Banking for Prelims

What is Positive Pay Mechanism? Positive Pay is a fraud detection tool adopted by banks to protect customers against forged, […]

Account Aggregator(AA): Account Aggregator is a non-banking financial company that simply facilitates sharing of financial information in a real-time and data-blind manner

What is Prompt corrective action(PCA) Framework? PCA is an RBI framework. Banks with weak financial metrics are put under the PCA

Urban Cooperative Banks (UCBs) are registered as cooperative societies under the provisions of, either the State Cooperative Societies Act of

Context: RBI has decided not to open up the banking sector for industrial and corporate houses. Pros of allowing Corporate

What are Neobanks? Neobanks are financial institutions that give customers a cheaper alternative to traditional banks. These are digital banks

RBI’s Transfer of Surplus to Government:  RBI transfers its surplus profits to the Government according to the provisions of Section 47

Asset Reconstruction Company (ARC): Asset Reconstruction Company (ARC) is a specialized financial institution that buys the Non-Performing Assets (NPAs) from banks

Insolvency and Bankruptcy Code (Amendment) Ordinance, 2021: IBC Amendment Ordinance 2021 amends the Insolvency and Bankruptcy Code, 2016. The Amendment allows the

Positive Pay Mechanism: It involves a process of reconfirming key details of large-value cheques. Process:  Under this, the issuer of the