Banking Transactions and Electronic Payment Systems - Class IX

IMPS is the process of transferring funds
through mobile phones. IMPS stands for Immediate Payment Service. The
service of IMPS is available 24/7 throughout the year including bank
holidays. It offers an inter bank electronic fund transfer service
through the use of mobile phones. IMPS can be done in the following ways:a) Using Mobile number & MMID (P2P) b) Using Account number & IFS Code (P2A)c) Using Aadhaar number (ABRS)

According to RBI guidelines, the maximum limit for cash-based NEFT transactions is Rs 50,000 per transaction.

D.

ECS is an electronic mode of payment / receipt for transactions that are repetitive and periodic in nature. ECS is used by institutions for making bulk payment of amounts towards distribution of dividend, interest, salary, pension, etc., or for bulk collection of amounts towards telephone / electricity / water dues, cess / tax collections, loan installment repayments, periodic investments in mutual funds, etc. Essentially, ECS facilitates bulk transfer of monies from one bank account to many bank accounts or vice versa using the services of a ECS Centre at a ECS location.

A bank draft can be dishonored- this is a false statement. Bank draft cannot be dishonored. As per the RBI guidelines, validity of a
bank draft is 3 months. Bank draft guarantees the underlying funds. A
bank draft is often defined as a cheque drawn by a bank on its own
funds.

As per RBI regulations, the validity period for a bank draft (demand draft) is 3 months from the date of issue.

Electronic banking is a form of Virtual Banking- this is a true statement. Under e-banking, account holders get unlimited access to their account. Through e-banking
customers can conduct transactions electronically. E-banking is a
product designed for the purpose of online banking.

IMPS is the process of transferring funds through mobile phones. IMPS stands for Immediate Payment Service. The service of IMPS is available 24/7 throughout the year including bank holidays. It offers an inter bank electronic fund transfer service through the use of mobile phones.

The timing of RTGS services at banks varies depending on the customer timings of the branch/bank- this is a true statement. Minimum amount required to transfer funds
through RTGS is Rs 2,00,000. RTGS stands for Real Time  Gross
Settlement. It is an electronic form of funds transfer. The transmission
takes place on a real time basis. The transfer of funds with RTGS is
done for minimum of Rs. 2 lakh.

A fee is applicable for processing NEFT transaction- this is a true statement. When a transaction is made through NEFT, some service tax is charged with ranges from Rs. 2.5 to Rs 5. It is charged when funds are transferred from one bank account to another.