Which of the following is a non-banking financial company NOT permitted to do?
- A.Give loans and advances
- B.Accept demand deposits
- C.Acquire shares and debentures
- D.Carry on hire purchase business
Show answer
An NBFC cannot accept demand deposits, cannot issue cheques drawn on itself, is not part of the payment and settlement system, and its depositors do not have the cover of the Deposit Insurance and Credit Guarantee Corporation.
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