Question

What is NACH in banking?

Q: What is NACH in banking?

spanNationalAutomatedClearingHouseNACHisacentralisedsystemlaunchedbyNPCIwithanaimtoconsolidatemultipleECSsystemsrunningacrossthecountryNACHSystemcanbeusedformakingbulktransactionstowardsdistributionofsubsidiesdividendsinterestsalarypensionetcandalsoforbulktransactionstowardscollectionofpaymentspertainingtotelephoneelectricitywaterloansinvestmentsinmutualfundsinsurancepremiumetc

A National Automatic Currency House Correct Answer Incorrect Answer

B National Automated Clearing House Correct Answer Incorrect Answer

C Net Account Credit Home Correct Answer Incorrect Answer

D Non Automated Credit History Correct Answer Incorrect Answer

E National Automated Credit History Correct Answer Incorrect Answer

Solution

National Automated Clearing House (NACH) is a centralised system, launched by NPCI with an aim to consolidate multiple ECS systems running across the country. NACH System can be used for making bulk transactions towards distribution of subsidies, dividends, interest, salary, pension etc. and also for bulk transactions towards collection of payments pertaining to telephone, electricity, water, loans, investments in mutual funds, insurance premium etc.

Practice Next

More Economy and Banking and Finance Static Concepts Questions

Which of the following is an intersection of a row and column in a spreadsheet?
What is a new feature introduced in Windows 11?
Chief component of first generation computer was
GIF stands for___
Times new Roman, Cambria, Arial are the examples of __________.
In which of the following topology, each device is connected to every other device on a network through a dedicated point-to-point link?
Zoom in and out button is available on
This type of disk can be written only once.
Junk e-mail is also called
What is the shortcut key for ‘Deleting One Word to the Right’?

Relevant for Exams:

RBI Grade B

Question

What is NACH in banking?

Solution

Relevant for Exams:

Download the app