Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: | Capital Adequacy, Basel Norms & Monetary Policy

Q16: Which of the following limitations apply to a "Small Account"?

1. The aggregate of all credits in a financial year does not exceed Rupees One Lakh.
2. The aggregate of all withdrawals and transfers in a month does not exceed ₹10,000.
3. The balance at any point of time does not exceed ₹50,000.
4. The account can only be opened at Core Banking Solution (CBS) linked branches.
A
1 and 2 only
B
3 and 4 only
C
1, 2, and 3 only
D
All of the above
✅ Correct Answer: D
Small accounts entail: aggregate credits ≤ ₹1 Lakh/year, withdrawals ≤ ₹10,000/month, balance ≤ ₹50,000, and must be opened at CBS linked branches (or branches where manual monitoring is possible).