BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Banks can not generally accept interest-free deposits. Which of the following is an exception to this rule?
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Current Account
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Savings Account of Minors
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Deposit from Minority groups
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BSBDA
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Explanation:
Detailed explanation-1: -No interest shall be paid on deposits held in current accounts.
Detailed explanation-2: -business of a non-banking financial institution are not allowed to accept deposits except from relatives specified and in the manner prescribed in the provision of Section 45-S of the RBI Act.
Detailed explanation-3: -NBFCs cannot accept demand deposits. Statement 2 is correct. NBFC depositors are not covered under the deposit insurance facilities.
Detailed explanation-4: -Current Deposit Account Banks open a current account for them. Like a savings bank account, this account also requires a certain minimum amount of deposit while opening the account. On this deposit, the bank does not pay any interest on the balances.
There is 1 question to complete.