Study Material May2012

8/18/2019 Study Material May2012

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ऩदोनि ऩऺा (अधका ) भई 2012के रए

अममन साभी STUDY MATERIALFOR

PROMOTION TEST (OFFICERS)MAY 2012

आा फक एऩेस कॉरेज-फकॊ ग ेिा िहे ु

Andhra Bank Apex College-for Banking Excellence

27-29 वीम जरा Financial District,

नानकाभगु ड़ा Nanakramguda, गचीफरी Gachibowli

हैदाफाद Hyderabad- 500032 पोन Phone : 23007194 -96, Fax-23007171 ई भरे e-mail [email protected]

mailto:[email protected]:[email protected]:[email protected]


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पिाना

FOREWORD

इस ऩुिका को िुि किे ह ुए हभं फह ुि सिना है ।

ऩदोनि ऩऺा भ ंफठैन ेारे अधकाम

इसिे ैमा कमा गमा है ।

सचूना क वशुिा को सुनि

कन ेिहेु मथासॊब मास कमे गम ेह । िथावऩ , इस ऩुिका का मोग कने ारे, जहा कहॊ

अऩेिऺ हो , सचूना को सभम -सभम ऩ अिन क रं ।

हभ अधकाम के मास भ ंसपिरा क काभना किे ह ।

We are delighted to present this Study Material for

Promotion Test aimed to help the Officersappearing for the written test

for promotion. While allprecautions are taken toensure accuracy of the

information, to the extent

possible, the users are advisedto update the information wherever required.

We wish the Officers all success in their efforts.

ाचामय सॊकाम सदम ,Principal & Members of Faculty

आा फक एऩेस कॉरेज ,Andhra Bank Apex College,

दनाॊक 10.05.2012 हदयाफाद Hyderabad-500032


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ऩदोनि ऩऺा (अधका ) भई 2012के रए

अममन साभी STUDY MATERIAL

FOR

PROMOTION TEST (OFFICERS)

MAY 2012

वषम सू ी I N D E X

Sl.वषम Topics ऩेज

Page

1. आथयक सचूकाॊक Financial Indicator 1

2. फकॊ ग वनमभ / बा फक अधनमभ Banking Regulation / RBI Act 2

3. फक ाहक सॊफॊध Banker Customer Relationship 11

4. फक जभा मोजनाए Bank Deposit Schemes 16

5. ऋण नीि Loan Policy 29

6. ाथभिका ा ऺे / एस एभ ई Priority Sector Advances/ SME 50

7. कृवष व Agricultural Finance 57

8. सका ामोिज मोजनाएॊ Govt Sponsored Scheme 83

9.

िरुन ऩ वेषणBalance sheet Analysis 89

10. कामयशीर ऩू ॊजी ऋण Working capital loans 95

11. साध ऋण Term Loans 99

12. फक गाॊट Bank Guarantee 104

13. खदुा ऋण / मैवक फकॊ ग मोजनाए Retail Credit / Personal Banking Schemes

106

14. वदेशी वनभम Foreign Exchange 115

15. सरूी फॊधन Recovery Management 159

16. अनषुॊगी सेाए शलुक ऩ आधाि उतऩादAncillary services & Fee based Products

167

17. ाजबाषा Official Language 176

18. सचूना ोढमोगक Information & Technology 183


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धा बक एपस कॉलज हदराबाद

Andhra Bank Apex College Hyderabad

सकंलन – रामराव चौहान पजे 1

* IMPORTANT FINANCIAL INDICATORS*

PARAMETERS Effective Indicator PARAMETERS Effective IndicatorBank Rate/MSF 17.04.2012 9.0% REPO Rate 17.04.2012 8.0%C.R.R. 10.03.2012 4.75% Reverse REPO 17.04.2012 7.0%S.L.R. 18.12.2010 24% Forex Reserves 16.03.2012 294.821bn$

**BANKING NETWORK IN INDIA**(All SCBs)(As on 31.03.2011)

***ANDHRA BANK AT A GLANCE***(In Crores)

PARAMETERS 2010-11 2011-12 PARAMETERS 2010-11 2011-12

Share Capital 560 560 Return on Advances 5.26%Reserves & Surplus 5933 6920 Wages to total Exp. 16.30%

Net worth 6493 7480 Cost to income ratio 41.40%Deposits 92156 105851 Cost of deposit 5.90% Advances 72154 84684 Coverage Ratio 5.71%Total Business 164310 190535 Cost to income Ratio 41.40% 39.06%Investments 24204 29629 Priority sector Advances 23082 27027Working Funds 108901 Agricultural Advances 10369 12459CASA 29.06% 26.4% MSME Advances 11105 13132Deposit Growth 18.62% 14.9% Retail Credit 10479 11301 Advances Growth 27.69% 17.4% Branch Network 1632 1712CD Ratio 78.46% ATMs 981 1056Operating Profit 2413 2815 Delivery channels 2676 2821Net Profit 1267 1345 Rural / SU Branches 432/456GNPA 995.64 1798 Urban / Metro Brans 478/266NNPA 27.68 756 Zonal offices 23 23GNPA % 1.38% 2.12% Share holders 188123NNPA %{BM-10%) 0.38% 0.91% Customer base 2.30NII 3221 3759 Staff strength 14098NIM 3.80% 3.67% Business per employee 11.65Interest Income 8291 11338 Profit per employee 0.09Total Income 12199 Book Value per Share Rs.116.02 Rs.124.59Other Income 897 860 Earnings per Share Rs.26.05 Rs.24.03Interest Expended 5070 7579 Market Share-Deposits 1.64%Operating Expenses 1705 1804 Market share-Advances 1.66%

Cost of Funds 5.46 Dividend 55% 55%ROA. (BM- 0.25%) 1.36% 1.19% Base Rate (01.05.2012) - 10.50%

CRAR. (BM- 9%) 14.38% 13.18% BMPLR (01.05.2012) - 14.75%

Scheduled Commercial Banks 80 Deposits 5616432 Cr.Nationalized Banks+ SBI Group+OPS 19+6+1 Advances 4298704 Cr.Private Sector Banks Old+New 14+7 GNPA 97922 CrForeign Banks in India 33 NNPA 41813 Cr.Scheduled Commercial Banks 163 NNPA% 0.97%RRBs. (Covering 427 Districts) 82 ROA. (BM- 0.25%) 1.10%Scheduled Com. Bank Branches 93080 CRAR. (BM- 9%) 14.17%Population per Branch 15000 NIM 2.92%

Rural Branches 33602 Return on Advances 4.45%Semi Urban Branches 23048 Cost of Funds 4.73%Urban Branches 19156 Net Profit 70331Metro Branches 17274 Wages to total expenditure 17.05% ATMs 74505 Business per employee 9.87 Cr.Indian Bank offices Abroad 244 Profit per employee 0.07 Cr.


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आंा बक एपेस कॉऱजे ,हैदराबाद

पदोनितपरऺामई 2012केतऱएअधययनसामगी

2

भार बक ततनयम

, बकग ततनयम व पराय तऱिख ततनयम

RBI ACT, Banking Regulation ACT& Negotiable Instrument Act

1.

A person is incompetent to endorse a negotiable instrument1. Minor 2. Purdanashin lady 3. Blind 4. Insane 5. illiterate

2.

A" Payee of an order cheque endorsed it to B. B endorsed it to C. C lost it. Dgets the cheque and endorsed it in favour of E by forging signature of C.E endorsed it to F and F to G for payment when G presented the cheque it wasreturned as payment was countermanded by drawer. Mention the persons

liable to G?1. All previous endorsees including drawer as G is HIDC2. Only E & F 3. D only as he forged the signature of C 4. D, E, F5. None of these

3.

Account Payee only or Payee's Account only" This type of crossing on a chequeis

1. A special crossing 2. A general crossing 3. An endorsement sans recourse.

4. Instructions to collecting banker to collect the proceeds of cheque into payee'saccount only 5.3 & 4 of the above

4.

Across the face of a cheque it bears the words "Andhra Bank" what it speaks?

1. Drawn on Andhra Bank2. The cheque is specially crossed in favour of Andhra Bank.3. It is extraneous matter appearing on the cheque. Hence should be returned.4. These words can be ignored and payment can be made across the counter if it is

otherwise on order5. None of the above

5. An order cheque is payable to a woman in her maiden name Miss AparnaRao.

Now she is married to Sanjeev Kumar, She has to endorse it as1. AparnaRao 2. Aparna Kumar 3. AparnaRao (Now Mrs.Sanjeev Kumar)4. Aparna Kumar (formerly AparnaRao) 5. Either 3 or 4

6. An order cheque is payable to Dr M.A. Rahim, MD. He has to endorse it as

1. M.A. Rahim, MD. 2. M. Abdul Rahim (Dr.) MD. 3. M.A. Rahim4. Mohammed Abdul Rahim 5. 1 or 3

7. Banker gets protection u/s 131 of NI Act for collection of cheques if1. He collects for a customer2. He collects a crossed cheque

3. He acts in good faith and without negligence4. The customer's account is opened as per KYC norms5. All of the above

8. Bill falling due for payment on 15.8.11 is payable on1. 14.8.11 2.16.8.11 3. 18.8.11 4. 17.8.11 5. None of these

9.

Bill of 15.7.11 is payable one month after date. 15&16 August 2011 are public

holidays. The state government declared 17&18 August 2011as holidays under

NI act on 16.08.11. The bill falls due for payment on1.19.8.11 2. 14.8.11 3. 17.8.11 4. 15.8.11 5. 22.8.11

10. Bill of Exchange accompanied by Document of title to goods is known as1. Demand Bill 2. Usance Bill 3. Clean Bill 4.

Documentary Bill 5. Accommodation Bill

11. Central Bank of our country, that regulates the functions of Banks is1 Central Bank of India 2. State Bank of India3. Reserve Bank of India 4. Bank of India 5. Indian Bank

12. Cheque is dated 30th February, what date do you take as date of cheque1. 1stMarch 2. Cheque is not drawn in proper form

3. Last day of the month 4. Subsequent working day5. Preceding working day

13.

Crossed cheque with the words ”Not negotiable" means/denote1. Cheque is not transferable


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2. Cheque is transferable for one time only3. Transfer of such cheque is governed by N1 Act.

4. Transfer is governed by Indian Contract Act5. Cheque is transferable but transferee cannot get a better title than that of transferor

14. Demand bill dated 26.01.12 is payable on

1. On demand, at sight, on presentation 2. 27.01.20123. 29.01.2012 4.

28.01.2012 5. None of these

15. In respect of a demand bill, stamp duty payable is

1. According to amount of the bill 2. Varies from state to state3. Uniform throughout the country 4. Depends upon the period and amount of thebill 5. NIL

16. Maximum extent of shares of a limited company which can be held by anybanking company as security or as absolute owner is

1.50% of paid up capital

2.30% of paid up capital of that company3.30% of Banking Company's own paid up capital plus reserves4. Out of both 2 & 3 whichever is lower5. 25% of paid up capital of company of Banking company whichever is lower

17.

Mr Ramesh payee of an order cheque for Rs.10, 000/- endorsed it in favour ofRadha for Rs.5,000/-, Gopi Rs.3,000/- and Krishna for Rs.2,000/-. All thethree came to the Bank, presented the cheque and requested for paymentacross the counter

1. Instrument should be endorsed for full amount. Partial endorsement is not valid(cheque cannot be paid either across the counter or through clearing)2. Endorsements should not be in favour of more than two persons.3.

Bank can pay cash as per endorsements after identifying the payee andendorsees4. Cash cannot be paid but amounts can be credited to accounts of 3 endorsees

5. None of the above

18. Mr. Smart and Mr. Clever are partners in Firm "Innovations and Creations". An

order cheque for Rs. 50,000 was received by firm on its name from its debtors.Smart endorsed the cheque in his own favour and deposited with his bankerfor collection into his personal account. The collecting banker is1. Protected u/s 131 of NI Act for collection of this cheque2. Liable for conversion

3. Negligent and not enquired in such doubtful case4. Smart being partner has every right to endorse a NI5. Both 2 & 3

19. Nitin is maintaining a current account with Naveen Bank, Nagpur Branch with abalance of Rs. 30,200/- in the account. Today the branch received cheques

No. Date Rs.

739631 10.1.11 30,000

739628 12.1.11 2,000739632 10.1.11 20,000739626 15.1.11 10,000

739630 12.1.11 8,000739633 8.1.11 5,000739635 9.1.11 1,000

Which of the above instruments can be paid by the Bank?

1. Cheques with higher amounts i.e. 30,000/- to be passed2. As many cheques as possible should be passed (i.e. cheques with lower

amounts)

3. Cheques as per serial nos. printed to be passed first4. Cheques as per date of cheques issued (i.e. earlier) to be passed first

5. Bank can pay any cheque and return any cheque as per its choice20. Nomination facility for payment of depositors money is governed under1 Banking Regulation Act 1949 2. RBI Act 1934


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3. Negotiable Instruments Act 1881 4. Indian Contract Act 1872

21. Novelty Package Industries (P) Ltd is maintaining 2 current accounts with aBank. A cheque for Rs. 50,000 was issued on No. 1 account where the balanceis only Rs. 25,500. But in No. 2 account there is a balance of Rs. 1 lac. Thepaying banker has transferred Rs. 25,000 from A/c No. 2 to A/c No. 1 and

paid the cheque. Drawee banker is

1.

Negligent as he is not supposed to transfer funds from one account to otherwithout consent/request of the account holder. He has to return the cheque.

2. Cannot pay the cheque as it is not a payment in due course.3. Has to return the cheque with reason "Funds insufficient"4. Drawee banker has to contact, drawer and seek his instructions.5. The drawee banker can act in any manner as mentioned in 1, 2, 3& 4.

22. Our Andhra Bank was nationalised on1. 15.4.1980 2. 19.7.1969 3. 16.4.1980 4. 28.11.1983 5. 20.11.1983

23.

RBI Governor is1. Dr. Y V Reddy 2. Dr D SubbaRao 3. Mr. C. RangaRajan4. Mr. S. VenkataRamaiah 5. Mr. S. Jagannathan

24.

RBI has reduced CRR of scheduled banks by 75 basis points from 5.5 per centto 4.75 per cent of their NDTL effective the fortnight beginning March 10, 2012.How much liquidity will inject into the banking system by this reduction.

1. Rs.840 billion 2. Rs.480 billion 3.Rs.830 billion 4.Rs.380billion 5. Rs.550 billion.

25. RBI is empowered to issue licences to commercial banks for opening branches

under1. Banking Regulation Act 1949 2. RBI Act 1934 3. Negotiable InstrumentsAct 1881 4. Acquisition of Banking Companies Act 1970 5. None of the above

26. RBI was established in the year1.1948 2. 1947 3. 1934 4. 1935 5. 1950

27. RBI was nationalised in the year …...

1.1949 2. 1935 3. 1955 4. 1934, 5. 1923

28.

Scheduled Bank is a1. Bank whose name is included in the second Schedule of RBI Act 1934

2. Bank having paid up capital of 5 lacs3. Bank having paid up of capital of 10 lacs4.

Commercial bank established in India5. 1 & 2

29.

Statutory protection is given to paying banker for payment of bearer chequesthrough1. Sec 85 (1) of NI Act 2. Sec 85 (2) of NI Act 3. Sec 85 (A) of NI Act

4. Sec 131 of NI Act 5. None of the above

30. The payee of a cheque has endorsed on the back as "Pay to K. Rama Rao only".This endorsement is known as

1. Endorsement in full 2. Sans recourse endorsement3. Facultative endorsement 4. Restrictive endorsement5. None of the above

31. The percentage of the issued share capital of R.R.B. to be subscribed bysponsor Bank is

1. 15% 2. 35% 3. 50% 4. 25% 5. 33-1/3%

32. The words "account payee" and "not negotiable" are written across a bearercheque. Then the cheque

1. Should be returned as not in proper form

2. May be paid to collecting banker against its guarantee3. Collecting banker may be contacted to know genuineness4. Account payee is not a special crossing. Two parallel transverse lines are must

and words account payee should be written between these 2 lines. Hence cashcan be paid


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5. It can be paid to collecting bank if otherwise in order

33. Usance bill can be drawn for a maximum period of1.90 days 2. 180 days 3. 360 days 4.270 days 5. no time limit

34. What is the percentage of share holding of the Government in the total capital

of our bank?1.49.51%. 2. 56.10%. 3. 51.55%. 4. 50.20%. 5. 58%

35.

When a bearer cheque with 2 endorsements is presented for payment

1. The collecting banker need not confirm the endorsements2.

Paying banker is discharged by payment in due course to the bearer of thecheque

3. Paying banker need not take cognizance of any endorsements on the cheque

4. The bearer has to sign on the back of cheque as token of receipt of the amount ofcheque if presented across the counter

5. All the above

36. When a bill is drawn, accepted and endorsed without consideration it is1. Accommodation bill 2. Clean bill 3. Clean usance bill4. Demand bill 5 None of these

37. When a cheque issued in discharge of debt/liability is dishonoured for

"insufficiency of funds" the drawer will be punished with1. Imprisonment Up to 1 year 2. Fine Up to twice the amount of cheque

3. Fine Up to 10000 or double the amount of cheque whichever is higher4. Imprisonment Up to 2 years 5. 2& 4

38.

When a cheque was wrongfully dishonoured by drawee bank it may be sued for

damages by1. Payee 2. Endorsee 3. Drawer 4. Holder in due course5. collecting banker

39. When a demand bill is presented for payment, the drawee has to pay1. Within 24 hours 2. Within 48 hours 3. Immediately 4.

Within 72 hours 5. within 3 days excluding any public holiday

40. When a mutilated cheque is presented for payment

1.

It cannot be paid if mutilation affects important particulars of cheque2. It can be paid if mutilation is guaranteed by drawer3.

It can be paid if mutilation is guaranteed by collecting banker

4. It cannot be paid at all5. 2 or 3

41.

When an order cheque is presented for payment

1. If it is crossed, cash cannot be paid and the amount is to be paid to a banker.2. If it is uncrossed, payment can be made if presenter is identified as payee of the

cheque by customer/person known o bank3.

Bank can pay if the collecting banker confirms the endorsements

4. Even though it is a crossed cheque, cash can be paid if presented by a banker5. All the above

42.

When does the transferee cannot get better title than that of the transferor intransfer of a cheque?

1. Account payee crossing2. Special crossing

3. General crossing4.

Either General or special crossing with the words "not negotiable"5.

None of these

43. When the date of the cheque is subsequent to the date on which it is presented forpayment, the cheque is called as

1. Ante dated cheque 2. Stale cheque 3. Post-dated cheque4. Invalid cheque 5. None of these

44.

When usance bill of exchange is presented to drawee for acceptance he has to

1. Accept or refuse within 24 hours 2. Accept or refuse within 48 hours3. Accept or refuse within 3 days 4. Accept within reasonable time


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5. Accept immediately

45. Whether the following payments can be deemed as Payment in Due course? 1.

Cheque dated 15th August 2010 (being holiday) paid on 14th Aug 2010

(it is payable on or after 15.8.2010 and before 15.2.2011 if it is otherwise inorder)

2.

A cheque crossed specially in the name of Union Bank of India was paid to UnitedBank of India (Payment should be made to Union Bank of India only)

3. A cheque with double crossing in the names of SBI and SBH is paid to SBH. HereSBH is acting as agents for collection on behalf of SBI.(Double crossed cheque can be paid to one of the banker if he is acting as agent

for the other)4.

The signature of drawer is so cleverly forged that it was very difficult to detectthe forgery. It was paid by the Drawee Bank.

(There is no mandate from customer to debit his account, even though he

negligently kept the book accessible to strangers)5.

Banker paid a cheque inadvertently for which "Payment was countermanded bydrawer"

(Banker cannot make payment of a cheque when payment is stopped by drawer)6.

A Banker paid a cheque with material alteration in date and payees name notconfirmed by drawer(Any material alteration on the cheque should be confirmed with full signature ofdrawer)

7. 'A' is maintaining 2 accounts. S.B. Account and Abhaya Gold Account. Chequeissued by A from the book given for Abhaya gold on ordinary S.B. Account is

paid by banker(Payment should be made for cheques issued from the same cheque book issuedfor that account only)

8. A peon of a company presented a cheque for Rs.l,50,000/- favouring himself, the

cheque was otherwise in order and Bank paid the cheque. Later on banker wasinformed that cheque was stolen from company.

(Bank should have enquired from the company before the payment is made)9.

A crossed cheque was paid to payee across the counter

(The payment should be made to a Banker only for Crossed cheque)10. Cash was paid to a banker towards payment of a Account payee cheque

(Cash can also be paid to a Banker for crossed cheques with properendorsements)

46. Which amount is payable when there is a discrepancy in words and figureregarding amount of a cheque as per NI Act 1881

1. Amount mentioned in figures2. Amount .mentioned in words3. Amount whichever is lower between words and figures4. Average of the amount in words and figures

5. Amount whichever is higher between words and figures47. Which is the due date of bill dated 10.9.11 payable 30 days after date

1.13.10.11 2. 10.10.11 3. 11.10.11 4. 14.10.11 5. None of these

48. Which is the due date of bill dated 31st January 11 payable one month afterdate accepted on 2nd Feb 11.

1. 28.2.11 2. 3.3. 11 3. 4.3. 11 4.5.3. 11 5. 2.3. 11

49. Who can cross a cheque1 .The drawer 2. The payee 3. The Holder 4. Holder in due course5. Any one of the above


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50. 'X' opened CD account with Modern Bank, Mumbai on 22.6.2011 and chequebook was issued. Today the branch received a cheque issued by 'X' on his

account dated 20.6.2011. Can the cheque be paid?1. The cheque cannot be paid as the account was opened only on 22.06.2011 andthere is no contract between bank and X as on 20.6.2011.

2. The cheque can be paid till 20.12.2011 i.e. before it becomes stale

3. It is only instruction to the Banker not to pay the cheque before its date4. The cheque can be paid if it is otherwise in order5. None of the above

51. 'X' Share holder of Modern Bank Ltd approached the Bank for loan againstsecurity of shares of the Bank. The Bank can sanction loan Up to1. 75% of face value 2. 75% of Market value or Face Value whichever is lower

3. 50% of face value or Market value whichever is lower 4. Cannot sanction anyloan/advance on security of its own shares 5. 50% of face value

52.

X" clerk of "A" has stolen a cheque leaf of A's cheque book and issued it to Y

by forging A's signature for Rs.10.000/-. Y accepted it in good faith andendorsed in favour of Z and Z in favour of Q. When presented the cheque wasreturned with the reason "Drawer's signature differs" Mention the persons

who are liable to Q?1. A who negligently kept cheque book accessible to X 2. Y,Z and A

3. Y & Z 4. X the thief of the cheque 5. None of the above

53. Your bank has opened a joint SB Account of A & B payable to E or S. A issued acheque on the account 10,000. There was some material alteration in date ofcheque. As A was out of station, B authenticated alteration with his signaturewhether it is valid?

1. A only has to confirm the material alteration2. B can also confirm material alteration as Account is payable to E of S.3. Both A & B have to confirm the material alteration4.The Holder of a cheque has to confirm any material alteration by affixing his full

signature thereat

5. 1&4

ANSWERS – RBI, BR & NI Act Q A Q A Q A Q A Q A Q A Q A Q A Q A Q A

1 4 2 2 3 4 4 2 5 5 6 5 7 5 8 1 9 1 10 4

11 3 12 3 13 5 14 1 15 5 16 4 17 1 18 5 19 5 20 1

21 5 22 1 23 2 24 2 25 1 26 4 27 1 28 5 29 2 30 4

31 2 32 5 33 5 34 5 35 5 36 1 37 5 38 3 39 2 40 5

41 2 42 4 43 3 44 245.1

N45.2

N45.3

Y45.4

N45.5

N45.6

N

45.7

N45.8

N45.9

N45.10

Y 46 2 47 1 48 2 49 5 50 4

51 4 52 3 53 1

NOTES ON COMMERCIAL BANKS

1. Commercial Banks have to maintain CRR as Fixed by RBI from time to time (rangingbetween 0 % to 15% of NDTL) as per (sec. 42 (1) of ------------------------------

a. Sec. 42(1) of RBI Act 1934 empowers RBI to stipulate minimum CRR

2. Commercial Banks have to maintain SLR as per-----------------------------------.a. Sec. (24 of BR Act 1948) It empowers RBI to stipulate minimum SLR

3. Bank Rate: is the rate at which RBI makes advances against approved securities orpurchase rediscount eligible bills to provide financial accommodation to CBs and FIs.

4. The RBI is empowered to issue directives to Banks on lending policy under a. Sec. 21 of

BR Act 1949


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5. Selective Credit Control isUsed to regulate distribution of Bank Credit to particular sectors of economy. The

objective is to prevent speculative holding with help of Bank credit of certain essentialcommodities like food grains, edible oils, sugar, gur etc. RBI stipulates minimum margin,minimum Rate of Interest and ceiling on level of credit while lending against the specified

essential commodities.

NOTES ON BANKING & NI ACT

1. Components to be taken for arriving @ SLR requirements:1. Cash with RBI in excess of CRR requirement

2. Balance in current account with SBI and its subsidiaries in India3. Investments in Govt. securities, treasury Bills and other approved securities in India -

Less Borrowings from RBI against approved Securities and Borrowings form SBI and other

Notified Banks.

2. Rights of Holder of a Negotiable Instrument:1. A holder can convert an endorsement in blank into endorsement in full

2. Holder can cross a cheque either generally or specially and also add the words "not

negotiable" to the crossing.3. Holder can negotiate the cheque to any third person if negotiation is not restricted as

per tenor of the cheque.4. Holder can claim payment for the instrument and can sue in his own name on the

instrument5. Holder can ask for a duplicate cheque if original is lost.

3. Privileges of a Holder in Due course (HIDC)1. HIDC possess better title free from all defects2. Every prior party to a NI is liable to HIDC until instrument is duly satisfied3. Rights of holder in due course to recover money are not affected even when originallyincomplete instrument is later on filled up for higher amount by subsequent transfers.4. The acceptor to a NI is liable to HIDC even when it is drawn on behalf of a fictitious

person5. The person liable to pay a NI cannot defend against HIDC that the instrument isobtained by unlawful means or for unlawful purposes.6.

the promisor or drawer of a NI cannot deny the original validity of the instrument7. No endorser of a NI can deny the signature or capacity of any prior party to the

instrument

4. Payment in due course: means1. Payment in accordance with the apparent tenor of the instrument

2. In good faith and without negligence3. To any person in possession of NI4.

Under circumstances which do not afford a reasonable ground for believing that he is

not entitled to receive the payment of the amount therein mentioned.

5.

If payee of negotiable instrument is illiterate person, he may endorse the instrumentby affixing his L.T.I. thereon. The LTI should be witnessed properly

LTI of 'X' Attested by or witnessed by 'Z' - AdvocateH.No. 2-2-12/1 Deshmukh Colony,Hyderabad - 500 007

6. Facultative Endorsement: The endorsee must give notice of dishonour of NI to endorserto make him liable. But when the endorser waives this condition by writing in theendorsement as notice of dishonour waived". It is called facultative endorsement. Howeverthe endorser remains liable to the endorsee for non payment of the instrument

7. 'Sans Recourse' EndorsementWhen an endorser of N.I. by express words in endorsement excludes his own liability

thereon, the endorsement is called as 'Sans Recourse' endorsement. Eg" -

Pay to Ramakrishna Rao without recourse to mesd/Ramana


12/200



9

Pay to Balakrishna or order @ his own Risksd/Yashoda

8. Opening of Crossing: Even though, anybody can cross a cheque, but the crossing can beopened by drawer only. Paying banker should be careful while making payment of suchcheque. The cash payment of such cheques should be made to drawer or his authorised

agent only, and not to others or else it may lead to complications regarding position of

different parties to it.

9. Essential requisite for general crossing

- two parallel transverse lines- for special crossing - name of a banker

10. Inchoate..; instrument is one which is incomplete as to its date, amount or name ofpayee.

11. Person who can countermand payment of a cheque is drawer, anyone of the joint accountholders, authorised signatories, partner of a firm

12. "Stop Payment request letter" served earlier on Bank can be withdrawn only by thedrawer, by all the joint account holders, by all authorised signatories together by a separate

request letter.

13. Conversion means: Unlawful taking, using, disposing or destroying, interfering with goodswhich is inconsistent with the true owner's right of possession.

14. A bill may be dishonoured by non-acceptance or non-payment

What is Bank rate? Bank Rate is the rate at which central bank of the country (in

India it is RBI) allows finance to commercial banks. Bank Rate is a tool, which centralbank uses for short-term purposes. Any upward revision in Bank Rate by central bank isan indication that banks should also increase deposit rates as well as Base Rate /Benchmark Prime Lending Rate. Thus any revision in the Bank rate indicates that it islikely that interest rates on your deposits are likely to either go up or go down, and itcan also indicate an increase or decrease in your EMI.

What is Bank Rate? (For Non Bankers): This is the rate at which central bank(RBI) lends money to other banks or financial institutions. If the bank rate goes up,long-term interest rates also tend to move up, and vice-versa. Thus, it can said thatin case bank rate is hiked, in all likelihood banks will hikes their own lending rates toensure that they continue to make profit.

What is CRR? The Reserve Bank of India (Amendment) Bill, 2006 has been enacted

and has come into force with its gazette notification. Consequent upon amendment tosub-Section 42(1), the Reserve Bank, having regard to the needs of securing themonetary stability in the country, RBI can prescribe Cash Reserve Ratio (CRR) for

scheduled banks without any floor rate or ceiling rate. [Before the enactment of thisamendment, in terms of Section 42(1) of the RBI Act, the Reserve Bank could prescribeCRR for scheduled banks between 3 per cent and 20 per cent of total of their demandand time liabilities].

RBI uses CRR either to drain excess liquidity or to release funds needed for the growth ofthe economy from time to time. Increase in CRR means that banks have less fundsavailable and money is sucked out of circulation. Thus we can say that this serves duelpurposes i.e.(a) ensures that a portion of bank deposits is kept with RBI and is totally

risk-free, (b) enables RBI to control liquidity in the system, and thereby, inflation bytying the hands of the banks in lending money.

What is CRR (For Non Bankers):CRR means Cash Reserve Ratio. Banks in Indiaare required to hold a certain proportion of their deposits in the form of cash.


13/200



10

However, actually Banks don’t hold these as cash with themselves, but deposit suchcase with Reserve Bank of India (RBI) / currency chests, which is consideredas equivalent to holding cash with RBI. This minimum ratio (that is the part of thetotal deposits to be held as cash) is stipulated by the RBI and is known as the CRR

or Cash Reserve Ratio. Thus, When a bank’s deposits increase by Rs100, and if thecash reserve ratio is 6%, the banks will have to hold additional Rs 6 with RBI andBank will be able to use only Rs 94 for investments and lending / credit purpose.Therefore, higher the ratio (i.e. CRR), the lower is the amount that banks will be able

to use for lending and investment. This power of RBI to reduce the lendable amountby increasing the CRR makes it an instrument in the hands of a central bank throughwhich it can control the amount that banks lend. Thus, it is a tool used by RBI to

control liquidity in the banking system.

What is SLR?: Every bank is required to maintain at the close of business every day, a

minimum proportion of their Net Demand and Time Liabilities as liquid assets in the form

of cash, gold and un-encumbered approved securities. The ratio of liquid assets todemand and time liabilities is known as Statutory Liquidity Ratio (SLR). RBI isempowered to increase this ratio up to 40%. Increases in SLR also restrict the bank’sleverage position to pump more money into the economy.

What is SLR? (For Non Bankers):SLR stands for Statutory Liquidity Ratio. Thisterm is used by bankers and indicates the minimum percentage of deposits that thebank has to maintain in form of gold, cash or other approved securities. Thus, we cansay that it is ratio of cash and some other approved securities to liabilities (deposits)It regulates the credit growth in India.

What are Repo rate and Reverse Repo rate?

Repo (Repurchase) rate is the rate at which the RBI lends shot-term money to the banks

against securities. When the repo rate increases borrowing from RBI becomes moreexpensive. Therefore, we can say that in case, RBI wants to make it more expensive forthe banks to borrow money, it increases the repo rate; similarly, if it wants to make itcheaper for banks to borrow money, it reduces the repo rate

Reverse Repo rate is the rate at which banks park their short-term excess liquidity with

the RBI. The banks use this tool when they feel that they are stuck with excess fundsand are not able to invest anywhere for reasonable returns. An increase in the reverserepo rate means that the RBI is ready to borrow money from the banks at a higher rateof interest. As a result, banks would prefer to keep more and more surplus funds withRBI.

Thus, we can conclude that Repo Rate signifies the rate at which liquidity is injected inthe banking system by RBI, whereas Reverse repo rate signifies the rate at which thecentral bank absorbs liquidity from the banks

The policy announcements on 03/05/2011, indicates that now repo rate has become theonly independent variable policy rate.


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आंा बक एऩेस कॉऱजे , हैदराबाद

ऩदोनित ऩरऺा मई 2012 के तऱए अधययन सामगी 11

ब र गाह सबंध

BANKER CUSTOMER RELATIONSHIP

1. A Garnishee Order served on Head Office of A Bank will come into force1. Immediately on receipt of the order by Head Office

2. After receipt of the order by the Branch from Head Office3. From the date of the order4. After reasonable time for conveying the message to the branch where

the account is maintained5 None of these

2. A Loan taken by the guardian of a Minor on behalf of the minor binds theestate of the minor only when

1. The guardian is legally competent to represent the minor2. The contract entered into is on behalf of the minor3. The contract is for the benefit of the minor4. The minor ratifies the contract after attaining majority

5. Only when, 1,2 & 3 above are satisfied3. A banker would be justified in disclosing the affairs of his customer in the

following case/cases1. As per the practices and usages in the Banking business2. With the express/implied consent of the customer3. In Bank's own interest4. In public/National interest5. All of the above

4. A contract entered into by a minor is1. Enforceable against him 2. Enforceable if the contract is ratified by him

after attaining majority 3. Cannot be enforceable against him 4. Cannot

be enforceable even if he ratifies the contract after attaining majority5.3 & 4 above

5. A customer has submitted a cheque for collection through his tenant, who is abank employee. The bank employee has fraudulently encashed the cheque andmade some false entries in the pass book of the customer. In such a situation

1. Bank has to make good the loss caused to the customer2. First the Bank has to recover the amount from the employee and there

after it has to make good the loss3. Bank has to reimburse the loss first and subsequently recover from his

employee4. Bank is not at all liable for the loss5. None of these

6. A joint account is in the names of X and Y operated by both of them jointly. Onthe death of X the credit balance in the account is payable to

1. Y 2. The legal heirs of X 3. As per the court orders only4. Jointly to Y and the legal heirs of X 5. None of these


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7. A loan proposal from a partnership firm in which Limited company / HUF arethere as partners

1. Can be considered in the usual course of business2. Should not be considered at all in view of the recent Supreme court’s

judgement3. Can be considered with prior permission from controlling office4.

Can be considered 5. None of these

8. A mandate has to be registered with1. Sub-registrar of assurances2. Registrar of firms3. Registrar of joint Stock Companies4. The court under whose jurisdiction it falls5. Need not be registered

9. A person depositing his money in a Bank is1. Secured Creditor2. Unsecured Creditor3. Depends upon the terms and conditions of the deposit4. Some times secured creditor and in some other occasions unsecured creditor

5. None of these

10. An account is opened by the guardian on behalf of the Minor. In the event ofthe minor predeceasing the guardian, the balance may be paid

1. To the mother of the deceased minor2. To the guardian on production of minor's death certificate3. To the legal heirs of minors.4. Jointly to the mother and guardian

11. As per Section 292 of the Companies Act, Board of Directors can delegate thepowers to borrow monies otherwise than on debentures to

1. Managing Director2. Manager or any other Principal Officer of the Company3. Principal Officer of the Branch Office, in case of a Branch Office of the

company4. A Committee of Directors5. To any of the above

12. Banker is permitted to disclose the affairs of the Customer under the followingacts

1. RBI Act 2. I.T. Act 3. Companies Act 4.1 & 2 above 5.1,2, & 3 above

13. Banker's obligation to honour its customers cheques ceases when:

1. Customer is sentenced to imprisonment 2. Customer meets withan accident 3. Customer is convicted in a case 4. Customer isadjudged as insolvent 5. All the above cases


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14. BCSBI is set up by1. An act of Parliament2. Indian banks Association3. Department of RBI4. Independent Society by RBI5. None of these

15. BCSBI is set up to1. To act as controller of Banks2. To supervise the systemic deficiencies3. To conduct Customer service meetings4. To conduct meetings of Banks on customer service5. To oversee implementation of Fair Practice Code evolved by IBA

16. Before affecting the Garnishee Order the Banker has a right to1. Pay the cheques presented in clearing on that day, but are yet to be

passed for payment2. Pay the cheques presented across the counter on that day, but are yet

to be passed for payment3. Pay the cheques already passed for payment in respect of which the

actual payment was not affected4. Set off all debts due to the Bank at the time of the Order5. All of the above

17. Charge that does not require registration under section 125 of the companiesAct is

1. Hypothecation 2. Mortgage 3. Pledge 4.Assignment 5. None of these

18. For the purpose of payment of penal interest on the delayed collection ofoutstation cheques, extra ordinary delay has been defined as:1. Period of 30 days 2.45 days beyond normal collection period 3.60 daysbeyond normal collection period 4. Delay exceeding 90 days beyond normalcollection period. 5.120 days.

19. If a Company intends to borrow more than its paid up capital and free reservesas prescribed under section 293 (1 d) of the Companies Act.

1. A resolution from Board of Directors is necessary2. After borrowing the money, it has to be ratified by the share holders in a

General Body Meeting3. A resolution has to be passed by the share holders in a General Body

Meeting prior to the borrowing4. It can borrow in usual course and get it confirmed by the Board of

Directors

5. None of these

20. In case of manufacturing/trading firms the partners are not having impliedpower to borrow on behalf of the firm and bind all the partners in thefollowing case/cases

1. To pledge goods/securities 2. To overdraw the account during theordinary course of business; 3. To discount a bill of exchange 4. Tomortgage a firm's immovable property; 5. In all the four cases


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21. In respect of Instruments to be credited to Overdraft/Cash Credit/Loan A/c therate of interest payable for delay in collection is:

1. SB + 2% 2. PLR Rate 3. Interest rate applicable to such anadvance

4. BMPLR/Base rate or Interest rate on such an advance which ever islower

5. FD Int. for applicable period and 2% over FD Int. in case of abnormaldelay.

22. Maximum number of shareholders in a Private Limited Company1.50 2. 100 3.7 4. As per the Memorandum of Association

5. No restriction

23. Maximum number of shareholders in a Public limited Company1.7 2.50 3. As decided by the Board of Directors

4. As per the Articles of Association 5. No restriction

24. Partnership letter in a prescribed format (RF23) duly signed by all the partnershas to be obtained along with the application for advance because

1. Through this letter partners undertake that they do not borrow from

other banks/FIs etc.2. It authorises the Bank to proceed against the individual properties of

partners.3. It gives authority to the Bank to inspect the goods and provide access to

the goods/securities4. It casts a responsibility on the part of the firm/partners to give a notice

in writing to the Bank in case of any change n the constitution of the firm.5. It authorises one or more partners to borrow and execute documents on

behalf of the firm

25. The Banking Ombudsman Scheme came into force :1. Through a special enactment by parliament

2. As an amendment to the Consumer Protection Act3. Through a Central Legislation4. Through the Regulatory powers of RBI5. None of these

26. The liability of a Partner for a Loan availed by the Firm is1. Equal share with other partners2. Limited to his share or property in3. As per his proportionate share in the partnership firm4. Unlimited, and joint and several5 None of these

27. The relationship of the Banker & Customer may be terminated

1. Voluntarily by the customer 2. By the banker by givingreasonable notice to the customer

3. By the process of Law as in the case of the death, bankruptcy etc.4. On receipt of a garnishee order attaching the entire balance in the

account5. All of the above

28. Time allowed for collection of outstation cheques presented and drawn at allplaces other than state capitals (excluding North Eastern Region and Sikkim)


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and Metros is ------------- days.1. 7 days 2.10 days 3.14 days

4. 21 days 5.30 days

29. What is the maximum number of partners allowed in a firm carrying on theBusiness of Banking?

1.10 2.20 3. 2 4. 50 5. No limit30. Where a guardian has been appointed by a competent court for superintendingthe person or property or both of a minor, he will attain majority at the age of

1. 18 years 2.25 years 3.21 years 4.19 years 5. Noneof these

31. Where the delay is beyond 45 days but not exceeding 90 days Interest at therate of-----------------to be paid for delay in collection of instruments.

1. SB Rate 2. Revelling FD rate 3. FD rate +2%4. KTD rate 5. Commercial rate of interest

32. While extending credit facilities to an illiterate person branches should1. Get the thumb impression witnessed on all loan documents2. Need not get the witness for thumb impressions on loan documents

unless otherwise specified in documents3. Explain the terms and conditions of the sanction in a vernacular

language in the presence of a witness,4. Explain the terms and conditions of sanction and a certificate need to beappended

5. 2 and 3 above

33. You have received a proposal from a partnership firm and on scrutiny ofpartnership deed you found that there is a clause in the deed saying that "anyliability not shown in the books maintained by the firm shall not be binding onthe firm". What course of action do you adopt?

1. Do not entertain such a proposal 2. Ignore the clause and take upthe proposal

3. Refer to controlling office for clarification/guidance4. Take up the proposal and obtain a letter signed by all the partnersstating that "not withstanding the said clause, we are jointly and severally beliable for the entire amount borrowed from the Bank"

5. Seek the legal opinion from approved advocate and actaccordingly

ANSWERS –Banker Customer Relationship

Q A Q A Q A Q A Q A

1 4 2 5 3 5 4 5 5 16 4 7 2 8 5 9 2 10 3

11 5 12 2 13 4 14 4 15 5

16 4 17 3 18 4 19 3 20 4

21 4 22 1 23 5 24 4 25 4

26 4 27 5 28 3 29 1 30 3

31 2 32 5 33 4 34 35


19/200

आा बक एपेस कॉऱेज हैदराबाद Andhra Bank Apex College Hyderabad

बीमा सबंद मागं जमा योजनाए ं- एक नजर म Insurance linked Deposit Schemes- at a glance

Prepared by Rama Rao Chauhan - Updated on 24/05/2012 16

चाऱूखाता

Current Deposit (CD)(Insurance coverage

optional)

आई सी ड

Insured Current

Deposit (ICD)

बचत खाता Savings Bank

SB(Insurance coverage

optional)

भया बचत बकं

Abhaya Savings Bank

ASB

भया बचत बंक पऱस

Abhaya Savings

Bank Plus ASB+

भया गोलड

Abhaya Gold

(ABG)

ए बी जीवन भया

AB JEEVAN ABHAYA

(ABJ)

ए बी कड बकं

AB Kiddy Bank

पाता

Eligibility Criteria

Individuals, JHF, Prop. Concerns, Partnership firms, Pvt.,

Ltd. Co.s, Public Ltd., Cos. Accounts of

OD/ Overdraft /Cash Credit/PAGCC

IndividualsEither single or joint

Children (Minors)

आयु Age

(for insurance e)18 to 55 years 5 to 70 yrs 18 to 55 years 5 to 70 yrs 18 to 55 years

Children up to 18

yrs. / Parents -

18-70 yrs

बीमा कवरजे Insurance

Cover

(Per person)

Rs.1.00 lac Rs.1.00 lac Rs.1.00 lac Rs.25000/- Rs.50000/- Rs.1.00 lac Rs.1.00 lac

Rs.1 lac each for

kid & parent

/guardian

जोखम कवरजे Risk covered

Natural / accidental death.

(Risk coverage for naturaldeath after 45 days from

opening account)

Accidental death /

partial or permanent

disability

Natural / accidental

death.

(Risk coverage for natural

death after 45 days from

opening account)

Accidental death / partial or permanent disability

Natural / accidental death.

(Risk coverage for naturaldeath after 45 days from

opening account)

Accidental death#

/ permanent or

partial disability

Age group/ Premium

per person- p.a (Rs.)

18-35 36-50 51-55

36.00

18-35 36-50 51-55

9.00 18.00 45.00

18-35 36-50 51-55

32.00227 386 786 227 386 786 227 386 786

Periodicity of

collecting premium /

Service charges.

Premium for new accounts is to be collected on the day of opening of the account and renewal premium of existing accounts is to be debited on the last day of the insurance year to the credit of non-operative collection account

of the respective company. Premium collected for new accounts is to be transferred to the main account of the insurance company maintained at different branches in Hyderabad at the end of each month and renewal premium

is to be remitted on the first day of the insurance year along with details of premium collected. In case of PAGCC a/c, the scheme is optional and premium is payable by borrower directly and should not be debited to a/c.

Service charges colleted on the day of opening of account and at the time of renewal are to be taken directly to P&L account.

बीमा कंपनी

Insurance CompanyIndia first Life Insurance UII Co.Ltd India first Life Insurance UII Co.Ltd India first Life Insurance UII Co.Ltd

बीमा वष

Insurance year1st Dec to 30th Nov 21st Feb to 20th Feb 1st Dec to 30th Nov 1st Sep to 31st Aug 1st Nov to 31st Oct 1st Nov to 31st Oct 1st Dec to 30th Nov 1st Nov to 31st Oct

िमीयम का अतंरण

Transfer of Premium

Kandivalli, Mumbai

A/C.No

121011100001361

Abid Road, Hyderabad

070511011021008

Kandivalli, Mumbai

A/C.No

121011100001361

Endowment

Commissioner's office

Extension Counter,

Hyderabad A/c

150911011000009

Hyderguda Branch

A/c

020811011001395

Himayatnagar

Branch

A/c No.

0211101100184

6

Kandivalli, Mumbai

A/C.No

121011100001361

Kachiguda Br,

A/C.No

032111011001070

द घुषटना क सचूना Information of

accident

Within 3 months of death /accident directly to the

Insurance company.

Within 30 days of

accident directly to the

Insurance Co.

Within 3 months ofdeath / accidentdirectly to the

Insurance company.

Within 90 days from the date of accident/ deathdirectly to the concerned Insurance company

Within 3 months ofdeath / accidentdirectly to the

Insurance company.

Within 90days of

accident/death

Claim submission Within 180 days from the date of accident / death to the concerned Insurance Company, through Branch.

M i n i m u m

B a l a n c e

Area R S U M R S U M R S U M R S U M R S U M

Rs.1000/-

Rs.750/-for those of 18-35 yrs

of age in Rural, Semi-urban &Urban Branches. & Rs.1000/-for rest of the branches and

age groups.

Rs.100/-

With Cheque

Book (Rs.) 1 0 0 0

2 0 0 0

3 0 0 0

5 0 0 0

1 0 0 0

2 0 0 0

3 0 0 0

5 0 0 0

2 5 0

2 5 0

5 0 0

5 0 0

3 0 0

5 0 0

5 0 0

5 0 0

4 0 0

5 0 0

5 0 0

5 0 0

Without Chq.

Book (Rs.)-- 1

0 0

2 5 0

2 5 0

2 5 0

1 5 0

2 5 0

2 5 0

3 0 0

2 0 0

3 0 0

3 0 0

3 0 0

परप Circular283/51/22

Dt.22.11.2011 407/51/25

Dt.19.02.2009

283/51/22Dt.22.11.2011

283/51/22Dt.22.11.2011

068/51/5

Dt.31.05.07

@ Service Charges are Exclusive of Service Tax # Education grant of Rs.5000 & 10000 for 0-10 & 11-18 age groups respectivel y on accidental death of parents/ guardian

+ Life Insurance coverage can be extended to the parents aged between 18-55 yrs. under ABJ scheme by debiting additional premium.


20/200

¬¸¸¨¸¢š¸ ¸Ÿ¸¸‡¿ ¬¸¸Ÿ¸¸›¡¸) TERM DEPOSITS General)

Prepared by Rama Rao Chauhan - 24 May 2012 17

¡¸¸½¸›¸¸

Scheme

‚¸¨¸¢÷¸Ä ¸Ÿ¸¸

RD

‚¸¨¸¢÷¸Ä ¸Ÿ¸¸

RD

Plus

Ÿ¸ú¡¸¸™ú

FDR

ˆÅ¥œ¸÷¸£€¨¸º

KTD

›¸ˆÅ™ œÏŸ¸¸µ¸ œ¸°¸

CC

ž¸¸Š¡¸¥¸®Ÿ¸ú

LD

œ¥¸¾›¸ Plan Recurring Fixed Reinvestment Daily savings

¢¨¸©¸½«¸÷¸¸Special feature

Monthly installment

Step up option: Up to 10 times in multiples of core installments any numberof times during the month.Step down option: Any time but not belowthe core installment.

Monthly / Quarterly Interestpayment facility

Higher return on depositPower of compounding Small amounts make a big

deposit.Round amt. of deposit &Odd amt. of MV.

Odd amt. of deposit &Round amt. of MV.

Who can openaccount

Individuals, two or more individuals in joint names payable jointly or severally etc., minor to be operated by Parent/guardian, a Hindu Undivided Family or an Institution, a proprietaryconcern, Partnership firm, a company, Corporation, Trust, Association (subject to conditions) can open the account.

D e p o s

i t

a m o u n t Min Ra.5/- Rs.100/- Rs.100/- Rs.100/- Rs.100/-MV Rs.10/-

Max.No limit.

(Multiplies of Rs.5/-)Rs.1.00 Lakh

(Multiplies of Rs.100/-)No limit.

No limit.(Multiplies of Rs.50/-)

No limit.(Multiplies of Rs.100/-)

No limit.

D e p o s i t P e r i o d

Min 6 MonthsRs.100/-&Rs.1000/- Rs.50/-

0.5 % of outstanding balance withMin.of Rs.50/- & Max. of Rs.500/-

if closed within 6 months.Else No penalty

Deposit from Individuals up to 1 Lac for any period & from Corporates up to 100 Lac for up to 90 days - No Penalty.Rest of the depositors, amount & period - @1% Penalty

Penalty fordelay in

payment ofInstallment

10 paisa for everyinstallment of Rs.10/-

per month.No penalty -------------------------------------------------------Not applicable---------------------------------------------------

-


21/200

आधंा बक एपेस कॉलजे हैदराबाद ANDHRA BANK STAFF COLLEGE: HYDERABAD

¬¸¸¨¸¢š¸ ¸Ÿ¸¸‡¿ ¢¨¸©¸½«¸) TERM DEPOSITS Special)

Prepared by Rama Rao Chauhan - Updated on 9 March 2011 18

¡¸¸½¸›¸¸

Scheme

‡¤¸ú Ÿ¸›¸ú ’¸ƒÄŸ¸

AB Money Time

‡¤¸ú ”¤¸¥¸

AB Double

‡¤¸ú œÏ€ú”Ÿ¸

AB Freedom

‡¤¸ú ’Æ¬¸ ¬¸½¨¸£

AB Tax Saver

œ¥¸¾›¸ Plan Fixed Reinvestment Fixed/ Reinvestment

¢¨¸©¸½«¸÷¸¸Special feature

Monthly Income Double the amount of investment.Surplus amount in SB account will automatically transfer to

Term Deposit (FD or KTD as per option) in a unit of Rs.1000/-with minimum of 5 units for a period opted.

Tax exemption under Sec. 80Cof IT Act

‣¸¸÷¸¸ •Å¸¾›¸

‣¸¸½¥¸ ¬¸•Å÷¸¸ í¾ Who can open

account

Individuals, two or more individuals in joint names payable jointly or severallyetc., minor to be operated by Parent/guardian, a Hindu Undivided Family or

an Institution, a proprietary concern, Partnership firm, a company,Corporation, Trust, Association (subject to conditions) can open the account

Except special minors

, all others who are eligible to open SB Accounts, can open. Individual / HUF Income tax

assesseso deposit receipts issued However statement will be issued

for SB as well as FD/KTD transactions

¸ Ÿ ¸ ¸ £ ¸ ¢ ©

¸

D e p o s i t

a m o u n t Min Rs.25000/- Rs.1000/- Rs.5000/- Rs.100/-

Max.No limit.



(Multiplies of Rs.5000/-)Rs.1.00 Lakh in a year(Multiplies of Rs.100/-)

• ¸ Ÿ ¸ ¸ ‚ ¨ ¸ ¢ š ¸

D e p o s i t P e r i o d Min 15 Months

Applicable period to become doublethe amount of deposit

@ applicable rate of interest

15 Days(for both Fixed & Re-investment plan)

5 Years

Applicable ROI for the period(quarterly compounded) to be

paid on maturityMax. 10 Years ONE Year

(for both Fixed & Re-investment plan)

¤¡¸¸•̧Interest

Interest @ applicable rate ondeposit for first 3 months willbe added to Principal amountand thereafter to be paid on

discounted basis.

Applicable rate of interestfor Term deposit.

Applicable rate of interest forSB & Term deposit.

(Periodical interest payment will be allowed on quarterly basis)

Applicable ROI for the period(quarterly compounded) to be

paid on maturity

--------------------------------------------------------Additional Interest of 0.5% for senior citizens & 1% for our s taff members & if staff membrt is a senior c itizen, additionalinterest of 1.50% is payable---------------------------------------------------

¸Ÿ¸¸ †µ¸

Deposit Loan-------------------- Own deposits- 90% & Third Party deposit- 75%----------

No deposit loan.

However Lien marking is allowed on unitsNo deposit Loan

‚œ¸¢£œ¸Æ¨¸ ‚¸í£µ¸

PrematureWithdrawal

Allowed with interest at applicable rate for the expired periodminus applicable penalty

Amount can be withdrawn from Term Deposit in units ofRs.1000/- through SB account. Not allowed

Premature withdrawal of units allowed

™¿” Penalty forPrematureclosure.

Deposit from Individuals up to 1 Lac for any period &from Corporates up to 100 Lac for up to 90 days - No Penalty.

Rest of the depositors, amount and period - @1% PenaltyNo penalty Not applicable

œ¸¢£œ¸°¸ Circular 270/51/19 Dt. 19.10.2008 143/44/17 Dt.06.08.2008 159/44/20 Dt.27.08.2008 431/51/30 Dt.13.03.2008


22/200


19

ऩदोनि ऩरऺा मई 2012 के ऱए अधययन सामगी

ए बी पमीयम चाऱु िखाा

AB PREMIUM CURRENT ACCOUNT

Who can open ? Individuals, Joint Account holders, HUF, Sole Proprietors, Partnership firms,

Limited Companies.

Minimum balance Rs.1,00,000/-

Facilities available For all customers

-

All facilities of Core banking- 50% concession in Service charges for funds remittance within our

bank- No folio charges- Free cheque books- Free internet banking- Free multi city cheque book if Monthly Average balance of Rs.5.00

lakhs or more is maintained.- Free ATM/Debit card for 1st year

For Individual & Sole proprietary accounts only - Free monthly statement of account- Free Demat account (Conditions apply)- Free Credit card (Individuals & Sole Proprietor)- Balance in excess of Rs.2.00 lakhs can be converted to Term deposit

(in units multiples of Rs.10000/-) subject to AB Freedom guidelines.

Penal charges fornot maintainingminimum balance

Rs.400/- Per Quarter

एबी सऩुर िवेन बिच िखाा AB SUPER SALARY SB ACCOUNT

Who can open? Salaried Staff of any company / organization drawing salary through our Bank

Minimum balance Can be opened with ZERO balanceQuarterly average balance of Rs.5000/- to be maintained

Facilities Available - No folio,/ No transaction charges-

Free remittance up to Rs.25000/- per month- Free internet banking facility- Free access to Non Andhra Bank ATMs- Free monthly statement of account per month.- Free reply to e-mail to balance queries- Free cheque book (50 leaves in a year.)- Free multi city cheque book at select centres provided monthly

average balance is Rs.50000/-.- Free ATM/Debit card (first year)- Free Credit card / PDC on specific request.- Free Demat account / Online trading (conditions apply)- Auto sweep of balances in excess of Rs.10000/- to term deposits, as

applicable to AB freedom A/c.- Depositors eligible for Retail Loan as per guidelines of respective loan

facility.- OD equivalent to last drawn net salary at BMPLR. Account holder

having 60% net salary can draw up to the limit once in a quarter andrepayment in 2 months.

- Free NEFT /RTGS facility twice in a month.- Free personalised Chequebook (50 leaves in a year) for monthly

average balance of Rs.10000/-and above.- ABJ scheme can be extended as per extant guidelines.

Penal charges fornot maintainingminimum balance

Rs.150/-Per Quarter

NON SALARIEDPERSONS

Non salaried persons also can avail the above facilities provided they openaccount under this scheme with minimum balance of Rs.5000/- and NOT withzero balance. No OD facility is allowed.


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अभया फ़र् वलथ ऩैक

ABHAYA FIRST WEALTH PACK (AFWP)(w.e.f. -12.01.2012)

कौन खोऱ सिका ह?ै Who can open?

Individuals and Single only – Joint Accounts not permitted.NRI's are not eligible.

Pack DenominationsAFWP-SILVER

AFWP-GOLD

AFWP-PLATINUM

Age group Entry Age 18-59 Yrs

Min. Balance/Installment in eachPack

To be paid at the time ofopening account & on orbefore renewal date

Rs.25000/- Rs.50000/- Rs.100000/-

Maximum Pack ONE only

Installments Yearly 10 Yearly Installments

Appropriation ofInstallment paid

every year

A. Recurring Deposit (AB) 10,000/- 20,000/- 50,000/-

B. Smart Save Plan(IFLIC)

12,000/- 24,000/- 40,000/-

C. Savings Bank (AB) 2,250/- 4,900/- 8,100/-

D. Group Term Premium(IFLIC)

750/- 1,100/- 1,900/-

TotalLife InsuranceCoverage(Smart Save Plan(ULIP) +

Group Term LifeInsurance)

Age

18-50Yrs

Smart Save Rs.2.00 Lac Rs.3.00 Lac Rs.5.00 Lac

Group Term Rs.2.00 Lac Rs.3.00 Lac Rs.5.00 Lac

Total Rs.4.00 Lac Rs.6.00 Lac Rs.10.00 Lac

Age51-59Yrs.

Smart Save Rs.2.00 Lac Rs.2.64 Lac Rs.4.40 Lac

Group Term Rs.2.00 Lac Rs.3.00 Lac Rs.5.00 Lac

Total Rs.4.00 Lac Rs.5.64 Lac Rs.9.40 Lac

Insurance coverageTermination date

10 years from the date of opening the account or death of the customerwhichever earlier.

Deposit Loan Available against the balance in RD as per extant guidelines

Tax exemptionInterest on RD is exempted from TDS. Insurance Premium is admissible for Taxdeduction under section 80C/IT Act.

Transferability NO

Other featuresCustomers of ABJ can avail Insurance coverage in this scheme also.RD & SB account in this scheme are similar to our existing RD & SB a/csFor details on Smart Save Plan Refer Cir.No.214/51/15 Dt.08.09.2010.

ऩरऩत Circular 359/51/23 Dt.12.01.2012, 411/51/27 Dt.23.02.2012

कपऩ्ऱ गन

CAPITAL GAINS SCHEME

कौन खोऱ सिका ह?ै Who can open?

1.Assessees who are eligible for exemption under section 54, 54B, 54D, 54F or

54G of the Income Tax Act 1961 (Depositors themselves have to verify whetherthe scheme applies to them or not. Our branches have nothing to do with this)2. Can be opened in any branch other than rural brs.

Purpose of theaccount

It can provide relief to an assessee from payment of tax on long-term capitalgains for different assets provided the assessee purchased another specifiedassets within a certain time frame

What type ofaccounts?

a) Deposit Account-A (i.e. Savings Bank Account) b)Deposit Account -B (i.e. Term Deposit Accounts FDR/KTD) Rulesapplicable to Savings and Term deposits accounts are applicable to theseaccounts also. Chequebook should not be issued.

Deposit period Periods as applicable to SB, FD, KTD depending on the account.


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Operation of

accounts

1. To withdraw money from SB account: First withdrawal: Withdrawal slipalong with Form 'C' should be obtained.2. Further withdrawals: Form 'C" and form 'D' should be Obtained along with

withdrawal form.3. To transfer funds between SB account and FD or KTD, i.e. A to B or B to A,form 'B' is to be used.

4. Term deposit funds cannot be directly paid to depositor.5. No joint accounts.6. Responsibility of proper use of funds withdrawn lies with the depositor. Bank

has to obtain required papers with proper information.7. Don’t pay cash for withdrawals of above Rs.25,000/- in Account -A. Pay onlyby crossed demand draft.8. Account transfer is allowed if the transferee branch is not a rural branch.

Closure of theaccount

1.KTD & FD can be cancelled any time at the request of the depositor andamount transferred to Account 'A'

2. To close Account 'A', depositor has to submit application in form 'G' alongwith written approval from the assessing officer having jurisdiction of thedepositor.3. In case of death of depositor, nominee or legal heirs have to submit claim inform H along with approval from the assessing officer.

Deposit Loans No deposit loan. No lien.

Nomination

1. Nomination can be obtained on usual lines (in favour of one or more personsbut not exceeding three) 2. Nominationparticulars should be obtained in Form-E. 3. Form-F should beused for change of nomination.

Other features TDS is applicable, if interest payment is above Rs.10000 in a F.Y.

ऩरऩत Circular 453/44/25 Dt. 16.01.2006

एबी इजी बिच बक

AB EASY SAVINGS ACCOUNT (NO FRILLS ACCOUNT)

कौन खोऱ सिका ह?ै

Who can open?

Individuals can open S.B. account singly or jointly, minors up to 10 yearsrepresented by guardian and above 10 years to be operated by themselves tooffer basic banking facilities to persons who cannot comply with KYC norms.However, these accounts are subjected to simplified KYC Norms as per HO Cir268 /44/ 28 dt 17.11.2009.

Minimum Balance Rs.5/-

Cheque book/ ATM/Debit card

Not eligible

Salient Features1.The credit balance in all the accounts of the account holder with the branchtaken together should not exceed Rs.50000/- and total credits in all hisaccounts with the branch should not exceed Rs.100,000/-in a year2. No charges or penalty of any type relating to maintenance and operation ofthe account.

Insurance CoverNo insurance coverage.

However ABJ Special can be extended as per the eligibility


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जमा योजनाए व सबिध पवषय

DEPOSIT SCHEMES & RELATED AREAS

1. A minor can open and operate Savings Bank by himself, if he is of age above1. 10 years 2.12 years 3.15 years 4. 18 years 5. 21 years

2. A Savings Account is in the joint names of X & Y payable jointly with a nomination in favour of Z.

On the death of X, the credit balance held in the account is payable to1 .Y 2. Z 3. Y & Z jointly 4. Y and legal heirs of X jointly 5. Y,Z and legal

heirs of X jointly

3. Any complaint which is received through the office of Banking Ombudsman should be replied within a maximum time limit of ________.1. 3 days 2. 7 days 3. 30 days 4.10 days 5. 45 days

4. Branches are required to report every month cash transactions of Rs…. In (CTRs)

1. 2 lakhs and above. 2. Not required 3. 5 lakhs and above.

4. Only for suspicious transaction. 5. Rs.>10 lacs or its equivalent in foreign currency.

5. Capital Gains Account Scheme is first introduced in the year

1. 1980 2. 1971 3. 1988 4.1991 5.1986

6. Cash payment of Term Deposit should not be made as per Sec. 269 T of I.T. Act, if the aggregateof Deposits payable

1. Exceeds Rs. 20000 2. Rs. 20000 & above 3. Exceed Rs. 500004. Exceed Rs. 1 lakh 5. None of these

7. Certificate of Deposit cannot be issued for a period of ……..days/months 1. 7 days 2. 46 days 3. 19 months 4. NOA

8. Deposit Loan against term deposits of other branch1. should not be allowed2. can be allowed to staff members

3. can be allowed to important customers4. can be allowed after informing to the branch holding the deposit5. can be allowed if the loan amount is less than Rs. 20,000/-

9. Deposit Loan should not be allowed in case of1. Bhagya Lakshmi Deposit 2. FCNR Deposit

3. AB Tax Saver 4. NRE Deposit 5. all the above deposits

10. Form to be used for variation of nomination by a depositor is

1. DA 1 2. DA2 3. DA3 4.DV1 5. DV2'

11. How many (maximum) persons are allowed to be nominated in Capital gains deposit:1. 1only 2. 2 persons 3. 3 persons 4. persons

12. How many operations are allowed free of charge for a locker in a quarter?

1. 10 2. 15 3. 20 4. 25 5. 06

13. How much amount will be appropriated for Smart Save plan under Silver pack of Abhaya f i r s twea l th pack depos i t s cheme?

1. 10000/-2. 12000/-

3. 20000/-4. 24000/-5. 40000/-

14 . How much i n su rance i s ava i l ab l e f o r a depos i t o r aged 55 yea r s unde r Go l d

pack o f Abhaya f i r s t wea l t h pack depos i t s cheme?1 ) 2 .00 Lac

2 ) 3 .00 l a c3 ) 4 .00 l a c4 ) 5 .64 l a c5 ) 6 .00 l a c

15. If a deposit is cancelled prematurely before minimum period from the date of deposit, the rate of

interest to be charged on the deposit loan allowed against it is1. 2% over and above the Rate of interest on deposit 2. 2%3. 1% over and above the rate of interest on deposit 4. No interest is charged5. Commercial rate of interest presently BR+7.5%

16. If the spouse of a deceased employee of our bank make a deposit, what is the additional rate ofinterest permitted over the applicable rate

1.

No extra 2. 0.50 % 3. 1% extra 4. 1% extra only when the employee is alive17. In case of AB Jeevan Abhaya savings bank account ,the premium payable for the age group 51-


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55 years is1. Rs.227 2. Rs.386 3. Rs.786 4. 855

18. In case of Abhaya savings bank (ASB) which of the following statement is false

1. The total insurance premium is Rs.9/- per head.

2. The penal charges are to be levied to Pensioners, staff and senior citizens accounts

3. The service charges are Rs.10/- per head.

4.

Individuals within the age group of 5 to 70 years are eligible to open the account.5. All the joint account holders are to be compulsorily covered.

19. In case of an accidental death of the policy holder with an assured amount of 1 lakh under ABJ

scheme, the nominee will get a sum of1. 50000. 2. 1 lakh. 3. 2 lakhs. 4. 1.5 lakhs. 5. 5 lakhs.

20. In Intestate succession, the production of the following document does not arise1. Indemnity Letter 2. Death certificate 3. Will execute by the deceased 4. Sworn

Declaration by the major claimants 5. None of these

21. In the case of deposit held by joint persons, the nomination can be made in favour of1. A single individual 2. More than one person in case deposit is payable jointly3. More than one person in case deposit is payable to either or survivor(s)4. Separate persons by each depositor 5. None of these

22. In the case of Safe Deposit Lockers held by two hirers with operating instructions 'Either or

Survivor'1. There can be only one nominee 2. Each hirer is entitled to nominate separately3. Both of them jointly nominate separate nominees 4. There is no nomination facility5. None of these

23. In the event of a death claim being admissible under the policy covering Abhaya Jeevan a/c, the

funeral expenses that can be paid by the insurance company:1. Actual. 2. Max of Rs. 5000. 3. 2000 Rs. 4. Max of Rs 2, 500. 5. No such provision now.

24. In the event of death of a depositor of a term deposit after the maturity of the deposit, and if thedeposit is claimed for payment after maturity, what is the rate of interest payable from the dateof maturity till date of payment..

1.Savings bank rate as applicable on the date of maturity,2.No interest is payable3.Compound interest at contracted rate

4.Simple interest at applicable rate obtaining on the date maturity5. Compounded interest at prevailing rate.

25. In the event of death of a depositor of a term deposit before the maturity of the deposit, and ifthe deposit is claimed for payment after maturity, what is the rate of interest payable from the

date of maturity till date of payment..1. Simple interest at applicable rate prevailing on the date of maturity, for the period for

which the deposit has remained beyond the date of maturity2. Compound interest at applicable rate obtaining on the date of maturity, for the period

for which the deposit has remained beyond the date of maturity3. Compound interest at applicable rate obtaining on the date of payment, for the period

for which the deposit has remained beyond the date of maturity

4. Simple interest at applicable rate obtaining on the date of payment, for the period forwhich the deposit has remained beyond the date of maturity

5. NIL

26.

Insurance charges of Rs.70/- to be debited to the Abhaya Gold account holder should beappropriated in the share of:

1. Rs 25/- towards P&L and 46 to insurance co.

2. Rs 25/- to branch P&L and Rs/- 45/ to Insurance co.

3. Rs 45/- to our P&L and Rs/ 26 to the insurer.

4. Rs 46/- to branch P&L and Rs/-25 to the insurance co.

5. None of the above.

27. Insurance premium per individual to be remitted to Insurance Company in Abhaya Gold SavingsBank Account is1. Rs. 200 2.Rs. 45.00 3. Rs.37.00 4. Rs. 50 5. Rs. 34.30

28. Maximum Insurance coverage per individual in Abhaya Gold Savings Bank Account is1. Rs. 10000 2. Rs. 25000 3. Rs. 100000 4. Rs. 200000 5. Rs. 500000

29. Minimum balance (QAB) in "AB Super Salary " Savings Bank Account

1. Rs. 1500 2. Rs. 2000 3. Rs. 2500 4. Rs. 4000 5. Rs.5000


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30. Minimum period for which Kalpataruvu Deposit can be accepted is1. 3 Months 2. 6 Months 3. 1 Year 4. 2 Years

31. Name of the insurance company that is jointly floated by our Bank, BOB & L&G.1. National insurance2. New India Assurance co ltd.,3. IFFCO-TOKIO

4.

India first life Insurance Co.,5. Oriental Ins.

32. Name the company that covers risk of the depositors under Kiddy Bank?

1. The GIC. 2. The oriental insurance. 3. UIICO

4. The national insurance. 5. Ms IFCO TOKYO.

33. Nomination facility is not available for the following banking facility1. Safe Deposit Locker 2. Kiddy Bank3. Current account 4. Term deposit in the name of the minor5. Abhaya first wealth pack

34. Nomination is governed by which of the following Act?

1. RBI Act

2. N I Act

3. B R Act

4.

I T Act35. Penalty for premature cancellation of a term deposit of an individual up to Rs1.00 lakh

1. 2%2.1%3. 2% if the contracted period of deposit is less than 91 days4. 1% if the contracted period of deposit is 91 days and above5. No penalty

36. Point out the false statement with regard to the detection of fake notes across the counter.

1. The forged notes found in the note packets should be segregated and impounded.

2. FIR should be filed with the police.

3. In no case, the entire note packet with forged notes should be returned to the tenderer.

4. The impounded note should be returned to the tenderer.

5. Forged notes are to be forwarded to the Issue Offices of the RBI

37.

Point out the incorrect statement out of the following with regard to opening SB account for

government departments.

1. Banks are allowed to open Savings Bank Accounts in the names of central/State

Government departments/bodies/agencies

2. only for operating grants/subsidies released for implementation of various

programmes/schemes

3. Such programmes must have been sponsored by central/State Governments.

4. Banks must insist upon an authorization certifying the permission is accorded by the

governments to open such account.

5. State Governments cannot open SB accounts for any purpose.

38. Premium for ABJ for a depositor of 35 years of age:

1. Rs.230 2. Rs.227. 3. Rs.221. 4. Rs.250 5. Rs.236.

39.

Probate is required in the case of1. Intestate claims 2. Testamentary claims 3. Nominee claims4. Where succession certificate is submitted 5. None of these

40. Productivity in banking industry means:1. Total business of the bank 2.Earnings Per Share 3.Profit per employee4. Business per employee 5.Return on Assets.

41. Rate of interest on Savings Bank a/cs is 4% as modified in RBI monetary policy in May 2011. Theeffective date for the revised ROI is …………..

1. 09.05.11 2. 03.05.11 3. 01.10.11 4. 01.04.11

42. Service charges that will be credited to P & L a/c on each Abhaya Savings Bank Account everyyear at the time of remitting insurance premium is

1. Rs. 12 2. Rs. 2.75 3. Rs.10 4. Rs. 15 5. Rs. 3

43. The following cannot be a nominee

1. Pardanashin woman 2. Minor 3. Charitable Trust4. Other than a close relative of the depositor 5. None of these


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44. The Insurance period under ABJ deposit scheme is:

1. August 1 to September 30, every year.

2. 1st December to 30th November every year.

3. April 30 to March 31 every year.

4. February 21 to February 20 every year.

5. January 1 to December 31 every year.

45.

The interest payable on SB group accounts as per the revised norms & periodicity is1. Monthly 2. Quarterly 3. Daily 4. Yearly 5. Half-yearly

46. The maximum Balance in S.B. Account that can be maintained by the account holder to getinterest is

1. Rs. 3 lakhs 2. Rs. 5 lakhs 3. Rs. 10 lakhs 4. Rs. 1 crore 5. No limit

47. The minimum amount for which a certificate of Deposit can be issued is1. Rs. 5 lakhs with the multiples of 5 lakhs.

2. Rs. 5 lakhs with the multiples of 1 lakhs3. Rs. 25 lakhs with multiples of 5 lakhs.4. Rs. 1 lakh with multiples of 1 lakh.5. None of the above.

48. The premium under ABJ deposit scheme is to be debited once in:1. In a month. 2. A quarter. 3. half-year. 4. In a year. 5. NOA.

49.

The rate of interest chargeable on loan against deposit with 10% margin to depositor,Partnership deposits of partner, to a proprietary concern against deposits of proprietor is

1. 3% over the Deposit Rate 2.4% over the Deposit Rate3. 2.5% over the Deposit Rate 4. 2% over the Deposit Rate5. 5% over the Deposit Rate

50. The service tax applicable on the service charges collected by banks1.10.20% 2.10.30% 3.15.50% 4.Nil. 5.None of the above

51. Under Abhaya Jeevan deposit scheme, Intimation of accidents giving rise to claims shall be given

to Insurance Company within how many days from the date of the accident?

1. 30 days. 2. 3 months 3. 90 days 4. 60 days. 5. 180 days.

52. Under Abhaya Gold scheme, claim forms are to be submitted to the insurance company Within:

1. 180 days from the date of accident.

2. 180 days after the intimation about the accident.

3.

90 days after the date of intimation about the accident.4. 120 days after the date of the accident.

5. None of the above.

53. What is the maximum amount of core installment in case of Recurring Deposit Plus1. 1000/- 2. 100,000/- 3. 100/- 4. 10000/- 5. No limit

54. What is the age group required for opening an ABJ account in our bank?1. 5 to 70 years. 2. 5 to 60 years. 3. 18 to 70 years. 4. 5 to 55 years. 5.18 to 55 years.

55. What is the age limit for insurance coverage under ABJ Special

1. 5 to 70 years 2. 0 to 70 years 3. 18 to 60 years 4. 18 to 55 years5. None of the above

56. What is the age limit for insurance coverage under Insurance Current Account1.18 to 55 years 2. 18 to 60 years 3. 5 to 70 years 4. 5 to 60 years5.0 to 70 years

57.

What is the amount of service charges to be debited to the account holder of Kiddy Bank whilecollecting insurance charges every year?1. Rs.32. 2. Rs.20. 3. Rs.50. 4. Rs.12 5. Rs.26.

58. What is the amount to be deducted as service charges in ABJ deposit?1. Rs. 50 2. Rs.22 3. Rs. 40. 4.Rs. 41 5. Rs. 53

59. What is the charge for additional operations/transactions over the permitted number of

transactions in safe deposit lockers?

1. Rs. 32.00 2. Rs.38.00 3.Rs.50.00 4.Rs.25.00. 5. Rs. 10.00

60. What is the charge per leaf for SB account after utilising 25 leaves free of cost for a year from thedate of opening the a/c?1.Rs.1.00 2.Rs.2.50 3.Rs.5.00 4.Rs.3.00 5.Rs.4.00

61. What is the eligible amount of accidental insurance coverage for AB Kiddy Bank A/c.1. 1.00 lac to kid 2. 1.00 lac to parent 3. 2.00 lacs to both 4. 1.00 lac to each 5. NIL

62.

What is the insurance premia to be debited from the account-holder of AB Kiddy Bank to cover


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आंा बक एऩेस कॉऱजे , हैदरा�

Study Material May2012

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