A bank is called a 'scheduled bank' when it is listed in which schedule?

The Seventh Schedule of the ConstitutionCorrect answerYour answerThe First Schedule of the Banking Regulation Act, 1949Correct answerYour answerThe Ninth Schedule of the ConstitutionCorrect answerYour answerThe Second Schedule of the Reserve Bank of India Act, 1934Correct answerYour answer

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CorrectNot quiteAnswer D

Correct answer: D

The list is the Second Schedule of the RBI Act, 1934.
A bank on it can borrow from the RBI and take part in the clearing system, and must in return keep the required reserves.
The term therefore has a precise statutory meaning rather than describing a bank's size.

Worth noting

The Seventh Schedule of the Constitution is the division of legislative powers between the Union and the states, which is a different list entirely.

Concept: What makes a bank a scheduled bank
Typical timeTypical: 45 s
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The rule this testsBanking and the financial system

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Ten questions from Indian Economy & Institutions, at your own pace.

A bank is called a 'scheduled bank' when it is listed in which schedule?

Explanation