Explained: Bailee-Bailor Relationship
Bailment and Pledge are two special contracts that are often confused. Every pledge is a bailment but every bailment is not a pledge. Bailment means the delivery of goods from one person to another for a special purpose. A Pledge means the delivery of goods as security for the payment of a debt or the…
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Explained: Bank as a Trustee
A trustee is an entity that manages wealth, assets, or property on behalf of the owner of the estate. The owner also called the trustor, appoints a trustee to act in the trustor’s (original owner’s) best interests. Section 3 of the Indian Trust Act 1882 provides that “A Trust is an obligation annexed to the…
Read article Definition and requirements to be called a Bank
A Bank is a financial institution that, generally, accepts deposits and makes loans. Deposits are money people leave in a banking institution with the understanding that they can get it back at any time or at an agreed-upon future time. A loan is a money let out to a borrower to be generally paid back…
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RBI Act 1934 – Chapter I to V
This post has covered all the sections of the RBI Act 1934 Chapter I to V. However, given this post comprises a large volume of sections, we have separately posted one more article containing important sections of the act. To read them click “IMPORTANT SECTIONS AND SCHEDULES OF RBI ACT 1934 AND BACKGROUND OF ENACTMENT”…
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Explained: Group Insurance Schemes
Group Insurance Scheme is as the name suggests insurance protection to groups of people. Irrespective of the size of the group, group insurance covers all members under the same plan. The plan may be in the form of group life insurance, group health insurance, group travel insurance, or group personal accident insurance. According to IRDAI…
Definition of Insurance and Fundamental Principles of Insurance
An insurance plan or a policy can be defined as a legal contract between the insured (an individual) and the insurer (insurance company). Under the contract, you pay regular amounts of money (as premiums) to the insurer, and they pay you the sum assured in specific situations of suffering to cover the losses, against payment…
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