1. CALL MONEY

Call/Notice money is an amount borrowed or lent on demand for a very short period. If the period is more than one day and upto 14 days it is called 'Notice money' otherwise the amount is known as Call money'. Intervening holidays and/or Sundays are excluded for this purpose. No collateral security is required to cover these transactions.

Features The call market enables the banks and institutions to even out their day to day deficits and surpluses of money.
Commercial banks, Co-operative Banks and primary dealers are allowed to borrow and lend in this market for adjusting their cash reserve requirements.
Specified All-India Financial Institutions, Mutual Funds and certain specified entities are allowed to access Call/Notice money only as lenders.
It is a completely inter-bank market hence non-bank entities are not allowed access to this market.
Interest rates in the call and notice money market are market determined.
In view of the short tenure of such transactions, both the borrowers and the lenders are required to have current accounts with the Reserve Bank of India.
It serves as an outlet for deploying funds on short term basis to the lenders having steady inflow of funds.