All Banking Abbreviations and Terms For Upcoming Bank Exam 2020

All Banking Abbreviations
All Banking Abbreviations

All Banking Abbreviations and Terms For Upcoming Bank Exam 2020

Banking Abbreviations: Abbreviations are commonly asked in IBPS, SBI, RBI, RRB, UPSC, and other banking exams. We provided some important abbreviations related to Banking. We hope it may help you with Competitive exams !! Along With Banking Abbreviations Asked in Various Banking Exams

Acronyms Abbreviations
ABEDA Arab Bank for Economic Development in Africa.
ACF Auto Correlation Function.
ACS Automated Clearing Systm.
AD Authorized Dealer.
ADB Asian Development Bank.
ADF Automated Data Flow
ADR American Depository Receipt.
AEPS Aadhaar Enabled Payments Switch
AFS Annual Financial Statement.
AGM Annual General Meeting.
AIC Agricultural Insurance Company.
AIF Alternative Investment Fund
ALCO Asset Liability Committee
ALM Asset Liability Management
AMFL Association of Mutual Funds in India.
AML Anti-Money Laundering
AMRMS Audit and Risk Monitoring Mechanism
ANBC Adjusted Net Bank Credit
APBS Aadhaar Payment Bridge System
ARC Asset Reconstruction Companies
ASBA Applications Supported Bank Accounts
ASSOCHAM Associated Chambers of Commerce and Industry of India.
ATM Automated Teller Machine.
BCBS Basel Committee on Banking Supervision
BCSBI Banking Codes and Standards Board of India
BIS Bank for International Settlements.
BOB Bank of Baroda.
BOE Bill of Exchange
BOI Bank of India.
BOP Balance of Payments.
BOR Bank of Rajasthan.
BOT Build,Operate and Transfer.
BR Act Banking Regulations Act, 1949.
BSCS Basel Committee on Banking Supervision.
BSE Bombay Stock Exchange.
BSR Basic Statistical Returns.
CA Chartered Accountant.
CAD Current Account Deficit
CAG Controller and Auditor General.
CAR Capital Adequacy Ratio
CARE Credit Analysis and Research Limited
CASA Current and Savings Accounts
CB Canara Bank.
CBLO  Collateralized Bank Lending Obligations
CBS Core Banking Solution.
CCIL Clearing Corporation of India Limited
CCL Cash Credit Limit
CDB Caribbean Development Bank.
CDBS Committee of Direction on Banking Statistics.
CDRS  Corporate Debt Restructuring
CDS Credit Default Swap.
CEPA Comprehensive Economic Partnership Management.
CFRA Combined Finance and Revenue Accounts.
CGRA Currency and Gold Revaluation Account.
CIBIL Credit Information Bureau of India Limited
CMIS Currency Management Information
System
CNP Card Not Present
COB Corporation Bank.
CP Colombo Plan.
CPFF Commercial Paper Funding Facility
CPI Consumer Price Index.
CRAR Capital To Risk Weighted Asset Ratio.
CRILC Central Repository of Information on Large Credits
CRISIL Credit Rating Information Services Of India
CRMD Credit Risk Management Department.
CRR Cash Reserve Ratio.
CSR corporate social responsibility
CTI Country Threat Index.
CUB City Union Bank
DB Dena Bank.
DPG Deferred Payment Guarantee
DPN Demand Promissory Note
DRAT Debt Recovery Appellate Tribunal
DRI Differential Rate Of Interest
DSCR Debt Service Coverage Ratio
DTAA Double Taxation Avoidance Agreement.
EADB East African Development Bank.
EBRD European Bank for Reconstruction and Development.
ECB External Commercial Borrowings.
ECS Electronic Clearing System.
EDF Export Development Fund
EDI Electronic Data Internchange
EDP Entrepreneurship Development Programme
EEFC Exchange Earners’ Foreign Currency
EFTPOS Electronic Funds Transfer At Point Of Sale
EIB European Investment Bank.
ELSS Equity Linked Saving Scheme.
EMI Equated Monthly Instalments
EPFO Employees’ Provident Fund Organisation
EPOS Electronic Point Of Sale
EPS Earning per Share
ESOP Employee Stock Options
EXIM Export Import Bank of India.
FCA Foreign Currency Assets.
FCCB Foreign Currency Convertible Bond
FCNR Foreign Currency Non Resident Deposit Accounts
FCNRA Foreign Currency Non resident Account.
FDI Foreign Direct Investment.
FEDAI Foreign Exchange Dealers Association Of India
FERA Foreign Exchange Regulation Act.
FICCI Federation of Indian Chambers of Commerce and Industry.
FII Foreign Institutional Investor.
FIMMDA Fixed Income Money Markets and Derivatives Association.
FINO Financial Information Network and Operation Limited
FIPB Foreign Investment Promotion Board.
FOB Free On Board
FPI Foreign Portfolio Investment.
FSRASC Financial Sector Regulatory Appointment Search Committee
FTA Free Trade Agreement.
GAAR General Anti Avoidance Rule.
GDP Gross Domestic Product
GDR Global Depository Receipt.
GFD Gross Fiscal Deficit.
GIRO Government Internal Revenue Order.
GMS Gold Monetisation Scheme
GST Goods and Services Tax
GSTN Goods and Services Network
HDFC Housing Development Finance Corporation.
IADB Inter American Development Bank.
IAS Integrated Accounting Systems
IBBI Insolvency and Bankruptcy Board of India
IBPS Institute of Banking Personnel Selection.
IBRD International Bank for Reconstruction and Development
IBRD International Bank For Reconstruction And Development.
IBU International Banking Unit
ICA Indian Council of Agricultural Research.
ICICI Industrial Credit and Investment Corporation of India.
ICRA Investment Information and Credit Rating Agency of India Limited
IDB Islamic Development Bank.
IDBI Industrial Development Bank of India.
IDR Indian Depository Receipts.
IDRBT Institute for Development and Research Of Banking
IEPF Investors Education and Protection Fund
IFC International Finance Corporation
IIB International Investment Bank.
IIBF Indian Institute of Banking and Finance.
IMD India Millennium Deposits.
IMF International Monetary Fund.
IMPS Immediate Payment Service
IMT Instant Money Transfer
IOB Indian Overseas Bank.
IPO Initial Public Offer
IPO Initial Public Offering
IPPB India Post Payments Bank
IRBI Industrial Reconstruction Bank Of India.
IRDA Insurance Regulatory and Development Authority of India
IROs Interest rate options
IRR Internal Rate Of Return.
ISCI International Standard Industrial Classification
KCC Kisan Credit Card
KMB Kotak Mahindra Bank.
KVB Karur Vysya Bank.
KVIC Khadi and Village Industries Corporation
KVP Kisan Vikas Patra
KYC Know Your Customer Guidelines
LAB Local Area Bank.
LAF Liquidity Adjustment Facility
LAMPS Large Sized Adivasi Multipurpose Societies
LDB Land Development Bank.
LERMS Liberalized Exchange Rate Management System
LIBOR London Inter Bank Offered Rate.
LIC Life Insurance Corporation Of India
LTCG Long-Term Capital Gains
LTN Long Term Note
MCA Ministry Of Company Affairs
MCLR Marginal Cost Of Lending Rate
MFDF Micro Finance Development Fund
MIBOR Mumbai Inter Bank Offer Rate.
MICR Magnetic Ink Character Recognition
MIS Management Information System
MSS Market Stabilisation Scheme
MTN Medium Term Note
MUDRA Micro Units Development And Refinance Agency
NABARD National Bank For Agricultural And Rural Development.
NAS National Account Statistics.
NAV Net Asset Value.
NBC Non Banking Companies.
NBFC Non Banking Finance Companies
NDA Net Domestic Asset
NDS Negotiated Dealing Systems
NDTL Net Demand And Time Liability
NECS National Electronic Clearing System
NEFT National Electronic Funds Transfer System.
NFA No Frills Account.
NFC Non Banking Finance Companies.
NFS National Financial Switch
NHB National Housing Bank.
NIB Nordic Investment Bank.
NPA Non Performing Assets.
NPCI National Payments Corporation Of India
NPS National Pensions Scheme.
NPV Net Present Value
NRE Non Resident External Account
NRI Non Resident Indian
NSE National Stock Exchange.
NSFDC National Scheduled Castes Finance And Development Corporation
OCB Overseas Corporate Bodies
ODIs Offshore/Overseas Derivative Instruments
OECD Organisation For Economic Cooperation And Development
OLTAS Online Tax Accounting System
OMO Open Market Operations
OTCEI Over the Counter Exchange Of India
OTP One-Time Password
PACS Primary Agricultural Credit Societies
PAN Permanent Account Number
PDO Public Debt Office
PFRDA Pension Fund Regulatory and Development Authority
PGS Payment Gateway System.
PIN Personal Identification Number
PIS Portfolio Investment Scheme
 P-Notes Participatory Notes
POA Power of Attorney
PoS Point of Sale
PPF Public Provident Fund
PPIs Prepaid Payment Instruments
PRSF Partial Risk Sharing Facility
QIB Qualified Institutional Bankers
RBI Reserve Bank of India
RBS Royal Bank of Scotland.
RDBMS Relational Database Management System
RDDBFI Recovery of Debt due to Banks and Financial Institutions
REC Rural Electrification Corporation
RFC Resident Foreign Currency
RIDF Rural Infrastructure Development Fund
RoA Return On Assets
RoE Return On Equity
RRB Regional Rural Bank.
RTGS Real Time Gross Settlement System.
RWA Risk Weighted Assets
SARFAESI Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest
SBI State Bank of India
SCB Scheduled Commercial Bank
SCC Selective Credit Control.
SDBS Service Discharge Benefit Scheme
SDR Special Drawing Rights
SEBI Securities and Exchange Board of India
SEPA Single Euro Payment Area.
SFMS Structured Financial Messaging Services
SGB Sovereign Gold Bond
SHG Self Help Group
SIDBI Small Industries And Development Bank Of India.
SIDC State Industrial Development Corporation
SIFI Systematically Important Financial Intermediaries
Sip Systematic Investment Plans
SIPS Systemically Important Payment System
SJSRY Swarna Jayanthi Shahari Rozgar Yojana
SLR Statutory Reserve Ratio
SLRS Scheme for Liberation and Rehabilitation of Scavengers
SME Small and Medium Industries
SMERA SME Rating Agency of India Limited
SMILE SIDBI Make in India Loan for small Enterprises
SPNS Shared Payment Network System.
SSI Small Scale Industries
SSSBE Small Scale Service and Business Enterprises
SWIFT Society For World Wide Inter Bank Financial Telecommunication.
TDS Tax Deducted at Source
TIN Tax Information Network
UBIN Unique Business Identification Number
UCB Urban Cooperative Bank.
UCNs Uniform Code Numbers
UEBA Universal Electronic Bank Account.
UIDAI Unique Identification Authority of India
UPI Unified Payments Interface
UPIN Unique Property Identification Numbers.
USB Ultra Small Branch.
USD United States Dollar.
USSD Unstructured Supplementary Service Data
UTI Unit Trust of India
VDBS Vertically Differentiated Banking System.
VPA Virtual Payment Address
WBCIS Weather Based Crop Insurance Scheme.
WCTL Working Capital Term Loan
WL ATM White Label ATM.
WMA Ways and Means Advances
WPI Wholesale Price Index
YTM Yield to Maturity

 

 

Banking Abbreviations Asked in Various Banking Exams

ADR American Depository Receipt
AEPS Aadhar Enabled Payment Switch
AFS Annual Financial Statement

 

Important Baking Abbreviations – Starts with “B”

BPLR Benchmark Prime Lending Rate
BSBDA Basic Savings Bank Deposit Account
BSE Bombay Stock Exchange
BSR Basic Statistical Returns

 

Important Banking Abbreviations – Starts with “D”

DPs Depository Participants
DPG Deferred Payment Guarantee
DPN Demand Promissory Note
DRAT Debt Recovery Appellate Tribunal
DRI Differential rate of Interest
DSA Direct Selling Agent
DSCR Debt Service Coverage Ratio
DTAA Double Taxation Avoidance Agreement

 

List of Important Banking Terms

Repo Rate

Repo rate is the rate on which RBI provides a loan to the bank for short-term between 1 to 90 days, RBI takes some interest from the commercial banks which is termed as Repo Rate.

Reverse Repo Rate

Reverse Repo rate is the rate on which  bank deposit it’s excess money in RBI then RBI provides some interest to that bank and this interest is known as Reverse Repo Rate.

SLR –(Statutory Liquidity Ratio)

SLR a certain % of their total deposits in the form of (Gold + Cash + bonds + Securities) which every bank has to maintain  with themselves at the end of every business days.

Cash Reserves Ratio

Cash Reserve Ratio is the ratio maintained by every bank which is a certain % of their total deposits with RBI in the form of Cash and Net demand & Time Liabilities.

Bank Rate

Bank Rate is the  rate through which RBI charges certain % for providing money to other banks without any security for a Long period of time for 90 Days & Current Bank Rate is 6.75%.

Marginal standing facility

MSF basically refers to  the rate through which bank can borrow funds for Short time – Overnight basis.

Retail banking

Retail banking is a type of banking in which a commericial bank directly deals with retail customers is done. This type of banking is also refer to as consumer banking or personal banking.

Green Banking

Green banking refers to promoting environmentally friendly practices and reducing your carbon footprints from your banking activities.

Non Performing Assets

NPA refers to non-performin asset of a bank  which is not producing any income. After 90 days period and any consumer loans which are more than 180 days overdue., a bank  classify an account as nonperforming assets

Inflation

Inflation refers to a State in which the Value of Money is Falling and the Prices are rising, over a period of time.

Cheque

A cheque is a non-negotiable instrument. It involves three parties for the exchange of money namely: Drawee, drawer and payee.

Credit Rating

‘Credit rating’ is the procedure of assessment of the creditworthiness of a borrower or a loan taker; creditworthiness defines as the  ability of a borrower to ‘service the loan’, i.e., pay back the loan along with the interest.

CAMELS rating system

CAMELS is basically a rating system developed in the US that is used by supervisory authorities to rate banks and other financial institutions.

Bancassurance

Bancassurance is a concept in which the commercial bank sells the insurance products. This is one of the best way to grow profit for both the institutions.

CASA Account

CASA basically stands for Current Account Savings Account. The CASA ratio displays the value of deposits which is maintained in a bank in the form of current and savings account deposits in the total deposit.

RAFA Account

RAFA is an acronym used for Recurring Deposit Account Fixed Deposit Account. The RAFA ratio basically shows how much deposit a bank has in the form of Recurring and fixed deposits.

DEMAT Account

Demat Account refers to Dematerialized account. This bank account is mainly operated  by citizens in India for  trading in stocks or debentures which are listed in the stock market.

NOSTRO Account

A NOSTRO account basically refers to the one which is maintained by an Indian Bank in the foreign countries.

VOSTRO Account

A VOSTRO account basically refers to the one which is maintained in India by a foreign bank with their corresponding bank.

Insolvency

Insolvency is a consition of an organization, a family, person, or company which is declared as insolvent when they are unable to pay their debts back on time.

Bankruptcy

Bankruptcy refers to  a legal declaration of a person who is unable to pay off debts.

Insolvency V/S Bankruptcy

FDI

Foreign Direct Investment refers to the investment  when persons/companies who/which are non-Indian, invest in Indian companies.

Priority Sector Lending

Priority sector lending refers to the areas where as per the RBI guidelines, commericial banks are directed to distribute loans inorder to promote them and help them in growing.

List of Priority Sector are:

  • Agriculture
  • Micro, Small and Medium Enterprises
  • Export Credit
  • Education
  • Housing
  • Social Infrastructure
  • Renewable Energy
  • Others

Bitcoin

Bitcoin is one of the popular virtual currency/ cryptocurrency and a payment system that we use currently. Bitcoin  can be defined as decentralized means of tracking and assigning wealth or economy, it is a software protocol. It doesn’t work under any government protocol.

Call money

Call money  is the money borrowed by an institution on demand for a very short period.

Notice money

When an instution/person/organization borrowed or lent for more than a day up to 14 days it is called Notice Money.

Scheduled bank

All those commercial banks which are included in the 2nd Schedule of RBI Act 1934 are known as a scheduled commercial bank. These commercial banks are require to fulfil two conditions:

  • First one is ,paid up capital and collected funds should not be less than Rs.5 Lacs.
  • Second one is, any activity of the Bank should not adversely affect the interests of the customers.

Negative interest rate

When the demand is less for loans, the bank usually park their excess funds with the central bank through which they got intrest. Negative interest rate policy (NIRP) is a method through which  central banks will deduct money from commercial banks for depositing their money with the central bank. and in turn, Commercial banks also do the same to common people and the end effect is that people will have to pay money to banks to hold their cash and this is refer as Negative Interest rate.

Blockchain system

Blockchain system is a system to simplify the transactions without the help of any third party in a secure manner and this is done through an anonymous online ledger (collection of financial accounts) which uses the data structure to simplify it is called blockchain technology.

Retail credit operations

Retail Credit Operations refers to the sequential process which generally involves screening, evaluation of risk(s), and ensuring that the bank lends to a creditworthy client from the asset products applications sourced.

Skimming

Skimming is basically a method which is used by fraudsters to capture customer’s personal or account information of credit card.

Money laundering

Money laundering refers to a process of conversion of illegal money from various sources to appear to have originated from legitimated (Legal) source. Some of the major sources of illegal money are tax evasion, bribe, Smuggling etc.

Direct Debit

Direct Debit refers to a financial activity in which one person withdraws funds from another person’s bank account. This is a facility in which the payee withdraws the amount from the payer’s account and the payer has instructed the bank to allow the payee directly withdraw the amount from the account.

Cash Credit

Cash Credit is basically a proper limit sanctioned by the bank to the borrowing manufacturing/trading unit against the value of the raw materials, semi-finished goods and finished goods including stores.

Bill of Exchange

A bill of exchange refers to a non- interest bearing written order which is used primarily in foreign trade which binds one party to pay a fixed amount of money to another party at a decided future date.

Core Banking Solutions

Core Banking Solution (CBS) refers to  the networking of branches, which enables the customers to operate their accounts, and avail banking services from any branch of the Bank on CBS network, regardless of where he maintains his account.

Unified Payment Interface

UPI uses a single application programme interface with a series of Application Programme interface (API’S). The mobile devices are the primary object for all the payments that a customer make through UPI.

Micro ATMs

Micro ATMs refers to the advanced version of Point of Sale (PoS) having an additional feature of Biometric scanning.

Letter of Credit

The letter of credit is widely used as one of the negotiable instrument. It is used by the bank, that guarantee’s buyers’ payment to the seller shall be received on time along with the proposed amount to be paid. In any case, if the buyer is unable to make the agreed payment to the seller on the given time, then the bank will cover the full or remaining amount of purchase.

Banking Ombudsmen

Banking Ombudsman is a senior official who is appointed by RBI. He handles and redresses customer complaints against deficiency in any type of banking services.

A Balance of Payments

A Balance of payments refers to the list that states a country’s transactions with other countries for a certain time period (generally 1 year). Payments which are made into the country (receipts) are entered as positive numbers, called credits. Payments which are made out of the country (payments) are entered as negative numbers called debts.

LIBOR

The  LIBOR is an acronym which is used for the London Interbank Offered Rate. It refers to a interest rate at which funds are borrowed by banks in marketable size, from other banks in the London interbank market.

MIBOR

MIBOR is an acronym used for Mumbai Interbank Offered Rate. It refers to the interest rate at which funds are borrowed by banks in marketable size, from other banks in the Mumbai interbank market.

Capital market 

A capital market refers to an organised market which provides long-term finance for business.

Money market

Money market refers to an organised market which provides short-term finance for business

Balloon mortgage

A mortgage refers to the  transfer of a right to stable property for the security purpose of a loan amount. They  are just for short term and it has a fixed rate mortgage.

Retail credit operations

Retail Credit Operations refers to the sequential process which involves screening, evaluation of risk(s), and ensuring that the bank lends to a creditworthy client from the asset products applications sourced.

Minimum Reserve system of RBI

“Minimum Reserve System” is the current system of the Indian government to issue notes. As per this policy, the minimum reserves to be maintained in the form of gold and foreign exchange should consist of rupees 200 crores.

Clean note policy of RBI

Clean note policy is the policy under which to increase the life of currency notes and to provide the good quality currency notes and coins to the citizens of our country

The Balance of Trade

The value of difference between the country’s exports and the value of its imports are known as the Balance of Trade.

Legal Tender

The currency which can be circulated in the public for exchange is known as legal tender based on provisions of coinage Act 1996, bank notes, currency notes and coins (Re. 1 and above) are legal tender for the unlimited amount.

Currency Chest

Currency chests is the place where money is kept for the distribution in public and they are operated by the Reserve Bank of India (RBI) so that they can provide good quality currency notes to the public. On behalf of RBI Commercial banks open currency chests and monitor.

Amortization

Amortization refers to the periodic payment of debt like a loan or a mortgage. Amortization is basically the arrangement of a lump sum cash flow into many periodic instalments over a span of time, which is also called amortization agenda.

Credit Crunch

A credit crunch refers to  a condition in which there is an immediate decline in the availability of a loan or the credit. A situation, when suddenly the credit becomes difficult to get.

External Commercial Borrowings

External commercial borrowing refers to the money which is used for the financing of commercial activities in our country through foreign sources. They can be any form such as  loans, credits or even security instruments.

Small Finance Banks

The small banks are a type of institution to provide a whole suite of basic banking products such as deposits and supply of credit, but in a limited area of operation i.e., primarily in rural and semi-urban areas to provide them with timely credit for their growth.

Kisan Vikas Patra

Kisan vikas patra refers to  a small savings scheme  launched by the Government of India and run by The Directorate of Small Savings  and the Post Offices sell these saving bonds. It is similar to FD.

Interest Rate Swap

An Interest Rate Swap is basically a contractual agreement between two parties who agree to exchange the future interest rate payments that they make on loans or bonds.

Public Credit Registry (PCR)

Public credit registry refers to  a database of credit information for India that is accessible to all stakeholders. It is maintained by a public authority like the central bank or the banking supervisor.

Off-Balance Sheet Exposure

Off-Balance sheet exposure signifies to those activities that are assets or liabilities of an entity which doesn’t appear on the balance sheet. For Example: Letter of the undertaking, Letter of credit etc.

Deposit Insurance and Credit Guarantee Corporation (DICGC)

The Deposit Insurance and Credit Guarantee Corporation (DICGC) is a wholly-owned subsidiary of the Reserve Bank of India which provides the insurance coverage to the depositors in case the bank has no money. Earlier the limit of insurance cover was 1lakh which is changed to 5 lakh recently.

NEFT – “National Electronic Fund Transfer”

NEFT is a type of payment system through which One can transfer funds to others though self-account. It is Applicable to both Account holders and Non-Account holders.

RTGS- “Real Time Gross Settlement”

RTGS is a again a payment settlement system through electronic media in which Settlement of fund transfer occurs according to individuals basis or it can be transferred instantly.


Frequently Asked Questions?

Q. What is Repo Rate?

Ans. Repo rate is the rate on which RBI provides a loan to the bank for short-term between 1 to 90 days, RBI takes some interest from the commercial banks which is termed as Repo Rate.

Q. What is Reverse Repo rate?

Ans. Reverse Repo rate is the rate on which  bank deposit it’s excess money in RBI then RBI provides some interest to that bank and this interest is known as Reverse Repo Rate.

Q. What is Prority Sector Lending?

Ans. Priority sector lending refers to the areas where as per the RBI guidelines, commericial banks are directed to distribute loans inorder to promote them and help them in growing.

Q. What is FDI?

Ans. Foreign Direct Investment refers to the investment  when persons/companies who/which are non-Indian, invest in Indian companies.


You May Also Check:

Join Our Social Media
To Join us Instagram Instagram Account Click Here
To Join us facebook Facebook Page Click Here
To Join us telegram Telegram Channel Click Here

 

India’s Most Affordable Premium Practice Set

Premium Practice Store

Click Here To Visit The Store

LEAVE A REPLY

Please enter your comment!
Please enter your name here