N. S. Toor Solutions for Chapter: Banking Law and Practice, Exercise 17: TEST YOUR SELF

X borrowed Rs. 20000 from your branch, which he is not repaying and the loan has become time-barred due to non-acknowledgement and non-payment. X has a saving bank deposit in his name showing credit balance. Can the bank exercise its right of set-off for this time-barred debt?

XYZ and ABC are two firms having the same partners in both the partnership firms. One firm is having a debit balance and another firm is having a credit balance in their accounts. State whether banks can exercise the right of set-off in this case:

Bank allowed temporary overdraft for Rs. 10000 to Ram Singh which he is not repaying. On which of the following accounts the bank has the right of set-off, available?

The Right of Set-off of a banker has been conferred on the banks in which of the following?

Mr. D is having one overdraft account with us. He is also having three other accounts with the us, (namely) his personal SB Account, a Joint account with his wife, and one u/gship account with his son. Bank can use the right of set-off in which of these accounts?

X has a joint 'former or survivor' account XY with his wife Y. X has an overdraft account, where he is not paying dues. Can you exercise right of set-off as a Banker?

Where a loan is in the name of A and deposit in A as trustee right of set-off can be exercised.

Shant and Pant enjoy an overdraft limit of Rs. 55,000 and the account shows a debit balance of Rs. 36,400 presently. They are delaying payment of the overdraft and bank wants to adjust the overdraft from a savings account maintained by Pant with a credit balance of Rs.64, 600. In this case what will happen?