New 55% Off on All Courses - Enroll Now! Click Here

    Question

    The place where banks’ mutual claims are settled,

    is called?
    A Treasury Correct Answer Incorrect Answer
    B Clearing House Correct Answer Incorrect Answer
    C Broking House Correct Answer Incorrect Answer
    D Collection Centre Correct Answer Incorrect Answer
    E Dealing Room Correct Answer Incorrect Answer

    Solution

    Clearing house is a bankers' establishment where cheques and bills from member banks are exchanged, so that only the net balances need to be paid. Earlier every bank use to physically send its representative to the clearing house and settlement used to by physical. Now-a-days clearing houses are automated.

    Practice Next

    Relevant for Exams: