-->
Advertisement
Advertisement

BANK TRANSACTIONS-10th Standard Social Science Notes

Advertisement

CHAPTER 1

Business Studies

BANK TRANSACTIONS

I Key Points

  • The term bank is derived from old Italian word “Banco” or from a French word “Banque “ both mean a “Bench or money exchange table.
  • The term bank is related to financial transactions.
  • Banks are financial institutions which use the money deposited by customers as investments and agreed to return whenever they require .
  • The services of banks is called Banking
  • Reserve Bank of India is known as Mother of Banks. Bankers Bank or central Bank of India.
  • All the banking transactions in India are controlled by the Reserve Bank of India.

II Expand the following Abbreviation

1. R.B.I.= Reserve Bank of India

2. I.D.B= Industrial Development Banks

3. L.D.B= Land Development Bank

4. I.P.D= Indian Postal Department

5. A.T.M= Automatic Teller Machine.

III Multiple choice Questions

1. The term bank is derived from old Italian wor

a)Bench b)Banque c)Banco d)Banko

2. Banks are institutions.

a)Political b)Financial c)Educational d)All of the above

3. Banks developed about years ago.

a) two hundred b)five hundred c)seven hundred d)nine hundred

4. Which one of the following is not services offered by banks ?

a)Credit Cards b)Debit Cards c)Business Loans d)Current Account

5. Which one of the following does not fall under types of Bank Accounts?

a)Term Deposit Account b)Savings Bank Account

c)Co-operative Banks d)Recurring deposit Account

6. is known as central Bank of India

a)Reserve Bank of India b)Commercial Bank c)Indigenous Bank d)Land Development Bank

7. No Deposit less than is accepted by the banker.

a)Rs 10 b)Rs50 c)Rs 100 d)Rs1000

IV Fill in the blanks

1. The word Bank has been derived from the French word Banque.

2. The Banker‟s Bank is Reserve Bank of India.

3. An example for Nationalized bank is Canara Bank.

4. The type of account where any number of transactions can be made with Bank is Current Account Bank.

5. The National saving Certificates are issued by The Indian Postal Department.

6. The Deposits for a fixed term can be deposited in Term Deposit account.

7. Banks are financial Institutions.

8. The Service of banks is called Banking .

9. Banks always add Bank to their names.

10. Bank account helps in collection of Money .

V Match the Following

1. Savings Bank Account –>a) Opened for a fixed period

2. Current Account–> b) Deposits are made on monthly basis

3. Recurring Deposit Account –>c) Before the expiry of the term

4. Term Deposit Account –>d) Opened by Businesses

5. The Deposit amount can –>e) Opened by salaried persons not be withdrawn

Ans: 1- d 2c 3e 4b 5a

VI Answer the following questions after discussion with your friends .

1. What is a bank?

Bank is a financial institution which uses the money deposited by customers as investments and agrees to return whenever they require.

2. List out the characteristics relating to bank transactions.

  • Dealing with money
  • Acceptance of Deposits
  • Lending Loans
  • Payment and withdrawal
  • Agency and utility service
  • Profit and service Orientation
  • Ever increasing functions
  • Connecting Link
  • Banking Business
  • Name identity

3. What are the functions of a bank ?

  • Accepting deposits from public and others .
  • Lending money to public and other institutions.
  • Transferring money from one place to another .
  • Collecting money by cheques , drafts and bills.
  • Discounting of bills.
  • Hiring safe deposit lockers.
  • Conducting foreign exchange transactions .
  • Keeping valuables is safe custody .
  • Issuing letters of credit and guarantee
  • Conducting government transaction

4. Explain the relation between the bank and its customers .

The relation between a banker and customers falls under two broad categories namely

1. General Relationship

  • primary Relationship (Debtor and Creditor relationship)
  • Subsidiary Relationship (Trustee and beneficiary relation )
  • Agent and principal Relationship

2. Special Relationship .

  • Obligation to honour cheques
  • Obligation to maintain secrecy of accounts.

5. The number of saving bank account holders is increasing “ give reasons .

The number of saving bank account holders is increasing due to following reasons:-

  • This type of account is generally opened in banks by salaried persons , students , senior citizen pensioners ets
  • There is no restriction on the number and amount of deposits .
  • The money can be with drawn either by cheque or through a withdrawal slip available in the respective bank .

6. What are the advantages of opening a bank account ?

  • Bank account facilitates a safe custody of money
  • Bank account helps in making payments.
  • Bank account helps in collection of money
  • Bank account holders get advances and loans
  • Bank account helps in smooth financial transactions
  • Bank account holders get safe deposit locker facilities.

VII Additional Questions .

1. Mentions the Services offered by banks.

  • Credit Cards
  • Personal Loans
  • Home and Vehicle loans
  • Mutual Funds
  • Business Loans
  • Safe Deposit Lockers
  • Debit cards
  • Trust Services
  • Signature Guarantees

2. What are the types of Banks?

The important types of Banks are :-

  • Reserve Bank of India Commercial Banks
  • Industrial Development Banks Land Development Banks
  • Indigenous Banks Co- operative Banks

3. What are the types of Bank Accounts ?

Generally four kinds of accounts can be opened in a Bank They are:

  • Savings Banks Account
  • Current Account
  • Recurring Deposit Account
  • Term Deposit Account

4. What are the procedures to open a Bank Account ?

It takes seven easy steps to open a bank account .They are :

  • Decide the type of account which you want to open
  • Approach the bank of your choice and meet its office .
  • Fill up the Bank account form or proposal form
  • Give reference for opening your Bank account
  • Submit the Bank account form fully filled in
  • The officer will verify all the particulars submitted
  • Initial Deposit to be made.

5. Mention any four Bank Operations

  • It provides savings bank facility to build up savings .
  • Focuses on mobilizing deposits and looking for lending
  • No restriction on number of deposits . No deposit less than Rs: 10/- are accepted by the banker .
  • Account may be transferred between branches of the bank at the request of account holder.
Advertisement

5 Responses to "BANK TRANSACTIONS-10th Standard Social Science Notes"

Unknown said...

Wisconsin Mortgage Corporation has been providing quality home loans across Wisconsin.Meet our loan officers. Please choose the loan officer that you were referred to view their personal page and apply online.Wisconsin Mortgage Each loan officer's page includes the following services.

Unknown said...

Nice. Useful notes

Unknown said...

Tq it's very useful

Unknown said...

Nice and very useful to study

Unknown said...

Its easy to understand

Post a comment