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प्रश्न
The difference between the value of security and the amount of loan sanctioned against these securities is known as:
पर्याय
Credit rationing
Margin requirement
Direct Action
Regulation of consumer credit
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उत्तर
Margin requirement
Explanation:
The disparity between the security's value and the approved loan amount against said securities is referred to as margin requirements. This serves as one of the qualitative instruments for credit control employed by the central bank.
संबंधित प्रश्न
Briefly explain two qualitative methods of credit control adopted by this institution.
Which of the following is not a quantitative method of credit control?
Match the following and select the correct option:
| Column A | Column B | ||
| (i) | A rate of interest at which the central bank (RBI) lends money to member commercial banks to meet they long term needs. | A. | Cash Reserve Ratio |
| (ii) | A rate of interest at which RBI lends money to commercial banks to meet their short term needs. | B. | Statutory liquidity ratio |
| (iii) | A minimum percentage of total deposits kept by banks with the Central Bank. | C. | Repo rate |
| (iv) | A minimum percentage of total deposits to be kept by banks inform of liquid assets with themselves. | D. | Bank rate |
Observe the relationship of the first pair of words and complete the second pair.
Quantitative method of credit control by the central bank : Bank rate.
Quantitative method of credit control by the central bank :
What is meant by open market operations?
Define the term Statutory Liquidity Ratio.
Define the following term:
Cash Reserve Ratio.
Briefly explain the following credit control methods adopted by the Central Bank.
Moral persuasion
What is this policy called that controls the credit supply in an economy?
What are quantitative methods of credit control?
