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प्रश्न
What are current accounts?
What is a current account?
उत्तर
Amounts in a current account can be deposited and withdrawn an unlimited number of times. It is opened by a businessman who has a significant volume of frequent bank transactions. A current account holder can get an overdraft from the bank. This sort of account does not pay interest.
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संबंधित प्रश्न
Discuss any five advantages of having a bank account.
State two advantages of a bank account.
What are Commercial banks?
______ deposits earn very low rate of interest on it.
Explain any two Lending Money functions of Commercial Banks.
Study the picture below and explain any two of its functions.
Explain the term bank overdraft.
How is discounting of a bill of exchange a form of bank lending?
Differentiate between Savings Deposit and Current Deposit.
A commercial bank accepts deposits from the people for the purposes of giving loans and making investments.
From which type of deposits, money can be withdrawn only after the maturity date?
Identify the correct sequence of alternatives given in Column II by matching them with respective terms in Column I.
| Column I | Column II | ||
| A. | Function of Commercial bank | (i) | Initial deposits × `1/"LRR"` |
| B. | Money multiplier | (ii) | The difference between market value of the security and the amount of loan. |
| C. | Total money creation | (iii) | Acceptance of deposits |
| D. | Margin requirement | (iv) | `1/"LRR"` |
Read the following statements - Assertion (A) and Reason (R). Choose one of the correct alternatives given below:
Assertion (A): Commercial Banks keep only a fraction of deposits as Cash Reserves and use the remaining deposits for given loans, etc.
Reason (R): All the depositors of Commercial Banks do not approach the banks for withdrawal of money at the [iame time and also they do not withdraw the entire amount in one go.
Mention two necessary conditions for a financial institution to become a commercial bank.
Compare the rate of interest given to such an account to that of a Current Account and a Fixed Deposit.
Which of the following is a function of a commercial bank? Give a reason to support your answer:
Explain how banks can advance loans through cash credit.
Explain three ways by which commercial banks advance loans to the public.
Explain three main features of a current bank account.
