BFSI - Basics of Banking

Bank is Financial Institition that undertakes the banking activity

• it accepts deposits
• Lends Money
• Charges Interest
• Pays Interest
• Facilitate Deposites

Functions of RBI

• Issuer of Currency
• Bankers to Government
• Locker Facility
• Regulator of Financial System
• Detection of Fake Currency

Features of Commercial Bank-

• financial institution that accepts deposits from the public
• give loans
• offers financial products and services
• required to be registered under Banking Regulation Act, 1949
• non-profit institution

Nationalized Bank

• HDFC Bank
• Bank of Baroda
• Andhra Bank
• Punjab National Bank
• ICICI Bank

NBFC

• registered under the Company Act, 2013
• regulated by RBI
• deals with infrastructure finance, leasing, housing finance, and venture capital finance
• It offers interest rates higher than the ceiling rate prescribed by RBI
• Provising loans without any security

current account

• Standard
• Premium
• Foreign
• Pension

Identify Correct statement

• foreign currency is converted to Indian rupees at the prevailing foreign exchange rates in NRE account
• Income like rent, dividend, pension, etc. earned in outside India- NRO Account
• Tax Deducted as Source on the income deposited in NRE account

To increase the saving habit in your friend who is starting is new job,what will you suggest

• Saving Account
• Credit Card
• Fixed Deposit
• Recurring Depsit
• BHIM

Agricutural Loan

• High Rate of interest
• Short Term and Long Term Solutions
• Comprehensive and Time consuming Process
• Only for purchase of land

Mr. Ram is into the business of Tours and Travels service. He wants to buy Car for his business. He should Apply for which loan

• Business Loan
• Working Capital Loan
• Car Loan
• Loan against Property