What does SWIFT code in banking stand for?
A Society for Worldwide Interbank Financial Telecommunications B System for Web-based International Fund Transfer C Secure Wireless International Transaction Format D Standard Worldwide International Fund Transfer
SWIFT is a global standard for secure international fund transfers and messaging between banks worldwide.
Which RBI initiative aims to provide a framework for facilitating cross-border payments in rupees?
A International Monetary Fund B Rupee Trade Corridor C Global Financial System D Internationalization of the Rupee
RBI has been promoting the internationalization of the rupee to facilitate cross-border payments and reduce dependence on foreign currencies.
A customer's bank account becomes inoperative if no transaction occurs for how long?
A 6 months B 12 months C 24 months D 36 months
As per RBI guidelines, a savings or current account becomes 'inoperative' if there is no transaction for 12 consecutive months.
Which of the following correctly defines 'Bancassurance'?
A Insurance provided by banks to their employees only B Distribution of insurance products through bank branches and channels C Life insurance exclusively for senior bank officials D Insurance against bank fraud and cyber attacks
Bancassurance is the delivery and distribution of insurance products through banking channels to customers.
Which of the following is a negotiable instrument used in banking?
A Bearer Bond B Promissory Note C Stock Certificate D Insurance Policy
A Promissory Note is a negotiable instrument that represents a written promise to pay a specified sum to a creditor.
What does KYC stand for in banking terminology?
A Know Your Client B Keep Your Capital C Key Yearly Calculation D Knowledge Yield Certificate
KYC (Know Your Client) is a mandatory compliance process to verify customer identity and assess their financial profile.
What is the current statutory liquidity ratio (SLR) requirement set by RBI for banks?
A 15% B 18% C 20% D 25%
As per RBI guidelines, banks must maintain a minimum SLR of 18% of their net demand and time liabilities.
Which RBI framework regulates digital lending operations in India?
A Digital Banking Directive 2020 B Guidelines on Digital Lending Operations 2023 C E-Lending Authorization Act D Cyber Banking Regulation 2022
RBI issued Guidelines on Digital Lending Operations in 2023 to regulate fintech lending platforms and digital lenders.
What is the minimum Capital Adequacy Ratio (CAR) required for Scheduled Commercial Banks under Basel III framework?
A 8% B 10% C 11.5% D 15%
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.
Which scheme provides crop insurance coverage to farmers in India?
A Pradhan Mantri Fasal Bima Yojana B Pradhan Mantri Kisan Samman Nidhi C Pradhan Mantri Mudra Yojana D Pradhan Mantri Suraksha Bima Yojana
Pradhan Mantri Fasal Bima Yojana (PMFBY) provides crop insurance protection to farmers against crop failure due to natural calamities.
What is the full form of NPA in banking context?
A Non-Performing Asset B Non-Profit Association C National Payment Authority D Non-Public Asset
NPA (Non-Performing Asset) refers to a loan or advance where interest and principal payments are overdue for 90 days or more.
Which payment system allows instant transfer of funds between bank accounts?
A NEFT (National Electronic Funds Transfer) B RTGS (Real Time Gross Settlement) C Cheque Clearing D DD (Demand Draft)
RTGS enables real-time settlement of fund transfers, typically for high-value transactions above Rs. 2 lakhs.
What is the primary function of the Clearing Corporation of India Limited (CCIL)?
A To regulate stock market operations B To act as central counterparty for trades in money market and government securities C To issue currency notes D To manage foreign exchange reserves
CCIL acts as a central counterparty (CCP) for trades in money markets and government securities, reducing counterparty risk.
Which RBI scheme targets financial inclusion through digital channels?
A RBI Digital Transformation Program B Fintech Innovation Hub C BHIM AEPS (Aadhaar Enabled Payment System) D Digital Banking Accelerator
BHIM AEPS enables cardless, cashless transactions using Aadhaar biometrics, promoting financial inclusion in rural areas.
What is the current Cash Reserve Ratio (CRR) as per RBI's latest monetary policy stance (2024)?
A 4.0% B 4.5% C 5.0% D 5.5%
The CRR is maintained at 4.5% of banks' Net Demand and Time Liabilities (NDTL) as per recent RBI policy guidelines.
What does CIBIL score measure in the Indian banking system?
A Credit Worthiness of an Individual B Capital Investment Balance C Compliance Index for Banks D Currency Inflation Balance Index
CIBIL (Credit Information Bureau India Limited) score measures individual and corporate creditworthiness based on credit history.
Which Indian banks were recently merged under the Bank Consolidation Scheme?
A PNB, OBC, and United Bank merged into PNB B Dena Bank and Vijaya Bank merged into Bank of Baroda C Both A and B D Only SBI entities merged
India undertook significant bank consolidation in 2019: Dena and Vijaya banks merged into BoB; PNB merged with OBC and UBI.
What is the primary purpose of the Integrated Ombudsman Scheme 2021?
A To regulate banking interest rates B To redress customer grievances related to banking services and RBI operations C To promote digital banking adoption D To manage bank mergers and acquisitions
The Integrated Ombudsman Scheme 2021 provides a mechanism for customers to file complaints and seek redressal against banking services.
Under which regulation must banks maintain a minimum Tier 1 capital ratio?
A Banking Regulation Act 1949 B Basel III Framework C Reserve Bank of India Act 1934 D Foreign Exchange Management Act 1999
Basel III framework mandates minimum Tier 1 capital ratio of 8.5% for banks' regulatory compliance.
What is the significance of ISIN in securities market operations?
A It identifies individual securities globally B It determines stock market index values C It regulates currency exchange rates D It measures banking sector profitability
ISIN (International Securities Identification Number) uniquely identifies individual securities across global markets.
