Important Fact about BSBDA-
- Bank Saving Bank Deposit Account is also called as BSBDA.
- BSBDA offers you to bank with Zero Minimum balance requirement, recently exiting “Non-Frills” account has been converted into BSBDA in compliance with the guidelines issued on 22 Aug 2012 by the central bank of India (RBI).
Some important point related to BSBDA must you know about:
- Bank Saving Bank Deposit Account shall not have the requirement of any minimum balance.
- In this account, account holder can deposit and withdrawal of cash at bank branch as well as ATM.
- Here will be no limit on the number of deposit that can be made in a month but customer will be allowed a maximum four transaction in month, Include ATM Withdrawal
- There will facilities available of ATM-cum and Debit card.
- There will be no-charge levied for non-operation/activation of in operative “BSBDA”.
- Owner of “Basic Saving deposit account “will not eligible for opening any other saving bank deposit account in that bank.
- As you know that, one can have Term Deposit/Fixed Deposit/Recurring Deposit and any other, accounts in the bank where one holds “Basis Saving Deposit Account”.
- It would be subject to RBI instruction on Known Your Customer (KYC)/Anti-Money Laundering (AML) for opening bank accounts issued from time to time.
- All credits in a financial year do not exceed Rs.1.00 Lacs.
- And all withdrawal and transfer in a month does not exceed Rs.10K.
- In BSBDA account” balance at any time does not exceed Rs.50K.
- Basic Saving Deposit account (BSBDA) is part of the efforts RBI for furthering financial inclusion objectives.
Cheque truncation System (CTS)-Important point:
- Cheque Truncation System (CTS) is the major project undertaken by Reserve bank of India (RBI) for faster clearing of Cheques.
- After introduce CTS, Reducing the time taken to clear the cheques as well as to the banks by increasing operational efficiency by cutting down on overheads in physical cheque clearing by using cheque image, instead of the physical cheque.
- Cheque truncation system (CTS) allows a financial institution to truncate cheques at the “Point of Capture” by providing the capabilities of presenting cheques to the “Paying banks” electronically and process return cheques electronically.
Main reason behind that Cheque Truncation System (CTS) in India-
- CTS is very speeds up processor of collection of cheques resulting in better services to customer and reduce the scope of clearing-related frauds or loss of instruments in transit, lowers the cost of collection of cheques and removes reconciliation-related and logistics-related problems.
- Cheque Truncation System (CTS) is more secure system Vis-à-vis the exchange of physical document.
- CTS provide various advantages to bank and customers, including human resources rationalization, cost effectiveness, better services, adaption of latest technology etc.
- Cheque Truncation Concept:
- Cheque Truncation system –follow rule:
Advantage of Cheque truncation System:
- More desirable customer services like Enhanced Customer Window
- Some Code will be there in CTS like T+0 for local clearing T+1 intercity clearing
- Geographical Dependence
- Minimizes Transaction Costs
- Reduces operational risk by securing the transmission route
- Clearing House can be extended to the entire country –No
Full Details about CTS 2010: