Laws- Protection to paying Banker Negotiable Instrument Act 1881 JAIIB Legal aspects of Banking

The negotiable instruments Act 1881 lays down the rules relating to payment of customers cheque and various subsections deal with the protection available to the paying Banker. When customer deposits money with the bank, the customer is creditor and bank is a debtor. Therefore whenever the customer demands back the money, the bank has the duty to pay back the money, in default of such payment, must compensate the drawer for any loss or damage. The bank has to honour the cheque provided, the cheque is properly drawn, duly signed by the maker and there should be "properly available fund" in his account. The funds may not be available to pay the cheque if:-
a) the banker has exercised his right of set off for amounts due from the customer or
b) there is an attachment order from court, Income Tax officer or any other lawful authority restraining the bank from paying the money. GET 3000+ JAIIB PREVIOUS YEAR QUESTIONS, Study Notes, Videos
GET 4000+ CAIIB PREVIOUS YEAR QUESTIONS, Study Notes, Videos Indian Contract Act Legal Banking Questions PART 9 Legal Banking Questions PART 8: Legal Banking Questions PART 7: Legal Banking Questions PART 6: Legal Banking Questions PART 5: Legal Banking Questions PART 4: Legal Banking Questions PART 3: Legal and Regulatory Aspects of banking Imp Ques PART 2 Legal Banking Questions PART 1 In youtube for jaiib you can search for jaiib,trapk,jaiib by trapk,learning sessions,legal and regulatory aspects of banking,legal and regulatory aspects of banking questions,legal aspects of banking jaiib,legal aspects of banking,negotiable instruments Act,protection to paying banker,protection to collecting banker,payment of customer cheque,cheque,negotiable act,laws for paying bank,paying banker rules,paying banker laws,legal banking in hindi,jaiib in hindi

Accounting & Finance for Banking

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