Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: General Practice

Q20: Which retail payment system is specifically mentioned as enabling the disbursal of government subsidies, and Direct Benefit Transfers (DBT)?

A
National Automated Clearing House (NACH)
B
Real Time Gross Settlement (RTGS)
C
Bharat Bill Payment System (BBPS)
D
Immediate Payment Service (I M P S)
✅ Correct Answer: A
The National Automated Clearing House (NACH) is designed for bulk and repetitive payments.
It enables features like auto-debits for EMIs and auto-credits for disbursing payments like salaries, pensions, and government subsidies under DBT, as noted in the RBI's Payment Systems Report - June 2025.