INFORMATION TECHNOLOGY & DIGITAL BANKING MODULE C QUIZ 1

SCORM (Sharable Content Object Reference Model) provides specifications for packaging and exchanging e-learning content and tracking learner activity across compatible systems. It supports interoperability, although actual compatibility depends on implementation.

A virtual classroom provides synchronous, instructor-led interaction online, often including live discussion, screen sharing, polls and question-and-answer sessions. Self-paced modules can be completed independently without a live class session.

An integrated banking system connects major banking functions and shares data across modules, reducing duplicate entry and improving consistency. Depending on the system, modules may include deposits, lending, payments, customer information and accounting.

A centralised banking or core banking solution maintains customer accounts and transaction records in a centrally managed system accessible to authorised branches and channels. Availability still depends on system connectivity and controls.

Online banking security should use layered controls such as strong authentication, encrypted communications, secure session management, fraud monitoring and timely vulnerability remediation. No single control guarantees security.

Bandwidth refers to the data-carrying capacity of a network connection over a period, commonly expressed in bits per second. Actual user experience also depends on latency, congestion, server capacity and application design.

Vendor selection should consider security, regulatory compliance, functional fit, integration, resilience, scalability, support capability, track record, exit arrangements and total lifecycle cost. The lowest initial price may not provide the best overall value.

CTS replaces the physical movement of cheques through the clearing process with electronic presentation of cheque images and relevant data. It reduces clearing time and physical handling while relying on image quality and prescribed standards.

Magnetic Ink Character Recognition reads characters printed with magnetic ink in a standard format on cheques. It supports automated processing of cheque information; it is different from OCR, which optically recognises printed or handwritten characters.

RTGS processes qualifying transactions individually in real time, with gross settlement rather than netting multiple payments. RBI’s RTGS is available 24×7; the minimum amount is generally ₹2 lakh, with no upper ceiling prescribed by RBI for customer transactions.

NEFT transfers are processed through half-hourly batches on a 24×7 basis, while RTGS settles transactions individually in real time on a gross basis. Both are electronic funds-transfer systems, but their settlement mechanisms differ.

UPI, operated by NPCI, enables instant payments between bank accounts through supported mobile applications and identifiers such as UPI IDs, mobile numbers or account details, subject to product and bank capabilities.

SFMS provides a secure messaging framework for financial messages between banks and financial institutions. It supports structured interbank communication and is used in banking and payment-related workflows; it is not itself a retail wallet.

A debit card generally draws on funds in the linked account, while a credit card allows the cardholder to use a credit line subject to issuer terms. Both can support purchases and cash-related services, subject to card and transaction rules.

The card verification code is an additional card-not-present transaction security element. It should not be treated as a PIN, and merchants must handle payment data in accordance with applicable card-network and security requirements.

Tokenisation substitutes a payment token for the actual card number (PAN) in the relevant environment. The token is designed to limit exposure of the PAN and is usable under defined controls; it does not remove the need for authentication and fraud controls.

A payment gateway securely transmits payment information between the merchant’s checkout environment and relevant payment-processing participants. Authorisation, clearing and settlement involve other parties and processes in the payment ecosystem.

EBPP lets billers present bills electronically and allows customers to view and pay them through supported channels. It can reduce paper handling and improve convenience, while billing accuracy and payment security remain important.

DBUs are specialised fixed-point business units providing digital banking products and services in a digital environment. The initiative is intended to expand digital banking access and help customers adopt digital channels; it is not simply an ATM kiosk.

A UPI PIN is used to authorise payments, not to receive money. Customers should never disclose their PIN or OTP and should verify refund requests through official channels, as this is a common social-engineering pattern.