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Payment Banks and Payment Systems

41.

Which of these cannot be issued by a Payment bank?

Answer: C

Payment banks can issue ATM/debit cards but not credit cards. Also, they can issue other prepaid payment instruments.

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42.

Who headed the committee to evaluate the license applications for Payment banks?

Answer: C

In 2015, RBI formed an external advisory committee (EAC) headed by Nachiket Mor would evaluate the license applications. Total 41 applicants had applied for the license.

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43.

How much percentage of its funds can be held by payments banks in current and time deposit with Scheduled Commercial Bank?

Answer: A

The payments bank can hold maximum 25% in current and time/fixed deposits with other scheduled commercial banks

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44.

There are how many core promoter banks of NPCI ?

Answer: C

There are 10 core promoter banks of NPCI- State Bank of India, Punjab National Bank, Canara Bank, Bank of Baroda, Union Bank of India, Bank of India, ICICI Bank, HDFC Bank, Citibank N. A. and HSBC. In 2016 the shareholding was broad-based to 56 member banks to include more banks representing all sectors.

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45.

The Voting Right of any shareholder in Payment Banks is capped at __ ?

Answer: D

10 %. The voting right of any shareholder is capped at 10%, which can be raised to 26% by Reserve Bank of India.

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46.

___ % Branches of Payment Bank must be in unbanked rural area ?

Answer: C

No answer description available for this question

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47.

Customers can open a saving account in Payment Bank with deposits up to Rs ___ ?

Answer: B

1,00,000. Customers can open a savings account with deposits of only up to ₹1 lakh ( It may be raised by the RBI based on the performance of the bank ).

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48.

Which committee mooted the idea of payments banks?

Answer: B

The Nachiket Mor committee mooted the idea of payments banks in 2013

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49.

Which of the following statements is/are correct about Payments Bank?

1. The Reserve Bank of India (RBI) recently gave a license to India Post to function as a payments bank.
2. Payment banks allow mobile firms, supermarket chains, and others to cater to individuals and small businesses.

Answer: C

- The Payments Bank will be set up as a differentiated bank and shall confine its activities to acceptance of demand deposits, remittance services, Internet banking and other specified services.
- Payments Banks will initially be restricted to holding a maximum balance of Rs. 1 lakh per individual customer.
- They will be allowed to issue ATM/debit cards as also other prepaid payment instruments, but not the credit cards.
- These banks can also distribute non-risk sharing simple financial products like mutual funds and insurance products.
- They will not be allowed to undertake lending services and non resident Indians will not be allowed to open accounts.

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50.

Every Payment Banks are required to invest ___ % of its demand deposit balance into government securities.

Answer: A

75 %. Money collected from depositors can be invested either in government bonds or can be deposited with other commercial banks.Every Payment Banks are required to invest 75 % of its demand deposit balance into government securities.

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