Deposit Products and Customer Service
What the exam tests
This domain tests product knowledge and fair treatment of customers across savings, current, term and recurring deposits, nominations, joint accounts, dormant accounts and deceased-claim settlement.
Core rules
- Explain features, interest, premature-withdrawal terms and charges before opening an account. Obtain a nomination, or record a conscious refusal, and update it on request.
- Joint accounts operate according to the mandate: jointly, either-or-survivor, or former-or-survivor. On death, the survivor's right depends on the mandate, not on nomination.
- Deposit insurance through DICGC covers up to ₹5 lakh per depositor per bank, including principal and interest.
- Treat an account as inoperative after two years without a customer-induced transaction; term deposits become inoperative after maturity. Follow the bank's notice and activation process.
- Unclaimed deposits outstanding for ten years are transferred to the Depositor Education and Awareness Fund. RBI's UDGAM portal helps customers search unclaimed deposits.
Worked example
A sole depositor dies leaving ₹3.2 lakh and a valid nomination. The nominee submits the death certificate, KYC and claim form. The bank verifies the nomination register, freezes further debits and settles without demanding a succession certificate where there is no dispute and the board-approved policy permits. If no nomination exists, follow the deceased-claim procedure and applicable RBI guidance rather than imposing probate on every small claim.
Traps that cost marks
Refusing nomination, forcing fresh KYC for routine service, levying charges in a Basic Savings Bank Deposit account beyond permitted free services, and closing a dormant account without notice all cost marks.