EXPORT IMPORT CREDIT MCQs

EXPORT IMPORT CREDIT MCQs

1. Minimum andmaximum amount up to which the Gold Credit card can be issued to exporter is Rs

________ lac and Rs lac. : (a) 100,1000 (b) 50, 500 (c) 100, 5000

(d) 20,200 (e) None of these as it is based on anticipated turnover.**

2. Aspertheexchangecontrolregulations,thepaymentforexportsshouldingeneralberealizedwithina

periodof:(a) 12months fromdate of shipment** (b) 3months from date of shipment

(c) 6months fromthe date of shipment (d) 1month fromdate of shipment

(e) 45 days formdate of shipment

3. Units in a special economic zone are permitted to realise and repatriate to India the full export value of

goods or software within a period of......................................... from the date of shipment.

(a) 3months (b) 6months (c) 180 days (d) 360 days (e) none of these as there is no time limit*

4. In respectof shipmentsmade toIndianownedwarehouses abroad establishedwithpermissionof RBI,

export proceeds shouldbe realizedwithin:

(a) 6 months (b)3 months (c) 9 months (d)15 months* (e) 150 days

5. RBImonitorsoverdueexportbills-not realizedwithinthestipulatedtimeby calling for ahalf yearly

statement fromADs referredtoas : (a) BEF (b)XOS** (c) GTE-1 (d) ST-9 (e) ENC

6.Packing credit advances mean :

advances granted to industrial units for packing of manufactured goods for sale in Indiaadvances granted to eligible exporters for purchase/manufacture/processing/transporting/packing etc. of goods meant for export*

(c) advancesgrantedtoimporterstoenablethemtostoreandsubsequentlysellimportedgoodslocally

(d) any one or more of the above (e) none of the above.

7. To be eligible for packing credit advances the customer :

(a) should not be in the caution list of RBI or specific approval list of ECGC

(b) must be holding importer/exporter code number allotted byDGFT

(c) should be recognised export house (d) all above (e) both (a) and (b)**

8. Packing credit advances is normally allowed for :

(a) 90 days (b) 60 days (c) 360 days (d) 180 days (e) as per requirement of the exporter**

9. `Normal Transit Period ' in the context of export financemeans:

(a) the number of days the documents take to reach destination

(b) the gap between period taken by the ship and the documents to reach destination

(c) the number of days taken by a ship to complete a voyage

(d) the number of days fixed by FEDAI and is the average period normally involved from date of negotiation to credit to

NOSTRO account.**

(e) either (a)or (b)

10. For facilities grantedupto30.6.2010, rateof interestonpost shipment credit inrupeesupto180days in

respectofusancebills is :

(a) 12% (b) 15% (c) not exceeding BPLR

(d) not exceeding BPLR minus 2.5% (e) not exceeding BPLR plus 1.5%**

11. Refinance for export credit fromRBI is available for howmany days?

(a) 90 days . (b) 180 days** (c) 360 days (d) 270 days- (e) None of these

12. Refinance against eligible export finance is available from:

(a) RBI* (b) IDBI (c) ECGC (d) Exim Bank (e) None of these

13. On PCFC refinance is available to the extent of % of outstanding PCFC.

(a) 15% (b) 50% (c) 25% (d) Nil** (e) None of these

14. Forfacilitiesgrantedupto30.6.2010ConcessionalinterestrateonPostshipmentcreditinrupeesis

permittedupto:

(a) 180 days** (b) 90 days (c) 270 days (d) 360 days (e) None of these

15. Which of the following is not correct regarding Liberalised Remittance Scheme?

(a) Amount can be remitted for capital aswell as current account transactions

(b) Maximumamount that can be remitted in a financial year is restricted toUSD200,000

(c) Remittance for gift and donationwill bewithinUSD200,000 permitted under LRS

(d) Bank can allowadvance to a resident individual formaking remittance under this scheme**

(e) None of these

16_ For outward remittance formedical expenses, estimate fromthe doctor or hospital is required if the

remittance is more than USD : (a) 1 lac (b) 5 lac (c) 10 Lac (d) none of these as it is required in all cases

17. What is themaximumamount of inwardremittance that can bedone by a resident individual?

(a) USD 1 Lac (b) USD 5 lac (c) USD 10 Lac (d) None as there is no limit

*

18. How much amount can be released for remittance abroad for education on declaration basis and withou estimate

from educational institution?

(a) USD 1 Lac** (b) USD 5 lac (c) USD 10 Lac (d) None as there is no limit

19.Which of the following is true?

(a) If a bank has oversold position, Bankwill gain if the rate of foreign currency rises.

(b) If a bank has oversold position, Bankwill gain if the rate of foreign currency declines**

(c) If a bank has oversold position, Bankwill lose if the rate of foreign currency declines

(d) If a bank has overbought position, Bankwill gain if the rate of foreign currency declines

(e) None of these

20. ADsmay allowadvance remittance for import of goodswithout any ceiling.However, if the amount of

advance remittance exceedsUSD50,00,000 or its equivalent it ismandatory to obtain-

(a) unconditional irrevocable stand byUC of an international bank of repute situated outside India

(b) guarantee froman international bank of repute situated outside India(c) guarantee of anADinIndia, if such guaranteeis issuedagainst counter guarantee of aninternational

bankof reputesituatedoutside India

(d) any one of the above (e) either (a) or (b) only***

21. BEF statement containingdetailsof remittance exceedingUSD1,00,000where evidence of import is

not furnishedwithin6months fromdateof remittance is submittedby ADs toRBIon:

(a) monthlybasisby 10thof thefollowingmonth

(b) quarterlybasisby 15thof themonthfollowing closeofquarter

(c) half yearly basis forMarch/ September by 15th of succeedingmonth

(d) half yearly basis as of June/ December by 15th of succeedingmonth **(e) none of these

22. Crystallisation of import bill under UCmeans:

(a) bill is scrutinisedwhether it is as perUC terms or not

(b) it is ensured that currency of IJC and insurance is the same or not

(c) converting bill amount into Indian rupees and deciding customer's liability on due date in case of usance**

bill and on 10th day from date of receipt in case of demand bills.

(d) none of the above as the concept is gonewith the termination of PSCFC

23. ApplicationformakingpaymenttowardsimportsintoIndiahastobemadetoauthoriseddealersby

importersin:(a) ENC (b) R-3 (c) Form A-1 *(d) Form A-4 (e) none of the above

24. Advance remittance for import of goods into India is to be allowed after obtaining guarantee froman

international bank of repute situated outside India or guarantee of an AD in India against counter-guarantee of an

international bank when amount of advance remittance exceeds:

(a) US $ 10,000 (b) US $ 25,000 (c) US $5,000 (d) US $ 15,000 (e) US $ 50,00,000***

25. How much advance remittance is allowed for import of services without guarantee of a reputed

international bank?

(a) USD 1 Lac (b) USD 5 lac **(c) USD 10 Lac (d) None as there is no limit

26. Which of the following types of Bill of Lading is not acceptable by a bank under LC?

(a) On Board (b) Clean (c) Charter Party** (d) AN of these (e) None of these

27. Interest Subvention is available on rupee export credit at the rate of 2% for loan up to Rs

but

interest rate after subvention should not be less than 7%.

(a) Rs 3 lac (b) Rs 5 lakh (c) Rs 10 lakh (d) Rs 100 lakh (e) None of these**

-28. Interest rate charged by RBI on export refinance to banks is at the rate of :

(a) Bank Rate (b) Repo Rate** (c) Reverse Repo Rate (d) Base Rate (e) None of these

29. Export Refinance is provided by RBI at the rate of __________ % of eligible outstanding export credit?

(a) 15% **(b) 25% (c) 50% (d) 100% (e) None of these

30. R Return is submitted to RBI onwhich of the following dates of themonth?

(a) 7th and 2151 (b) 15th & last day **(c) 10th, 20th and last day (d) None of these

31.Overdue import demand bills and usance bills are crystalised onwhich dates?

(a)10thday&duedate **(b)15thdayand30thday (c)30thdayand60thday(d)10thdayand60thday(e)Noneofthese

132. Which of the following is incorrect regarding export declaration forms?

(a) GR formis usedfor declaration of exports other than by postwhere customoffice not linked to EDI

(b) ExportDeclaration formis not required to be submitted for exports up toUSD25000.

(c) Softex formis used for declaration of export of software in physical or electronic form.**

(d) None of these (e) All of these

33.. Presently rate of interest on pre-shipment credit in forex (PCFC) up to 180 days is not exceeding:

(a) 200 basis points above LIBOR ***(b) 100 basis points above LIBOR

(c) 150 basis points above LIBOR (d) 50 points above LIBOR (e) 350 basis points below LIBOR

34. As per current guidelines of RBI, for loans sanctioned up to 30.6.2010, rate of interest on pre-shipment credit in rupees up to

270 days should not exceed :

(a) Bank Rate plus 2.5% (b) BPLR plus 1.5% (c) BPLR minus 2.5%**

(d) Bank Rate minus 2.5% (e) lower of (a) and (b)

35. As per the exchange control regulations, the payment for exports should in general be realized within a period of:

(a) 12 months from date of shipment** (b) 360 days from date of packing of goods

(c) 180 days from the date of shipment (d) 270 days from date of shipment

(e) 180 days from the date of receipt of consignment by the buyer in foreign country

36. Which of the following is/are not true with regard to features of Gold Card Scheme for exporters:

(a) Only exporters whose accounts have been 'Standard' continuously for 3 years are eligible

(b) Gold Card holderswill be given preference is granting packing credit in foreign currency (PCFC)

(c) Time normfor disposal of fresh applications for credit under the schemewill be 25 days

(d) Gold Card for exporters will be issued for a period of 5 years (e) none of these**

EXPORTFINANCE

Case- STUDY

An exporter approaches the popular bank for pre-shipment loanwith estimated sales ofRs.100 lakh. The bank

sanctions a limit ofRs.50 lakh,with followingmargins: Pre-shipment loan on FOB value—25%; ForeignDemandBill -

10%; Foreign usance bilis—20%.

The firmgets an order forUSD50,000 (CIF) toAustralia.On 1.1.2011when theUSD/INRratewasRs.43.50 perUSD,

the firmapproached theBank for releasing pre-shipment loan (PCL),which is released.

On 31.3.2011, the firmsubmitted export documents, drawn on sight basis forUSD45,000 as full and final shipment.

The bank purchased the documents atRs.43.85, adjusted thePCL outstanding and credited the balance amount to the

firm's account, after recovering interest forNormalTransit Period (NTP). The documents were realized on

30.4.2011 after deduction of foreign bank charges of USD 450. The bank adjusted the outstanding post

shipment advance. against the bill. Bank charged interest for pre-shipment loan@7%up to 90 days and,@8%

over 90 days up to 180 days. For Post shipment credit, theBank charged interest@7%for demand bills and@7.5%

for usance (D/A) documents up to 90 days and@8.50%thereafter and on all over dues, interest@10%.

01 What is the amount that the Bank can allow as PCL to the exporter against the given export order,

considering the profit margin of 10% and insurance and freight cost of 12%?

a) Rs.2200000 b) Rs.1650000 c) R6.1485000 d) Rs.1291950

02What is the amount of post shipment advance that can be allowed by the Bank under foreign bills

purchased, for the bill submitted by the exporter?

a) Rs.19,80,000 b) Rs.17,75,925 c) Rs.19,73,250 d) Rs.21,92,500

03 What will be the period for which the Bank charges concessional interest on DP bills, from date of

purchase of the bill?

a) 90 days b) 25 days c) 31 days d) Up to date of realization

04 in the above case, when should the bill be crystallized (latest date), if the bill remains unrealized for

over two months, from the date of purchase-(ignore holidays)?

a) On 30.4.2011 b) On 24.4.2011 c) On 24.5.2011 d) On 31.5.2011

05 What rate of interest will be applicable for charging interest on the export bill at the time of realization,

for the days beyond Normal Due Date (NDD)?

a) 8% b) 7% c) 7.5% d) 10%

Ans. 1-d 2-c 3-b 4-c 5-d Explanations:

1. FOB value =

CIF Value i.e. 50000x43.5 = 2175000

Deduct Insurance & freight 12% of 2175000 = 261000

Balance = 1914000

Deduct profit margin 10% of 1914000 =191400

Balance = 1722600

Less Margin 25% = 430650

PCL = 1291950

2. 45000 x43.85=1973250

3. Concessional• rate will be charged for normal transit period of 25 days and there after overdue

interest will be charged.

4. Crystallisation will be done when the bill becomes overdue after 25 days of normal transit period. Date of

overdue will be 25.4.2011. if bill remains overdue, it will be crystalised within 30 days i.e. up to 24.5.2011.

5. Rate of interest will be 10%as the overdue interest is stated as 10%in the question.

ISB Recollected

ISB Recollected Questions and Exam Tips::::







Function of modem, which is not an OOP Lang.



 C C++ Java C#, questns abt DRP,



Trojan horse, sniffing, spoofing, availability, integrity, DBMS, preventive, corrective, detective controls, BCP

Bcsbi recollected questions

 
Bcsbi recollected


1) Garnishee Order received for Rs 10,000/- The minimum balance as per bank rule is Rs 3,000/- What is the course of action?



2) Right of appropriation is as per which act?



3) A teacher for the purpose of teaching enquiring bank regarding her rish categorization, as in what risk her account is classified?



4) Mr. X is having gold loan with our bank. He stand as a guarantor for Mr. Y. Now Mr. Y defaulted the loan and the account is NPA. Whether bank can hold the pledge ornaments?



5) How many CIC a bank should have membership as per guidelines ?



6) Which among the following is not CIC?



7) Which among the following is not Officially valid Documents (Answer was Ration Card)



8) Major complain received in Ombudsman for the credit card? (Wrong Billing)



9) What facility we cannot extend to Minor account ? (Overdraft facility )



10) What precaution bank take while accepting the power of attorney, Chooser the wrong answer (Power of attorney unstamped)



11) Maximum term of FCNR (B) deposit?



12) Full form of CORE in CBS?



13) Which among the following is implied needs? (Ans: Extra Attention to the service need)



14) Customer approaching for getting a pass sheet print in terms of passbook? Whether bank will issue apart from passbook?



15) The bank came to know that Mr. A, customer of your branch died on 01.09.2018. Mr. B is approaching the bank on 05.09.2018, to deposit money to that account. What will be the course of action?



16) Customer Delight Illustration by an example choosing from the options



17) Recently what and all deficiency are added to the purview of Ombudsman? (Bancassurance to ineligible/in appropriate customer & Non displaying of redressed/Ombudsman details at branch)



18) Who will appoint CEO in BCSBI?



19) Number of women representatives in various redressal forums under Consumer Protection Act?



20) How branch guide for a customer who is having a complaint? (Ans: TAT, Ombudsman details, etc)



21) The stop payment is issued, however bank honor the cheque, what will be the implication on the bank in terms of this deficiency?



22) Order cheque requires (Endorsement, Delivery or both ?)



23) Which among is not principles of banking? (Insolvency, trust, transparency etc )



24) A reduced customer complaint and increased business is a sign of (Good progress in business )



25) Example of social media marketing? (Advt in press/Internet etx)



26) Implication of a bank which is not a member of BCSBI ? (Less Image in public )



27) Mr. X an employee of the bank collects from neighbors everyday money not deposited to their account? What will be the implication ( Bank’s Image will go low, The staff will be punished, No implication on bank as the collection done not in branch time etc)



28) In terms of promotional materials internet, the bank’s ethics (Like not misleading, giving transparency, information etc)



29) Which among the given option is not a rating parameter for BCSBI for bank’s rating?



30) As per the BR act, who is having the power to conduct inspection of SCBs (NABARD)



31) Which among the following is not required to disclose as per the BCSBI codes to the person who do Forex transfer? (Answer was interest rate of beneficiary country for the term deposits)



32) A non - customer approached you for the remittance of Rs 60,000/- vide NEFT to his father in different town for the medical purpose. What will be the course of action as per BCSBI codes?



33) Mr. X issued a cheque in favor of Mr. Y in different city. He has presented to clearing to Bank. Mr. X now demanding for the original cheque to confirm the particulars entered. (Bank can give the image of cheque only)



34) The bank has send the returned cheque vide ordinary post to the payee. The same is lost in transit. How the case can be dealt to ?



35) Which among the given option is not retail banking?



36) Calculation of eligible loan by giving project cost, Reg Charge, Stamp Duty & Cost of Project @ given LTV of 90%



37) Who can authorize the alterations in the Cheque when it is presented over the counter for the payment?



38) The remittance above what amount o be strictly routed through A/c



39) The demand draft above what value to be credited or passed through account payee options?



40) What is the limit to which no processing charges for MSE loan? (Ans: 5 Lacs)



41) As per MSME CODE till what amount bank will give collateral free loan?



42) The loan given for ITI Education. The loan value is Rs 1.50 Lacs. It is a one year course Maximum moratorium can be ?



43) Demerits of credit card ( Overspending)



44) An unsolicited card is issued to a person. The bank charged Rs 100/- as fees. What is the course of action bank need to take?(Charge and Twice Value of the charges reversed)



45) Code of conduct of DSA : Which among is wrong?



46) Mr. X who is to be approached by our recovery agent old the agent to come to his company near the tea shop in the ground floor of his office, What the agent should do (Ans: No other way go only J )



47) Within how many days the customer can approach the appellate authority if they are not satisfied with the award given by Ombudsman?



48) Which among the following is not an advantage of demat services?



49) Which among the given option is not feature of endorsement?



50) The cheque given for the collection is returned unpaid, the notice is not given in 24 Hours to the party. The customer came to know after 2 months. How to compensate /deal with this situation?



51) Who controlling body for the the tele marketing ?



52) What is the pre requisite required while hiring a tele marketer for the bank?



53) The time limit for transfer of account from one branch to another branch same bank?



54) Which committee on customer service recommended that the passbook should be issued to FD holders like we issue for SB account ?



55) All the details in cheque is filled with ink, the signature is done with pencil. What will be the course of action?



56) As per the CPPAPS Committee, the evaluations are based on whose sense ? (Regulator, RBI, IBA or Customer. Answer is Customer )



57) Time frame for the settlement of death claim



58) Which among the following is not a BSBDA Account Features?



59) Time frame for the recovery agent to visit customers place ( 07:00 to 19:00)



60) As per the Copra Act, the redressal forum is (Quasi Judicial Machinery)



61) Which among to following is not right of customer as per COPRA act ( Giving criminal complaint on the service deficiency)



62) Which among the following conforms that the receiver is an active listener? (Ask question to understand the content)



63) In the following which is not the components of active listening?



64) Which is the following is not the duty of CEO of BCSBI?



65) Total number of members in Governing council of BCSBI?



66) The Change of charges if notified in 30 days, the customer is having option with in how many days to close/switch his account?



67) How many times an individual will get free credit report from CIBIL in a year ? (No free reports)



68) Time frame to give notice to the probable customers whose account to be converted to dormant/inoperative account ?



69) Notice of how many months is to be given when a branch is getting shut down where there is no branch of any bank.



70) When the usance bill is payable?



71) Nursing / restructuring of debts happen after how many days of NPA?



72) Which of the choices are not a post disbursement requirements bank do to MSE borrowers ? (Comparison with other units I guess is the answer)



73) Which is the primary distribution outlets for the banking services (Answer: Branches)



74) The ATM failed transaction beyond the stipulated waiting period of 7 days will have to be reimbursed to the customer by Onus settlement of (Card Issuing Bank, The bank whose ATM customer uses, None of these etc. )



75) Mr. X a recently current account opened customer issued with a cheque book initially. He is asked for 25 cheque books as he said some payments he need to give to group of people . What will be the course of action (Monitor the account for the issued cheque, how and what amount issued etc)



76) The time frame to rectify every breach in the code by BCSBI and reporting of the same (Ans: with in 7 days reporting and remedial action in 15 days )



77) Failure to submit the duly completed annual statement of annual compliance attracts fine not exceeding (Ans: Rs 1000/- per day )



78) Which of the following is the uses of CTS cheque clearing ( Ans: was all of these)

Cyber crime and fruad management recollected on October 20th 2018

20.10.2018 cyber crime question

1.cyber crime definition

2.3 factor pressure,opportunity,rationalisation

3.cybernetics,kybernetes,steersman,governor,cyberpunk----given 4 option

4.honey pot

5.1st worm

6.denial of service

7.buffer overflow

8.shoulder surfing

9.access control

10.script kiddles

11.john doe order

12.nigrria419

13cyber wefare

14 email spoofing

15 cyber stalking

16domain name .in represent

17.Satyam infoway ltd vs siffynet supreme court

18cyber warfare

19phishing

20zeus

21.non repudiation

22 tailgating



23.trapdoor

24.captcha.



25 .blue hat hacker

26phreaking

27. Ethical hacking

28.anonymous

29bar code matrix code

30.RFID

31.data manipulation and data definition language

32.symmetic encryption

33. Encryption and decryption

34.locard exchange principle

35.c-Dac

36.payment getway

37.payment and settlements system 2007

38 acquiring bank

39 brute force attack

40.man in the middle attack

41session hijacking

42.digital wallet

43OLTP

44 Ucpdc

45.EMV card

46.netra drdo

47CBI Specialized structure

48.electonic signature

49.DSCI set ip NASSCOM

50.US Initiative -cyber security information sharing act

51.it act andit amendment act.

52.Pki

53 .authenticity

54.maximum value that can be stored in a prepaid card 50000

55. SWIFT





By pritee Hardiha

Today's digital banking recollected

More questions on upi, bhim, aeps, financial inclusion, information security......

Digital banking recollected
CTS
Public key
PPI max limit
Charge back atm steps
Aeps
Smart card
Financial inclusion
Sfms
Imps is a protocol
Requirements for trx at bc point
Internet banking safety precautions
Mobile banking
...

Useful for IIBF Digital banking exam

IIBF Digital banking exam


Block Chain Technology : ICICI Bank is the first bank in the country and among the first few globally
to exchange and
authenticate remittance transaction messages as well as original international trade documents related to
purchase order, invoice,
shipping & insurance, among others, electronically on block chain in real time.
The usage of block chain technology simplifies the process and makes it almost instant—to only a few
minutes. Typically, this
process takes a few days. The block chain application co-created by ICICI Bank replicates the paperintensive
international trade
finance process as an electronic de centralised ledger, that gives all the participating entities including
banks the ability to access a
single source of information.
CODE NAME DIGITS
IFSC - Indian Financial System Code 11
MICR -Magnetic Ink Character Recognition 09
SWIFT-Society for worldwide interbank Financial Telecommunication ) 11
PAN- Permanent Account no. 10
UID /UAN – unique Identification Number 12
PIN – Postal Index Number 6
CIN-Cheque Identification Number 7
BIC ( BANK IDENTIFICATION NUMBER) 8
26. PREPAID PAYMENT INSTRUMENTS : Eligibility : Banks who comply with the eligibility criteria would
be permitted to issue all categories of pre-paid payment instruments. Non-Banking Financial Companies
(NBFCs) and other persons would be permitted to issue only semi-closed system payment instruments.
Capital requirements : Banks and Non-Banking Financial Companies which comply with the Capital
Adequacy requirements prescribed by Reserve Bank of India from time-to-time, shall be permitted to
issue pre-paid payment instruments. All other persons shall have a minimum paid-up capital of Rs 100
lakh and positive net owned funds. Safeguards against money laundering (KYC/AML/CFT) provisions -
The maximum value of any pre-paid payment instruments (where specific limits have not been prescribed
including the amount transferred) shall not exceed Rs 100,000/-.
Deployment of Money collected: Non-bank persons issuing payment instruments are required to maintain
their outstanding balance in an escrow account with any scheduled commercial bank subject to the
following conditions:- The amount so maintained shall be used only for making payments to the
participating merchant establishments. No interest is payable by the bank on such balances.
Validity: All pre-paid payment instruments issued in the country shall have a minimum validity period of six
months from the date of activation/issuance to the holder. The outstanding balance against any payment
instrument shall not be forfeited unless the holder is cautioned at least 15 days in advance as regards the
expiry of the validity of the payment instrument.
27.Money Transfer Service Scheme (MTSS) : The Reserve Bank has issued Master Directions relating
to Money Transfer Service Scheme (MTSS), which is a quick and easy way of transferring personal
remittances from abroad to beneficiaries in India.
MTSS can be used for inward personal remittances into India, such as, remittances towards family
maintenance and remittances favouring foreign tourists visiting India and not for outward remittance from
India.
The system envisages a tie-up between reputed money transfer companies abroad known as Overseas
Principals and agents in India known as Indian Agents who would disburse funds to beneficiaries in India
at ongoing exchange rates. The Indian Agents can in turn also appoint sub-agents to expand their
network. The Indian Agent is not allowed to remit any amount to the Overseas Principal. Under MTSS,
the remitters and the beneficiaries are individuals only.
The Reserve Bank of India may accord necessary permission (authorisation) to any person to act as an
Indian Agent under the Money Transfer Service Scheme. No person can handle the business of crossborder
money transfer to India in any capacity unless specifically permitted to do so by the RBI. To
become MTSS agent, min net owned funds Rs.50 lac. MTSS cap USD 2500 for individual remittance.
Max remittances 30 received by an individual in India in a calendar year. Min NW of overseas principal
USD 01 million, as per latest balance sheet.
28. IMPS
IMPS offer an instant,24*7 interbank electronic fund transfer service capable of processing person to
person, person to account and person to merchant remittances via mobile, internet and atms. It is a
multichannel and multidimensional platform that make the payments possible within fraction of seconds
with all the standards and integrity maintained for security required for even high worth transactions.
MMID - Mobile Money Identifier
Each MMID is a 7 digit code linked to a unique Mobile Number. Different MMIDs can be linked to same
Mobile Number.
Both Sender & Receiver have to register for Mobile Banking & get a unique ID called "MMID"
• Generation of MMID is a One-time process.
• Remitter (Sender) transfer funds to beneficiary (Receiver) using Mobile no. & 7digit MMID of
beneficiary.
IFS Code
11 digit alphanumeric number, available in the users Cheque book.
IMPS Fund transfer/Remittance options:
 Using Mobile number & MMID (P2P)
 Using Account number & IFS Code (P2A)
 Using Aadhaar number (ABRS)
 Using Mobile number & MMID (P2P)
 Customer Initiated - P2M(Push)
 Merchant Initiated - P2M(Pull)
Using Mobile number & MMID (P2P)
Presently, IMPS Person-to-Person (P2P) funds transfer requires the Remitter customer to make funds
transfer using Beneficiary Mobile Number and MMID. Both Remitter as well as Beneficiary needs to

register their mobile number with their respective bank account and get MMID, in order to send or receive
funds using IMPS.
Using Account number & IFS Code (P2A)
There may be cases where Remitter is enabled on Mobile Banking, but Beneficiary mobile number is not
registered with any bank account. In such cases, Remitter shall not be able to send money to the
Beneficiary using Mobile Number & MMID.
Hence on the merit of the feedback received from the banking community as well as to cater the above
mentioned need, the IMPS funds transfer has been made possible using Beneficiary account number and
IFS code as well, in addition to Beneficiary mobile number and MMID.
Customer Initiated - P2M(Push)
IMPS Merchant Payments (P2M - Person-to-merchant) service allows customers to make instant, 24*7,
interbank payments to merchants or enterprises via mobile phone. IMPS enables mobile banking users a
facility to make payment to merchants and enterprises, through various access channels such as Internet,
mobile Internet, IVR, SMS, USSD.
Sender enter details of merchant's (Customer initiated - Push)
• Merchant Mobile Number & MMID
• Amount to be transferred
• Payment reference (optional)
• Sender's M-PIN
Merchant Initiated - P2M(Pull)
IMPS Merchant Payments (P2M - Person-to-Merchant) service allows customers to make instant, 24*7,
interbank payments to merchants or enterprises via Mobile & Internet. IMPS enables mobile banking
users a facility to make payment to merchants and enterprises, through various access channels such as
Internet, mobile Internet, IVR, SMS, USSD.
Customer enter own details (Merchant Initiated - Pull)
• Customer own Mobile Number
• Customer own MMID
• OTP (generated from the Issuer Bank)

Quasi credit

Quasi credit (Non Fund based):

Quasi Credit signifies financing for trade, and it concerns both domestic and

international trade transactions. A trade transaction requires a seller of goods and

services as well as a buyer. Various intermediaries such as banks and financial

institutions can facilitate these transactions by financing the trade

Non Fund Business

Bank Guarantee: As a part of Banking Business, Bank Guarantee (BG) Limits are

sanctioned and guarantees are issued on behalf of our customers for various

purposes. Broadly, the BGs are classified into two categories:

i) Financial Guarantees are direct credit substitutes wherein a bank irrevocably

undertakes to guarantee the payment of a contractual financial obligation. These

guarantees essentially carry the same credit risk as a direct extension of credit i.e.

the risk of loss is directly linked to the creditworthiness of the counter-party against

whom a potential claim is acquired. Example – Guarantees in lieu of repayment of

financial securities/margin requirements of exchanges, Mobilization advance,

Guarantees towards revenue dues, taxes, duties in favour of tax/customs/port/excise

authorities, liquidity facilities for securitization transactions and deferred payment

guarantees.

ii) Performance Guarantees are essentially transaction-related contingencies that

involve an irrevocable undertaking to pay a third party in the event the counterparty

fails to fulfill or perform a contractual obligation. In such transactions, the risk of loss

depends on the event which need not necessarily be related to the creditworthiness

of the counterparty involved. Example – Bid bonds, performance bonds, export

performance guarantees, Guarantees in lieu of security deposits/EMD for

participating in tenders, Warranties, indemnities and standby letters of credit related

to particular transaction.

Though, BG facility is a Non-fund Facility, it is a firm commitment on the part of the

Bank to meet the obligation in case of invocation of BG. Hence, monitoring of Bank

Guarantee portfolio has attained utmost importance. The purpose of the guarantee is

to be examined and it is to be spelt out clearly if it is Performance Guarantee or

Financial Guarantee. Due diligence of client shall be done, regarding their experience

in that line of activity, their rating/grading by the departments, where they are

registered. In case of Performance Guarantees, banks shall exercise due caution to

satisfy that the customer has the necessary experience, capacity and means to

perform the obligations under the contract and is not likely to commit default. The

position of receivables and delays if any, are to be examined critically, to understand

payments position of that particular activity. The financial position of counter party,

type of Project, value of Project, likely date of completion of Project as per

agreement are also to be examined. The Maturity period, Security Position, Margin

etc. are also to be as per Policy prescriptions and are important to take a view on

charging BG Commissions



Branches shall use Model Form of Bank Guarantee Bond, while issuing Bank

Guarantees in favour of Central Govt. Departments/Public Sector Undertakings. Any

deviation is to be approved by Zonal Office. It is essential to have the information

relating to each contract/project, for which BG has been issued, to know the present

stage of work/project and to assess the risk of invocation and to exercise proper

control on the performance of the Borrower. It is to be ensured that the operating

accounts of borrowers enjoying BG facilities route all operations through our Bank

accounts. To safeguard the interest of the bank, Branches need to follow up with the

Borrowers and obtain information and analyze the same to notice the present stage

of work/project, position of Receivables, Litigations/Problems if any leading to

temporary cessation of work etc.

The Financial Indicators/Ratios as per Banks Loan Policy guidelines are to be

satisfactory. Banks are required to be arrived Gearing Ratio (Total outside

liabilities+proposed non-fund based limits / Tangible Networth - Non Current Assets)

of the client and ideally it should be below 10.

In case where the guarantees issued are not returned by the beneficiary even after

expiry of guarantee period, banks are required to reverse the entries by issuing

notice (if the beneficiary is Govt. Department 3 months and one month for others) to

avert additional provisioning. Banks should stop charging commission on expired

Bank Guarantees with effect from the date of expiry of the validity period even if the

original Bank Guarantee bond duly discharged is not received back.

Letter of Credit: A Letter of Credit is an arrangement by means of which a Bank

(Issuing Bank) acting at the request of a customer (Applicant), undertakes to pay to

a third party (Beneficiary) a predetermined amount by a given date according to

agreed stipulations and against presentation of stipulated documents. The

documentary Credit are akin to Bank Guarantees except that normally Bank

Guarantees are issued on behalf of Bank’s clients to cover situations of their non

performance whereas, documentary credits are issued on behalf of clients to cover

situation of performance. However, there are certain documentary credits like

standby Letter of Credit which are issued to cover the situations of non performance.

All documentary credits have to be issued by Banks subject to rules of Uniform

Customs and Practice for Documentary Credits (UCPDC). It is a set of standard rules

governing LCs and their implications and practical effects on handling credits in

various capacities must be possessed by all bankers. A documentary credit has the

seven parties viz., Applicant (Opener), Issuing Bank (Opening of LC Bank),

Beneficiary, Advising Bank (advises the credit to beneficiary), Confirming Bank –

Bank which adds guarantee to the credit opened by another Bank thereby

undertaking the responsibility of payment/negotiation/acceptance under the credit in

addition to Issuing Bank), Nominated Bank – Bank which is nominated by Issuing

Bank to pay/to accept draft or to negotiate, Reimbursing Bank – Bank which is

authorized by the Issuing Bank to pay to honour the reimbursement claim in

settlement of negotiation/acceptance/payment lodged with it by the paying /

negotiating or accepting Bank. The various types of LCs are as under:

i) Revocable Letter of Credit is a credit which can be revoked or cancelled or

amended by the Bank issuing the credit, without notice to the beneficiary. If a credit

does not indicate specifically it is a revocable credit the credit will be deemed as

irrevocable in terms of provisions of UCPDC terms.

ii) Irrevocable Letter of credit is a firm undertaking on the part of the Issuing

Bank and cannot be cancelled or amended without the consent of the parties to letter

of credit, particularly the beneficiary.

iii) Payment Credit is a sight credit which will be paid at sight basis against

presentation of requisite documents as per LC terms to the designated paying Bank.



iv) Deferred Payment Credit is a usance credit where payment will be made by

designated Bank on respective due dates determined in accordance with stipulations

of the credit without the drawing of drafts.

v) Acceptance Credit is similar to deferred credit except for the fact that in this

credit drawing of a usance draft is a must.

vi) Negotiation Credit can be a sight or a usance credit. A draft is usually drawn in

negotiation credit. Under this, the negotiation can be restricted to a specific Bank or

it may allow free negotiation whereby any Bank who is willing to negotiate can do so.

However, the responsibility of the issuing Bank is to pay and it cannot say that it is

of the negotiating Bank.

vii) Confirmed Letter of Credit is a letter of credit to which another Bank (Bank

other than Issuing Bank) has added its confirmation or guarantee. Under this, the

beneficiary will have the firm undertaking of not only the Bank issuing the LC, but

also of another Bank. Confirmation can be added only to irrevocable and not

revocable Credits.

the amount is revived or reinstated without requiring specific amendment to the

credit. The basic principle of a revolving credit is that after a drawing is made, the

credit reverts to its original amount for re-use by beneficiary. There are two types of

revolving credit viz., credit gets reinstated immediately after a drawing is made and

credit reverts to original amount only after it is confirmed by the Issuing Bank.

ix) Installment Credit calls for full value of goods to be shipped but stipulates that

the shipment be made in specific quantities at stated periods or intervals.

x) Transit Credit – When the issuing Bank has no correspondent relations in

beneficiary country the services of a Bank in third country would be utilized. This

type of LC may also be opened by small countries where credits may not be readily

acceptable in another country.

xi) Reimbursement Credit – Generally credits opened are denominated in the

currency of the applicant or beneficiary. But when a credit is opened in the currency

of a third country, it is referred to as reimbursement credit.

xii) Transferable Credit – Credit which can be transferred by the original

beneficiary in favour of second or several second beneficiaries. The purpose of these

credits is that the first beneficiary who is a middleman can earn his commission and

can hide the name of supplier.

xiii) Back to Back Credit/Countervailing credit – Under this the credit is opened

with security of another credit. Thus, it is basically a credit opened by middlemen in

favour of the actual manufacturer/supplier.

xiv) Red Clause Credit – It contains a clause providing for payment in advance for

purchasing raw materials, etc.

xv) Anticipatory Credit – Under this payment is made to beneficiary at preshipment

stage in anticipation of his actual shipment and submission of bills at a

future date. But if no presentation is made the recovery will be made from the

opening Bank.

xvi) Green Clause Credit is an extended version of Red Clause Credit in the sense

that it not only provides for advance towards purchase, processing and packaging

but also for warehousing & insurance charges. Generally money under this credit is

advanced after the goods are put in bonded warehouses etc., up to the period of

shipment.

Other concepts

i)Bill of Lading: It should be in complete set and be clean and should generally be

to order and blank endorsed. It must also specify that the goods have been shipped

on board and whether the freight is prepaid or is payable at destination. The name of

the opening bank and applicant should be indicated in the B/L.



iv) Deferred Payment Credit is a usance credit where payment will be made by

designated Bank on respective due dates determined in accordance with stipulations

of the credit without the drawing of drafts.

v) Acceptance Credit is similar to deferred credit except for the fact that in this

credit drawing of a usance draft is a must.

vi) Negotiation Credit can be a sight or a usance credit. A draft is usually drawn in

negotiation credit. Under this, the negotiation can be restricted to a specific Bank or

it may allow free negotiation whereby any Bank who is willing to negotiate can do so.

However, the responsibility of the issuing Bank is to pay and it cannot say that it is

of the negotiating Bank.

vii) Confirmed Letter of Credit is a letter of credit to which another Bank (Bank

other than Issuing Bank) has added its confirmation or guarantee. Under this, the

beneficiary will have the firm undertaking of not only the Bank issuing the LC, but

also of another Bank. Confirmation can be added only to irrevocable and not

revocable Credits.

the amount is revived or reinstated without requiring specific amendment to the

credit. The basic principle of a revolving credit is that after a drawing is made, the

credit reverts to its original amount for re-use by beneficiary. There are two types of

revolving credit viz., credit gets reinstated immediately after a drawing is made and

credit reverts to original amount only after it is confirmed by the Issuing Bank.

ix) Installment Credit calls for full value of goods to be shipped but stipulates that

the shipment be made in specific quantities at stated periods or intervals.

x) Transit Credit – When the issuing Bank has no correspondent relations in

beneficiary country the services of a Bank in third country would be utilized. This

type of LC may also be opened by small countries where credits may not be readily

acceptable in another country.

xi) Reimbursement Credit – Generally credits opened are denominated in the

currency of the applicant or beneficiary. But when a credit is opened in the currency

of a third country, it is referred to as reimbursement credit.

xii) Transferable Credit – Credit which can be transferred by the original

beneficiary in favour of second or several second beneficiaries. The purpose of these

credits is that the first beneficiary who is a middleman can earn his commission and

can hide the name of supplier.

xiii) Back to Back Credit/Countervailing credit – Under this the credit is opened

with security of another credit. Thus, it is basically a credit opened by middlemen in

favour of the actual manufacturer/supplier.

xiv) Red Clause Credit – It contains a clause providing for payment in advance for

purchasing raw materials, etc.

xv) Anticipatory Credit – Under this payment is made to beneficiary at preshipment

stage in anticipation of his actual shipment and submission of bills at a

future date. But if no presentation is made the recovery will be made from the

opening Bank.

xvi) Green Clause Credit is an extended version of Red Clause Credit in the sense

that it not only provides for advance towards purchase, processing and packaging

but also for warehousing & insurance charges. Generally money under this credit is

advanced after the goods are put in bonded warehouses etc., up to the period of

shipment.

Other concepts

i)Bill of Lading: It should be in complete set and be clean and should generally be

to order and blank endorsed. It must also specify that the goods have been shipped

on board and whether the freight is prepaid or is payable at destination. The name of

the opening bank and applicant should be indicated in the B/L.



ii) Airway Bill: Airway bills/Air Consignment notes should always be made out to

the order of Issuing Bank duly mentioning the name of the applicant.

iii)Insurance Policy or Certificate: Where the terms of sale are CIF the insurance

is to be arranged by the supplier and they are required to submit insurance policy

along with the documents.

iv) Invoice: Detailed invoices duly signed by the supplier made out in the name of

the applicant should be called for and the invoice should contain full description of

goods, quantity, price, terms of shipment, licence number and LC number and date.

v) Certificate of Origin: Certificate of origin of the goods is to be called for. Method

of payment is determined basing on the country of origin.

vi) Inspection Certificate: Inspection certificate is to be called for from an

independent inspecting agency (name should be stipulated) to ensure quality and

quantity of goods. Inspection certificate from the supplier is not acceptable

Co-acceptance Facilities : RBI Guidelines, Co-acceptance of

Bills covering supply of Goods & Machinery

Bills co-acceptance Co-acceptance is a means of non-fund based import finance

whereby a Bill of Exchange drawn by an exporter on the importer is co-accepted by a

Bank. By co-accepting the Bill of Exchange, the Bank undertakes to make payment to

the exporter even if the importer fails to make payment on due date

RBI guidelines on co-acceptances:

In the light of the above, banks should keep in view the following safeguards:

(i) While sanctioning co-acceptance limits to their customers, the need therefor should

be ascertained, and such limits should be extended only to those customers who enjoy

other limits with the bank.

(ii) Only genuine trade bills should be co-accepted and the banks should ensure that the

goods covered by bills co-accepted are actually received in the stock accounts of the

borrowers.

(iii) The valuation of the goods as mentioned in the accompanying invoice should be

verified to see that there is no over-valuation of stocks.

(iv) The banks should not extend their co-acceptance to house bills/ accommodation

bills drawn by group concerns on one another.

(v) The banks discounting such bills, co-accepted by other banks, should also ensure

that the bills are not accommodation bills and that the co-accepting bank has the

capacity to redeem the obligation in case of need.

(vi) Bank-wise limits should be fixed, taking into consideration the size of each bank for

discounting bills co-accepted by other banks, and the relative powers of the officials of

the other banks should be got registered with the discounting banks.

(vii) Care should be taken to see that the co-acceptance liability of any bank is not

disproportionate to its known resources position.

(viii) A system of obtaining periodical confirmation of the liability of co-accepting banks

in regard to the outstanding bills should be introduced.

(ix) Proper records of the bills co-accepted for each customer should be maintained, so

that the commitments for each customer and the total commitments at a branch can be

readily ascertained, and these should be scrutinised by Internal Inspectors and

commented upon in their reports.

(x) It is also desirable for the discounting bank to advise the Head Office/ Controlling

Office of the bank, which has co-accepted the bills, whenever such transactions appear



to be disproportionate or large.

(xi) Proper periodical returns may be prescribed so that the Branch Managers report

such co-acceptance commitments entered into by them to the Controlling Offices.

(xii) Such returns should also reveal the position of bills that have become overdue, and

which the bank had to meet under the co-acceptance obligation. This will enable the

Controlling Offices to monitor such co-acceptances furnished by the branches and take

suitable action in time, in difficult cases.

(xiii) Co-acceptances in respect of bills for Rs.10,000/- and above should be signed by

two officials jointly, deviation being allowed only in exceptional cases, e.g. nonavailability

of two officials at a branch.

(xiv) Before discounting/ purchasing bills co-accepted by other banks for Rs. 2 lakh and

above from a single party, the bank should obtain written confirmation of the concerned

Controlling (Regional/ Divisional/ Zonal) Office of the accepting bank and a record of the

same should be kept.

(xv) When the value of the total bills discounted/ purchased (which have been coaccepted

by other banks) exceeds Rs. 20 lakh for a single borrower/ group of

borrowers, prior approval of the Head

Digital banking white and brown label ATM

White Label ATM

White Label ATMs are purely managed by third party service providers and have their label. These are branded non
bank ATM machines. Cash handling, management and logistics are provided by third party. Debit cards of all banks can be
operated through these machines. The role of the concerned bank is only limited to provide account information and back
end money transfers to the third parties managing these ATM machines. This initiative will enable the excluded segments
to avail ATM services as at present majority ATMs are confined to Urban/Metro areas only.
However, service provider levy charges which are to be either bear by the Bank or the customer. RBI has allowed
white label ATM's in India to have more penetration of ATM machines. Tata Communications Payment Solutions has
become the first company to launch this service in India under the brand name "Indicash". It has a tie up with
majority commercial banks and now you will soon see branded non bank third party white label ATM machines in
your vicinity.

All certificate exams PDFs.

All certificate exams PDFs.

Read IIBF Prescribed book only.. These all are extra information only

Download Link

https://iibfadda.blogspot.com/2018/08/all-iibf-certifications-pdfs-in-single.html

All the best

20.10.2018 cyber crime question recollected

20.10.2018 cyber crime question
1.cyber crime definition
2.3 factor pressure,opportunity,rationalisation
3.cybernetics,kybernetes,steersman,governor,cyberpunk----given 4 option
4.honey pot
5.1st worm
6.denial of service
7.buffer overflow
8.shoulder surfing
9.access control
10.script kiddles
11.john doe order
12.nigrria419
13cyber wefare
14 email spoofing
15 cyber stalking
16domain name .in represent
17.Satyam infoway ltd vs siffynet supreme court
18cyber warfare
19phishing
20zeus
21.non repudiation
22 tailgating

23.trapdoor
24.captcha.

25 .blue hat hacker
26phreaking
27. Ethical hacking
28.anonymous
29bar code matrix code
30.RFID
31.data manipulation and data definition language
32.symmetic encryption
33. Encryption and decryption
34.locard exchange principle
35.c-Dac
36.payment getway
37.payment and settlements system 2007
38 acquiring bank
39 brute force attack
40.man in the middle attack
41session hijacking
42.digital wallet
43OLTP
44 Ucpdc
45.EMV card
46.netra drdo
47CBI Specialized structure
48.electonic signature
49.DSCI set ip NASSCOM
50.US Initiative -cyber security information sharing act
51.it act andit amendment act.
52.Pki
53 .authenticity
54.maximum value that can be stored in a prepaid card 50000
55. SWIFT

International Trade finance recollected questions::

Trade finance recollected questions::

2 marks qstn from ecgc,export promotion capital goods scheme. exim ,lc, eefc, urr725 ,pcfc
1 marks from forfating, factoring, pre and post shipment ,Fedai dutydrawback urc522 heckscher ohlin theory buyers and suppliers credit forward contract , lc., channel financing merchanting trade as well these topics in .5 marks qstn bid bondand performance guarantee currency and credit risk , wharfage documentry credit time period related qstn , status holder starhouse . SEIS , liberalized remittance . NEIA (national export insurance account), ssp, src. Scp related to ECIE-ST red clause