With reference to banking and finance, which among the following can be called as “Advances”?
1. Cash Credit
3. Bill discounting
4. Demand loans
Select the correct option from the codes given below:
An advance is a credit facility provided by the bank to its customers. These are granted for a short period of time to meet the day-to-day requirements of business. The rate of interest charged on advances varies from one bank to another. The banks grant short-term financial assistance by way of overdraft, cash credit, term loan, bill discounting, demand loans, etc.
This question is a part of GKToday's Integrated IAS General Studies Module