NEFT Transaction Confirmation Process
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Questions and Answers

What is the primary purpose of the safe deposit locker as per the terms and conditions?

  • To store explosive materials
  • To sublet to others
  • To store documents only
  • To store valuables such as jewellery (correct)
  • What action can the bank take if the rent for the locker is not paid on time?

  • Provide free locker service
  • Reduce the rent amount
  • Allow more time to pay the rent
  • Refuse access to the locker (correct)
  • What happens if a hirer tries to use the locker for illegal purposes?

  • The bank will report it to the police (correct)
  • The bank will ignore it
  • The hirer will be fined
  • The hirer will be allowed to continue
  • What is the consequence of defaulting on rent payment after receiving a registered notice?

    <p>The bank can break open the locker and auction its contents</p> Signup and view all the answers

    What is the purpose of the originating bank sending a confirmation to the originating customer?

    <p>To inform the customer about the credit to the beneficiary's account</p> Signup and view all the answers

    How can the remitter track an NEFT transaction?

    <p>Through the originating bank branch or its CFC using a unique transaction reference number</p> Signup and view all the answers

    What are some prerequisites for initiating a funds transfer using NEFT?

    <p>Beneficiary details like account number and IFSC should be available with the remitter</p> Signup and view all the answers

    What advantage does NEFT offer over physical cheques or Demand Drafts?

    <p>Faster processing time</p> Signup and view all the answers

    What should banks do if a customer is classified in a higher risk category?

    <p>Carry out customer due diligence as per KYC norms applicable to the higher risk category</p> Signup and view all the answers

    Why should banks contact locker-hirers if lockers remain un-operated for a certain period?

    <p>To encourage locker operations</p> Signup and view all the answers

    What did a recent incident involving a bank locker emphasize?

    <p>The importance of conducting customer due diligence</p> Signup and view all the answers

    Why should banks have a clear procedure for breaking open lockers?

    <p>To ensure legal compliance and proper inventory assessment</p> Signup and view all the answers

    What is the main characteristic of Mutual Funds?

    <p>They pool money from a group of investors to invest in securities</p> Signup and view all the answers

    In the context of life insurance products, who is the contract between?

    <p>The insurer and the insured</p> Signup and view all the answers

    What is the key advantage for banks in selling third party products?

    <p>It diversifies the source of income for the bank</p> Signup and view all the answers

    What type of insurance does non-life insurance primarily involve?

    <p>General insurance</p> Signup and view all the answers

    What is the first step for an investor when purchasing securities through a broker?

    <p>Purchasing securities at any Stock Exchange connected to Depository</p> Signup and view all the answers

    What happens on the pay-out day for the broker in a purchase transaction?

    <p>The broker receives credit for securities in his clearing account</p> Signup and view all the answers

    What documents does a claimant need to submit for ownership transmission of securities?

    <p>TRF supported by death certificate, succession certificate, will etc.</p> Signup and view all the answers

    In a sale transaction, what action does the investor take before the pay-in day?

    <p>Gives instruction to his DP to credit selling broker’s clearing account</p> Signup and view all the answers

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