Q45: For a Sole Proprietary firm, if a bank decides to accept only one document as proof of business (instead of the standard two) due to the firm's inability to furnish two, what additional measure is mandatory?

Obtaining an indemnity bond from the proprietor.

Undertaking contact point verification to verify the business activity from the address of the proprietary concern.

Limiting the account balance to ₹1,00,000.

Obtaining approval from the Reserve Bank of India.

✅ Correct Answer: B

In cases where the bank accepts only one document... the bank undertakes contact point verification and collects such other information... and shall confirm and satisfy itself that it has verified the business activity from the address of the proprietary concern.

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Q45: For a Sole Proprietary firm, if a bank decides to accept only one document as proof of business (instead of the standard two) due to the firm's inability to furnish two, what additional measure is mandatory?

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