What is the role of currency chest?

What is the role of currency chest? Currency chests are branches of selected banks authorised by the RBI to stock rupee notes and coins. The responsibility for managing the currency in circulation is vested in

What is the role of currency chest?

Currency chests are branches of selected banks authorised by the RBI to stock rupee notes and coins. The responsibility for managing the currency in circulation is vested in the RBI. The central bank advises the Centre on the number of notes to be printed, the currency denominations, security features and so on.

What is currency chest balance?

24 July 2010 Currency Chest is the locker or like a cash deposit box of the bank. All the currency or cash balance of the branches of the bank is sent to the currency chest. It keeps currency notes and meet the needs and requirements of the various branches of the bank.

How do you do a currency chest audit?

The auditor should perform compliance tests to evaluate the effectiveness of the system of operation of currency chest. He should examine whether the system is such that the transactions relating to deposits into and withdrawals from, currency chest are recorded appropriately.

Which of the following is correct regarding the amount of withdrawal from currency chest?

The minimum amount of deposit into / withdrawal from currency chest will be ₹ 1,00,000 and thereafter, in multiples of ₹ 50,000. 1.2. 1 The currency chests / Link Offices should invariably report all transactions through CyM – CC portal on the same day by 7 pm.

What is cash retention limit?

Cash retention limit is the amount of money a bank certain branch can keep overnight in order to carry on the morning day to day operations. This limit is only decided in the main branch of all banks usually by the higher management.

What is Chest Fund?

Community Chests, commonly referred to as community trusts, community foundations or united way organizations, are endowment funds pooled from a community for the purpose of charitable giving. The number of Community Chest organizations increased from 39 to 353 between 1919 and 1929, and surpassed 1,000 by 1948.

What is meant by chest account?

Distribution of notes and coins throughout the country is done through designated bank branches, called chests. Chest is a receptacle in a commercial bank to store notes and coins on behalf of the Reserve Bank. Deposit into chest leads to credit of the commercial bank’s account and withdrawal, debit.

How frequently should the fire audit of currency chest be conducted?

two years
Banks maintaining currency chests are required to get fire audit done once in a two years.

What is retention limit?

Definition: The maximum amount of risk retained by an insurer per life is called retention. Beyond that, the insurer cedes the excess risk to a reinsurer. The point beyond which the insurer cedes the risk to the reinsurer is called retention limit.

What is the retention money?

What is retention money? Retention money is an amount held back from a payment made under a construction contract. It is generally held to ensure that a contractor performs all of its obligations under the contract, and is then released either on practical completion or after the end of a defects notification period.

How many money are in a chest?

4,075 currency chests
When new currencies are printed, RBI sends them to these offices. These offices then send the notes to the currency chests and small coin depots. There are 4,075 currency chests in the country. Around 3,746 banks act as small coin depots.

How many currency chests are there in India?

There are 4,075 currency chests in the country. Around 3,746 banks act as small coin depots.

What does Currency Chest do in a bank?

The currency chests are expected to distribute banknotes and rupee coins to other bank branches in their area of operation. Currency chest also helps in exchanging mutilated notes and withdraw unfit notes.

Where does RBI keep excess money in Currency Chest?

Currency chest is the place where the RBI kept all the excess money of banks under custody.

Where are the currency chests located in India?

These are sent to the currency chests and small coin depots from where they are distributed to bank branches. The RBI has set up over 4,075 currency chests all over the country. Besides these, there are around 3,746 bank branches that act as small coin depots to stock small coins.

Who is responsible for managing currency in circulation?

The responsibility for managing the currency in circulation is vested in the RBI. The central bank advises the Centre on the number of notes to be printed, the currency denominations, security features and so on.