The Pradhan Mantri Jan Dhan Yojana, the national mission for financial inclusion, was launched in which year?
- A.2011
- B.2014
- C.2016
- D.2019
Correct answer
Explanation
The correct answer is B, 2014. The Pradhan Mantri Jan Dhan Yojana was launched on 28 August 2014 as a national mission to give every household a bank account. The accounts opened under it are basic savings accounts with no minimum balance, and they carry a RuPay debit card, accident insurance cover and, after satisfactory operation, an overdraft facility of up to ten thousand rupees. The scheme also became the channel for direct benefit transfer of subsidies and pensions.
Option A, 2011, is the year the Reserve Bank deregulated savings interest rates and also the year of the earlier Swabhimaan campaign for village banking. Option C, 2016, is the year of demonetisation, of the launch of UPI and of the KYC Master Direction. Option D, 2019, saw the rollout of several digital payment measures. Only 2014 is the launch year of the Jan Dhan Yojana.
Read the full article: Bank Accounts, Deposits and KYC Rules for Exams
Practice Questions
View allWhich type of bank account pays no interest to the holder but allows an overdraft facility and an unlimited number of transactions?
- A.Savings deposit account
- B.Current account
- C.Recurring deposit account
- D.Fixed deposit account
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A current account is meant for traders, firms and companies that need to receive and pay money many times a day.
Read the full explanation →The KYC norms that banks in India follow are framed mainly under which law?
- A.Banking Regulation Act, 1949
- B.Prevention of Money Laundering Act, 2002
- C.Negotiable Instruments Act, 1881
- D.Foreign Exchange Management Act, 1999
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Know Your Customer rules exist to stop the banking system being used to launder the proceeds of crime or to finance terrorism.
Read the full explanation →Which of the following is NOT an officially valid document for completing KYC at a bank?
- A.Passport
- B.PAN card
- C.Voter identity card issued by the Election Commission
- D.Driving licence
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The list of officially valid documents in the KYC rules is closed and contains the passport, the driving licence, proof of possession of an Aadhaar number, the voter identity card issued by the Election Commission, a job card issued under MGNREGA and signed by an officer of the state government…
Read the full explanation →What is the chief feature of a Basic Savings Bank Deposit Account?
- A.It pays a higher rate of interest than other savings accounts
- B.It requires no minimum balance to be kept
- C.It can be opened only by senior citizens
- D.It allows an unlimited overdraft
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The Basic Savings Bank Deposit Account replaced the earlier no-frills account as the vehicle of financial inclusion.
Read the full explanation →How often must KYC records of a high risk customer be updated under the Reserve Bank's KYC Direction?
- A.Once in two years
- B.Once in five years
- C.Once in eight years
- D.Once in ten years
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Banks classify customers as low, medium or high risk when the account is opened, on the basis of identity, social and financial standing and the nature of the expected business.
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