Advertisements
Advertisements
Question
Distinguish between the following:
Savings account & Fixed account
Solution
| Basis of Difference |
Savings Account | Fixed Account |
| Meaning | It is opened by individuals who wish to save some part of their income. |
It is an account in which a definite sum of money is deposited for a fixed period. |
| Mode of withdrawing money |
It is done through cheques or withdrawal slips. |
The customer can withdraw the amount only after the expiry of the fixed period. |
| Preferred by | It is preferred by salaried people. |
It is preferred by people who have idle cash. |
| Interest given | Low rate of interest is given. |
High rate of interest is given. |
| Restriction on number of withdrawals |
There are certain restrictions on the number of withdrawals |
There are restrictions in the sense that the customer can withdraw the amount only after the expiry of the fixed period. |
| Nature of account |
It is continuous in nature. | 90% of the amount is given as loan. |
APPEARS IN
RELATED QUESTIONS
Cash can be withdrawn from ATM at any time.
Current Account Saving Account
Function of Commercial Bank? Only Primary Function?
Distinguish between the following:
Loan & Overdraft
Distinguish between the following:
Commercial bank & Central bank
Write Short Note on the following:
Primary functions of commercial banks
Write Short Note on the following:
Agency functions of commercial banks
Write Short Note on the following:
Utility functions of commercial banks
Answer the following question:
What is commercial bank? Explain its primary functions.
Answer the following question.
Explain discounting bills of exchange as one of the functions of the banks.
The secondary function of commercial banks?
Read the passage given below and answer the questions that follow.
|
The Monetary Policy Committee (MPC) increased the repo rate, at which the RBI lends short-term funds to commercial banks, from 6.25 percent to 6.50 percent. This increase in the repo rate is based on the increase in the key rate by 250 bps. The Committee also decided to continue the withdrawal of money supply in the economy. |
- Which function of the central bank is hinted at in the passage given above? (1)
- In which situation does central bank adopt the measure given in the above passage? (1)
- Explain any two monetary measures that can be used to accomplish a similar objective, other than the one given in the above passage. (4)
- Differentiate between Reserve Bank of India and Commercial banks by giving any two points. (2)
