INFORMATION TECHNOLOGY & DIGITAL BANKING MODULE C QUIZ 2

Short, structured modules with realistic scenarios, active practice, feedback and periodic knowledge checks can improve engagement and retention. The design should align learning objectives with job tasks and accessibility needs.

Interoperability standards such as SCORM and xAPI can support exchange or tracking of learning content and activity, but the specific data captured and portability depend on the standard, platform implementation and configuration.

Integration enables authorised transactions and customer information to flow consistently between core systems and digital channels. It supports a unified customer experience and reduces duplicate processing, but requires strong API, access, monitoring and reconciliation controls.

Due diligence should assess security and privacy controls, regulatory obligations, resilience, subcontractors, incident reporting, audit rights, data location/handling where relevant, financial stability and exit/transition arrangements. Outsourcing does not remove the bank’s accountability.

OCR recognises characters from optical images, such as scanned text. MICR reads specially printed magnetic-ink characters, historically used on cheques. CTS itself relies on electronic cheque images and data for clearing.

Debit clearing involves collection of funds from a payer’s account based on an instruction or mandate, subject to the relevant scheme rules and authorisation. Credit clearing typically concerns credits pushed to beneficiaries.

UPI AutoPay supports recurring payments for eligible mandates, such as subscriptions or regular bills, subject to user authorisation, mandate terms and scheme rules. It is distinct from authorising every individual payment manually.

RuPay is India’s domestic card payment network developed by NPCI. It supports card-based payment products and acceptance arrangements; its features depend on the particular card variant and issuer.

A chip-based smart card contains an integrated circuit that can support cryptographic processing and dynamic transaction data, improving security relative to static magnetic-stripe data. Actual security depends on implementation and transaction controls.

SET was a protocol developed for securing card payments over open networks, using cryptographic techniques and certificates to protect payment information. It is mainly a historical syllabus concept; modern e-commerce commonly uses other payment security architectures and standards.

An e-commerce environment typically includes a customer interface, merchant/catalogue and order functions, payment processing, fulfilment or service delivery, security and customer support. The precise architecture varies by business model.

SMS alerts can notify customers of transactions or account events and help them detect suspicious activity quickly. Customers should still use official channels to verify unexpected messages and should never disclose OTPs, PINs or passwords in response to a message.

The IT Act, 2000 provides legal recognition to electronic records and electronic signatures in specified circumstances and establishes provisions concerning certain cyber offences and related matters. It has been amended, including in 2008; not every document or transaction is automatically covered without conditions.

Section 43 addresses specified unauthorised acts involving computer systems, networks or data and provides for compensation in the circumstances set out by the Act. Criminal liability may arise under other provisions where their elements are met.

DRM refers to technologies and controls used to manage access to and use of digital content, such as limiting copying or distribution according to rights and licences. It is not a substitute for all copyright law or information-security controls.

An API defines how software systems request and exchange data or services. In open banking, secure APIs can enable authorised third parties to access specified banking services or data with appropriate consent, authentication, authorisation and safeguards.

Embedded banking integrates financial services into a non-bank customer journey, often through APIs and partnerships. The regulated provider and platform must still address authorisation, consumer protection, data security and applicable regulatory responsibilities.

A blockchain maintains records in linked blocks using cryptographic techniques and a consensus or validation process. Depending on design, it may be public or permissioned; immutability is a design property with practical limits, not a guarantee that errors can never be corrected.

Machine learning uses data to learn patterns that can support predictions or classifications, such as fraud-risk scoring. Outputs require monitoring for false positives, drift, bias, explainability and appropriate human oversight.

Zero Trust rejects implicit trust based solely on network location. Access should be explicitly verified and appropriately limited, with continuous evaluation where feasible, strong identity controls, device/context signals and least-privilege access.