Module: General Practice
Q33: Under the Reserve Bank of India's "Positive Pay System" (PPS) directives, banks are mandatorily required to enable this facility for all account holders issuing cheques for amounts of:
✅ Correct Answer: A
The Positive Pay System (PPS) is a fraud prevention tool where the issuer re-confirms key details of the cheque (date, beneficiary, amount) to the bank electronically.
The RBI directive mandates that banks must provide this facility to all account holders for cheques of 50,000 Rupees and above.
While the facility is mandatory for banks to offer at this threshold, it is generally discretionary for the customer to use it, although banks may consider making it mandatory for cheques of 5 Lakh Rupees and above to limit liability.
The RBI directive mandates that banks must provide this facility to all account holders for cheques of 50,000 Rupees and above.
While the facility is mandatory for banks to offer at this threshold, it is generally discretionary for the customer to use it, although banks may consider making it mandatory for cheques of 5 Lakh Rupees and above to limit liability.