What is the maximum tenure for a fixed deposit in Indian banks?
Answer: D
Indian banks can accept fixed deposits for any tenure as per the individual bank's policies, with no regulatory upper limit.
Q.162Medium
Which of the following is NOT a part of RBI's monetary policy transmission mechanism?
Answer: D
GST is a fiscal policy tool controlled by the GST Council, not a monetary policy tool of RBI. Repo, Reverse Repo, and SLR are RBI instruments.
Q.163Medium
What is the current repo rate as per RBI's latest monetary policy (2024)?
Answer: B
As of 2024, RBI's repo rate is maintained at 6.5% as per the latest monetary policy decision by the Monetary Policy Committee.
Q.164Medium
What does SWIFT code in banking stand for?
Answer: A
SWIFT is a global standard for secure international fund transfers and messaging between banks worldwide.
Q.165Medium
A customer's bank account becomes inoperative if no transaction occurs for how long?
Answer: B
As per RBI guidelines, a savings or current account becomes 'inoperative' if there is no transaction for 12 consecutive months.
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Q.166Medium
Which of the following correctly defines 'Bancassurance'?
Answer: B
Bancassurance is the delivery and distribution of insurance products through banking channels to customers.
Q.167Medium
What is the current statutory liquidity ratio (SLR) requirement set by RBI for banks?
Answer: B
As per RBI guidelines, banks must maintain a minimum SLR of 18% of their net demand and time liabilities.
Q.168Medium
Which RBI framework regulates digital lending operations in India?
Answer: B
RBI issued Guidelines on Digital Lending Operations in 2023 to regulate fintech lending platforms and digital lenders.
Q.169Medium
What is the minimum Capital Adequacy Ratio (CAR) required for Scheduled Commercial Banks under Basel III framework?
Answer: C
Under Basel III, the minimum CAR for Scheduled Commercial Banks is 11.5%, comprising 9.5% for common equity and 1% for additional tier-1 capital.
Q.170Medium
Which payment system allows instant transfer of funds between bank accounts?
Answer: B
RTGS enables real-time settlement of fund transfers, typically for high-value transactions above Rs. 2 lakhs.
Q.171Medium
What is the primary function of the Clearing Corporation of India Limited (CCIL)?
Answer: B
CCIL acts as a central counterparty (CCP) for trades in money markets and government securities, reducing counterparty risk.
Q.172Medium
Which RBI scheme targets financial inclusion through digital channels?
Answer: C
BHIM AEPS enables cardless, cashless transactions using Aadhaar biometrics, promoting financial inclusion in rural areas.
Q.173Medium
What is the current Cash Reserve Ratio (CRR) as per RBI's latest monetary policy stance (2024)?
Answer: B
The CRR is maintained at 4.5% of banks' Net Demand and Time Liabilities (NDTL) as per recent RBI policy guidelines.
Q.174Medium
Which Indian banks were recently merged under the Bank Consolidation Scheme?
Answer: C
India undertook significant bank consolidation in 2019: Dena and Vijaya banks merged into BoB; PNB merged with OBC and UBI.
Q.175Medium
What is the primary purpose of the Integrated Ombudsman Scheme 2021?
Answer: B
The Integrated Ombudsman Scheme 2021 provides a mechanism for customers to file complaints and seek redressal against banking services.
Q.176Medium
What does the Basel III framework primarily focus on?
Answer: B
Basel III is an international regulatory framework that aims to strengthen bank capital adequacy, stress testing, and market liquidity risk. It was developed post-2008 financial crisis to prevent systemic risks.
Q.177Medium
Under the RBI's regulatory framework, what is the minimum Statutory Liquidity Ratio (SLR) that banks must maintain?
Answer: B
As per RBI guidelines (2024-2025), the statutory minimum SLR is 18% of net demand and time liabilities. This ensures banks maintain sufficient liquid assets.
Q.178Medium
Which of the following best describes a 'repo transaction' in banking?
Answer: A
A repo (repurchase agreement) is a short-term borrowing instrument where a seller sells securities with an agreement to repurchase them at a higher price. It's a key liquidity management tool for banks.
Q.179Medium
Which RBI initiative aims to facilitate real-time, 724 interbank fund transfers?
Answer: C
UPI allows real-time, 724 peer-to-peer and peer-to-merchant fund transfers. While RTGS is real-time for bulk transfers and NEFT/IMPS have specific timings, UPI provides true round-the-clock service.
Q.180Medium
What is the primary feature of a 'Floating Rate Savings Account' offered by banks?
Answer: B
Floating rate accounts have interest rates that fluctuate based on changes in the RBI's benchmark rates or market conditions, unlike fixed-rate accounts where the rate remains constant.
