Sreedhar’s CCE GENERAL AWARENESS HANDOUT-1

BANK ING H A N DOU T

A WA RENESS 3

INTERVIEW QUESTIONS
Question No. 17: What is RBI’s Digital Payments Index – DPI?
• Reserve Bank of India introduced its Digital Payments Index in 2021.
• The index measures the penetration of Digital Payments in India based on five

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parameters namely – Payment Enabler, Payment Infrastructure (Demand Side),
Payment Infrastructure (Supply Side), Payment Performance, and Consumer
Centricity.

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• It has been constructed with March 2018 as the Base Period, i.e., DPI Score for
March 2018 is set at 100.
Question No. 18: What is the importance of Indian Financial System Code –
IFSC?
• IFSC is a 11-character alpha numeric code.
• It is used while initiating fund transfer transaction through mechanisms like
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NEFT, RTGS, IMPS etc.

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• It helps uniquely identify the bank and the branch where the beneficiary account
is located.
Question No. 19: Related to financial terminology, what is Credit Score?
• A Credit Score is an indicator of a person’s creditworthiness, or their ability to
repay debt.
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• It usually expressed as a number based on the person’s repayment history and

credit files across different loan types and credit institutions [i.e., Banks, NBFCs
etc.]
• It is a tool that lenders use to make lending decisions.
Question No. 20: What are Treasury Bills [T-Bills]?
•
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Treasury Bill is a money market instrument issued by the Government of India.
• The purpose of this instrument is to mobilise funds to meet short-term fund
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requirements of the government.

• T-Bills are issued to meet short-term mismatches in receipts and expenditure.
Question No. 21: What is a difference between a Loan & an Advance?
• An Advance is a credit support provided by a Bank or a Financial Institute to
any business establishment or individual for short-term requirements.
• A Loan is a financial product offered by Bank or a Financial Institution to
individuals and businesses, assisting them in their personal and professional
journeys which require financial assistance.
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• Loans are typically granted for long-term requirements, whereas advances are to
cover short-term cash flow needs.
Question No. 22: What is RBI – Retail Direct Scheme?
• RBI – Retail Direct Scheme is a one-stop solution to facilitate investment in
Government Securities by Individual Investors.
• To access the Primary and Secondary G-Securities market, we need to open a
Retail Direct Gilt – RDG Account with Reserve Bank of India.
Question No. 23: What does it mean when a Bank Account is Unclaimed?
• Balances in Savings / Current Accounts which are not operated for 10 years, or
Term Deposits not claimed within 10 years from the date of maturity are classified
as Unclaimed Deposits.
Question No. 24: What is National Payments Corporation of India - NPCI and
its role?
• NPCI serves as an umbrella organization for the operation of Retail Payments in
India. It was founded in 2008 as a not-for-profit organization
Unified Payment Interface - UPI, RuPay, Immediate Payment Service - IMPS and
National Financial Switch - NFS etc. are some of its prominent services.

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