Negotiable Instrument Act 1881

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Bishnu1960
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1. The Maxim "Once a bearer always bearer " holds good only when the cheque is expressly made payable bearer

Explanation

The explanation for the given answer is that the maxim "Once a bearer always bearer" means that a cheque that is initially made payable to the bearer remains payable to the bearer even if it is later converted to an order cheque by blank endorsement. This means that even if the cheque was originally intended to be payable to a specific person or entity (order cheque), it can still be converted to a bearer cheque through blank endorsement, making it payable to anyone who possesses it. Therefore, the maxim holds true in this scenario.

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About This Quiz
Negotiable Instrument Act 1881 - Quiz

This quiz focuses on the Negotiable Instrument Act 1881, incorporating questions about RTI Act 2005 and banking regulations. It tests knowledge on PIO duties, transaction penalties, and legal requirements in financial instruments, enhancing understanding of financial compliance.

2. PIo, within max. 30 days of receiving request either provide the information sought for on payment of requisite fees or reject the request for any of the reason specified in 8.8 or 8.9 of the RTI Act.

Explanation

According to the given statement, PIo (Public Information Officer) is required to either provide the requested information within 30 days of receiving the request and payment of fees, or reject the request for valid reasons specified in sections 8.8 or 8.9 of the RTI (Right to Information) Act. Therefore, the correct answer is true.

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3. "A/c Payee Crossing" has not been defined anywhere in N.I. Act and as such it has no implication

Explanation

The statement suggests that "A/c Payee Crossing" has no implication because it has not been defined in the N.I. Act. This implies that the statement is false. However, the given answer is "false, true" which means that the statement is false and true. Since the statement is false, the answer is incorrect.

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4. Maximum Punishment provided in section 138 of N.I.Act for dishonour of cheque due to 'Insufficient Fund' is:

Explanation

The correct answer is "Both (1) and/or 2". This means that the maximum punishment provided in section 138 of the N.I. Act for the dishonour of a cheque due to insufficient funds can be either a fine to the extent of double the amount of the cheque or a maximum of 2 years' imprisonment. This implies that the court has the discretion to impose either of these punishments or a combination of both, depending on the severity of the offense.

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5. A cheque presented in a cash credit account returned unpaid with the reason " Exceeds Arrangement", Payee can get resort to section 138 of N.I. Act & can proceed criminally against the drawer subject to compliance of certain formalities as provided in N.I.Act

Explanation

The correct answer is yes. When a cheque presented in a cash credit account is returned unpaid with the reason "Exceeds Arrangement", the payee can resort to section 138 of the Negotiable Instruments Act and proceed criminally against the drawer, subject to compliance with certain formalities as provided in the Act. However, this is not applicable if the cheque is returned with the reason "Insufficient Fund".

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6. ATM failed transaction penalty Rs. 100 per day beyond----------------- (12, 15, 7, 10) days.

Explanation

The correct answer is 7, 10, 12, 15, none. This answer includes all the possible options for the number of days beyond which the penalty is applicable for a failed ATM transaction. The question does not provide the specific number of days, so all the given options are valid possibilities.

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7. Which section of N.I.Act 1881 deals with 'Criminal Offence' in case of dishonour of cheque due to "insufficient fund" for deposit account or "exceeds arrangement" for Overdraft Account?

Explanation

Section 138 of the Negotiable Instruments Act, 1881 deals with the criminal offense in case of dishonor of a cheque due to insufficient funds or exceeding the arrangement for an overdraft account. This section lays down the punishment for such offenses, including imprisonment and fine. It also provides the procedure for initiating legal action against the defaulter.

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8. Where there is only one endorsement which is blank or out of series of endorsements the last endorsement is blank, a cheque originally payable to order is converted to bearer and as such can be paid over the counter. 

Explanation

The given answer states that when there is only one endorsement on a cheque and it is either blank or out of series, the last endorsement is blank. In this case, the cheque, which was originally payable to order, is converted to bearer and can be paid over the counter. This means that the cheque can be cashed by anyone presenting it, without the need for proper identification of the payee. However, it cannot be credited to an account.

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9. To get protection under sec 138, payee has to give  notice to the drawer within----------------- days'  from the receipt of return memo with the reason " insufficient fund" and if payee does not pay within---------------------days, pay has to resort to legal action within------------------------days from-----------------------th. day of the receipt of the notice by the drawer.
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10. Minimum No. of Parties in a Promissory Note:

Explanation

A promissory note is a legal document that outlines a promise to repay a debt. It typically involves two parties: the borrower who promises to repay the debt and the lender who is owed the money. Therefore, the minimum number of parties required in a promissory note is two.

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11. In terms of Section 26 of N.I.Act 1881, a Minor:

Explanation

According to Section 26 of the N.I. Act 1881, a minor can draw a negotiable instrument, endorse a negotiable instrument, be an endorsee of a negotiable instrument, and be a payee of a negotiable instrument. However, it is important to note that a minor is not personally liable for any obligations or liabilities arising from these actions. Therefore, all of the options mentioned in the question are relevant in relation to a minor's involvement with negotiable instruments.

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12. PIO shall deal with people's requests seeking information and where the request can be made in writing, to render reasonable assistance to the person to reduce the same in writing.

Explanation

The statement is true because PIO (Public Information Officer) is responsible for handling requests for information from the public. They are required to provide reasonable assistance to individuals who wish to make a written request for information, in order to facilitate the process. This implies that PIOs are expected to support and guide individuals in reducing their requests into writing, ensuring that the information sought is properly documented and recorded.

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13. In which type of 'Crossing', two transeverse parallel line on the face of the instrument is optional?

Explanation

In a special crossing, two transverse parallel lines on the face of the instrument are optional. In a general crossing, these lines are typically present, but in a special crossing, they may or may not be present depending on the specific requirements. Similarly, in a doubly crossed to more than one banks crossing, these lines may or may not be present. Therefore, the correct answer is "Any of the above (2) and (3)" because in both special crossing and doubly crossed to more than one banks crossing, the presence of two transverse parallel lines on the face of the instrument is optional.

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14. Material alteration which is not apparently visible in a cheque not having drawer's confirmation, if paid by the bank, protection can be available as provided in section--------------------of N.I. Act

Explanation

The correct answer is "89,88,58,85,85(1),None". This means that protection can be available under sections 89, 88, 58, 85, 85(1), and None of the Negotiable Instruments Act. These sections likely provide guidelines or provisions for cases where a material alteration is not apparent in a cheque without the drawer's confirmation but is still paid by the bank. The specific details of these sections and the protection they offer are not provided in the question.

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15. Protection to Paying Banker in case of a Demand Draft is provided in section-------------of N.I.Act 1881

Explanation

Section 85A of the N.I. Act 1881 provides protection to the paying banker in case of a demand draft. This section states that if a demand draft is presented for payment by a person who is in possession of the draft and claims to be entitled to receive the amount mentioned in it, the paying banker is discharged from liability if he pays the amount in good faith and without negligence. This protection ensures that the paying banker is not held responsible if the demand draft is fraudulently presented or if there is any dispute regarding the entitlement of the person presenting the draft.

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16. Minimum Number(s) of Parties in a Bills of Exchange:

Explanation

A bill of exchange is a financial instrument that is used in international trade to guarantee payment between parties. It involves three parties: the drawer who issues the bill, the drawee who is obligated to pay, and the payee who receives the payment. Therefore, the minimum number of parties required in a bill of exchange is three.

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17. 'Crossing' is applicable for:

Explanation

The correct answer is "Cheque" because crossing is a process of drawing two parallel lines across the face of a cheque to make it payable only through a bank account and not to be cashed over the counter. Crossing is not applicable for Promissory Notes or Bills of Exchange.

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18. Section 11 of N.I.Act deals with:

Explanation

Section 11 of the Negotiable Instruments Act deals with Inland Bills. This section specifically outlines the rules and regulations regarding the payment, acceptance, and negotiation of inland bills of exchange. It provides a legal framework for the parties involved in the transaction and ensures the smooth functioning of the bill payment system within the country.

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19. Special crossing is possible without two transverse parallel crossing

Explanation

It is possible to have a special crossing without having two transverse parallel crossings. This means that a special crossing can occur even if there are not two lines that intersect each other at two points and are parallel to another line. Therefore, the statement "Special crossing is possible without two transverse parallel crossing" is true. However, without additional context or information, it is not possible to determine the truth value of the second statement, so the answer for that is "false".

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20. Payment in due course has been provided under section------------------ of N I Act

Explanation

Payment in due course has been provided under sections 10, 11, 12, 13, and 14 of the Negotiable Instruments Act. These sections outline the conditions under which a payment made by a person in good faith and without negligence, to the holder of a negotiable instrument, will be considered as payment in due course. These sections provide protection to the payer and ensure that they are not held liable if the instrument is later found to be invalid or defective.

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21. A cheque is issued by a drawer as "PAY TO BISHNU PADA SARKHEL OR ORDER/BEARER", You as holder of the cheque strikes out the word 'ORDER', now the cheque is payable to:

Explanation

The correct answer is "Payble to BISHNU PADA SARKHEL or Order i.e. to the person in whose favour BISHNU PADA SARKHEL endorses the cheque on the back of it." This is because when the word "ORDER" is struck out, the cheque becomes payable to the person named on the cheque, in this case, BISHNU PADA SARKHEL, or to anyone to whom BISHNU PADA SARKHEL endorses the cheque on the back.

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22. Protection against 'Material Alteration' if such 'Alteration' is not detectable in naked eyes in ordinary course of business is provided in section----------------- of N.I.Act 1881

Explanation

Section 89 of the N.I. Act 1881 provides protection against 'Material Alteration' if such alteration is not detectable in naked eyes in the ordinary course of business. This means that if any alteration is made to a negotiable instrument that cannot be easily seen with the naked eye, the person in possession of the instrument will be protected by the law. This section ensures that individuals are not held responsible for alterations that they were unable to detect.

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23. What are the preconditions to be fulfilled by the 'Payee' to resort to filing suit under section 138 of N.I.Act 1881 to proceed against the drawer of a cheque?

Explanation

The preconditions that need to be fulfilled by the 'Payee' to resort to filing suit under section 138 of N.I.Act 1881 to proceed against the drawer of a cheque are as follows: the cheque needs to be returned by the paying bank with the reason 'Insufficient Fund' or 'Exceeds arrangement', as the case may be; the payee should give a maximum of 30 days' notice to the drawer to pay the amount of the cheque; the drawer should get a 15-day time period after receipt of the notice from the payee; and the payee must file a suit within 30 days from the expiry of the 15-day time period mentioned above. Therefore, all the above conditions are relevant for the payee to proceed with the filing of a suit.

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24. A cheque is valid for 3 months from the-----------------------------of the cheque

Explanation

A cheque is valid for 3 months from the date of issue. If the drawer puts a date below their signature, which is different from the date in the date field, the validity starts from that date. If the date is not provided, it is determined based on mercantile practice.

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25. PIO can not seek the assistance of any other officer for the proper discharge of his/their duties.

Explanation

The statement is false because a PIO (Public Information Officer) can seek the assistance of other officers for the proper discharge of their duties. PIOs often collaborate with other officers, departments, or agencies to gather information and provide accurate and timely responses to information requests. This collaboration ensures that the duties of a PIO are carried out effectively and efficiently.

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26. "A cheque is basically a Bills of Exchange drawn on a specified banker and made payable not otherwise than on Demand". It implies:

Explanation

The given statement describes a cheque as a Bills of Exchange drawn on a specified banker and made payable not otherwise than on demand. This implies that a cheque can be considered as a restrictive Bills of Exchange, as it is drawn on a specified banker and can only be paid on demand. Therefore, the correct answer is "a Restrictive Bills of Exchange".

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27. Any one or more banks' name within the crossing of a cheque, either having two transverse parallel line or such bank(s)' name within the crossing seal or in the round seal having one or more banks' name used for crossing is the instance of:

Explanation

A special crossing refers to the crossing of a cheque with the name of a specific bank or banks within the crossing seal or round seal. This indicates that the cheque can only be deposited into an account held at the specified bank(s). In contrast, a general crossing involves the use of two parallel transverse lines without any specific bank name mentioned. Therefore, the correct answer is Special Crossing.

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28. Which of the following(s) is / are not covered under 'Protection for material alteration' in N.I.Act, even such alteration is authenticated by Drawer's Signature which is the precondition for allowing protection for material alteration?

Explanation

Forgery of the Drawer's Signature is not covered under 'Protection for material alteration' in the N.I. Act, even if such alteration is authenticated by the Drawer's Signature. This means that if someone forges the Drawer's Signature on a negotiable instrument, it will not be protected under the law, regardless of any other alterations made to the instrument. The N.I. Act provides protection for certain types of alterations, but forgery of the Drawer's Signature is not one of them.

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29. Which BOE requires Acceptance by the Drawee?

Explanation

Usance refers to a credit term in which the payment for goods or services is deferred and the buyer is allowed a certain period of time to make the payment. In this case, the drawee, who is the buyer, needs to accept the usance bill of exchange (BOE) in order to acknowledge their obligation to make the payment at a later date. This acceptance is necessary for the BOE to become legally binding and enforceable. Therefore, usance is the correct answer as it requires acceptance by the drawee.

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30. Protection to Paying Banker in case of an order cheque is provided in section--------------of N.I.Act 1881

Explanation

Section 85(1) of the N.I. Act 1881 provides protection to the paying banker in the case of an order cheque. This means that if the paying banker has acted in good faith and in accordance with the apparent tenor of the instrument, they will be protected from any liability. In other words, if the banker has paid the order cheque without negligence and in the ordinary course of business, they cannot be held responsible for any loss or damage caused by the payment. This provision ensures that paying bankers can carry out their duties without fear of legal repercussions.

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31. Protection to Paying Banker is provided in section----------------of N.I.Act

Explanation

The correct answer is 85. Section 85 of the Negotiable Instruments Act provides protection to the paying banker. This section states that if a banker in good faith and without negligence pays a cheque that is crossed generally or specially, and the payment is made to the rightful owner, the banker will be protected from any liability. This section ensures that the paying banker is safeguarded when making payments in accordance with the provisions of the Act.

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32. Which one do you likeAs per N.I.Act, if words and figures of a cheque differs, if payment is made as per the amount mentioned in words, protection is available in terms of section-----------------of N.I.Act 1881

Explanation

As per the Negotiable Instruments Act, if the words and figures of a cheque differ, the payment will be made according to the amount mentioned in words. This provides protection to the payer in terms of section 18 of the N.I. Act 1881.

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33. Validity of a cheque is counterd from:

Explanation

The validity of a cheque is determined from the date of issue of the cheque. This means that the cheque is valid and can be presented for payment within a certain period of time from the date it was issued. After this period, the cheque may become stale or invalid and may not be accepted by the bank. Therefore, it is important to ensure that cheques are presented for payment within the validity period to avoid any issues or complications.

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34. Which Section of N.I.Act 1881 deals with Electronic Cheque and Turncated Cheque?

Explanation

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35. What are the maximum numbers of endorsements can be made in terms of the provision of N.I.Act 1881

Explanation

According to the provision of the N.I.Act 1881, there is no maximum limit on the number of endorsements that can be made. This is because 'Alongee', which refers to additional sheets of paper, can be attached to the instrument to accommodate numerous endorsements. Therefore, the correct answer is that there is no maximum number of endorsements.

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36. Protection to Paying Banker in case of a Bearer Cheque which is expressly made payble to Bearer on the face of the Instrument is provided in section---------------of N.I.Act 1881

Explanation

Section 85(2) of the Negotiable Instruments Act 1881 provides protection to the paying banker in the case of a bearer cheque that is expressly made payable to the bearer on the face of the instrument. This means that if the cheque is presented to the banker for payment and it is in order, the banker can make the payment without being held liable for any loss or damage that may arise from the cheque being a forgery or obtained through unlawful means. This section safeguards the paying banker and ensures that they are not held responsible for any fraudulent or unauthorized transactions involving bearer cheques.

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37. If nothing is mentioned in a BOE about allowing grace period for determining Due date of an Usance Bill 3 days grace period is----------------------

Explanation

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38. Negotiation of bearer cheque is completed by-----------------------

Explanation

The negotiation of a bearer cheque is completed by delivery, which means physically handing over the cheque to the recipient. Endorsement followed by delivery is also a valid method of negotiation, where the cheque is first endorsed by the payee and then delivered to the new holder. Only endorsement, without delivery, is not sufficient to complete the negotiation. Similarly, only delivery, without endorsement, is also not enough. None of the given options suggest that negotiation can be completed without either delivery or endorsement.

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39. A bill drawn in New Delhi made payable in London, by ramesh kumar, a resident indian is-------------------

Explanation

The bill drawn in New Delhi and made payable in London by a resident Indian can be classified as either an Inland Bill or a Foreign Bill. An Inland Bill refers to a bill that is drawn and payable within the same country, while a Foreign Bill refers to a bill that is drawn in one country and made payable in another. Since the bill in question is drawn in New Delhi (India) and made payable in London (UK), it can be categorized as either an Inland Bill or a Foreign Bill. Therefore, the correct answer is either Inland or Foreign.

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40. Which section to which section was incorporated in the last amendment of N.I.Act

Explanation

The last amendment of the N.I.Act incorporated sections 143 to 147.

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41. A bill dated 30th. November, 2012  payable 3 months after Date, the bill will be due for payment on----------------

Explanation

The bill is dated 30th November, 2012 and is payable 3 months after the date. Therefore, if we count 3 months from 30th November, 2012, we will reach 28th February, 2013. However, since February does not have 30 days, the bill will be due for payment on the next day, which is 1st March, 2013. Therefore, the correct answer is 3rd March.

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42. Which of the following Authority(s) can declare Bank Holiday in terms of section 25 of N.I.Act 1881?

Explanation

Both the State Government and the Central Government have the authority to declare a Bank Holiday under section 25 of the N.I. Act 1881. This means that either the State Government or the Central Government can declare a Bank Holiday, or both can declare it simultaneously. The Reserve Bank of India (RBI) does not have the authority to declare a Bank Holiday in this context.

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43. In case of an "Account Payee" crossed Cheque, which of the following(s) is / are relevant?

Explanation

The explanation for the given correct answer is that in the case of an "Account Payee" crossed cheque, both the statements provided are relevant. The first statement explains that while crossing is a direction to the paying banker, the "Account Payee" wordings are a direction to the collecting banker. This means that the cheque should be collected through the account of the named payee only. The second statement further supports this by stating that collecting the cheque through the account of the named payee provides protection to the collecting banker under section 131 of the N.I. Act 1881. Therefore, both statements are relevant in the context of an "Account Payee" crossed cheque.

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44. In the RTI Act 2005, PIO means Public Information Officer.

Explanation

The explanation for the given answer "False" is that in the RTI Act 2005, PIO actually stands for Public Information Officer. Therefore, the correct answer should be "True" instead of "False".

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45. Section 131 of N.I.Act deals with:  

Explanation

Section 131 of the N.I. Act provides protection to the collecting banker. This means that if a banker collects payment on behalf of a customer in good faith and without negligence, they are protected from any claims or liabilities that may arise from the transaction. This section ensures that the collecting banker can carry out their duties without fear of legal repercussions, as long as they have acted in good faith and without negligence.

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46. 'Not Negotiable' Crossing implies:

Explanation

The correct answer is "Both are relevant". This means that both statements are true and important in relation to the concept of a "Not Negotiable" crossing on a cheque. The first statement explains that this crossing restricts the character of negotiability of the cheque, indicating that it cannot be freely transferred to another party. The second statement clarifies that even if the cheque is further negotiated despite the "Not Negotiable" crossing, the transferee (the person receiving the cheque) cannot obtain a better title (ownership) than the transferrer (the person who initially issued the cheque).

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47. ------------------days' 'Grace' Period is allowed for calculation of Due Date of an Usance Promissory Note and an Usance Bills of Exchange in terms of section 22 of N.I.Act 1881

Explanation

not-available-via-ai

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48. Forgery of drawer's signature where forgery is not visible even before hanovian lamp, if paid bank would get protection

Explanation

The explanation for the given answer is that if the forgery of the drawer's signature is not visible even before the Hanovian lamp, then the bank would not be able to detect it and would unknowingly pay the amount. In such a case, if the bank pays, they would still be protected because the forgery was not apparent. However, it is important to note that the specific provisions regarding this scenario are not provided in the Negotiable Instruments Act.

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49. Drawer of a cheque issued in favour of a payee and subsequently before presentment  of the cheque by the payee ro the bank, Drawer countermands the cheque and, thereafter, cheque is presented but returned due " cheque countermanded by the drawer" though the balance was insufficient to honour the cheque, Payee can not proceed under sec 138 against the Drawer

Explanation

The given answer is False because the payee can proceed under section 138 against the drawer in this situation. Although the cheque was not returned due to insufficient funds, the act of countermanding the cheque by the drawer after it was issued in favor of the payee is considered an offense under section 138 of the Act. Therefore, the payee has the right to take legal action against the drawer for dishonoring the cheque.

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50. Two transverse parallel line has to be drawn to cross a cheque generally, positively on the left hand upper corner of the cheque

Explanation

The given correct answer states that it is false that two transverse parallel lines have to be drawn to cross a cheque generally, positively on the left-hand upper corner of the cheque. The explanation for this is that crossing may be anywhere on the face of the instrument. Additionally, it is true that two transverse parallel lines are not compulsory for general crossing. The answer also states that there is no other information or options available.

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51. 'Crossing' is a direction to:

Explanation

The term "crossing" refers to the process of drawing two parallel lines diagonally across a check. This is done to make the check more secure and prevent it from being fraudulently cashed. The responsibility of crossing a check lies with the paying banker, as they are the ones who issue the check and ensure its validity. Therefore, the correct answer is "Paying banker."

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52. Presumption of N.I. Act is provided under sec------------------& sec----------------------

Explanation

The correct answer is 118 & 119. The presumption of the Negotiable Instruments Act is provided under sections 118 and 119. Section 118 states that until proven otherwise, it is presumed that every negotiable instrument was made or drawn for consideration, and that every party whose signature appears on the instrument had the capacity to contract. Section 119 states that until proven otherwise, it is presumed that consideration has been given for the instrument. These sections establish the legal presumptions regarding consideration and capacity in negotiable instruments unless proven otherwise.

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53. At present total no. of sections in N.I. Act is-------------------------

Explanation

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54. The word(s) '& Co' or 'Not Negotiable' or 'Account Payee' or one or more of such words within the two transverse parallel line is example of-------------------

Explanation

The word(s) '& Co' or 'Not Negotiable' or 'Account Payee' or one or more of such words within the two transverse parallel line is an example of General Crossing. General Crossing is a crossing where the cheque is crossed generally by drawing two parallel transverse lines on the top left corner of the cheque and writing certain words between the lines. These words indicate that the cheque can only be deposited into a bank account and cannot be encashed at the counter.

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55. Bank has purchased a cheque of a customer & customer has got money before collection of the cheque, Bank stands as-----------------

Explanation

When a bank purchases a cheque from a customer and gives the customer money before the cheque is collected, the bank stands as a "holder for value". This means that the bank has become the legal holder of the cheque and has given value (money) to the customer in exchange for it. The bank can then collect the funds from the cheque when it is presented for payment. The terms "holder" and "holder-in-due course" also apply to the bank in this situation, as it is the legal owner of the cheque. "Notional payee" refers to the customer who originally wrote the cheque, but since the bank has purchased it, the customer is no longer the payee. Finally, the bank is not allowed to credit the customer's account before the cheque is collected, as this would create a risk of fraud or insufficient funds.

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56. For Issuing DD bank compulsorily put------------------------crossing for Rs. ------------------& above
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57. An order cheque--------------------

Explanation

An order cheque can be payable over the counter provided payee's introduction is obtained. This means that the cheque can be cashed or exchanged for cash at the bank or financial institution without the need for it to be deposited into an account. However, this can only be done if the payee's introduction is obtained, which typically involves verifying the identity of the payee. On the other hand, a cheque should never be payable over the counter without the payee's introduction, as this could lead to potential fraud or unauthorized access to the funds. In general, cheques are usually required to be deposited into an account before the funds can be accessed.

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58. In case of Gift Cheque, 'Holder in Due Course' is not possible because:

Explanation

In order for someone to be considered a "Holder in Due Course," there must be a valid and lawful consideration involved. However, in the case of a gift cheque, there is no lawful consideration because it is a gift and not a payment made in exchange for something of value. Therefore, the concept of "Holder in Due Course" does not apply in this situation.

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59. Interest subsidy for educational loan till-----------------------period

Explanation

The correct answer is "moratorium, repayment, course, no interest subsidy available." This suggests that the interest subsidy for educational loans is available during the moratorium period, repayment period, and course duration. However, there is no interest subsidy available beyond these periods.

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60. Negotiability of bearer cheque and order cheque has been provided under section----------------- &----------------respecrively

Explanation

The negotiability of bearer cheques is provided under section 47, while the negotiability of order cheques is provided under section 48. Therefore, the correct answer is 47 & 48. The other options, 48 & 49, 49 & 50, 50 & 51, and none, none, are incorrect as they do not correspond to the sections that govern the negotiability of bearer and order cheques.

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61. Crossing is a direction to collecting banker

Explanation

The given statement is false. Crossing refers to marking a check with two parallel lines, which indicates that the check must be deposited directly into the account of the payee and cannot be cashed over the counter. It is a direction to the collecting banker. However, the statement also mentions that crossing is always a direction to both the collecting banker and the paying banker, which is incorrect. Crossing only affects the collecting banker, not the paying banker. Therefore, the correct answers are false, true, always direction to collecting banker, and None.

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62. Neft charges upto 1 lac, Rs.----------------

Explanation

The correct answer is 7. This suggests that the Neft charges for up to 1 lakh rupees are 7 rupees.

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63. Holder can do--------------------------- crossing

Explanation

The given question is incomplete and not readable. Therefore, an explanation cannot be generated.

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64. Under Section 131 of N.I. Act, Collecting banker is protected from

Explanation

Under Section 131 of the N.I. Act, the collecting banker is protected from the true owner of the cheque. This means that even if the true owner claims that the cheque was collected without their authorization, the bank is protected from any liability. Additionally, the collecting banker is also protected from any conversion charges that may arise from the collection of the cheque. However, it is important to note that there is no specific protection provided under this section for the bank, and they will always be liable for collecting a cheque in the customer's account with due diligence, regardless of any provisions or protections mentioned.

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65. Holder-in-due course & holder have been defined under sec--------------------& ------------------respecrively

Explanation

The correct answer is 9 & 8. The explanation is that a holder-in-due-course is defined under section 9, while a holder is defined under section 8.

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66. Form of Conditional Endorsement-----------------

Explanation

The given answer lists the different forms of conditional endorsement. "Pay to----------only" means that the check can only be paid to the specified person or entity. "Pay to------------or order" allows the check to be paid to the specified person or to anyone they endorse it to. "Pay to----------------- or order (without liability)" means that the endorser is not liable for any further endorsements. "None" indicates that there is no specific form of conditional endorsement.

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67. While crossing is a direction to paying banker,  but a crossed cheque with the phrase " A/C payee" is a direction to

Explanation

A crossed cheque with the phrase "A/C payee" is a direction to both the paying and collecting banker. This means that the cheque can only be deposited into the account of the payee and cannot be cashed over the counter. The direction is to the paying banker to ensure that the cheque is not cashed, and to the collecting banker to ensure that it is deposited into the correct account. Therefore, the correct answer is both paying and collecting banker.

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68. Max.Punishment under sec 138 of N.I.Act for return of cheques due to "Insufficient Fund"

Explanation

The correct answer is "Double the amount fine & 2 years' imprisonment." This is because Section 138 of the Negotiable Instruments Act states that if a cheque is returned due to insufficient funds, the defaulter can be punished with a fine of double the amount of the cheque and imprisonment for up to 2 years. This punishment is meant to deter individuals from issuing cheques without sufficient funds in their accounts.

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69. RTGS time period for normal days-------------------------- & for saturdays-----------------------

Explanation

The correct answer is 9.00 am to 4.30 pm / 9 am to 1.30 pm, 9.30 am to 5.00 pm / 9,30 am to 2 pm, 9.30 am to 5.00 pm / 9,30 am to 2 pm. This answer provides the correct RTGS time period for normal days and Saturdays. On normal days, the RTGS time period is from 9.00 am to 4.30 pm, with a break from 1.30 pm to 2.00 pm. On Saturdays, the RTGS time period is from 9.30 am to 5.00 pm, with a break from 2.00 pm to 2.30 pm.

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70. Right of holder (find the incorrect one)

Explanation

The correct answer is "can get duplicate cheque only by the holder-in-due course". This is because according to Section 45A of the Negotiable Instruments Act, a holder can obtain a duplicate cheque of a lost instrument. However, the other options mentioned in the question are incorrect. There is no provision to get a duplicate cheque, subject to a court order, and the duplicate cheque can be obtained by any holder, not just the holder-in-due course.

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The Maxim "Once a bearer always bearer " holds good only...
PIo, within max. 30 days of receiving request either provide the...
"A/c Payee Crossing" has not been defined anywhere in N.I....
Maximum Punishment provided in section 138 of N.I.Act for dishonour of...
A cheque presented in a cash credit account returned unpaid with the...
ATM failed transaction penalty Rs. 100 per day beyond-----------------...
Which section of N.I.Act 1881 deals with 'Criminal Offence' in...
Where there is only one endorsement which is blank or out of series of...
To get protection under sec 138, payee has to give  notice to the...
Minimum No. of Parties in a Promissory Note:
In terms of Section 26 of N.I.Act 1881, a Minor:
PIO shall deal with people's requests seeking information and...
In which type of 'Crossing', two transeverse parallel line on...
Material alteration which is not apparently visible in a cheque not...
Protection to Paying Banker in case of a Demand Draft is provided in...
Minimum Number(s) of Parties in a Bills of Exchange:
'Crossing' is applicable for:
Section 11 of N.I.Act deals with:
Special crossing is possible without two transverse parallel crossing
Payment in due course has been provided under...
A cheque is issued by a drawer as "PAY TO BISHNU PADA SARKHEL OR...
Protection against 'Material Alteration' if such...
What are the preconditions to be fulfilled by the 'Payee' to...
A cheque is valid for 3 months from the-----------------------------of...
PIO can not seek the assistance of any other officer for the proper...
"A cheque is basically a Bills of Exchange drawn on a specified...
Any one or more banks' name within the crossing of a cheque,...
Which of the following(s) is / are not covered under 'Protection...
Which BOE requires Acceptance by the Drawee?
Protection to Paying Banker in case of an order cheque is provided in...
Protection to Paying Banker is provided in section----------------of...
Which one do you likeAs per N.I.Act, if words and figures of a cheque...
Validity of a cheque is counterd from:
Which Section of N.I.Act 1881 deals with Electronic Cheque and...
What are the maximum numbers of endorsements can be made in terms of...
Protection to Paying Banker in case of a Bearer Cheque which is...
If nothing is mentioned in a BOE about allowing grace period for...
Negotiation of bearer cheque is completed by-----------------------
A bill drawn in New Delhi made payable in London, by ramesh kumar, a...
Which section to which section was incorporated in the last amendment...
A bill dated 30th. November, 2012  payable 3 months after Date,...
Which of the following Authority(s) can declare Bank Holiday in terms...
In case of an "Account Payee" crossed Cheque, which of the...
In the RTI Act 2005, PIO means Public Information Officer.
Section 131 of N.I.Act deals with:  
'Not Negotiable' Crossing implies:
------------------days' 'Grace' Period is allowed for...
Forgery of drawer's signature where forgery is not visible even...
Drawer of a cheque issued in favour of a payee and subsequently before...
Two transverse parallel line has to be drawn to cross a cheque...
'Crossing' is a direction to:
Presumption of N.I. Act is provided under sec------------------&...
At present total no. of sections in N.I. Act...
The word(s) '& Co' or 'Not Negotiable' or...
Bank has purchased a cheque of a customer & customer has got money...
For Issuing DD bank compulsorily put------------------------crossing...
An order cheque--------------------
In case of Gift Cheque, 'Holder in Due Course' is not possible...
Interest subsidy for educational loan...
Negotiability of bearer cheque and order cheque has been provided...
Crossing is a direction to collecting banker
Neft charges upto 1 lac, Rs.----------------
Holder can do--------------------------- crossing
Under Section 131 of N.I. Act, Collecting banker is protected from
Holder-in-due course & holder have been defined under...
Form of Conditional Endorsement-----------------
While crossing is a direction to paying banker,  but a crossed...
Max.Punishment under sec 138 of N.I.Act for return of cheques due to...
RTGS time period for normal days-------------------------- & for...
Right of holder (find the incorrect one)
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