The worked question on this page is original educational practice. It is not represented as a question from an official previous-year examination paper.
01 / UNDERSTANDING
Review the question
Write an original matching exercise with deposit, collection and custody services. For genuine-paper analysis, identify the transaction's capacity before applying a general statement about banker-customer duties. Add a case in which one customer complains about two different services in the same letter. Ask which facts matter to each obligation and why the complaint cannot be analysed using one relationship label throughout. Keep any legal conclusions tied to the stated facts and applicable terms.
02 / UNDERSTANDING
The concept in context
The same customer can therefore have several relationships with one institution. Analysis should begin with the transaction and contract rather than assigning one permanent label to the customer. The relevant obligation may concern repayment, careful execution of an instruction or handling of an item entrusted for safekeeping.
03 / UNDERSTANDING
A worked learning case
A customer maintains a deposit, sends an instrument for collection and separately uses a custody service. A trainee describes all three as the bank borrowing money. The trainer asks what the bank receives and promises in each case, revealing that the underlying obligations are different despite the common customer.
ORIGINAL EDUCATIONAL PRACTICE
Try it before you check.
Is the bank's capacity identical for a normal deposit and a collection instruction?
Show the answer and reasoning
No.
A normal deposit generally creates an amount the bank owes the depositor, while collection involves carrying out an instruction in an agency capacity. The transaction determines the relationship. Identifying the service and its terms is necessary before deciding what obligation exists or what performance the customer can reasonably expect.
Two traps to watch for.
- Applying the deposit relationship to every banking service.
- Ignoring contract terms when explaining custody obligations.
YOUR TOPIC-SPECIFIC LEARNING MAP
Learn from the attempt
Identify the distinct service in each of the three transactions.
State what the bank receives and promises for each service.
Match the obligation with the correct relationship rather than the customer name.
Explain the idea, apply it to a new situation, then check what changed in your reasoning.
BANKERS TUTORIAL · SOURCE NOTES
Keep the source alongside your notes.
Official links provide subject context and authoritative reference material. This guide’s explanation, scenario and question are original Bankers Tutorial learning content.
- iibf.org.in https://iibf.org.in/jaiib-junior-associate-IIBF
- iibf.org.in https://iibf.org.in/documents/RulesSyllabus/2026/FlagshipCourses/21%20-%20JAIIB-Final_Exam_24.07.25_Final_23.02.2026.pdf
- www.rbi.org.in https://www.rbi.org.in/commonperson/English/Scripts/PressReleases.aspx?Id=2123
For JAIIB preparation, check the current official notice before relying on changing dates, rules or examination requirements.
