Banky’s Understanding: SB interest: Calculated on daily products of end-of-day balances (not minimum monthly balance!). Banks free to decide rate. Different rates for >₹1L and ≤₹1L permitted. Rate for ≤₹1L must be uniform. Credited quarterly or shorter. Must be credited even on inoperative accounts. No penal charges on inoperative SB accounts.

Banky’s Understanding: FD/TD rules: Minimum tenor: 7 days. Premature: interest at rate for actual period held (not contracted rate), minus penalty. No interest if withdrawn before 7 days. Board-approved penalty policy. TDs ≤₹15L from individuals (singly/jointly) MUST have premature withdrawal facility. Overdue FDs: interest at SB rate or contracted rate, whichever is lower. Maturity ≥₹20K: paid to account only (not cash). Interest: quarterly or on maturity (reinvestment). Can offer floating rate TDs (linked to external benchmark).

Banky’s Understanding: Inoperative: No customer-induced transactions for 2 years. No penal charges for minimum balance. Continue crediting SB interest. Revive on request (no charges for activation). Display 10yr+ list on website. DEAF (Depositor Education & Awareness Fund): Established by RBI in 2014. All deposits unclaimed for 10 years or more → transferred to DEAF. Includes: SB, FD, RD, CA, cash credit, loan A/c surpluses, outstanding DDs/MTs, etc. Subsequent claims: bank refunds from DEAF.

Banky’s Understanding: Nomination forms: DA-1 (nominate), DA-2 (cancel), DA-3 (vary). Only for individuals in personal capacity + sole proprietors. Nominee = trustee on behalf of legal heirs (NOT owner — exam PYQ!). No loan to nominee against deceased’s deposit. One nominee per deposit. Lockers: multiple nominees permitted. Continues after renewal of FD. Minor can be nominee (appoint adult to receive). All joint holders must sign nomination forms.

Banky’s Understanding: Modes: (1) Jointly (no survivorship — death → survivors + legal heirs). (2) Jointly or Survivors (joint operation, survivor gets). (3) Either or Survivor (E or S) — either operates, survivor gets (2 persons). (4) Anyone or Survivor (A or S) — any one operates, 2+ persons. (5) Former or Survivor — first named operates, survivor gets. No mode specified = operate JOINTLY. Any holder can stop payment. Insanity/insolvency = stop all operations. Closure = ALL holders sign.

Banky’s Understanding: Garnishee Order: Court order directing bank to freeze/pay customer’s (judgment-debtor’s) funds to the creditor (judgment-creditor). Bank becomes garnishee. Attachment Order: Similar order by revenue authorities (income tax, commercial tax). Bank must comply. Cannot pay customer after receiving order. Applies to existing balances (not future credits, unless specified). Joint A/c: only debtor’s share attachable.

Banky’s Understanding: BSBDA (Basic Savings Bank Deposit Account): No minimum balance requirement. No charges for not maintaining minimum balance. Basic banking facilities: deposits, withdrawals, remittances, ATM card. Aimed at financial inclusion — bringing unbanked population into banking. Part of Jan Dhan Yojana framework.

Banky’s Understanding: Banks CANNOT: (1) Pay brokerage/commission on deposits (except to BCs, BFs, DSAs). (2) Offer prizes/lottery/free trips for deposit mobilisation (gifts ≤₹250 allowed). (3) Raise deposits through unethical means to fund existing borrowers. (4) Advertise only compounded yield without showing simple interest rate. These prohibitions ensure fair deposit-taking practices.