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Banking - General Knowledge Questions
A)
IDBI Bank
B)
IndusInd Bank
C)
IDFC FIRST Bank
D)
Karur Vysya Bank

Correct Answer : Option (B) - IndusInd Bank

IndusInd Bank on Thursday, (14 September 2023), announced the launch of the ‘Virtual Commercial Card' to redefine cross-border transactions for corporates and travel agents.

* In a tie-up with Visa, this virtual card has additional layers of security which grants the users control over their international expenses, making it a safe and hassle-free experience for the customers, IndusInd Bank said.

* Launched as ‘Virtual commercial Credit Card’, this offering is tailored to cater to the requirements of corporates and travel industry, who make numerous bookings in multiple foreign currencies.

* "With the Virtual Commercial Cards, these commercial users can generate virtual cards or credentials in foreign-denominated currencies as well, safeguarding the parent card number, ensuring utmost security for transactions. Each virtual card can be fully customised with transaction-specific limits and even the expiry dates can be defined to ensure secure and seamless payment experience," IndusInd Bank said.

* Ramakrishnan Gopalan, Head – Products, India & South Asia, Visa said, “Providing a high degree of control, reduced complexity and complete transparency, this commercial card solution built on the Visa Payables Automation platform also allows for multiple user access and better expense management, while providing the highest standards of transaction security.”

* Sheetal Lalwani, Cofounder & COO, Juspay said, “We’re making it easy for the buyers and suppliers in the corporate & travel industry to streamline their payments processes with our intuitive, frictionless, tokenisation-cum-AFA regulation compliant, and maker-checker workflow based Virtual commercial Card solution in partnership with Indusind Bank and Visa."..

Source : CNBC

A)
AU Small Finance Bank
B)
IDFC FIRST Bank
C)
Ujjivan Small Finance Bank
D)
Equitas Small Finance Bank

Correct Answer : Option (A) - AU Small Finance Bank

AU Small Finance Bank has entered into bancassurance tie-ups with Star Health and Bajaj Allianz.

1. Star Health and Allied Insurance Company Limited ('Star Health') for Health Insurance solution to Bank's customers.

2. Bajaj Allianz Life Insurance Company ('Bajaj Allianz') for Life Insurance solution to Bank's customers.

These tie-ups will enable the Bank's customers to access a wide range of insurance products from Star Health and Bajaj Allianz..

Source : Capital Market

A)
Scotiabank
B)
CTBC Bank
C)
Standard Chartered
D)
HSBC India

Correct Answer : Option (D) - HSBC India

Hong Kong and Shanghai Banking Corporation (HSBC) Limited became the first foreign bank in India to launch 'ONDC in a Box', a one-stop-shop proposition for corporates towards seamless enablement on ONDC.

Aim :  To foster an inclusive, competitive, and open network, amplifying its impact across the business spectrum.

* The ONDC is an initiative to build an open, interoperable network on which buyers and sellers can transact without needing to be present on the same platform.

Source : HSBC

A)
Visa
B)
RuPay
C)
Maestro
D)
Mastercard

Correct Answer : Option (D) - Mastercard

Mastercard announced its collaboration with KredX, a supply chain finance platform, to make B2B digital payments rewarding for both enterprises and vendors. As part of the collaboration, Mastercard will integrate its commercial card service with the KredX platform, eliminating the complexities associated with B2B payments, especially those made via cards.

Equipped with features like dynamic discounting, early payment and price discovery, the platform will enable enterprises and vendors to improve their cash flows.

Powered by Artificial Intelligence, it will act as a complete procure-to-pay offering for businesses, helping them with faster and more efficient matching and processing of invoices. Further, the Smart Bid algorithm will help enterprises discover the best discount rates from vendors.

B2B payments are ridden with complexities of diverse invoicing, payment terms, currency variations, and reconciliation procedures. Combining KredX’s proprietary technology with Mastercard’s expertise in commercial payment solutions will create a pioneering B2B payments solution accessible to all businesses, supporting them with better cash flows and access to working capital.

This collaboration reiterates Mastercard’s commitment to further digital payments acceptance by providing unique and innovative solutions to businesses,” said Mukul Sukhani, Senior Vice President, Business Development, South Asia, Mastercard.

The platform will also address some of the other challenges associated with B2B payments, such as long accounting and reconciliation processes, low vendor acceptance, and frequent chargeback. Further, it will be instrumental in promoting digital payments acceptance by allowing small vendors to receive payments even in the absence of in-house payment gateways and PoS machines.

“We are delighted to collaborate with Mastercard to provide a complete B2B payments solution for businesses. By integrating pre-discounting journeys with post-discounting payments, this platform will enhance companies’ operational efficiency and strengthen their supply chain management capabilities. Accelerating supply chain velocity through financial innovation has been central to KredX’s value proposition,” said Manish Kumar, CEO & Founder, KredX..

Source : CRN

A)
Axis
B)
ICICI
C)
SBI
D)
HDFC

Correct Answer : Option (C) - SBI

SBI Card, the country’s largest pure-play credit card issuer, has unveiled new features of its super premium card ‘AURUM’, targeted at C-suite executives and high net-worth individuals.

This by-invitation only card — which was launched in February 2021 – now extends enhanced benefits to its users, ranging from introduction of new annual spends-based milestone and welcome benefits to additional international lounge benefits and golf privileges.

The introductions add to the bevy of thoughtfully curated benefits offered by AURUM.

With these enhancements, AURUM cardholders will now be able to derive benefits of up to worth ₹2 lakh annually, basis their spends.

Abhijit Chakravorty, MD & CEO, SBI Card, said : “AURUM has been tailored to meet the discerning taste and lifestyle of the globetrotting and high-flying executives who pursue excellence in every aspect of their life.


Super premium segment :

* It has become one of the most coveted cards in the super premium segment. Looking at the admiration it has gathered so far, we decided to take the cardholders’ experience a notch higher. All in all, AURUM cardholders can expect a more rewarding, richer, and more luxurious experience.”

* AURUM offers unlimited international lounge access to the cardholders, in addition to four international lounge visits for accompanying guests are also enabled now.


Special benefits :

* AURUM offers a sumptuous travel experience along with many special benefits. For instance, the card now offers 1-year Club Mariott membership as a welcome gift.

* Through this membership, AURUM cardholders can avail discount benefits up to 25 per cent in stay, food and beverages, and spa in over 250 hotels under the Mariott group across Asia Pacific.

* The joining and annual membership fee for AURUM is ₹9,999. This fee is reversed on achieving the spends milestone of ₹12 lakh during a card membership year..

Source : The Hindu Businessline

A)
KVB
B)
SBI
C)
UBI
D)
ICICI

Correct Answer : Option (B) - SBI

The State Bank of India announced in a release on Monday (4th September 2023), “This feature, accessible through the 'eRupee by SBI' application, will empower SBI CBDC users to scan any merchant UPI QR code for transactions,” the bank said in the release.”

Reserve Bank of India’s (RBI’s) Central Bank Digital Currency (CBDC) pilot project, multiple Indian banks have announced the introduction of Unified Payments Interface (UPI) interoperability feature on the Digital Rupee application. This means, Digital Rupee app users can scan any QR code to make payments for groceries and daily expenses.


The CBDC push :

State Bank of India (SBI), Kotak Mahindra Bank, Yes Bank, Axis Bank. HDFC Bank, Canara Bank, among others are live with the inclusion of UPI interoperability.

The State Bank of India announced in a release on Monday, “This feature, accessible through the 'eRupee by SBI' application, will empower SBI CBDC users to scan any merchant UPI QR code for transactions,” the bank said in the release.”


Will this improve CBDC adoption?

This development is said to increase the adoption of RBI’s CBDC, as it would now be able to depend on the distribution systems built by the leading Indian banks.

“Bank feels that this integration will be a game changer for the digital currency ecosystem. The move is the outcome of our unwavering commitment to pushing the boundaries of digital innovation to accelerate the transition to a more cashless economy. SBI remains dedicated to providing secure, efficient, and user-friendly solutions that reshape conducting transactions,” SBI highlighted in its release.


Will merchants have to install new QR codes?

It is worth noting that as per the announcements made by the Indian banks, merchants would not be required to replace their current QR codes. They would only need to display a single QR code on their storefront or via the banking mobile application which would accept CBDC payments as well. This means, the existing QR code will be interoperable, allowing a simple QR payment acceptance terminal. It will accommodate the Scan & Pay feature through multiple payment options.

Moreover, the eligible banks' digital rupee customers can transact using the funds available in their Digital Rupee (CBDC) wallet by scanning the UPI QR code.


RBI’s CBDC :

The RBI launched the CBDC pilot programme in 2022. The Indian CBDC, which is backed by the RBI, is also known as Digital Rupee. It represents a tokenised digital version of the currency, i.e. Indian Rupee which is issued and regulated by the RBI..

Source : Business Today

A)
Union Bank of India
B)
State Bank of India
C)
Canara Bank
D)
Punjab National Bank

Correct Answer : Option (A) - Union Bank of India

The growth of renewable energy in India, Indian Renewable Energy Development Agency Ltd. (IREDA) has signed Memorandums of Understanding (MoUs) with Union Bank of India (UBI) and Bank of Baroda (BoB), on September 5, 2023.

These agreements will empower IREDA to collaborate with UBI and BoB, in co-lending and loan syndication for a wide range of renewable energy projects, including both established and emerging RE technologies.

Expressing his happiness about these partnerships, CMD of IREDA, Shri Pradip Kumar Das said: "Both Union Bank of India and Bank of Baroda have an extensive nationwide presence with a vast network of branches. This collaboration aims to extend our reach, particularly in tier-2 & tier-3 cities and rural areas, enabling us to provide unique and innovative financial support to existing and new customers. We are confident that by combining our strengths and resources, we will continue to serve our customers in alignment with the vision of the Prime Minister for Atmanirbhar Bharat and sustainable growth."

The MoU with Union Bank of India was formally inked by General Manager (Technical Services), IREDA, Shri Bharat Singh Rajput and General Manager (Large Corporate Vertical), UBI, Shri Dhirendra Jain. The signing ceremony was graced by the presence of Chairman and Managing Director of IREDA, Shri Pradip Kumar Das; Managing Director & CEO of UBI, Ms. A. Manimekhalai and senior officials.

The MoU with Bank of Baroda was executed by General Manager (Technical Services), IREDA, Shri Bharat Singh Rajput and General Manager, BoB, Shri Dhiren Lalai. The signing ceremony witnessed the presence of IREDA CMD and MD & CEO of BoB, Shri Debadatta Chand along with Executive Director Mr. Lalit Tyagi. Other senior officials of BoB, Head-Large Corporate Relationships, Mr. Sumit Sachdeva and Head – Credit, Mr. Manoj Chayani were also present on the occasion.

In recent years, IREDA has been actively encouraging partnerships with various Central and State agencies as well as financial institutions to leverage its techno-financial expertise for the development of the renewable energy sector..

Source : PIB

A)
Bank of Baroda
B)
IDFC FIRST Bank
C)
IDBI Bank
D)
Union Bank of India

Correct Answer : Option (B) - IDFC FIRST Bank

Private banking company IDFC First Bank, on Monday (4th Sep 2023), said that it has integrated Central Bank Digital Currency (CBDC) app with UPI QR codes. The move is aimed at encouraging the use of the digital rupee and make it more accessible.

The new feature simplifies the process for merchants to accept payments made with the digital rupee. This development allows individuals to easily use digital rupees for payments through existing UPI QR codes at various merchant outlets.


Digital rupee adoption :

"Being one of the banks that are a part of RBI's CBDC initiative for retail users, this new feature will simplify payment acceptance for merchants, enabling them to seamlessly accept payments made with digital rupees," IDFC First Bank said in a statement.

"Individuals can effortlessly make payments using digital rupees through existing UPI QR codes at various merchants," it added.

According to IDFC First Bank's Executive Director, Madhivanan Balakrishnan, this UPI interoperability feature is expected to greatly increase the adoption of CBDC throughout the country.

The digital rupee, introduced by the Reserve Bank of India last year, represents a digital form of legal tender issued by the central bank. It possesses essential qualities like physical currency, including trustworthiness, security, and the capability for instant settlement in the digital realm..

Source : Republic World

A)
Visa
B)
Maestro
C)
American Express
D)
Mastercard

Correct Answer : Option (D) - Mastercard

Mastercard has launched (1st Sep 2023) the ALT (Alternate Identification Number) ID solution in India to enhance the security of guest checkout transactions on ecommerce platforms, simplifying payments for merchants and cardholders.

As per the announcement information, ALT ID is a custom-made capability developed by Mastercard to create an alternate identifier for the real card numbers provided by cardholders when at guest checkout transactions on ecommerce platforms. The solution is designed to help increase online payment security for both merchants and consumers.

Mastercard’s ALT ID Solution Capabilities and Launch Context :

Mastercard has previously rolled out a card-on-file tokenization solution for cardholders to be able to complete transactions in a safe manner, without revealing sensitive card details. The Mastercard ALT ID solution is designed for cardholders who carry out transactions without saving their cards, also referred to as guest checkout. It helps create and store an alternative identifier for every card, thereby bettering the security of these types of online payments.

The ALT ID solution is set to provide cardholders with multiple advantages, such as non-storage of card numbers on merchant websites and protection against potential data breaches. When talking about merchants and payment service providers, it is set to enable them to secure the card numbers with minimal development efforts, while simultaneously helping improve the payment experience of their customers.

Commenting on the launch, Anubhav Gupta, Senior Vice President, South Asia, Mastercard said that the ALT ID solution showcases the enterprise's ongoing endeavour to introduce innovative products and solutions that are compliant, user-friendly, and increase the safety and security of digital payments, while helping make them seamless for both merchants and cardholders. By ensuring an increasingly safer shopping experience, the solution is also believed to support the growth of ecommerce in India.

Sheetal Lalwani, Co-founder & COO, Juspay stated that the launch of ALT ID is to support the company’s efforts to secure the digital experiences of cardholders who don’t want to save their cards with merchants, saying that leveraging the Juspay platform, they are ensuring that merchants can transition customers to ALT ID in a simple manner, without any changes at their end.

Mohit Gopal, COO of PayU India added that Mastercard’s ALT ID solution for guest checkout transactions underscores PayU’s foundational commitment to bettering digital payment security, convenience, and accessibility. The spokesperson believes the service will empower cardholders, merchants, and payment service providers with a simplified and fortified approach to online transactions.

Further adding on this, Khilan Haria, SVP and Head of Payments Product, Razorpay said that they’re looking forward to collaborating with Mastercard for its ALT ID solution, stating that the association will benefit merchants through increased payment success rates and no integration effort, while strengthening the company’s commitment to developing a more secure and extensive ecosystem for digital payments...

Source : The Paypers

A)
SBI
B)
PNB
C)
CUB
D)
UBI

Correct Answer : Option (B) - PNB

Punjab National Bank launched the PNB GST Sahay App for MSME borrowers to access loans up to Rs 2 lakh digitally using GST invoices.

Aim : To streamline the lending process for micro, small, and medium-sized businesses.


key features of the PNB GST Sahay App include :

End-to-End Digital Lending Process : The app facilitates a completely digital lending process, reducing the need for manual intervention. This not only saves time but also minimizes errors and inefficiencies in the loan application process.

Cost-Effective and Smooth Process : By eliminating manual steps, the lending process becomes more cost-effective and smoother for both the bank and the borrowers. This efficiency can translate into faster loan approvals and disbursements.

Direct Loan Crediting : Loans approved through the app are directly credited to the borrower's current account maintained with PNB. This ensures a seamless and quick transfer of funds.

Technology-Driven Assessment : The app uses technology to assess market reports, appraisals, and other factors that determine loan eligibility. This reduces bottlenecks and delays in loan processing.


Loan Range and Repayment Options : The app offers loans ranging from Rs 10,000 to Rs 2 lakh per invoice, with a maximum cap of Rs 10 lakh per borrower. Borrowers also have the option of hassle-free one-time repayment and pre-payment.

Integration with GST Profile : The loans are linked to the borrower's GST profile, which can provide the bank with valuable information about the borrower's business operations and financial health.

Focus on MSMEs : The initiative aligns with the Indian government's focus on supporting and promoting micro, small, and medium-sized enterprises (MSMEs), which play a crucial role in the country's economy.

PNB's efforts to digitize the credit journey and provide streamlined access to credit for MSMEs are commendable. This move not only enhances customer experience but also aligns with the broader trend of using technology to improve financial services.

PNB's position as a leading MSME lender, as indicated by the number of collateral-free loans it has disbursed, showcases the bank's commitment to supporting small businesses. Other banks, such as Bank of Maharashtra and Union Bank of India, have also been active in extending collateral-free loans to MSMEs.

Overall, the launch of the PNB GST Sahay App seems like a positive development that can contribute to the growth and development of MSMEs in India by providing them with easier access to credit and financial support..

Source : Caclub India