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

Q68: Which payment system is described as being designed for bulk and repetitive payments, such as salary disbursements, pension payments, utility bill payments, and loan EMIs?

A
National Automated Clearing House (NACH)
B
Real Time Gross Settlement (RTGS)
C
Unified Payments Interface (UPI)
D
Trade Receivables Discounting System (TReDS)
✅ Correct Answer: A
The National Automated Clearing House (NACH) is designed specifically for handling bulk and repetitive payments like salaries and pensions.
Its utility is a key operational detail in the RBI's Payment Systems Report - June 2025.