IBPS PO IV (2014-2015) Written Exam Results Out

IBPS interview tips

There are several other things to keep in mind. Over the years I have seen candidates taking care of

most of the points but missing one. Sometimes one wrong step can cost you a job. So it is better to be

100% prepared.15 minutes interview can change your world. But preparing for that 15 minutes is very

important.

From my experience and experience of others I have listed points to help candidates appearing in IBPS

Interview. These tips are applicable for other interview as well so read on.

Points to take care of before IBPS Interview

Dress code

. Wear Business formals

. The dress should be clean, well ironed

. Boys should avoid jeans, T shirts and fancy shoes

. Girls should also avoid items mentioned for boys

. They should also avoid fancy makeups and heavy jewelery.

Basic Hygiene

. Boys should be clean shaved

. Girls should comb and tie their hairs

. A gentle perfume is good thing to use

Documents

. You should carry all the documents mentioned in Admit card for IBPS interview

. Missing documents leaves negative impression

. They do allow you to appear in interview after making a declaration about submitting the

document later on

Interview Hall

. You might have to wait sometime before appearing for interview. Utilize the time to relax

yourself.

. Do not indulge in talks with others regarding interview questions and other things it adds

pressure.

. You can have light talks that will make you comfortable.

. It is better to have some water. Drinking water relieves tension.

. You can also walk for a while before appearing for interview.

. Before going for interview you have to submit and get your documents verified. So arrange

your documents as per their instructions. It is better to have all the documents ready and two set

photo copy of each document.

Points to take care of During IBPS Interview

. Before entering interview room ask for permission."may I come in" should serve the purpose.

. After entering the room do not sit down the chair intermediately. Greet the interviewers (Good

Morning or Good Afternoon) depending on time. Then ask May I sit. After getting permission

to sit take a seat.

. Almost all interview panels have 3 person. The person sitting in middle will be main

Interviewer. You should mainly focus on him during interview.

. It is good to maintain eye contact with person asking question and in the meanwhile just have a

look into main interviewer.

. You should comfortably sit on chair. Do not lean forward or backward. It is better to sit

comfortably.

. Do not put your hands crossed in front of the chest or on your head.

. It is not considered good practice to put hands on table.

. Answer first question with confidence. The answer should be detailed. You should not say

anything controversial in the answer.

. After interview say thanks to the interviewers.

. Do not look backwards while leaving the room.

. It is good to maintain a decent walk speed while entering the room and leaving the room. You

should not rush into the room or rush out of the room.

. The interview duration is of 15 minutes on an average. So first impression makes all the

difference.

. Taking care of above points will surely give you advantage above others appearing for IBPS

interview.

. Interviewers use the time of interview and the time before next candidate appears to give you

marks.

. Also it is common practice to compare last candidate with you. So in case last candidate have

not taken care of these points then you will have sure advantage.

IBPS interview List of required documents

. Certificate of date of birth as mentioned in SSLC/Matric.

. Most important Your original IBPS PO score card along with two xerox copies (photo copies).

This might not be mentioned in interview call letter but you must carry this document.

. Mark Sheet from SSLC/SSC examination onwards to the highest examination passed including

technical and professional examination of each year/semester

. Certificate regarding degree/post-graduate/other examinations passed. Provisional certificate

will be accepted only if the candidate has passed the relevant examination during the past one

year or the university has not issued the certificates.

. 5 passport size photographs and one should attached to interview call letter. It is better if all are

identical.

. Candidates serving in government/public sector undertakings (including banks) should produce

"no objection certificate" from their employer at the time of interview.

. Character certificate from two respectable person not related to you obtained recently {{{(pls wait for the interview notification.)}}}***************

. Candidates belonging to SC/ST/OBC categories must bring the Caste/Community certificate

issued by the Competent Authority as per the format prescribed by Government of India failing

which the claim of the candidate for the respective category will not be entertained.

. Please note that the Caste mentioned in the certificate produced by you should conform to the

caste appearing in the Central Government List/Notification. Caste certificate even with the

slightest discrepancy in the name, spelling of the caste etc will not be accepted.

. In case of the candidates belonging to OBC category the certificate inter alias must specify that

the candidate does not belong to Socially Advanced Sections excluded from the benefits of

reservation for the OBCs in Civil post and Services under Government of India i.e carrying the

creamy layer clause based on income. OBC certificate should not be more than one year old as

on the date of application submitted for this recruitment.

. Physically challenged candidates must bring medical certificate from district level medical

board.

. Ex servicemen must produce discharge certificate/certificate of service issued by Defense

authorities.

. All the other related certificate/mark sheet/experience certificates on which your eligibility is

decided (not mentioned above)

. For the purpose of identification, please bring original passport/pan card/voter id card /driving

license /any other photo id card issued by the statutory authorities where photograph is affixed.

Definition of Inter Bank Transfer *********************** Transfer of funds electronically from the account of remitting customer in one Bank to the account of the beneficiary maintained with any other Bank branch participating in this scheme. RTGS and NEFT are systems of Inter Bank transfers, which are maintained by Reserve Bank of India. Definition of RTGS and NEFT ************************ Real Time Gross Settlement (RTGS) - Under this system, fund transfer takes place in real time and are settled on continuous, individual settlement basic. Normally, the beneficiary Bank branch receives the funds in real time as soon as funds are transferred by the remitting Bank. It is the fastest and secure ways of transferring money in India under inter bank money transfer. National Electronic Fund Transfer (NEFT) - Under the NEFT system fund transfers take place on Deferred Net Settlement basis and are take place in hourly batches. Presently, NEFT operates in hourly batches from 9 am to 7 pm on week days and 9 am to 1 pm on Saturdays. Currently there are eleven settlements from 9 am to 7 pm on week days and five settlements from 9 am to 1 pm on Saturdays. The remitting customer has to fulfill the following information to the bank at the time of transfer through RTGS and NEFT. (1) Name of the beneficiary bank and branch (2) Name & Account Number of the beneficiary customer (3) Amount to be remitted (4) Remitting customer's account number which is to be debited (5) The IFSC Number of the receiving branch What are the benefits of using RTGS/ NEFT? ************************************* . Fast transfer of the funds to the beneficiary account . Credit confirmation SMS or mail is sent after fulfillment of the transaction. . Any person or corporate could transfer money from home or work place using internet banking. . It is a cost effective and less time consuming way of transferring money. . The remitter need not require to send the physical cheque or Demand Draft to the beneficiary.

What are the Job Responsibilities/Profile of PO:

Bank PO have to perform any task in bank. Bank PO Responsibilities are: Cash Management, Supervision of Clerical work, Do has to take decisions, Loan Processing and Recovery Loans. Every bank branch will have certain cash limit. PO should ensure that the avg cash balance limit is maintained or not. You have predict the cash you require on particular day and you should act accordingly. This is called Cash management. You will know the complete details when you join in bank. You may not understand at this point of time. PO have to verify all the work done by clerk. Maker and Checker are involved in every transaction performed in bank. In case of cash transactions, clerk is a maker and PO is the checker. PO has to check whether Clerk entered everything correctly or not and authorise the transactions. If PO is a maker, Manager is a Checker. In case of loans, usually PO is a maker and Branch Manager is a Checker. Checker is responsible for any loss. Bank PO have to look after the Loan documentation and visit the party site whenever required. All the Loans word have to be performed by Officer Advances. PO has to issue check books, ATM cards, DDs, BCs. PO has to Handle customer complaints. You have to be cool and calm while listening to them. Some people will shout. You have to deal them patiently and convince them. There are various other responsibilities also for Bank PO. It will be assigned to you as per the branch requirement by the Branch Manager.

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All About RBI:

Establishment The Reserve Bank of India was established on April 1, 1935 in accordance with the provisions of the Reserve Bank of India Act, 1934. The Central Office of the Reserve Bank was initially established in Calcutta but was permanently moved to Mumbai in 1937. The Central Office is where the Governor sits and where policies are formulated. Though originally privately owned, since nationalisation in 1949, the Reserve Bank is fully owned by the Government of India. Constitution: Official Directors- Full-time : Governor and not more than four Deputy Governors Non-Official Directors- Nominated by Government: ten Directors from various fields and two government Officials Others: four Directors - one each from four local boards FUNCTIONS Financial Supervision The Reserve Bank of India performs this function under the guidance of the Board for Financial Supervision (BFS). The Board was constituted in November 1994 as a committee of the Central Board of Directors of the Reserve Bank of India. Objective Primary objective of BFS is to undertake consolidated supervision of the financial sector comprising commercial banks, financial institutions and non-banking finance companies. Constitution The Board is constituted by co-opting four Directors from the Central Board as members for a term of two years and is chaired by the Governor. The Deputy Governors of the Reserve Bank are ex-officio members. One Deputy Governor, usually, the Deputy Governor in charge of banking regulation and supervision, is nominated as the Vice-Chairman of the Board. BFS meetings The Board is required to meet normally once every month. It considers inspection reports and other supervisory issues placed before it by the supervisory departments. BFS through the Audit Sub-Committee also aims at upgrading the quality of the statutory audit and internal audit functions in banks and financial institutions. The audit sub-committee includes Deputy Governor as the chairman and two Directors of the Central Board as members. The BFS oversees the functioning of Department of Banking Supervision (DBS), Department of Non-Banking Supervision (DNBS) and Financial Institutions Division (FID) and gives directions on the regulatory and supervisory issues. Functions Some of the initiatives taken by BFS include: restructuring of the system of bank inspections introduction of off-site surveillance, strengthening of the role of statutory auditors and strengthening of the internal defences of supervised institutions. The Audit Sub-committee of BFS has reviewed the current system of concurrent audit, norms of empanelment and appointment of statutory auditors, the quality and coverage of statutory audit reports, and the important issue of greater transparency and disclosure in the published accounts of supervised institutions. Current Focus supervision of financial institutions consolidated accounting legal issues in bank frauds divergence in assessments of non-performing assets and supervisory rating model for banks. Top Regulation and Supervision of Payment systems The Payment and Settlement Systems Act 2007(PSS Act 2007) empowers the Reserve Bank of India to regulate and supervise the payment systems in the country. The Act states that these powers will be exercised by the Board for Regulation and Supervision of Payment and Settlement Systems (BPSS) constituted by it for the purpose. The BPSS will be a Committee of the Reserve Bank of India's Central Board. Objective and Functions The functions of the BPSS will be to lay down policies for regulation and supervision of the payment systems in the country, laying down standards for existing and future payment systems, authorisation of payment systems, determination of the criteria for membership of payment systems including continuation, termination and rejection of membership, overseeing the administration of regulations and guidelines framed under the PSS Act 2007, issuing directions to payment system operators, calling for returns/information, etc. Constitution The BPSS consists of the Governor of the RBI as Chairperson, Deputy Governors as Members out of whom the Deputy Governor who is in charge of the Department of Payment and Settlement Systems will be the Vice Chairperson and three Directors of Reserve Bank of India Central Board will be members. Two Executive Directors of Reserve Bank of India and its principal Legal Adviser will be permanent invitees to the meetings. Persons with experience in the field of payment and settlement systems may be invited to the meetings of the BPSS either as permanent or ad-hoc invitees. BPSS is assisted by the Department of Payment and Settlement Systems. Current Focus Authorisation/ refusal of authorisation of/to payment systems. To lay down policies for encouraging the movement from paper-based payment systems to electronic modes of payments. Setting up of the regulatory framework of newer payment methods. Enhancement of customer convenience in payment systems. Improving security and efficiency in paper-based and electronic modes of payment. Top Legal Framework Umbrella Acts Reserve Bank of India Act, 1934: governs the Reserve Bank functions Banking Regulation Act, 1949: governs the financial sector Acts governing specific functions Public Debt Act, 1944/Government Securities Act (Proposed): Governs government debt market Securities Contract (Regulation) Act, 1956: Regulates government securities market Indian Coinage Act, 1906:Governs currency and coins Foreign Exchange Regulation Act, 1973/ Foreign Exchange Management Act, 1999 : Governs trade and foreign exchange market Payment and Settlement Systems Act 2007: Regulation and supervision of the payment systems. Acts governing Banking Operations Companies Act, 1956:Governs banks as companies Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970/1980: Relates to nationalisation of banks Bankers'' Books Evidence Act Banking Secrecy Act Negotiable Instruments Act, 1881 Acts governing Individual Institutions State Bank of India Act, 1954 The Industrial Development Bank (Transfer of Undertaking and Repeal) Act, 2003 The Industrial Finance Corporation (Transfer of Undertaking and Repeal) Act, 1993 National Bank for Agriculture and Rural Development Act National Housing Bank Act Deposit Insurance and Credit Guarantee Corporation Act Top Main Functions Monetary Authority: Formulates, implements and monitors the monetary policy. Objective: maintaining price stability and ensuring adequate flow of credit to productive sectors. Regulator and supervisor of the financial system: Prescribes broad parameters of banking operations within which the country''s banking and financial system functions. Objective: maintain public confidence in the system, protect depositors'' interest and provide cost-effective banking services to the public. Regulator and supervisor of the payment systems Authorises setting up of payment systems Lays down standards for operation of the payment system Issues direction, calls for returns/information from payment system operators. Manager of Foreign Exchange Manages the Foreign Exchange Management Act, 1999. Objective: to facilitate external trade and payment and promote orderly development and maintenance of foreign exchange market in India. Issuer of currency: Issues and exchanges or destroys currency and coins not fit for circulation. Objective: to give the public adequate quantity of supplies of currency notes and coins and in good quality. Developmental role Performs a wide range of promotional functions to support national objectives. Related Functions Banker to the Government: performs merchant banking function for the central and the state governments; also acts as their banker. Banker to banks: maintains banking accounts of all scheduled banks. Top Offices Has 19 regional offices, most of them in state capitals and 9 Sub-offices. Subsidiaries Fully owned: Deposit Insurance and Credit Guarantee Corporation of India(DICGC), Bharatiya Reserve Bank Note Mudran Private Limited(BRBNMPL)

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RuPay

RuPay is an Indian domestic card scheme conceived and launched by National Payments Corporation of India (NPCI). Its mission is to fulfill the Reserve Bank of India's vision of having a domestic, open loop, and multilateral system of payments in India. RuPay works to enable electronic payment at all Indian banks and financial institutions and hopes to provide banks with new opportunities to operate in the card payments domain of India. The RuPay card was launched on 26 March 2012, by National Payments Corporation of India to consolidate and integrate various payment systems in India. NPCI has entered into a strategic partnership with Discover Financial Services (DFS) for RuPay Card, enabling the acceptance of RuPay Global Cards on Discover's global payment network outside of India. RuPay cards are acceptable at all ATMs across India under National Financial Switch (A product of NPCI), and its agreement with DFS has enabled international usage for its customers. According to the data published by National Payments Corporation of India, there are around 145,270 ATMs and more than 8.65 lakh PoS terminals in India under the RuPay platform. In addition to the ATMs and PoS terminals, RuPay cards are accepted online across 10,000 e-commerce websites[6] with the same PIN which they use for ATM transactions RuPay cards are accepted at all PoS terminals in India. To enable this, RuPay has certified 24 major banks in India to accept the RuPay card at their respective PoS terminals located at different merchant locations. RuPay issuing banks are authorized to issue RuPay debit cards to their customers for use at ATMs, PoS terminals, and e-commerce websites. Today more than 235 banks issue RuPay cards to their customers. All major public sector banks are included. In addition, RuPay is issued at over 200 cooperative and rural banks, contributing towards Financial Inclusion. NPCI has also rolled out its chip card for high security transactions using EMV (Europay, MasterCard and Visa) chip technology, which is a global standard for debit and credit cards. RuPay chip cards are considered secure because they have an embedded microprocessor circuit containing information about the card holder and because transactions are PIN-based rather than signature-based. RuPay also provides a unified "Kisan Card", issued by banks across the country under Kisan Credit Card, enabling farmers to transact business on ATMs and PoS terminals. PUNGRAIN (Punjab Grains Procurement Corporation Ltd), has initiated payment to their commission agents through 'RuPay Debit Card' and has developed the Kisan Arhtia (commission agents) information and Remittance Online Network (KAIRON) with the help of the National Payments Corporation of India. Kotak Mahindra Bank in partnership with RuPay has rolled out an initiative for financial inclusion, where the dairy farmers across 75 cooperative societies of AMUL in regions of Burdwan and Hooghly of West Bengal will be able to get their payments directly into their account on the same day of sale of milk. Replica of the same model will be adopted in the state of Gujarat where 1200 cooperative societies comprising over 3 lakh dairy farmers will be the part of the programme.

The notes that I am sharing are the one that I used for my interview in IBPS PO - III interview, I will be uploading more notes in the days to come,pls read carefully most of the questions were asked for interview.............ATB

please friendss po interview  help

what is work and responsibility of po in a bank ?

All About CIBIL:

Credit Information Bureau (India) Limited (CIBIL) is India's first Credit Information Company (CIC) founded in August 2000. CIBIL collects and maintains records of an individual's payments pertaining to loans and credit cards. These records are submitted to CIBIL by member banks and credit institutions, on a monthly basis. This information is then used to create Credit Information Reports (CIR) and credit scores which are provided to credit institutions in order to help evaluate and approve loan applications. Since its inception, CIBIL has come to play a critical role in India's financial system. Whether it is to help loan providers manage their business or help consumers secure credit faster and at better terms, the use of CIBIL's products have led to a significant change in the way the credit life cycle is managed by both loan providers and consumers. History and origin: In the late 1990s, the need for a credit information system was increasingly felt in order to enable informed credit decisions and aid fact based risk management. It was also imperative to arrest growth of fresh non-performing assets (NPAs) in the banking system through an efficient system of credit information on borrowers as a first step in credit risk management. In this context, the requirement of an adequate, comprehensive and reliable information system on the borrowers through an efficient database system was keenly felt by the Reserve Bank of India and the Government as well as credit institutions. A Working Group with representatives from select public sector banks, SBI, ICICI, Indian Banks' Association and Reserve Bank was constituted by the Reserve Bank in the year 1999, to explore the possibilities of setting up a Credit Information Bureau (CIB). The Working Group had recommended setting up a CIB under the Companies Act, 1956 with equity participation from commercial banks, FIs and NBFCs registered with the Reserve Bank. As per the recommendations made by the Working Group, Credit Information Bureau (India) Ltd., (CIBIL) was set up in January 2000. The Credit Information Companies (Regulation) Act, 2005 was subsequently passed with a view to regulating credit information companies and facilitating efficient distribution of credit and for matters concerned or incidental to it.It has many of financial commitments. Functioning: For credit grantors to gain a complete picture of the payment history of a credit applicant, they must be able to gain access to the applicant's complete credit record that may be spread over different institutions. CIBIL collects commercial and consumer credit-related data and collates such data to create and distribute credit reports to its Members which are credit institutions and banks in India. CIBIL's over 900 strong member base includes all leading public & private sector banks, financial institutions, non-banking financial companies and housing finance companies. CIBIL's products, especially the Credit Information Report (CIR) and CIBIL TransUnion Score are very important in the loan approval process. Once the loan provider has decided which set of loan applicants to evaluate, it analyzes the CIR / Score in order to determine the applicant's eligibility. Eligibility basically means the applicants ability to take additional debt and repay additional outflows given their current commitments. Post completion of these first 2 steps the loan provider will request for the applicants income proof and other relevant documents in order to finally sanction the loan. The CIR and Credit Score not only help loan providers identify consumers who are likely to be able to pay back their loans, but also help them to do this more quickly and economically. This translates into faster loan approvals for consumers. An individual with a higher credit score can bargain with the credit institution for better lending terms, since he is perceived as a responsible borrower. Since consumers can now access their Credit Scores and CIRs directly from CIBIL, they can see for themselves how they are perceived by loan providers before taking a loan. Hence, CIBIL empowers both loan providers and individuals to see their financial and credit history more clearly and hence, take better and more informed decisions. Security standards: CIBIL is ISO 27001:2005 certified- the most recognized security standard in the world. CIBIL is one of the 1000 companies in the world, which have achieved ISO 27001 certification, and one of the first few in India. TransUnion CIBIL Score and Credit Information Report Along with TransUnion, CIBIL issues a 3-digit credit score and Credit Information Report(CIR) which is used extensively by banks and lending institutions in India. CIBIL score ranges from 300 to 900 and indicates credit worthiness of the individual. A person with good credit background would have a higher score. Often lenders prefer those with CIBIL score more than 700. CIR is also used by lenders in their loan approval decision when a borrower approaches them. It has various sections throwing light on the individual's past credit and repayment behaviour. Since April 2011, individuals who have borrowed before or have a credit card can seek information on their credit score from CIBIL for a fee. Banks keep updating their credit records with CIBIL which uses them to work on the score.

Hello guys,

I have a query.... While applying for IBPS PO I did not mention my work experience...I'm part of TCS for last two years...I'm thinking of taking my offer letter and payslip along with other docs at the time of interview...but if panel asks me y dint I mention in application form what explanation should I give?? Will this missing info create any prob during interview??  your kind inputs will be valuable...:)

Recently i have shifted to a new home in the same city and my all the ID's, documents etc are having the old address and now i have to fill IBPS SO form .So, should i mention the new address or the old one so that there will be no problem in further proceedings . ?? Plz reply 

Deposit Insurance and Credit Guarantee Corporation ( DICGC): Definition: DICGC is a subsidiary of Reserve Bank of India. It was established on 1961 under Deposit Insurance and Credit Guarantee Corporation Act, 1961 for the purpose of providing insurance of deposits and guaranteeing of credit facilities. DICGC insures all bank deposits, such as saving, fixed, current, recurring deposits for up to the limit of Rs. 100,000 of each deposits in a bank. FAQs:: Q1 Which banks are insured by the DICGC? Commercial Banks: All commercial banks including branches of foreign banks functioning in India, local area banks and regional rural banks are insured by the DICGC. Cooperative Banks: All State, Central and Primary cooperative banks, also called urban cooperative banks, functioning in States / Union Territories which have amended the local Cooperative Societies Act empowering the Reserve Bank of India (RBI) to order the Registrar of Cooperative Societies of the State / Union Territory to wind up a cooperative bank or to supersede its committee of management and requiring the Registrar not to take any action regarding winding up, amalgamation or reconstruction of a co-operative bank without prior sanction in writing from the Reserve Bank are covered under the Deposit Insurance System. At present all co-operative banks other than those from the States of Meghalaya, and the Union Territories of Chandigarh, Lakshadweep and Dadra and Nagar Haveli are covered under the deposit insurance system of DICGC. Primary cooperative societies are not insured by the DICGC. Q 2 What does the DICGC insure? In the event of a bank failure, DICGC protects bank deposits that are payable in India. The DICGC insures all deposits such as savings, fixed, current, recurring, etc. except the following types of deposits. (i) Deposits of foreign Governments; (ii) Deposits of Central/State Governments; (iii)Inter-bank deposits; (iv) Deposits of the State Land Development Banks with the State co-operative bank; (v) Any amount due on account of any deposit received outside India (vi) Any amount, which has been specifically exempted by the corporation with the previous approval of Reserve Bank of India. Q 3 What is the maximum deposit amount insured by the DICGC? Each depositor in a bank is insured upto a maximum of Rs.1,00,000 (Rupees One Lakh) for both principal and interest amount held by him in the same capacity and same right as on the date of liquidation/cancellation of bank's licence or the date on which the scheme of amalgamation/merger/reconstruction comes into force. Q 4 How will I know whether my bank is insured by the DICGC or not? The DICGC while registering the banks as insured banks furnishes them with printed leaflets for display giving information relating to the protection afforded by the Corporation to the depositors of the insured banks. In case of doubt, depositor should make specific enquiry from the branch official in this regard. Q 5 What is the ceiling on amount of Insured deposits kept by one person in different branches of a bank? The deposits kept in different branches of a bank are aggregated for the purpose of insurance cover and a maximum amount upto Rupees one lakh is paid. Q 6 Does the DICGC insure just the principal on an account or both principal and accrued interest? The DICGC insures principal and interest upto a maximum amount of Rs. One lakh. For example, if an inpidual had an account with a principal amount of Rs.95,000 plus accrued interest of Rs.4,000, the total amount insured by the DICGC would be Rs.99,000. If, however, the principal amount in that account was Rs. One lakh, the accrued interest would not be insured, not because it was interest but because that was the amount over the insurance limit. Q 7 Can deposit insurance be increased by depositing funds into several different accounts all at the same bank? All funds held in the same type of ownership at the same bank are added together before deposit insurance is determined. If the funds are in different types of ownership or are deposited into separate banks they would then be separately insured. Q 8 What is a single ownership account? A single (or inpidual) ownership account is an account owned by one person. Such accounts include those in the owner's name; those established for the benefit of the owner by agents, nominees, guardians, custodians, or conservators; and those established by a business that is a sole proprietorship. Q 9 Are deposits in different banks separately insured? Yes. If you have deposits with more than one bank, deposit insurance coverage limit is applied separately to the deposits in each bank. Q 10 If I have my funds on deposit at two different banks, and those two banks are closed on the same day, are my funds added together, or insured separately? Your funds from each bank would be insured separately, regardless of the date of closure. Q 11 What is the meaning of deposits held in the same capacity and same right; and deposits held in different capacity and different right? If an inpidual opens more than one deposit account in one or more branches of a bank, e.g. Shri S. K. Pandit opens one or more savings/current account and one or more fixed/recurring deposit accounts etc., all these are considered as accounts held in the same capacity and in the same right. Therefore, the balances in all these accounts are aggregated and maximum insurance cover is available upto rupees one lakh. If Shri S. K. Pandit holds other deposit accounts in his capacity as a partner of a firm or guardian of a minor or director of a company or trustee of a Trust or a joint account, say with his wife Smt. S. K. Pandit, in one or more branches of the bank then such accounts are considered as held in different capacity and different right. Accordingly, such deposits accounts will also enjoy the insurance cover upto rupees one lakh separately. It is further clarified that the deposit held in the name of the proprietary concern where a depositor is the sole proprietor and the deposit held in his inpidual capacity are aggregated and insurance cover is available upto rupees one lakh in maximum. Deposits held in joint accounts (revised w.e.f. April 26, 2007) If more than one deposit accounts (Savings, Current, Recurring or Fixed deposit) are jointly held by inpiduals in one or more branches of a Bank say three inpiduals A, B & C hold more than one joint deposit accounts in which their names appear in the same order then all these accounts are considered as held in the same capacity and in the same right. Accordingly, balances held in all these accounts will be aggregated for the purpose of determining the insured amount within the limit of Rs.1 lakh. However, if inpiduals open more than one joint accounts in which their names are not in the same order for example, A, B and C; C, B and A; C, A and B; A, C and B; or group of persons are different say A, B and C and A, B and D etc. then, the deposits held in this joint accounts are considered as held in the different capacity and different right. Accordingly, insurance cover will be available separately upto rupees one lakh to every such joint account where the names appear in different order or names are different. Q 12 Can the bank deduct the amount of dues payable by the depositor? Yes. Banks have the right to set off their dues from the amount of deposits. The deposit insurance is available after netting of such dues. Q 13 Who pays the cost of deposit insurance? Deposit insurance premium is borne entirely by the insured bank. Q 14 When is the DICGC liable to pay? If a bank goes into liquidation: The DICGC is liable to pay to each depositor through the liquidator, the amount of his deposit upto Rupees one lakh within two months from the date of receipt of claim list from the liquidator. If a bank is reconstructed or amalgamated / merged with another bank: Where in respect of an insured bank a scheme of compromise or arrangement or of reconstruction or amalgamation has been sanctioned by any competent authority and the said scheme provides for each depositor being paid or credited with, on the date on which the scheme comes into force, an amount which is less than the original amount and also the specified amount, the Corporation shall be liable to pay to every such depositor in accordance with the provisions of section 18 of DICGC Act an amount equivalent to the difference between the amount so paid or credited and the original amount, or the difference between the amount so paid or credited and the specified amount, whichever is less: Provided that where any such scheme also provides that any payment made to a depositor before the coming into force of the scheme shall be reckoned towards the payment due to him under that scheme, then the scheme shall be deemed to have provided for that payment being made on the date of its coming into force. Q 15 Does the DICGC directly deal with the depositors of failed banks? No. In the event of a bank's liquidation, the liquidator prepares depositor wise claim list and sends it to the DICGC. After scrutiny the DICGC pays the money to the liquidator who is liable to pay to the depositors. In the case of amalgamation / merger of banks, the amount due to each depositor is paid to the transferee bank. Q 16 Can any insured bank withdraw from the DICGC coverage? No. The deposit insurance scheme is compulsory and no bank can withdraw from it. Q 17 Can the DICGC withdraw deposit insurance coverage from any bank? The Corporation may cancel the registration of an insured bank if it fails to pay the premium for three consecutive half year periods. In the event of the DICGC withdrawing its coverage from any bank for default in the payment of premium the public will be notified through newspapers. Registration of an insured bank stands cancelled if the bank is prohibited from receiving fresh deposits; or its licence is cancelled or a licence is refused to it by the RESERVE BANK; or it is wound up either voluntarily or compulsorily; or it ceases to be a banking company or a co-operative bank within the meaning of Section 36A(2) of the Banking Regulation Act, 1949; or it has transferred all its deposit liabilities to any other institution; or it is amalgamated with any other bank or a scheme of compromise or arrangement or of reconstruction has been sanctioned by a competent authority and the said scheme does not permit acceptance of fresh deposits. In the event of the cancellation of registration of a bank, deposits of the bank remain covered by the insurance till the date of the cancellation. Q 18 What will be the Corporation's liability to the banks on de-registration. The Corporation has deposit insurance liability on liquidation etc. of "Insured banks" i.e. banks which have been de-registered (a) on account of prohibition on receiving fresh deposits or (b) on cancellation of license or it is found that license can not be granted. The liability of the Corporation in these cases is limited to the extent of deposits as on the date of cancellation of registration of bank as an insured bank. On liquidation etc. of other de-registered banks i.e. banks which have been de-registered on other grounds such as non payment of premium or their ceasing to be eligible co-operative banks under section 2(gg) of the DICGC Act, 1961, the Corporation will have no liability.

Hi Puys,

I have a doubt regarding caste certificate. The certificate required during interview should match word to word with the format provided by IBPS or they only refer clause for authenticity. In my caste certificate important clauses are mentioned but the certificate is not the exact copy of the one provided by IBPS but it can be verified online.

Nationalization is a process whereby a national government or State takes over the private industry, organisation or assets into public ownership by an Act or ordinance or some other kind of orders. This strategy has been frequently adopted by socialist governments for transition from capitalism to socialism. 19 banks have been nationalized so far. (SBI and IDBI not nationalized bank) PSB-- (PSBs) in India are banks where a majority stake (i.e. more than 50%) is held by a government. Thus all nationalized banks are psb's but not vice-versa ..ex--SBI and IDBI banks SBI is NOT a Nationalized bank. It is a Public Sector Bank. Actually, SBI draws powers from State Bank of India,Act 1955. SBI was already under State control in 1969 / 1980. (Remember SBI Act, 1955) .So, there was no need of Nationalization. Nationalized banks are the banks which were nationalized in two phases- one in 1969 and another in 1980. Need of Nationalization --To raise public confidence in Banking system --Expansion of banking facilities in a uniform manner --Provide banking facility in rural and sub-urban areas. --Nationalization sought to end the monopoly control of big industrialists on upon the banking system --Nationalization aimed at giving more credit to priority sectors. --Nationalization sought to reduce regional economic inequalities --Nationalization was to ensure enough development funds for the planned growth of the country.

Is der any puy ? who is just pass graduate with 2 certificates and got selected for po?

Ibps po was abt to set criteria of 60%+ and i think he indirectly set this

Immediate Payment Service (IMPS) is a payment service introduced by National Payments Corporation of India (NPCI). The service is launched as an instant mobile remittance solution in November, 2010 has today evolved as a multi-channel, multi-dimensional remittance platform. The IMPS platform today is capable of processing P2P (Person to Person), P2A (Person to Account) and P2M (Person to Merchant) remittance and transactions can be initiated from Mobile, Internet as well as ATM channel. In addition to banking customers, non-banking customers can also avail the IMPS facility through Reserve Bank of India (RBI) approved PPIs.

Benefits of IMPS

  • Instant
  • Available 24 X 7
  • Available on holidays also
  • Safe and Secure
  • Available on Mobile /Internet/ ATM Services

 IMPS: Services Offered

  • Utility Bills
  • Mobile Top up & DTH Recharge
  • Credit Card Bills
  • Grocery Bills
  • Travel & Ticketing
  • Online Shopping
  • Educational institutes (schools/Colleges) fees payment

Statutory liquidity ratio refers amount that the commercial banks require to maintain in the form of gold or govt. approved securities before providing credit to the customers. Statutory Liquidity Ratio is determined and maintained by the Reserve Bank of India in order to control the expansion of bank credit. It is determined as percentage of total demand and time liabilities. Time Liabilities refer to the liabilities, which the commercial banks are liable to pay to the customers after a certain period mutually agreed upon and demand liabilities are such deposits of the customers which are payable on demand. example of time liability is a fixed deposits for 6 months, which is not payable on demand but after six months. example of demand liability is deposit maintained in saving account or current account, which are payable on demand through a withdrawal form of a cheque. It regulates the credit growth in India

The maximum limit of SLR is 40% and minimum limit of SLR is 23% in India. At present, the minimum limit of SLO that can be set by the Reserve Bank is 23% AS ON September 2013. The main objectives for maintaining the SLR ratio are the following:

· to control the expansion of bank credit. By changing the level of SLR, the Reserve Bank of India can increase or decrease bank credit expansion.

.   to ensure the solvency of commercial banks.

.   to compel the commercial banks to invest in government securities like government bonds.

If any Indian bank fails to maintain the required level of Statutory Liquidity Ratio, then it becomes liable to pay penalty to Reserve Bank of India. The defaulter bank pays penal interest at the rate of 3% per annum above the Bank Rate, on the shortfall amount for that particular day. But, according to the Circular, released by the Department of Banking Operations and Development, Reserve Bank of India; if the defaulter bank continues to default on the next working day, then the rate of penal interest can be increased to 5% per annum above the Bank Rate. The RBI can increase the SLR to contain inflation, suck liquidity in the market, to tighten the measure to safeguard the customer's money.

Capital Adequacy Ratio (CAR), also known as Capital to Risk (Weighted) Assets Ratio (CRAR), is a ratio of a bank's capital to its risk. National regulators track a bank's CAR to ensure that it can absorb a reasonable amount of loss and complies with statutory Capital requirements.

Capital adequacy ratio is the ratio which determines the bank's capacity to meet the time liabilities and other risks such as credit risk, operational risk etc. Banking regulators in most countries define and monitor CAR to protect depositors, thereby maintaining confidence in the banking system.

Q1. What is RTGS System ?

Ans. The acronym 'RTGS' stands for Real Time Gross Settlement, which can be defined as the continuous (real-time) settlement of funds transfers individually on an order by order basis. 'Real Time' means the processing of instructions at the time they are received rather than at some later time. 'Gross Settlement' means the settlement of funds transfer instructions occurs individually (on an instruction by instruction basis

Q2. How RTGS is different from National Electronics Funds Transfer System (NEFT) ?

Ans. NEFT is an electronic fund transfer system that operates on a Deferred Net Settlement (DNS) basis which settles transactions in batches. In DNS, the settlement takes place with all transactions received till the particular cut-off time. These transactions are netted (payable and receivables) in NEFT whereas in RTGS the transactions are settled individually. For example, currently, NEFT operates in hourly batches. [There are twelve settlements from 8 am to 7 pm on week days and six settlements from 8 am to 1 pm on Saturdays.] Any transaction initiated after a designated settlement time would have to wait till the next designated settlement time. Contrary to this, in the RTGS, transactions are processed continuously throughout the RTGS business hours.

Q3. Is there any minimum / maximum amount stipulation for RTGS transactions ?

Ans. The RTGS system is primarily meant for large value transactions. The minimum amount to be remitted through RTGS is 2 lakhs. There is no upper ceiling for RTGS transactions.

Q4. What is the time taken for effecting funds transfer from one account to another under RTGS ?

Ans. Under normal circumstances, the beneficiary branches are expected to receive the funds in real time as soon as funds are transferred by the remitting bank. The beneficiary bank has to credit the beneficiary's account within two hours of receiving the funds transfer message.

Q5. Would the remitting customer receive an acknowledgement of money credited to the beneficiary's account ?

Ans. The remitting bank receives a message from the Reserve Bank that money has been credited to the receiving bank. Based on this the remitting bank can advise the remitting customer through SMS that money has been credited to the receiving bank.

Q6. Would the remitting customer get back the money if it is not credited to the beneficiary's account? When ?

Ans. Yes. Funds, received by a RTGS member for the credit to a beneficiary customer's account, will be returned to the originating RTGS member within two hours of the receipt of the payment at the PI of the recipient bank or before the end of the RTGS Business day, whichever is earlier. Once the money is received back by the remitting bank, the original debit entry in the customer's account is reversed.

Q7. Till what time RTGS service window is available ?

Ans. The RTGS service window for customer's transactions is available to banks from 9.00 hours to 16.30 hours on week days and from 9.00 hours to 14:00 hours on Saturdays. However, the timings that the banks follow may vary depending on the customer timings of the bank branches.

Q8. What about Processing Charges / Service Charges for RTGS transactions ?

Ans. With a view to rationalize, the service charges levied by banks for offering funds transfer through RTGS system has been mandated as under:

a)   Inward transactions - Free, no charge to be levied.

b) Outward transactions - 2 lakhs to 5 lakhs - not exceeding 30 per transaction. Above 5 lakhs -  not exceeding 55 per transaction.

Q9. What is the essential information that the remitting customer would have to furnish to a bank for the remittance to be effected ?

Ans. The remitting customer has to furnish the following information to a bank for initiating a RTGS remittance:

  1. Amount to be remitted
  2. Remitting customer's account number which is to be debited
  3. Name of the beneficiary bank and branch
  4. Name of the beneficiary customer
  5. Account number of the beneficiary customer
  6. Sender to receiver information, if any
  7. The IFSC Number of the receiving branch

Q10. How would one know the IFSC code of the receiving branch ?

Ans. The beneficiary customer can obtain the IFSC code from his bank branch. The IFSC code is also available on the cheque leaf. This code number and bank branch details can be communicated by the beneficiary to the remitting customer.

Q11. Is there any way that a remitting customer can track the remittance transaction ?

Ans. Some banks with internet banking facility provide this service. Once the funds are credited to the account of the beneficiary bank, the remitting customer gets a confirmation from his bank either by an e-mail or SMS. Customer may also contact RTGS / NEFT Customer Facilitation Centres of the banks, for tracking a transaction.

Q12. How can a remitting customer know whether the bank branch of the beneficiary accepts remittance through RTGS ?

Ans. For a fund transfer to go through RTGS, both the sending bank branch and the receiving bank branch would have to be RTGS enabled.

Q.1. What is NEFT ?

Ans: National Electronic Funds Transfer (NEFT) is a nation-wide payment system facilitating one-to-one funds transfer. Under this Scheme, individuals, firms and corporate can electronically transfer funds from any bank branch to any individual, firm or corporate having an account with any other bank branch in the country participating in the Scheme.

Q.2. Who can transfer funds using NEFT ?

Ans. Individuals, firms or corporate maintaining accounts with a bank branch can transfer funds using NEFT. Even such individuals who do not have a bank account (walk-in customers) can also deposit cash at the NEFT enabled branches with instructions to transfer funds using NEFT. However, such cash remittances will be restricted to a maximum of Rs.50,000/- per transaction. Such customers have to furnish full details including complete address, telephone number, etc.

Q.3. Who can receive funds through the NEFT system ?

Ans: Individuals, firms or corporates maintaining accounts with a bank branch can receive funds through the NEFT system. It is, therefore, necessary for the beneficiary to have an account with the NEFT enabled destination bank branch in the country. The NEFT system also facilitates one-way cross-border transfer of funds from India to Nepal. This is known as the Indo-Nepal Remittance Facility Scheme.

Q.4. Is there any limit on the amount that could be transferred using NEFT ?

Ans. No, there is no limit - either minimum or maximum - on the amount of funds that could be transferred using NEFT. However, maximum amount per transaction is limited to Rs.50,000/- for cash-based remittances and remittances to Nepal.

Q.5. How does the NEFT system operate ?

Step-1 : An individual / firm / corporate intending to originate transfer of funds through NEFT has to fill an application form providing details of the beneficiary (like name of the beneficiary, name of the bank branch where the beneficiary has an account, IFSC of the beneficiary bank branch, account type and account number) and the amount to be remitted. Walk-in customers will, however, have to give their contact details (complete address and telephone number, etc.) to the branch.

Step-2 : The originating bank branch prepares a message and sends the message to its pooling centre (also called the NEFT Service Centre).

Step-3 : The pooling centre forwards the message to the NEFT Clearing Centre (operated by National Clearing Cell, Reserve Bank of India, Mumbai) to be included for the next available batch.

Step-4 : The Clearing Centre sorts the funds transfer transactions destination bank-wise and prepares accounting entries to receive funds from the originating banks (debit) and give the funds to the destination banks. Thereafter, bank-wise remittance messages are forwarded to the destination banks through their pooling centre (NEFT Service Centre).

Step-5 : The destination banks receive the inward remittance messages from the Clearing Centre and pass on the credit to the beneficiary customers' accounts.

Q.6. What is IFSC ?

Ans. IFSC or Indian Financial System Code is an alpha-numeric code that uniquely identifies a bank-branch participating in the NEFT system. This is an 11 digit code with the first 4 alpha characters representing the bank, and the last 6 characters representing the branch. The 5th character is 0 (zero). IFSC is used by the NEFT system to identify the originating / destination banks / branches and also to route the messages appropriately to the concerned banks / branches.

Q.7. What are the processing or service charges for NEFT transactions ?

Ans. The structure of charges that can be levied on the customer for NEFT is given below:

a) Inward transactions at destination bank branches (for credit to beneficiary accounts) - Free, no charges to be levied from beneficiaries

b) Outward transactions at originating bank branches - charges applicable for the remitter

- For transactions up to Rs 10,000 : not exceeding Rs 2.50 (+ Service Tax)

- For transactions above Rs 10,000 up to Rs 1 lakhs: not exceeding Rs 5 (+ Service Tax)

- For transactions above Rs 1 lakhs and up to Rs 2 lakhs: not exceeding Rs 15 (+ Service Tax)

- For transactions above Rs 2 lakhs: not exceeding Rs 25 (+ Service Tax)

c) Charges applicable for transferring funds from India to Nepal using the NEFT system is available on the website of RBI. With effect from 1st July 2011, originating banks are required to pay a nominal charge of 25 paise each per transaction to the clearing house as well as destination bank as service charge. However, these charges cannot be passed on to the customers by the banks.

Q.8. When can the beneficiary expect to get the credit to his bank account ?

Ans. The beneficiary can expect to get credit for the first ten batches on week days (i.e., transactions from 8 am to 5 pm) and the first five batches on Saturdays (i.e., transactions from 8 am to 12 noon) on the same day. For transactions settled in the last two batches on week days (i.e., transactions settled in the 6 and 7 pm batches) and the last batch on Saturdays (i.e., transactions handled in the 1 pm batch) beneficiaries can expect to get credit either on the same day or on the next working day morning.

Q.9. Who should be contacted in case of non-credit or delay in credit to the beneficiary account ?

Ans. In case of non-credit or delay in credit to the beneficiary account, the NEFT Customer Facilitation Centre (CFC) of the respective bank can be contacted. Details of NEFT Customer Facilitation Centers of banks are available on the websites of the respective banks. The details are also available on the website of Reserve Bank of India.

Q.10. What will happen if credit is not afforded to the account of the beneficiary ?

Ans. If it is not possible to afford credit to the account of the beneficiary for whatever reason, destination banks are required to return the transaction (to the originating branch) within two hours of completion of the batch in which the transaction was processed.

Q.11. Can NEFT be used to transfer funds from / to NRE and NRO accounts ?

Ans. Yes. NEFT can be used to transfer funds from or to NRE and NRO accounts in the country. This, however, is subject to the adherence of the provisions of the Foreign Exchange Management Act, 2000 (FEMA) and Wire Transfer Guidelines.

Q.12. Can remittances be sent abroad using NEFT ?

Ans. No. However, a facility is available to send outward remittances to Nepal under the Indo-Nepal Remittance Facility Scheme.

Q.13. What are the benefits of using NEFT ?

Ans: NEFT offers many advantages over the other modes of funds transfer:

  • The remitter need not send the physical cheque or Demand Draft to the beneficiary.
  • The beneficiary need not visit his / her bank for depositing the paper instruments.
  • The beneficiary need not be apprehensive of loss / theft of physical instruments or the     likelihood of fraudulent encashment thereof.
  • Cost effective.
  • Credit confirmation of the remittances sent by SMS or email.
  • Remitter can initiate the remittances from his home / place of work using the internet banking also.
  • Near real time transfer of the funds to the beneficiary account in a secure manner.

Cheque Truncation System (CTS) or Image-based Clearing System (ICS) is used for faster clearing of cheques. CTS is basically an online image-based cheque clearing system where cheque images and Magnetic Ink Character Recognition (MICR) data are captured at the collecting bank branch and transmitted electronically.

Truncation means, stopping the flow of the physical cheques issued by a drawer to the drawee branch. An electronic image of the cheque is sent to the drawee branch along with the relevant information like the MICR fields, date of presentation, presenting banks etc.

Cheque truncation eliminates the need to move the physical instruments across branches, except in exceptional circumstances. This results in effective reduction in the time required for payment of cheques, the associated cost of transit and delays in processing, etc., thus speeding up the process of collection or realization of cheques.

Adoption Challenges

Integration with existing large banking systems - Legacy systems are a major IT and operational investment for banks. Most Banks have already invested on legacy systems and therefore it becomes vital that the new system has the capability to integrate seamlessly with the existing systems.

Expected Benefits

Banks can expect multiple benefits through the implementation of CTS, like faster clearing cycle means realization of proceeds of cheque possible within the same day. It offers better reconciliation/verification process, better customer service and enhanced customer window. Operational efficiency will provide a direct boost to bottom lines of banks as clearing of local cheques is a high cost low revenue activity. Besides, it reduces operational risk by securing the transmission route. Centralized image archival system ensures data storage and retrieval is easy. Reduction of manual tasks leads to reduction of errors. Customer satisfaction will be enhanced, due to the reduced turnaround time (TAT). Real-time tracking and visibility of the cheques, less fraudulent cases with secured transfer of images to the RBI are other possible benefits that banks may derive from this solution.

Status of Implementation

The Reserve Bank of India first implemented CTS in National Capital Region, New Delhi from 27 December 2007 with 10 pilot banks and the dead line was set as 30 April 2008 for all the banks. This was followed by launch of CTS in Chennai on 24 September 2011. After migration from MICR to CTS the traditional MICR based cheque processing was discontinued in NCR and Chennai.

The bank insurance model (BIM), also sometimes known as bancassurance, is the partnership or relationship between a bank and an insurance company whereby the insurance company uses the bank sales channel in order to sell insurance products, an arrangement in which a bank and an insurance company form a partnership so that the insurance company can sell its products to the bank's client base.

Bank staff and tellers, rather than an insurance salesperson, become the point of sale and point of contact for the customer. Bank staff are advised and supported by the insurance company through product information, marketing campaigns and sales training.

The bank and the insurance company share the commission. Insurance policies are processed and administered by the insurance company.

This partnership arrangement can be profitable for both companies. Banks can earn additional revenue by selling the insurance products, while insurance companies are able to expand their customer base without having to expand their sales forces or pay commissions to insurance agents or brokers.

The Federation of Indian Chambers of Commerce and Industry (FICCI) is an association of business organizations in India. Established in 1927, it is the largest, oldest and the apex business organization in India. It is a non-government, not-for-profit organization. FICCI draws its membership from the corporate sector, both private and public, including SMEs and MNCs. The chamber has an indirect membership of over 2,50,000 companies from various regional chambers of commerce. It is involved in sector specific business policy consensus building, and business promotion and networking. It is headquartered in the national capital New Delhi and has presence in 11 states in India and 8 countries across the world

Financial inclusion or inclusive financing is the delivery of financial services at affordable costs to sections of disadvantaged and low-income segments of society.

A Non-performing asset (NPA) is defined as a credit facility in respect of which the interest and/or installment of principal has remained 'past due' for a specified period of time.

Identification

NPA is a classification used by financial institutions that refer to loans that are in jeopardy of default. Once the borrower has failed to make interest or principle payments for 90 days the loan is considered to be a non-performing asset. Accordingly, with effect from March 31, 2004, a non-performing asset (NPA) shall be a loan or an advance where;

  • Interest and/or installment of principal remain overdue for a period of more than 90 days in respect of a term loan,
  • The account remains 'out of order' for a period of more than 90 days, in respect of an Overdraft/Cash Credit,
  • The bill remains overdue for a period of more than 90 days in the case of bills purchased and discounted,
  • Interest and/or installment of principal remains overdue for two harvest seasons but for a period not exceeding two half years in the case of an advance granted for agricultural purposes, and
  • Any amount to be received remains overdue for a period of more than 90 days in respect of other accounts.

How It Works/Example:

On a bank's balance sheet, loans made to customers are listed as assets. The biggest risk to a bank is when customers who take out loans stop making their payments, causing the value of the loan assets to decline.

Loans don't go bad right away. Most loans allow customers a certain grace period. Then they are marked overdue. After a certain number of days, the loan is classified as a nonperforming loan.

After a certain amount of time, a bank will try to recoup its money by foreclosing on the property that secures the loan. Once the bank legally owns the property, it is classified as real estate owned (REO) on the bank's balance sheet.

Corporate social responsibility (CSR, also called corporate conscience, corporate citizenship, social performance, or sustainable responsible business/ Responsible Business) is a form of corporate self-regulation integrated into a business model. CSR policy functions as a built-in, self-regulating mechanism whereby a business monitors and ensures its active compliance with the spirit of the law, ethical standards, and international norms. CSR is a process with the aim to embrace responsibility for the company's actions and encourage a positive impact through its activities on the environment, consumers, employees, communities, stakeholders and all other members of the public sphere who may also be considered as stakeholders

A Kisan Credit Card is a credit card to provide affordable credit for farmers in India. It was started by the Government of India, Reserve Bank of India (RBI), and National Bank for Agricultural and Rural Development (NABARD) in 1998-99 to help farmers access timely and adequate credit.

The Kisan Credit Card allows farmers to have cash credit facilities without going through time-consuming bank credit screening processes repeatedly. Repayment can be rescheduled if there is a bad crop season, and extensions are offered for up to four years. The card is valid for three years and subject to annual renewals. Withdrawals are made using slips, cards, and a passbook.

Details

Maximum limit: Rs. 50000/- for Rabi Crops. Rs. 50000/- for Kharif Crops.

Eligibility: Individual/society.

Repayment period: Kharif 31 January, Rabi 31 July.

Collateral Security Charge on land in case loan is above Rs. 10000/- and two sureties if loan is below Rs. 10000/-.

Know your customer (KYC) refers to due diligence activities that financial institutions and other regulated companies must perform to ascertain relevant information from their clients for the purpose of doing business with them. Banks, insurers and export credit agencies are increasingly demanding that customers provide detailed anti-corruption due diligence information, to verify their probity and integrity.

Standards

The objective of KYC guidelines is to prevent banks from being used, by criminal elements for money laundering activities. This helps them manage their risks prudently. Banks usually frame their KYC policies incorporating the following four key elements:

  • Customer Acceptance Policy
  • Customer Identification Procedures
  • Monitoring of Transactions
  • Risk management

ASBA (Applications Supported by Blocked Amount) is a process developed by the India's Stock Market Regulator SEBI for applying to IPO. In ASBA, an IPO applicant's account doesn't get debited until shares are allotted to them.

ASBA process facilitates retail individual investors bidding at a cut-off, with a single option, to apply through Self Certified Syndicate Banks (SCSBs), in which the investors have bank accounts. SCSBs are those banks which satisfy the conditions laid by SEBI.

ASBA is stipulated by SEBI, and available from most of the banks operating in India. This allows the investors money to remain with the bank till the shares are allotted after the IPO. Only then does the money transfer out of the investors account to the company. This eliminates the need for refunds on shares not being allotted. As on 3 December 2012, 52 Banks are acting as SCSBs.

No Frills Account - If a company makes its service/product cheaper by removing the extra features that is no frill.

Eg. Mobile phone postpaid package without unlimited ringtones or free night talk.
Dish TV package without 100 sports channels.

No frill account is a type of bank account, with low/zero balance requirement with extra-features removed.

RBI came up with this No-frill concept, because poor people cannot open regular bank account having requirements like Rs.5000/- minimum balance etc. So, there are no frill accounts for them so that poor people can open bank accounts and take loans.

What is credit-deposit ratio?

It is the ratio of how much a bank lends out of the deposits it has mobilized. It indicates how much of a bank's core funds are being used for lending, the main banking activity. A higher ratio indicates more reliance on deposits for lending and vice-versa .

Is there an ideal level for this ratio?

A very low ratio indicates banks are not making full use of their resources. And if the ratio is above a certain level, it indicates a pressure on resources.

What is the current scenario?

At present, the credit-deposit ratio for the banking sector as a whole is 75 per cent. In the case of Indian banks, a credit-deposit ratio of over 70 per cent indicates pressure on resources as they have to set aside funds to maintain a cash reserve ratio of 4 per cent and a statutory liquidity ratio of 23 per cent.

Why is it considered a key parameter?

The ratio gives the first indication of the health of a bank. A very high ratio is considered alarming because, in addition to indicating pressure on resources, it may also hint at capital adequacy issues, forcing banks to raise more capital.

What is the marginal standing facility?

The RBI introduced the marginal standing facility (MSF), under which banks could borrow funds from RBI at 8.75%, which is 1% above the liquidity adjustment facility-repo rate against pledging government securities.

Current Account is the sum of the balance of trade (exports minus imports of goods and services), net factor income (such as interest and dividends) and net transfer payments (such as foreign aid).

Bitcoin is an open source, peer-to-peer payment network and digital currency introduced in 2009. Bitcoin has been called a crypto currency because it uses public-key cryptography for security. Users send payments by broadcasting digitally signed messages that transfer ownership of bit coins, the unit of currency. A decentralized network of specialized computers verifies and timestamps all transactions using a proof-of-work system. The operators of these computers, known as "miners", are rewarded with transaction fees and newly minted bit coins.

Cut motion is a veto power given to the members of the Lok Sabha to oppose a demand in the financial bill discussed by the government. This can turn into an effective tool to test the strength of the government. If a cut motion is adopted by the House and the government does not have the numbers, it is obliged to resign.

Money laundering is the process of concealing sources of money. Money evidently gained through crime is "dirty" money, and money that has been "laundered" to appear as if it came from a legitimate source is "clean" money.

TOP 15 OFFICER LIKE QUALITIES

  • Effective Intelligence.
  • Reasoning Ability.
  • Power of Expression.
  • Self Confidence.
  • Determination.
  • Organizing Ability.
  • Initiative.
  • Courage.
  • Cooperation.
  • Sense of Responsibility.
  • Stamina.
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  • Liveliness.
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  • Speed of Decision

RTGS Vs NEFT

In the case of RTGS, settlement is on 'Real Time' basis whereas in case of NEFT, the settlement in on batch basis and net basis.

What are the operating hours of RTGS ?

RBI has prescribed the following operating hours for RTGS : The RTGS service window for customer's transactions is available from 9.00 hours to 16.30 hours on week days and from 9.00 hours to 13.30 hours on Saturdays for settlement at the RBI end.

Normally, banks close their own window for accepting the transactions, about 15 minutes before the above time as to allow them to put the transaction in the system so that it reaches by the upper time limit at the RBI window.


What is Core Banking Solution ?

Core Banking Solution (CBS) is networking of branches, which enables Customers to operate their accounts, and avail banking services from any branch of the Bank on CBS network, regardless of where he maintains his account. The customer is no more the customer of a Branch. He becomes the Bank's Customer. Thus CBS is a step towards enhancing customer convenience through Anywhere and Anytime Banking.

How shall CBS help Customers?

All CBS branches are inter-connected with each other. Therefore, Customers of CBS branches can avail various banking facilities from any other CBS branch located any where in the world. These services* are:

To make enquiries about the balance; debit or credit entries in the account.

To obtain cash payment out of his account by tendering a cheque.

To deposit a cheque for credit into his account.

To deposit cash into the account.

To deposit cheques / cash into account of some other person who has account in a CBS branch.

To get statement of account.

To transfer funds from his account to some other account - his own or of third party, provided both accounts are in CBS branches.

To obtain Demand Drafts or Banker's Cheques from any branch on CBS - amount shall be online debited to his account.

What are other benefits to the Customers ?

A CBS branch is like a Sales & Service Delivery Center. Back office processes/activities are handled through technology at some other site, called Data Center. Branch, therefore, has more time for serving customers. This improves the quality and efficiency of the services rendered and the customer is directly benefited by way of satisfying and happy banking experience.

Since a CBS branch is essentially designed to focus on customer-interface and customer service, the special lay-out and ambience of the branch is made to provide a convenient and delightful banking experience. The Customer Service Representatives / Executives at the branch are specially trained to understand, facilitate and deliver banking services efficiently and effectively.
We wish our customers happy banking.


Strategy adopted for Financial Inclusion :

One of the major challenges for next decade or more to banks in the country is to capture the banking business of over 50% population of this country of over 1.2 billion people. Poor people need to be provided with access to financial products at low transaction cost. They need to be provided assistance on the demand side (in terms of financial awareness and literacy) as well as on the supply side (in the form of availability of customized financial products). Taking into account their seasonal inflow of income from agricultural operations, migration from one place to another seasonal and irregular work availability and income, the existing financial system needs to be designed to suit their requirements and to be more responsive to their needs. No doubt banks and regulators play a major role in this, but we also need to think beyond traditional ways and delivery channels to speed up the efforts.

Dr. Raghuram Rajan, Hon'ble Governor, RBI has powerfully enunciated the need for broad based diversified growth leading to rapid reduction in poverty. Governor has also laid down RBI's developmental measures for the near future on five pillars and one of the most important pillar amongst them is Financial Inclusion where the objective is to expand access of finance to small and medium enterprises, the unorganized sector, the poor, and remote and underserved areas of the country.

The approach adopted for achieving the objectives under Financial Inclusion

RBI's perspective on Financial Inclusion aims at giving a specific direction to the collaborated efforts to gain synergic benefits. Therefore, we have defined Financial Inclusion as "the process of ensuring access to appropriate financial products and services needed by all sections of the society in general and vulnerable groups such as weaker sections and low income groups in particular at an affordable cost in a fair and transparent manner by mainstream institutional players."

Reserve Bank of India has made sustained efforts to increase the penetration of formal financial services in unbanked areas, while continuing with its policy of ensuring adequate but viable flow of credit to priority sectors of the economy. We have adopted a structured, planned and integrated approach towards FI which is focusing on improving access to financial services and also encouraging demand for financial services through financial literacy initiatives. Some of the defining features of our approach to FI are:

Institutional Mechanism

Under the institutional mechanism put in place for financial inclusion, we have the Financial Stability and Development Council (FSDC), which has an exclusive mandate for financial inclusion and financial literacy. A separate Technical Group on financial inclusion and financial literacy, under the Chairmanship of a Deputy Governor, has been set up under the aegis of FSDC. The Group has representations from all the financial sector regulators. In order to spearhead efforts towards greater financial inclusion, RBI has constituted a Financial Inclusion Advisory Committee (FIAC) under the Chairmanship of Deputy Governor. The FIAC has few Directors from the Central Board of RBI and experts drawn from NGO sector/other civil society representatives, etc. as members. At the State level, there are State Level Bankers Committee (SLBC) further supported by Lead District Managers (671 Districts) at the district level.

Bank led Model

In India, we have adopted a bank- led model for financial inclusion, which seeks to leverage on technology. The FI initiatives would have to be ICT based and would ride on new delivery models that would need to be developed by the market participants to best suit their requirements.

Our experience has shown that the goal of financial inclusion is better served through mainstream banking institutions as only they have the ability to offer the suite of products required to bring in effective/meaningful financial inclusion. Other players such as mobile companies have been allowed to partner with banks in offering services collaboratively.

Integrated approach - Financial Inclusion & Financial Literacy

Considering that financial Literacy is an important adjunct for promoting financial inclusion, consumer protection and ultimately financial stability, RBI has adopted an integrated approach wherein efforts towards Financial Inclusion and Financial Literacy would go hand in hand.

Bouquet of Financial products

In the absence of banks a large number of informal intermediaries had mushroomed, mostly in the rural areas, which were acting as proxy to the banks. Such unregulated entities were in the business of extending only credit products that too at exorbitant rates of interest mostly to the illiterate section of the population. This had resulted in huge indebtedness amongst the poor people. With our renewed efforts under financial inclusion we have now advised banks to ensure that all the financial needs of the customers are met by offering, at the minimum, four basic products to customers, viz.

The idea is to ensure that customers who are linked to the banking system is provided with all the basic financial products that are required to enhance their income generation capacity thus helping them to come out of poverty. Such an initiative is expected to be a win-win situation for both banks as also the large section of poor people residing in the rural areas.

Combination of Branch and BC Structure

We are advocating a combination of Brick and Mortar structure with Click and Mouse technology for extending financial inclusion, especially in geographically dispersed areas. Banks have to make effective use of technology to provide banking services in remote areas. In addition to creating a large network of small branches in rural areas, the Reserve Bank has permitted banks to utilise the services of intermediaries in providing banking services through the use of business correspondents. The BC model allows banks to do 'cash in - cash out' transactions at a location much closer to the rural population, thus addressing the last mile problem.

Leveraging on Technology

Penetrating banking services through the traditional brick and mortar model was expensive for banks. We realized that the task of Financial Inclusion was gigantic and would not be possible without actively leveraging on technology. We have therefore encouraged banks to leverage on technology to attain greater reach and penetration for minimizing the cost of providing financial services in far flung areas of the country. With adoption of technology it has been possible for banks to deliver banking products and services to the doorsteps of villages.

Engaging Business Correspondents: The Reserve Bank has permitted banks to engage Business Facilitators (BFs) and Business Correspondents (BCs) as intermediaries for providing financial and banking services. The BC Model allows banks to provide door step delivery of services especially to do 'cash in - cash out' transactions, thus addressing the 'last mile' problem. The list of eligible individuals/entities who can be engaged as BCs are being widened from time to time and we have adopted a test and learn approach to this process. Now, even for profit organisations excluding NBFCs and Telcos have been permitted to operate as BCs of banks.

Relaxation of KYC norms: The strict KYC norms inhibited linkage of common people with the Banking System. Know Your Customer (KYC) requirements for opening bank accounts have been relaxed for small accounts. Further, in order to leverage on the initiative of UIDAI, we have allowed 'Aadhaar' as one of the eligible document for meeting KYC requirements and very recently have also allowed banks to provide e-KYC services provided through the Aadhaar platform.

Simplified branch authorisation: To address the issue of uneven spread of bank branches, branch licensing norms have been relaxed considerably and banks are now free to open branches in centres with population less than 1 lakh under general permission, subject to reporting.

Opening of branches in unbanked rural centres: To further step up the opening of branches in rural areas, banks have been mandated to open at least 25 per cent of the branches in unbanked rural centres. To help facilitate achieving this mandate, banks have been advised to open to open small intermediary brick and mortar structures between the base branch and the unbanked villages. The idea is to create an eco-system for ensuring efficient delivery of services, efficiency in cash management, redressal of customer grievances and closer supervision of BC operations. This is expected to facilitate quicker branch expansion in unbanked rural centres.

Financial Inclusion Plan of banks

We have encouraged banks to adopt a structured and planned approach to financial inclusion with commitment at the highest levels, through preparation of Board approved Financial Inclusion Plans (FIPs). The first phase of FIPs was implemented over the period 2010-2013. The Reserve Bank has used the FIPs to gauge the performance of banks under their FI initiatives. In this direction we have put in place a structured and comprehensive monitoring mechanism for evaluating banks' performance vis-à-vis their targets. To ensure support of the Top Management of the Bank to the Financial Inclusion process and to ensure accountability of the senior functionaries of the bank, one on one annual review meetings are held with CMDs/CEOs of banks. 
A snapshot of the progress made by banks under the Financial Inclusion Plan during the period from April 2010 to March 2013 are as follows:-

Banking outlets in villages have increased to nearly 2,68,000 from 67,694 outlets in March 2010.

About 7,400 rural branches have been opened during this 3-year period compared with a reduction of about 1300 rural branches during the last two decades.

Nearly 109 million Basic Savings Bank Deposit Accounts (BSBDAs) have been added, taking the total number of BSBDA to 182 million. The share of ICT-based accounts has increased substantially. The percentage of ICT accounts to total BSBDAs increased from 25 per cent in March 2010 to 45 per cent in March 2013.

With the addition of nearly 9.48 million farm sector households during this period, 33.8 million households have been provided with small entrepreneurial credit as at the end of March 2013.

With the addition of nearly 2.24 million nonfarm sector households during this period, 3.6 million households have been provided with small entrepreneurial credit as at the end of March 2013.

About 490 million transactions have been carried out in ICT-based accounts through BCs during the three-year period.

We have now created a large banking network and have also managed to open a large number of small accounts. The focus under the FI plan has now shifted towards leveraging the banking network created for extending other products viz. credit, etc. which will help make the business more viable for banks. This would also ensure that the large number of accounts opened see large volume of transactions taking place and people reap the benefits of getting linked to the formal financial institutions.

Roadmap for providing Banking Services in unbanked villages: With financial inclusion gaining increasing recognition as a business opportunity and with all banks geared to increase presence, we adopted a phase-wise approach to provide banking services in all unbanked villages in the country. On completion of the first phase where nearly 74000 villages with population more than 2000 were provided with a banking outlet, we are now in the second phase where the remaining unbanked villages, numbering close to 4,90,000, have been identified in villages less than 2000 population and allocated to banks, for opening of banking outlets by Match 2016. Under the roadmap for provision of banking facilities in villages with less than 2000 population, SLBC, Madhya Pradesh has identified and allotted 47660 unbanked villages among various, out of which 18986 unbanked villages are required to be covered by March 2014.

Direct Benefit Transfer - The GoI has plans to route the social security payments through the banking network by leveraging on the Aadhaar Enabled Payment System based platform. In order to ensure smooth roll out of the Government's Direct Benefit Transfer (DBT) initiative, banks have been advised to open accounts of all eligible individuals and to seed the existing and new accounts with Aadhaar numbers.

Financial Literacy - We have realized that Financial Literacy is an important adjunct for promoting financial inclusion. We have adopted an integrated approach, wherein our efforts towards Financial Inclusion and Financial Literacy go hand in hand. Through Financial literacy and education, we disseminate information on the general banking concepts to diverse target groups, including school and college students, women, rural and urban poor, pensioners and senior citizens to enable them to make informed financial decisions. To support this we have nearly 800 financial literacy centres set up by banks. We have designed a mass scale Financial Literacy Program with an objective to integrate the financially excluded population with low level of income and low literacy level with the formal financial system. Financial Literacy Centres organize Outdoor Literacy camps which are spread over a period of three months and delivered in three phases wherein along with creating awareness, accounts are also opened in the Literacy camps.

Way forward - Issues and Challenges

Structure

With adoption of new branchless delivery channels by banks, there is a need for banks to revamp the structure for carrying out banking operations. There cannot be a fixed structured defined which can be adopted by all the banks. Each bank has to based on its current architecture develop a structure that can enhance its financial inclusion efforts. This would entail the following:-

Review of the HR policies with respect to recruitment of staff in view of the FI requirements. Separate cadre of staff can be thought off for catering to the needs of providing banking services in far flung rural areas.

Banks have to think and act differently and make themselves more flexible so as to meet even the smallest requirements of the rural population.

BC Model

There are many challenges being faced while implementing BC model. Sustainability and scalability of the BC model is essential. More and more innovative products will have to be introduced which would benefit both banks as well as the rural people and at the same time make the BC model more viable. Review of the cash management practices for delivery of banking services through the branchless modes need to be done for ensuring scaling up of the various models.

Transactions

During the first phase of our FI initiative, we have had success as regards opening of banking outlets by banks and also in opening bank accounts for large number of individuals. Going forward our idea is to enable more transactions in these accounts by providing more credit products, which will not only help rural people to avail of credit at comparatively lower rates of interest but at the same time also make the BC model viable for banks. Banks have been advised to leverage upon the Direct Benefit Transfer initiative of the Government of India for linking all the individuals to the banking system and for utilizing the large amounts likely to be credited in these accounts for encouraging issue of deposit and credit products.

Collaboration

Finally, financial inclusion cannot be achieved without the active involvement of all stakeholders like RBI, other financial regulators, banks, governments, NGOs, civil societies, etc. The current policy objective of inclusive growth with financial stability cannot be achieved without ensuring universal financial inclusion. Banks alone will not be able to achieve this unless an entire support system would be partnering with them in this mission. All the stakeholders need to join hands and make it possible.

Cloud computing allows companies to access information technology services via the Internet by delivering hardware and software to users over a network. In a large corporation, instead of loading hardware and software on each individual computer - the programs are stored in a "cloud," and are accessible via a web-based service.
The administrators of these cloud can run everything the users require - from email programs to word processing to advanced, industry-specific programs. Changes to what programs each user can access, or the addition of new software can all be handled by an off-site IT department. What does cloud computing mean for the banking industry?
Reduced Technology Costs
Because cloud computing offers the ability for shared service delivery with rapid acquisition and reduced initial investments when upgrading hardware or software, the cloud offers the potential for reduced technology costs for businesses. Cloud computing can keep operating costs low and generally uses a variable pricing model that allows companies to pay for only those services that they are actually using. Many large banks are watching cloud computing for answers to whether or not it can handle security and regulatory issues imposed on financial institutions, while some banks are testing cloud computing proactively.
Many banks face high costs for technology and hardware that is under-utilized over time.  When a bank is ready to make changes to their service offerings or scale-up their overall operations, it tends to increase costs drastically in terms of hardware, software, and manpower needed to make it happen. Smaller banks struggle to remain competitive if a core banking solution requires an upfront investment in technology to make it happen, but if banks were relying on cloud computing, they could more efficiently make upgrades, access hardware and software on demand, and add licenses for what is actually being used rather than having a huge physical equipment investment before they can make changes to their use of technology.
Banks that make the switch to cloud computing could get into a subscription model which allows them to pay per branch or per use for accessing certain software and hardware solutions. Also, rather than needing a team of skilled IT workers on site at each branch location, the entire bank can share their talent across the cloud.
Cloud computing and security
When it comes to banking and financial institutions, a major concern of cloud computing is whether or not it will provide the security and compliance required of such an information sensitive industry. The cloud strategy for the financial industry will need to be developed in order to ensure bank data and banking applications remains confidential. Before a bank can jump on board with cloud computing, the following must be addressed:
What applications and business functions are suitable for use in a cloud environment?
A secure hybrid cloud model could be used for ensuring databases are kept inside the bank, and then integrated with applications that are placed in the cloud.
Requirements must be created for each line of business and every business function that a financial institution will perform in the cloud.
There are different types of cloud computing models, with the hybrid, or shared, model offering the potential to address the compliance and regulatory issues faced by a bank.
Cloud computing and banking predictions
Cloud computing is already changing the way consumers research and buy financial products and services in the era of social media. Peer-to-peer lending or crowdfunding for loans is growing in popularity. With cloud-based services like Mint.com, many consumers are already managing their personal finances in the cloud.
Cloud computing for financial services is likely to take advantage of the growth of social and mobile media to improve relationships with customers. Today, most banks "talk at" customers, rather than talking "with" customers, and consumers want more personalized attention. Banks will rely on cloud computing and social media to reinvent their service offerings or they will risk losing their customers to new providers who do understand the changes in what customers want.

SHAREHOLDING PATTERN OF PUBLIC SECTOR BANKS AS ON 31.03.2013 . Name of the Bank ---% age of Shareholding

1 Allahabad Bank 55.24

2 Andhra Bank 58.00

3 Bank of Baroda 55.41

4 Bank of India 64.11

5 Bank of Maharashtra 81.24

6 Canara Bank 67.72

7 Central Bank of India 85.31

8 Corporation Bank 59.82

9 Dena Bank 55.24

10 Indian Bank 80.00

11 Indian Overseas Bank 73.80

12 Oriental Bank of Commerce 58.00

13 Punjab National Bank 57.87

14 Punjab & Sind Bank 79.86

15 Syndicate Bank 66.17

16 UCO Bank 69.26

17 Union Bank of India 57.89

18 United Bank of India 82.23

19 Vijaya Bank 55.02

20 State Bank of India 62.31

21 IDBI Bank Ltd 71.72