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प्रश्न
What is meant by Discounting of a Bill of Exchange?
उत्तर
Businessmen receive bills of exchange from their customers who buy goods on credit. Commercial banks pay the amount of a bill before the date of its maturity after deducting discount (interest) charges. On the date of maturity the bank gets payment of the bill from its acceptor. If the bill discounted is dishonoured, the bank receives the payment from the customer who discounted the bill.
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संबंधित प्रश्न
Explain two methods adopted by Commercial banks to advance loans to the general public.
Name one commercial bank in India.
Match the following:
| 1 | Savings account | P | For a fixed time period |
| 2 | Current account | Q | Deposited at an equal time period |
| 3 | Recurring account | R | No interest is paid |
| 4 | Fixed deposit | S | Nominal restriction in no. of withdrawals |
Distinguish between fixed deposit and demand deposit. (Any two)
Which account holder gets Overdraft facility?
How is discounting of a bill of exchange a form of bank lending?
The advantage of having a bank account is that it ______.
Which is the primary function of Commercial Banks?
Which of these are known as term/time deposits?
Explain three ways by which commercial banks advance loans to the public.
