Understanding Debit and Credit Cards

Which of the following is true for a debit card?

• It allows you to borrow money up to a credit limit.

• It directly debits the amount from your bank account.

• It is issued by a credit bureau.

• It is a type of loan.

Which of the following is a key characteristic of a credit card?

• It is a prepaid card.

• It allows you to pay for purchases later, typically with interest.

• It deducts funds directly from your bank account.

• It is used only for cash withdrawals.

Which of the following is NOT a feature of a credit card?

• Interest-free credit period

• Credit limit set by the bank

• Requires immediate deduction from the bank account

• Reward points on purchases

What differentiates a smart card from a regular card?

• It is made of metal.

• It contains a microprocessor or a memory chip.

• It only works in ATMs.

• It cannot store personal information.

Which of the following is an example of a smart card application?

• Mobile payment apps

• RFID tags

• EMV chip-enabled payment cards

• Paper cheques

E-Cash is best described as:

• Physical currency stored digitally

• A type of prepaid card

• An electronic form of cash for online transactions

• A cheque that is written electronically

An e-cheque can be described as:

• A physical cheque converted to digital form

• An electronic version of a paper cheque

• An immediate online payment method

• A physical document used for large payments

What is required to issue an e-cheque?

• A printer and scanner

• The bank's mobile app

• A digital signature

• A debit card

An e-wallet is:

• A physical device for storing cash

• An app or software used to store payment information for online purchases

• A type of smart card

• A credit card

Which of the following is a government-backed e-wallet in India?

• Google Pay

• PhonePe

• BHIM

• MobiKwik