BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Interest on savings bank account is now calculated by banks on
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minimum balance during the month
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minimum balance from 7th to last day of the month
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minimum balance from 10th to last day of the month
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daily product basis
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Explanation:
Detailed explanation-1: -At present, interest on savings bank accounts is calculated on the minimum balances held in the accounts during the period from the 10th day to the last day of each calendar month.
Detailed explanation-2: -Here’s the simple interest formula: Interest = P x R x T. P = Principal amount (the beginning balance). R = Interest rate (usually per year, expressed as a decimal). T = Number of time periods (generally one-year time periods).
Detailed explanation-3: -You can figure out the daily periodic rate by dividing the APR by 365-or by 360, depending on which number your issuer uses. If you divide 19.99% by 365, you get 0.0548%.
There is 1 question to complete.