CC A/c in Bank

This query is : Resolved

CA Kapil Popat (Querist)
Follow

18 April 2010 Can a practising CA firm whether a sole proprietorship or partnership open a CC A/c with Bank?? I have mostly seen Current Account of CA Firms not CC A/c. If it can open CC A/c then what would be given as hypothecation? Because in CC A/c normarlly business units hypothecate their stocks.

CA. BIJENDER KR. BANSAL

CA. BIJENDER KR. BANSAL (Expert)
Follow

18 April 2010 YES, MR. KAPIL, A SOLE PROPRIETORSHIP OR A PARTNERSHIP FIRM CAN OPEN A CC A/C AGAISNT HYPOTHECATION OF THIER BOOK DEBTS I.E DEBTORS.

CA Kapil Popat

CA Kapil Popat (Querist)
Follow

18 April 2010 thank you bansal sir, but have u come across practically with such firm having CC A/c??

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
Follow

18 April 2010 I have not.

CA. BIJENDER KR. BANSAL

CA. BIJENDER KR. BANSAL (Expert)
Follow

18 April 2010 DEAR CHACKRAPANI JI,
I AM NOT UNDERSTANDING WHAT U WANT TO SAY BY "I HAVE NOT "?
PLEASE CLARIFY

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
Follow

18 April 2010 I have not come across chartered accountants firm's maintaining CC A/cs with banks.

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
Follow

18 April 2010 I ALSO HAVE NOT COME ACROSS SUCH INCIDENT.

kartik_somu

kartik_somu (Expert)
Follow

19 April 2010 i have also not come across any such incident

CA. BIJENDER KR. BANSAL

CA. BIJENDER KR. BANSAL (Expert)
Follow

20 April 2010
I AGREE WITH ALL OF YOU.
OUR GROUP COMPANY A/C WITH BOB , I HAVE LOOK AFTER ALL CC LIMIT OF OUR COMPANY. I HAVE DISCUSSED ABOUT IT WITH OUR BRANCH CHEIF MANAGER AND MANAGER-LOANS & ADVANCE REGARDING IT GENREALLY. THEY TOLD IF CA FIRM A/C IN THE BANK HAVING GOOD TRANSACTIONS SINCE MORE THAN 2 - 3 YEARS. THEN FIRM CAN APPLY ON CC LIMIT AGISNT HYPO OF BOOK DEBTS, BUT LIMIT AMOUNT MAY NOT BE HIGH , IT MAY BE UPTO 5 LACS ON THE BASIC OF ACCOUNT TRANSACTION. ACCORDING TO THEM , THERE IS NO PROVISION IN BANK DENYING CA FIRM OR CA PROPERITISHIP TO OPEN CC A/C.
PRACTICALLY I HAVE ALSO NOT COME ACROSS ANY SUCH INCIDENT. BUT IT MAY BE .

CMA. CS. Sanjay Gupta

CMA. CS. Sanjay Gupta (Expert)
Follow

20 April 2010 THANKS MR BANSAL FOE SHARING YOUR EXPERIENCE.

CA SURENDRA KUMAR RAKHECHA

CA SURENDRA KUMAR RAKHECHA (Expert)
Follow

20 April 2010 The querry has opened one area of short-term finance from the banks by the chartered accountancy firms.

Thanks all who participated in the querry.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

bhagat ram goyal

jagadheswar goud

Jaipal Singh

HITESH PATEL

NISHANT SIPANI

Subscribe Now

CC A/c in Bank

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA