Banking Concepts and Current Affairs Overview

Sahukars

Traditional village moneylenders

moneylending

Giving loans at high interest, often unregulated

indigenous banking decline

British-backed banks and colonial policies

informal credit

Loans from relatives, friends, or NGOs

microfinance

Small loans to low-income individuals without collateral

SHG

Self Help Group - collective saving + microloan group

current account

Non-interest bearing account for businesses

savings account

Bank account with interest, limited withdrawals

recurring deposit

Fixed monthly deposits for a fixed tenure

mobile banking

Banking via app or mobile site

cheque truncation

Electronic clearing of cheques

ECS

Electronic Clearing Service for recurring payments

NEFT

National Electronic Funds Transfer (batch-based)

RTGS

Real-time Gross Settlement (instant large transfers)

IMPS

Immediate Payment Service (real-time 24x7)

BBPS

Bharat Bill Payment System

minimum capital for a payment bank in India

₹100 crore

private sector bank

HDFC Bank / ICICI Bank

Indian bank merged with Bank of Baroda in 2019

Dena Bank + Vijaya Bank

digital rupee

RBI's CBDC (Central Bank Digital Currency)

e-RUPI voucher

Prepaid digital voucher via QR/SMS

JAM Trinity

Jan Dhan + Aadhaar + Mobile

DBT

Direct Benefit Transfer

PPF

Public Provident Fund

tenure of PPF

15 years

overdraft

Withdrawing more than the account balance

SBI's name before 1955

Imperial Bank of India

YONO

You Only Need One

subsidiary handles insurance for SBI

SBI Life Insurance

app used for SBI's online banking

YONO SBI

number of ATMs SBI has (approx)

Over 60,000

first Indian bank to launch a mobile app

SBI

year SBI merged its 5 associate banks

2017

SBI Quick

Missed call banking

who owns SBI

Government of India (majority shareholder)

first overseas branch of SBI

London (1921, as Imperial Bank)

card skimming

Copying card data using a hidden device

pharming

Redirecting users to fake websites to steal info

ransomware

Malware that locks files until ransom is paid

Adware

Software that displays unwanted ads, often bundled with malware

Spyware

Software that secretly tracks user activity

Shoulder surfing

Observing someone entering sensitive data

Trojan Horse

Malware disguised as legitimate software

Social engineering

Manipulating people to reveal confidential info

Data encryption

Securing information by converting it into code

CAPTCHA

To distinguish humans from bots during logins

IMF

International Monetary Fund

World Bank

Provides loans and aid for development projects

FATF

Financial Action Task Force (anti-money laundering org)

SWIFT

International messaging system for bank transactions

Basel Accord

International guidelines on bank capital adequacy

Bank for International Settlements location

Basel, Switzerland

ECB (in finance)

External Commercial Borrowing

LIBOR

London Interbank Offered Rate

Sovereign fund

Govt-owned investment fund (e.g., Norway)

Crypto regulation status in India

Not illegal, but unregulated

RBI establishment year

1935

RBI nationalization year

1949

First Indian RBI Governor

C.D. Deshmukh

Current RBI Governor

Shaktikanta Das (as of 2024)

MPC

Monetary Policy Committee

CRR

Cash Reserve Ratio

SLR

Statutory Liquidity Ratio

Repo rate purpose

Inflation management

Open market operation

RBI buying/selling govt securities

RBI monetary policy announcement frequency

Bi-monthly (every 2 months)

GDP

Gross Domestic Product

GNP

Gross National Product

CPI

Consumer Price Index

WPI

Wholesale Price Index

IIP

Index of Industrial Production

Fiscal deficit

Govt spending > Govt income

Current account deficit

Imports > Exports (in trade)

Balance of payments

Summary of all transactions with rest of world

Disinvestment

Govt selling its stake in PSUs

FDI

Foreign Direct Investment

Digital currency pilot by RBI

e₹ (Digital Rupee)

HDFC Bank service launched in 2024

Voice banking service

UPI Lite limit (as of 2024)

₹500 per transaction

Cheque fraud protection system

Positive Pay System

Insurance unification platform in India

Bima Sugam

National Credit Framework (NCrF)

Merges academic and vocational credit scores

ONDC

Open Network for Digital Commerce (govt e-commerce platform)

SEBI SCORES

App to verify stock brokers in India

RBI Innovation Hub

Think tank for banking tech & fintech

PSU bank merged with Union Bank of India in 2020

Andhra Bank & Corporation Bank