FREE BANK PROMOTION NOTE 2024 | SOME IMPORTANT THINGS TO REMEMBER ABOUT BANK & THEIR PROCEDURES | PART-2

FREE BANK PROMOTION NOTE 2024 | SOME IMPORTANT THINGS TO REMEMBER ABOUT BANK & THEIR PROCEDURES | PART-2

As mentioned in the previous article, this article is for the candidates who are preparing for bank promotion exams in 2022. It is the continuation of some of the things which are important to remember if you are going to write your banks’ promotion exams this year. 

Underwritten are some of the things which as a Banker you should know and most of these things related to the banking procedures which will also help you in doing your daily tasks. 

A PDF file of this article has been provided at the end of this article to help you when it’s time for you to revise.

SOME IMPORTANT THINGS TO REMEMBER | PART-2 

• The maximum distance which is allowed between the base branch and retail outlet of business correspondence should not be more than: 

• In case of rural, urban and semi urban areas: 30 km 
• In case of metro cities: 5 km

Read Also: FREE NOTES ON BANKING TERMS FOR YOUR BANK PROMOTION EXAMS IN 2024

• Any person whether resident in India or resident outside India is allowed to take or bring in the Indian currency to the extent of Rs. 25000.00 as per the RBI guidelines.
• In case of credit cards, if the minimum amount which is due in this account is not fully paid within 90 days from the date of its next statement, it will be treated as non performing asset. 
• The committee of official language implementation is required to meet once every 3 months. 
• The cases of fraud in which the amount involved is Rs. 0.10 lacs to Rs. 1 lacs, such cases are required to be reported to the local police. 
• In cases of fraud in which the amount involved is Rs. 1 lacs to Rs. 300 lacs, it shall be reported to the state CID/ economic offense wing of state police.
• The cases of frauds in which the amount involved > Rs. 300 lacs and above and it is evident through Prime facie that the bank staff is involved in this fraud, it is required to be reported to the anti corruption wing of CBI 
• FIR to police or CBI is required to be reported within 15 days from the date when the fraud was detected.
• All the cases of fraud are required to be reported to the Reserve Bank of India in form: FMR-1 within three weeks from the date when the fraud was detected. 
• Quarterly reports of fraud cases are also required to be sent to RBI in form: FMR-2 & FMR-4 according to the outstanding and progress of the frauds. 
• Under PMEGP, the margin or subsidy lock-in period: 3 years 
• There are times when an underwriter sells shares more than what has been determined by the issuer, which in simple terms is referred to as over allotment and in official terms, greenhouse option. This situation provides additional stability of prices. 
• Term deposits which have been my matured have the limitation period of three years from the date of their demand. 

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• In case the maturity date of deposit certificates falls on a holiday, it is required to be paid on the immediately preceding working day. 
• If a forged demand draft is presented, the paying banker has to file a complaint.  
• It was the J V Shetty committee which recommended the syndication of loans. 
• Guardian who has been legally appointed as one, can provide nomination for a minor account. 
• As per the section 2(n) of the SARFAESI Act, in case of hypothecation, a charge is required to be made on the movable property. 
• The validity of the cheque will be calculated on month wise basis and not on the basis of days. So, if the date of the cheque happens to be 10.03.2022, it will expire by 09.06.2022. 
• The certificate of TDS can be downloaded from the portal: TRACES 
• The applicability of three pillar concept is on: BASEL-2 & BASEL-3
• The rate of interest on FCNR should not be : 
• > 200 Basis points of LIBOR/SWAP (maturity 1 – 3 years) 
• > 300 Basis points of LIBOR/SWAP (maturity 3 – 5 years) 
• When there is excess money in the market, it will lead to inflation. 
• Number of digits in IFSC are 11 
• When the deposit amount is invested in government securities, it is known as narrow banking. 
• The activities involved in mixed farming are cultivation and allied activities. 
• The activities involved in organic farming are green manure, crop rotation, compost and biological pest control 
• Blue revolution is said to have comment aquaculture
• Indian residents who return to India are not required to surrender the currency they have bought in. They can provide currency declaration form (Currency-$5000,TC-$ 10000)
• When export bills which are outstanding to be paid are reversed by debiting the account, what is known as crystallization. 
• The loan which can be provided to the farmers against warehouse receipts = 12 months
• Statement of XOS = June to December.
• Outlay of funds = difference between TL & DPG 
• In case of loans where guarantee has been taken as a security, if borrower dies, the amount would be required to be paid by the guarantor. 
• The records of banks are required to be maintained for 10 years 
• ATM cards can be issued for: Minor accounts, joint accounts and accounts which have been opened for illiterates. 
• Agricultural seasons: 

• October to March: Rabi season 
• July to October: Kharif season 

Read Also: FREE BANK PROMOTION NOTES FOR 2024 | RISK MANAGEMENT

• Under PMEGP scheme, the training cost will be Borne by MSE ministry 
• When the cheques are discounted by the bank, bank obtains all the rights of holder 
• Loans up to Rs. 50000 given to women, shall be classified as priority sector loans to weaker sections. 
• The education loans given to study in India for > Rs. 10 lacs, not be classified as priority loans 
• Apiculture is the rearing of honey bees. 
• Loans provided to the dealers of gold or gems are classified as higher risk accounts 
• Loan upto Rs. 10 lacs can be given to government agencies under priority sector to construct dwelling units 
• Liquidity risk arises when long term assets are purchased using short term liabilities. 
• One of the example of operational risk is: Computers not working 
• The medium term loans ranges from 36 to 84 months 
• As per the rule in clayton: Bankers have the right to set off 
• The number of members in Asian Clearing Union are 9
• Loans up to Rs. 5 crores can be provided to the dealers of cattle feed, poultry feed under the indirect agricultural loans 
• If customer doesn’t provide his or her PAN, the TDS will be detected @20%
• When the non performing assets are sold, the accounts will remain performing assets in the books of the bank who has purchased such NPAs for 90 days 
• Converting a bearer instrument into order instrument, is not consider material alteration 
• If the cheque is dishonoured, the payee is required to give notice within 30 days. 
• Which act will be considered valid as per the guidelines Reserve Bank of India 
• As per the Nayak committee, the working capital cycle should be 3 months 
• The Loan under NRLM upto Rs. 10 lacs can be given without any security. 
• Cheque to a bank customer will be stopped in case they had been returned in his or her account for 4 times 
• There are 12 digits in Aadhaar number 

• The maximum amount which can be drawn per month in BSBDA = Rs. 10,000.00 
• The foreign currencies which remain are required to be returned within 180 days. 
• As per the Pari passu charge, the securities are required to be shared in the ratio of amount which is outstanding and banks.  

LINK OF PART 1 (SOME IMPORTANT THINGS TO REMEMBER):

LINK OF PDF FILE OF THIS ARTICLE: PDF FILE