Service Commission) Name of Posts –Various Posts
   No. of Vacancies - 84
   Last Date – 01.10.2015
3. MES(Military Engineer Services)Name of Posts – Electrician, Mate Carpenter or Mate Mason Etc.
   No. of Vacancies – 241
   Date- 10.10.15
4. ISRO(Indian Space Research Organization) Name of Posts – Light Vehicle Driver, Heavy Vehicle Driver and Staff car drivers. 
   No. of Vacancies –112
   Last Date – -24.09.15
   
5. GAIL Limited(Gas Authority of India Limited ) Name of Post –Senior Engineer(Chemical PC operations, Mechanical PC O&M etc.)
   No. of Vacancies -60
   Last Date: – 05.10.2015
6. Bureau of Indian Standards Name of Post –Scientist-‘B’ in various disciplines
   No. of Vacancies –97
   Last Date – 24.09.2015

Source : http://employmentnews.gov.in/

Minimum Wages 25,000, Fitment Formula 3.5 & Wage Hike 60% should be in 7th CPC: Jaago Employee Jaago by Karnataka COC

Minimum Salary 25,000, Fitment Formula 3.5 & Wage Hike 60% should be in 7th CPC: Jaago Employee Jaago by Karnataka COC

Minimum Wages Fitment Formula and Wage Hike. 

Comrades,

           There are number of unwanted articles on minimum wage, fitment formula and wage hike on many websites which are not true and create confusion among the Central Government Employees. This type of the articles also give wrong impressions and give wrong signals to the Government, these articles are written without having basic knowledge of the price rise and minimum wage calculation. 

The minimum wage calculation is given below.  Hence it is requested to go through the below calculation of minimum wages, as the 7th CPC has indicated the use of using Dr. Aykroyd formula and 15th ILO norms for calculation of minimum wages. The rates are taken from Government shops (retail prices are 10% more than Government prices). The rates to be taken up by the 7th CPC may vary only marginally.   

We should actually wait for the 7th CPC to give its report and then we should react and staff side JCM shall take necessary steps in this regard. Let us stop all such unwanted gossips of minimum wage, fitment formula and wage hike. The model minimum wage calculated using Dr. Aykroyd formula and 15th ILO norms as on 1st July 2015 is given below.

Item	Per Month 3 units in Kgs/ mt	Average Rate	Amount
Rice  (fine) & Wheat atta	42.75	40	1710
Dal	7.2	140	1008
Raw Vegetables	9	41	369
Green Vegetables	11.25	45	507
Other Vegetables	6.75	55	372
Fruits	10.8	75	810
Milk Dairy	18	33	594
Sugar	5	39.5	198
Edible Oil	3.6	114	410
Fish	2.5	410	1025
Meat Mutton	5	450	2250
Egg	90	5	450
Detergents*	1	161.58	162
Clothes	5.5	250	1375
Total			11241
Miscellaneous @ 20%			2248.2
Total			13489
Additional @ 25%			3372.3
Total			16861.5
Add 10% housing			1686
Minimum pay for unskilled worker in the erstwhile Group “D”			18547.5
Add 25% for Group "C" ( as proposed by 6th CPC )			4636.875
Total			23184.375
Add 6% more prices from 1st July  2015 to 1st Jan 2016			1391.04
Total amount			Rs 24575/-
Minimum pay for skilled worker in Group "C"			Say  Rs 25,000/-

Fitment formula = Rs 25000/7000 = 3.5

The main goal is to educate the Central Government Employees and prepare for the struggle path in case the  important demands expected of the 7th CPC are not met.

A) Minimum wage of Rs 25,000/- as per Government prices. 
B) Fitment formula of 3.5
C) Wage hike of more than 60%.
D) Proper pay scales with proper increment rate.
E)  Proper promotion policy and proper allowances.
F) Wage revision from 1/1/2014.

DA as likely on 1st Jan 2016 is likely at 125%.

After 7th CPC implementation it will DA will be zero %

Existing Basic Minimum wage is Rs 7000/- as on 1/1/06

Add 125% DA as on 1/1/2016 =Rs 8750/-

Total existing Minimum Wage as on 1/1/2016 is Rs 15750/-

If the Minimum wage is fixed at Rs 25,000/-

Net Increase shall be Rs 9250/-

Net Increase should be 60%.

Comradely yours

(P.S.Prasad)

General Secretary

Source: http://karnatakacoc.blogspot.in/

Read more: http://www.staffnews.in/2015/09/minimum-wages-25000-fitment-formula-35.html#ixzz3lgnsI9u2
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Parliamentary panel recommends a study on shortage of doctors in CGHS

Parliamentary panel recommends Health ministry undertake a study on Central Government Health Scheme

 NEW DELHI: A Parliamentary Panel today recommended the Health and Family Welfare Ministry to undertake a study on shortage of doctors in Central Government Health Scheme (CGHS).

"The Committee is constrained to note that out of sanctioned strength of 1620 General Duty Medical Officers and Specialists, as many as 282 posts are lying vacant and 240 have been filled on contract basis.

 "It is evident that even if UPSC makes selection of doctors, very few join CGHS. The Committee therefore recommends that the department undertake a thorough study to find out the reason behind this trend and take remedial action accordingly," it said.

In its report on Action Taken by Government on the Recommendations/Observations Contained in the Seventy-First Report on the Functioning of CGHS, the Committee said that though the government has attempted to bridge the gap by appointing doctors and specialists on contract as a stop gap arrangement but this could not be a long term solution to the problem of chronic shortage of doctors.

"The department needs to address it with urgency since without the availability of doctors, all existing infrastructure of CGHS will not guarantee health care to the beneficiaries," it said. 

Read at: Economics Times

Read more: http://www.staffnews.in/2015/09/parliamentary-panel-recommends-study-on.html#ixzz3lgn9whRc
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Parity between Past and Future Pensioners: NC JCM letter to 7th CPC on OROP

Parity between Past and Future Pensioners : Com. Shiva Gopal Mishra secy. staff side/NCJCM has written a DO letter to chairman 7th Pay commission for pension Parity between past and future pensioners.

Shiva Gopal Mishra
Secretary

National Council (Staff Side)

Joint Consultative Machinery

13-C, Ferozshah Road, New Delhi – 110001

E-Mail: nc.jcm.ni@gmail.com

No.

Dated 11.09.2015

Justice Shri Ashok Kumar Mathur,
Chairman,
Seventh Central Pay Commission,
New Delhi.

Dear Sir,

Sub: Parity between Past and Future Pensioners

[Now, Central Govt staff seek OROP in 7th Pay Commission]

While urging for parity in Pension; for past and future pensioners before the Seventh Central Pay Commission, Staff Side, National Council/JCM vide Chapter-IV, Para 4.1 submitted as follow:-

“The Government have recently announced that “One Pension’ shall be implemented in respect of Armed Forces so that the glaring disparity between the persons of equivalent rank and status do not draw vastly unequal pensions if they retire at different point of time is undone. Already there is a complete parity in pension among the Judges of Supreme Court, High Court and the Comptroller and Auditor General of India, irrespective of the date of their retirement”. Now the Government of India has accepted the demand for ‘One Rank One Pension’ in respect of Armed forces.

The detailed justification for the same has already been submitted in our aforesaid Memorandum, as well as during our Oral Evidence before the Central Pay Commission.

The Civilian employees of Central Government have been waiting anxiously for implementation of the same equally for them and hope that the Seventh Central Pay Commission would administer Justice by recommending “One Rank One Pension’ to all other past and future pensioners irrespective of their date of retirement and remove the injustice done to them so long.

Yours faithfully,

(Shiva Gopal Mishra)

Source: NCJCM Staff Side
[http://ncjcmstaffside.com/2015/ncjcm-staff-side-demands-one-rank-one-pension-from-7th-pay-commission/]

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Now, Central Govt staff seek OROP in 7th Pay Commission

The joint consultative machinery for all Central Government staff has demanded that one rank one pension be implemented for all current and future pensioners. The demand is to implement it in the Seventh Pay Commission.

The move comes shortly after the Government decided to implement OROP for defence personnel.

OROP already exists for the judges of the Supreme Court, High Court and CAG, the letter stated, written by Shiva Gopal Mishra, Secretary, joint consultative machinery, Central Government Employees.

The letter has been written to the Seventh Pay Commission Chairman Justice Ashok Kumar Mathur.

Source:http://www.thehindubusinessline.com/news/now-central-govt-staff-seek-orop-in-7th-pay-commission/article7645364.ece

WAGE REVISION FOR CENTRAL GOVERNMENT EMPLOYEES EVERY FIVE YEARS-CONFEDERATION

Central Government Employees demand of date of effect from Jan 2014 is fully justified.

Comrades,

          Now the Government has announced the One Rank One Pension Scheme for Defence veterans. Its Highlights are as follows.

·        The benefit will be given with effect from 1st July, 2014. Arrears will be paid in four half-yearly instalments. All widows, including war widows, will be paid arrears in one instalment.

·        To begin with, OROP would be fixed on the basis of calendar year 2013. Pension will be re-fixed for all pensioners retiring in the same rank and with the same length of service as the average of minimum and maximum pension in 2013. Those drawing pensions above the average will be protected.

   *  In future, the pension would be re-fixed every 5 years.

 Now we should expect the 7th CPC report to be submitted in next three months( after Bihar Elections)

Now the Defence veterans are now having five years wage revision. The government has allowed Central Public Sector units to revise wages of all non-executive employees every five years instead of 10 years.  Bank employees are having five years wage revision.

Why not Central Government employees have the same five years wage revision provided to others and have a permanent wage review body. Now our demand of Central Government employees by the staff side JCM for date of effect from Jan 2014 is fully justified by Government issuing orders for others for five years wage revision as in case of Defence veterans, Bank employees and Central Public Sector.

Comradely yours

(P.S.Prasad)

General Secretary

Source:http://karnatakacoc.blogspot.in/2015/09/central-government-employees-demand-of.html    

HOLIDAY ON ACCOUNT OF GANESHA CHATURTHI ON 17/09/2015

But Operative Offices shall remain Open/ Function On Ganesha Chaturthi......

GDS COURT CASE STATUS IN Pr. CAT, DELHI

THE GDS CASE PROCEEDINGS ARE GOING ON IN Pr.CAT, DELHI AND TODAY 
(10-09-2015) IS DATE OF HEARING.

IT IS INFORMED THAT THE CASE PROCEEDINGS ARE ADJOURNED TO 18-11-2015

FURTHER DETAILS WILL BE PUBLISHED SOON AFTEER  RECEIPT FROM OUR ADVOCATE

=P.PANDURANGARAO
GENERAL SECRETARY

National Defence Academy & Naval Academy Examination (II) 2015

National Defence Academy & Naval Academy Examination (II) 2015

The Union Public Service Commission will be conducting the National Defence Academy and Naval Academy Examination (II) 2015 at different venues located at 41 Centres throughout the country on 27.09.2015 (Sunday). The e-Admit Cards for the candidates have been uploaded on the Commission's Web-site http://www.upsc.gov.in. which may be down loaded. Letters of rejection to the candidates stating reason(s) for rejection have already been sent through e-mail provided by the candidates. If any applicant is not able to down load his e-Admit Card, he may contact UPSC Facilitation Counter on Telephone Nos. 011-23385271, 011-23381125 and 011-23098543 between (10.00 A.M. to 5.00 P.M). on working days during working hours.  The candidate may also send Fax message on Fax No. 011-23387310. The candidates may note that no paper admit card  will be issued.  

In case the photograph is not printed or available on the e- Admit Card, candidates are advised to carry two (2) identical  photographs (one photograph for each session) along with proof of identity such as Identity Card ( Students I Card used by School/College, Voter I Card, Aadhaar Card, Driving License, Passport etc) and printout of e-Admit Card to the venue of the Examination to secure admission in the Examination.

Candidates    are    advised to   check    their    e-mail    in  case  they  have  sent  any representation.

The  candidates are advised to take a printout of

(i)      The e-Admit Card and

(ii)    Important instructions to the candidates (which must be read carefully) well in advance to avoid the last minute rush.  In the past cases have been noticed where some candidates have faced difficulty  in accessing the server at the last minute on account of server overload.

MOBILE PHONES BANNED            THE CANDIDATES BRINGING MOBILE PHONE WITH THEM WILL NOT BE ALLOWED      ENTRY IN THE EXAMINATION PREMISES WITH MOBILE PHONES.

****

 (Release ID :126788)

Source : http://pib.nic.in/newsite/erelease.aspx?relid=0

Commemorative Stamp on 10th World Hindi Conference – 10th September 2015.

The tradition of the World Hindi Conferences began with the first conference having been organized in Nagpur and inaugurated on 10th January, 1975 by Smt. Indira Gandhi, the Prime Minister of India. A commemorative stamp was released on this occasion. Since then, these conferences have achieved a global profile and momentum of their own. The subsequent World Hindi Conferences were organized in different countries, namely, twice in India (Nagpur: 10-12 January, 1975 and New Delhi: 28-30 October, 1983), twice in Mauritius (Both in Port Louis: 28-30 August, 1976 and 02-04 December, 1993), Trinidad and Tobago (Port of Spain: 04-08 April, 1996), UK (London: 14-18 September, 1999), Suriname (Paramaribo: 06-09 June, 2003), USA (New York: 13-15 July, 2007) and South Africa (Johannesburg: 22-24 September, 2012).

The objective of the World Hindi Conference is the promotion of Hindi globally as a world language. Hindi in its different forms is spoken in a large number of countries that extend across the globe, from countries with small Hindi speaking communities to countries where a substantial minority of the population speak Hindi such as Mauritius, Suriname, Fiji etc. Hindi is not restricted to people of Indian origin; there have been many eminent scholars of Hindi based in Europe who have contributed to the study of the language. World Hindi conferences aim at recognition of Hindi as a language of not only literature but also a language that is capable of adapting itself to modern science and technology.

The 10th World Hindi Conference (WHC) is organized from 10-12 September 2015 in the city of Bhopal at Lal Parade Ground by the Ministry of External Affairs, Government of India in partnership with the Government of Madhya Pradesh. The decision to organize the 10th edition of the Conference in India was taken at the 9th World Hindi Conference held in Johannesburg, South Africa in September 2012.

The 10th World Hindi Conference is inaugurated by Prime Minister Shri Narendra Modi on 10th September 2015 at Bhopal and on the occasion he released a commemorative stamp on 10th World Hindi Conference in presence of Minister of Communications and Information Technology Shri Ravi Shankar Prasad, Minister of External Affairs Smt. Sushma Swaraj and other dignitaries.

Photo Courtesy: PIB