ECONOMICS (CBSE/UGC NET)

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ECONOMICS

ECONOMIC INSTITUTIONS

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Choose two answers.Jeff wants to open a basic savings account. He should go to which two types of financial institutions to open the account.
A
a financial services company
B
a commercial bank
C
an insurance company
D
a trust company
E
a credit union
Explanation: 

Detailed explanation-1: -A savings account, also called a “deposit account, ” is available from credit unions, banks, and online financial institutions. Savings accounts typically pay interest on the monthly balance with tiered levels of interest, so the more you save the more earned interest you’ll receive.

Detailed explanation-2: -(i) Accepting deposits, (ii) Advancing of loans are the two essential conditions for a financial institution to become a bank.

Detailed explanation-3: -In BSBDA, banks are required to provide free of charge minimum four withdrawals, through ATMs and other mode including RTGS/NEFT/Clearing/Branch cash withdrawal/transfer/internet debits/standing instructions/EMI etc It is left to the banks to either offer free or charge for additional withdrawal/s.

There is 1 question to complete.
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