1. Under the Cheque Truncation System (CTS-2010), which of the following is NOT a mandatory security feature?
Watermark with "CTS-INDIA"
QR Code containing account details
Bank's logo in ultra-violet ink
Void Pantograph
Explanation:
While some banks add QR codes, it is not a mandatory standard feature prescribed under CTS-2010 standards (unlike Void Pantograph, UV Logo, and Watermark).
2. In the context of RTGS, what does "STP" stand for?
Short Term Payment
Secure Transfer Protocol
Straight Through Processing
Standard Transaction Protocol
Explanation:
STP means the payment message flows from the remitting bank to the RBI and then to the beneficiary bank automatically without any manual intervention, ensuring speed and accuracy.
3. Positive Pay System involves re-confirming key details of large value cheques. What is the threshold above which banks may make it mandatory?
?2 Lakh
?5 Lakh
?50,000
?10 Lakh
Explanation:
While the facility is available for cheques of ?50,000 and above, banks have the discretion to make it mandatory for cheques for amounts of ?5 Lakh and above to prevent high-value fraud.
4. What is the purpose of the "Void Pantograph" on a cheque?
To prevent photocopying of the cheque.
To help blind persons identify the cheque.
To store digital data.
To make the cheque look attractive.
Explanation:
The Void Pantograph is a hidden feature. When a cheque is photocopied or scanned, the word "VOID" or "COPY" clearly appears on the copy, making it impossible to use the copy for fraud.
5. How many NEFT batches are available for settlement in a day (24-hour cycle)?
Explanation:
NEFT operates in half-hourly batches throughout the day (24x7). In a 24-hour cycle, there are 48 batches (00:30 to 00:00).
6. India's Cheque Truncation System (CTS) is divided into how many grids?
State-wise Grids
Four Grids (Metros)
One Single National Grid
Three Grids (North, South, West)
Explanation:
Currently, CTS operates in 3 grids: Northern Grid (New Delhi), Southern Grid (Chennai), and Western Grid (Mumbai). All cheques are cleared through one of these grids.
7. The Indian Financial System Code (IFSC) is an 11-character code. What does the 5th character always represent?
The State Code.
The digit "0" (Zero).
The Bank Code.
The Branch Code.
Explanation:
The IFSC structure is: First 4 chars = Bank Code (Alphabetic); 5th char = 0 (Zero) (Reserved for future use); Last 6 chars = Branch Code (Numeric/Alphabetic). Example: SBIN0001234.
8. Under the Cheque Truncation System (CTS), what is the format of the cheque images transmitted from the collecting bank to the paying bank?
JPEG, Grayscale only.
PDF document.
TIFF format with three images (Front Gray, Front Binary, Back Binary).
Raw Bitmap.
Explanation:
CTS standards mandate using the TIFF (Tagged Image File Format) . Three images are captured: 1. Front Grayscale (for visual details), 2. Front Black & White (Binary, for MICR reading), 3. Back Black & White (Binary, for endorsements).