New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    In banking terminology, what does the term "Banker’s

    lien" refer to?
    A The right of a bank to sell a customer's asset in case of a loan default Correct Answer Incorrect Answer
    B The right of a bank to retain a customer's property until the debt is paid Correct Answer Incorrect Answer
    C The bank’s authority to set the interest rate on loans Correct Answer Incorrect Answer
    D The customer’s right to transfer their account to any other bank Correct Answer Incorrect Answer
    E The bank’s authority to issue letters of credit Correct Answer Incorrect Answer

    Solution

    Banker’s lien refers to the right of a bank to retain a customer's property that is in the bank’s possession until the debt is cleared.

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