Module: | KYC, NPAs, Advances & Investment Valuations
Q183: Consider the following statements regarding the applicability and core definitions under the Reserve Bank of India (Commercial Banks - Responsible Business Conduct) Directions, 2025:
1. The classification of 'Consumer Credit' explicitly excludes education loans, loans for the creation of immovable assets, and consumption loans to farmers under the KCC scheme.
2. An account is mandatorily classified as an 'Inoperative Account' if there are no customer-induced transactions for a continuous period exceeding two years.
3. The Unclaimed Deposit Reference Number (UDRN) is a unique CBS-generated number assigned to each unclaimed deposit transferred to the DEA Fund to ensure account number anonymity.
Which of the statements given above is/are correct?
2. An account is mandatorily classified as an 'Inoperative Account' if there are no customer-induced transactions for a continuous period exceeding two years.
3. The Unclaimed Deposit Reference Number (UDRN) is a unique CBS-generated number assigned to each unclaimed deposit transferred to the DEA Fund to ensure account number anonymity.
Which of the statements given above is/are correct?
✅ Correct Answer: D
The correct answer is D. All statements are correct.
Statement 1 is correct: The regulatory framework for Consumer Credit provides specific exemptions, explicitly excluding education loans, housing loans, loans for financial assets, and consumption loans to farmers under the KCC scheme.
Statement 2 is correct: An account is mandatorily classified as inoperative purely based on the absence of customer-induced transactions for a continuous period exceeding two years, regardless of bank-induced entries.
Statement 3 is correct: The Unclaimed Deposit Reference Number (UDRN) serves as a unique identifier generated through Core Banking Systems to track funds transferred to the Depositor Education and Awareness (DEA) Fund, strictly ensuring that actual account numbers and branch names remain anonymous to the public.
Statement 1 is correct: The regulatory framework for Consumer Credit provides specific exemptions, explicitly excluding education loans, housing loans, loans for financial assets, and consumption loans to farmers under the KCC scheme.
Statement 2 is correct: An account is mandatorily classified as inoperative purely based on the absence of customer-induced transactions for a continuous period exceeding two years, regardless of bank-induced entries.
Statement 3 is correct: The Unclaimed Deposit Reference Number (UDRN) serves as a unique identifier generated through Core Banking Systems to track funds transferred to the Depositor Education and Awareness (DEA) Fund, strictly ensuring that actual account numbers and branch names remain anonymous to the public.