BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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A safe place to keep your moneyand uses your deposits to make loans
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money
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Not a safe place to keep your money
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Does not use your deposits to make loans
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Detailed explanation-1: -Savings accounts are a safe place to keep your money because all deposits made by consumers are guaranteed by the FDIC for bank accounts or the NCUA for credit union accounts. Certificates of deposit (CDs) issued by banks and credit unions also carry deposit insurance.
Detailed explanation-2: -A bank is an institution where we can store our money and valuables. This money or valuables deposited can be withdrawn as and when required.
Detailed explanation-3: -Where Should You Keep Your Money? A safe or lockbox is a good place to put cash at home for disasters and other emergencies. However, money for everyday bills is probably safer in a bank account.
Detailed explanation-4: -Since all scheduled banks are covered under DICGC, whether it’s a private, public sector or a co-operative bank, all banks are equally safe for amounts of up to Rs. 5 lakh. This includes both the principal as well the interest held with the bank.