Question

According to the Banking Regulation Act, 1949, the main feature of banking is ______.

Options

• Printing currency notes for the government

• Accepting deposits only for safekeeping without any lending

• Accepting deposits from the public for lending or investment, repayable and withdrawable by cheque or draft

• Selling shares and debentures to the public

Answer 1

According to the Banking Regulation Act, 1949, the main feature of banking is accepting deposits from the public for lending or investment, repayable and withdrawable by cheque or draft.

Explanation: 

Banking means accepting deposits of money from the public for the purpose of lending or investment, which are repayable on demand or otherwise and withdrawable by cheque, demand draft, order or otherwise.