1.Which of the following is India's first credit information company?

Q.CIBIL

2.Power of Attorney has to be given on a stamp paper, the value of which varies from state to state.

Q.YES

3.An asset would be classified as doubtful if it has remained in the substandard category for a period of
____

Q.12 MONTHS

4.DRT is a popular name for debt recovery Tribunal.

Q.YES

5.In general, the CIBIL credit score ranges from ____

✔ 300 to 900

6.Section 80 of the Indian Income Tax Act 1961 deals with deductions.

✔ True

For the purpose of identifying the property, whose help the buyer can take?

✔ Any of the above

The concept of time value of money implies that, Current cash inflows can be invested to earn a return
that increases future value.

✔ True

Mr. X has given general power of attorney to Mr. Y. It means that Mr. Y has the immediate right to ____

✔ Make decisions in all matters and take action on his behalf

Mr. X has given general power of attorney to Mr. Y. It means that Mr. Y has the immediate right to ____

✔ Make decisions in all matters and take action on his behalf

Under ERG theory, R stands for ____

✔ Relatedness

EMI Reset is applicable in case of borrowers who borrowed under a ____

What is the LTV ratio in case of individual housing loan of rupees 35 lakhs?

✔ 80%

Which of the following Acts, governs the contract of guarantee in case of a housing loan?

✔ Indian Contract Act

Prepayment charges collected by branches should be credited to interest A/C.

✔ True

Under the WDV method the depreciation is calculated on ____

✔ WDV

What will be the modified duration, if the duration of Bond yielding 5% is 2.5?

✔ 2.38

Which of the following organization, monitors the performance of Golden Jubilee Rural Housing Finance
scheme?

✔ National housing Bank (NHB)

Under section 24b of the Income Tax Act, interest upto Rs. ____ can be claimed as deduction for housing
loans taken on or after April 1st 1999.

✔ 1.25 lakh

Which of the following is generally not considered a Collateral security for the home loan?

✔ Shares and debentures

If the debt due to a bank is Rs. 25 lakhs, then how much fee it should pay DRT while applying for
recovery procedure?

✔ Rs. 27,000A forged signature is no mandate of the customer.

✔ True

In a joint account if one of the signatures is forged the bank and the customer are equally liable.

✔ No

What is the LC Issuing Bank also called?

Payment to be made in due course need not always be made to the holder but can be made to his agent
or servant

✔ No

The responsibility of a bank to pay back the money of the customer is specifically stated in the
Negotiable Instruments Act, 1881.

✔True

For which of the functions of the bank are KYC norms applicable?

✔ Opening new accounts

It is necessary for a bank to make inquiries regarding the reference given by the customer.

✔TrueIn the absence of a proper reference, a bank can be held liable on the grounds of negligence.

✔True

As per section 131-A of the Negotiable Instruments Act, the protection granted to a bank while paying
cheque has been made applicable to drafts also.

✔TrueInsurance contracts are not contracts of indemnity

✔False

An indemnity contract is

✔a contingent contract

What document is obtained from a customer who has lost a demand draft purchased by him, before
issuing a duplicate?

✔An indemnity bond / agreement

The Counter guarantee is given by the beneficiary

✔No

The validity period and the claim period of a bank guarantee fall on the same date.

✔FalseOn discounting a bill, does the bank become lawful holder of the bill?

✔
YesThe maker of the bill is called drawee.

✔No

The drawer of the bill is bound in case of dishonour of bill.

✔True

In a deferred payment guarantee, the guarantee is to ensure delivery of goods

✔No

At whose request, is the letter of credit opened?

✔Applicant'sLetters of credit are not negotiable instruments.

✔Yes

KYC is ____

✔An ongoing process

The process of money laundering is perpetrated by placement and layering.

TrueObjective of KYC guidelines issued by RBI is to control ___

✔All of the above

Is adopting anti money laundering practices compulsory for banks in India?

✔Yes

PEP in the context of PMLA stands for ____

✔Politically exposed persons

India is not a member of a FATF.

✔FalseFCRA means ____

✔ Foreign Contribution Regulation Act

Money laundering means conversion of illegal money into legitimate money.

✔True
Under KYC, accounts can

✔ Very high risknot be categorised as ____

Which of the following refers to the separation of illicit proceeds from their source by creating Complex
layers of financial transactions?

Layering

The branches of commercial banks should report suspicious transactions to ____

✔Banks respective authority

Strict adherence to KYC norms is achieved through ____

✔All of the above

STR in the context of PMLA stands for ____

✔Suspicious Transaction Reports

The term Hawala is an ____ word.

✔Arabic

Branches may open accounts for those customers who are not able to provide KYC documents,
provided, that total credits submission in all the accounts taken together is not expected to
exceed Rs. ____ in a year.

✔1 lakhWhich of the following document/s can be accepted by the banks as address proof of
customer identification?

✔Electricity bill

In case of societies, the important document to be verified is ____

✔Copy of Bye-Laws

Letter of thanks is sent to introducer(s) because it is assisting banks in verification of

✔TrueWhile opening an account in case of partnership firm one of the vital document to be
produced by the firm is ____
✔Partnership deed

Branches should not open deposit / advances accounts of banned / terrorist organisations as
circulated by ____

✔FIU

Demand deposit can be withdrawn on ____

✔drawer

What is the minimum deposit required to open a BSBD account?

✔No minimum deposit required

In recurring deposits,

✔All of the above

Smart cards use PINs rather than passwords. What does PIN stand for?

✔Personal Identification Number

What is the maximum period for which crop loans are given?

✔18 months

Principle functions of banks are:

q. All of the above

NPAs are critical for the health of a bank. What does NPA stand for?

✔Non performing asset

What name has been given to the business correspondent agent who facilitate bank and
banking related services, especially in unbanked areas of the country?

✔Bank Mitra

Which of the following type of deposits or higher interest rate?

✔Fixed Deposits

A micro Enterprise in manufacturing sector is one where the investment in plant and machinery
does not exceed Rs.____

✔25 lakhs

Which of the following is the tagline of Pradhan Mantri Jan-Dhan Yojana (PMJDY) ?

✔Mera Khata Bhagya Vidhata

Branches may not open accounts for those customers who are not able to provide KYC
documents provided KYC documents, provided, the total credits summation in all the accounts
taken together is not expected to exceed Rs. ____ in a year.

✔✔

All of the above1 LakhWorking capital credit facilities are intended to made the borrower's ____
credit requirements.

Short-termPradhan Mantri Jivan Jyoti Bima Yojana (PMJJBY), covers life insurance up to Rs.____

✔2 Lakhs

In Recurring Deposits, interest is not paid at FDR rate.

✔False

With which type of MSE businesses under Income Generation Purpose is the MUDRA scheme
applicable to?

✔ All of the above

SLBC is a forum at State level ensuring co-ordination between Government and Banks on
matters pertaining to banking development. What does SLBC stand for?

✔ State Level Banking Committee

A recurring deposit account requires the customer to deposit a fixed amount ____

✔ At specified intervals for a specified period

Overdraft facility of Rs.5,000/- in PMJDY Account is available to ____

✔ All of the above