BANKING AWARENESS SET 5

Banking Awareness is the important section in IBPS PO and Clerk examination. To score good marks in this section, all you need is to be aware of the banking concepts and functionalities. Here we will try to provide you with banking awareness practice sets:

1. Which of the following is introduced by banks to increase financial inclusion?
A. Business Correspondent
B. Stimulus Package
C. Internet Banking
D. None of these

2. “Sub prime lending” is a term applied to the loans made to-
A. those borrowers who are most preferred customers of the bank.
B. those borrowers who have got a good credit history and are known to bank since 10 years.
C. those borrowers who do not have a good credit history.
D. those who wish to take loan against the mortgage of tangible assets.

3. Expand the term ALB as used is Banking/Financial Sector?
A. Asset Liability Manpower
B. Asset Liability Management
C. Asset Liability Maturity
D. Asset Liability Mismatch

4. Which of the following organisation / agency is specifically set up to boost overall rural development in India?
A. SEBI
B. SIDBI
C. EXIM
D. NABARD

5. For using safe deposit locker facilities, bank customers pay
A. exchange on locker
B. commission on locker
C. rent on locker
D. safe custody charges

6. A Savings Banks Account opened with a commercial bank with zero balance or very minimal balance is known as:
A. No frill account
B. Current Account
C. Savings Banks-ordinary Account
D. Student Savings Bank Account

7.  What does R denote in the Abbreviation ‘BR Act’ which controls banking activities in the country?
A. Reformation
B. Ranking
C. Reporting
D. Regulation

8. Which of the following cannot be called as Value Added Services offered by a bank?
A. Free Cheque Books
B. Special Accounts for poor sections of Society
C. Accident Insurance Cover
D. None of these

9. Which of the following banks was not nationalized in 1969?
A. Punjab National Bank
B. Bank of Baroda
C. Bank of Maharashtra
D. State Bank of India

10. Primary Dealers(PDs) deals in_____ both primary and secondary markets.
A. Government Securities
B. Debentures
C. Corporate Bonds
D. Equities

11. Cash Reserve Ration is maintained in the form of:
A. Government Securities
B. Balance with State Bank of India
C. Balance With Reserve Bank of India
D. None of these

12. Loans of very small amounts given to low income groups is called
A. No frills loans
B. Micro Credit
C. Cash Credit
D. Simple Overdraft

13. Preshipment packing credit advances are generally given by banks to-
A. Exporters
B. Professionals
C. Retail Traders
D. Farmers

14. Among the following which one is not a regulator?
A. RBI
B. SEBI
C. LMDI
D. IRDA

15. Central Monitory Authority of India is:
A. Reserve Bank of India
B. Planning Commission
C. Central Bank of India
D. None of these

16. Which of the following instruments cannot be transferred from one person to another by Endorsement?
A. Cheque
B. Fixed Deposit
C. Promissory Notes
D. Bill of Exchange

17. A loan granted for short term crops will be treated as NPA , if the installment of principal or interest thereon or both remain overdue for__ crop seasons.
A. 3
B. 4
C. 2
D. 1

18. Banking sector will be fall under which of the following sector?
A. Service sector
B. Agricultural Sector
C. Industrial Sector
D. None of these

19. Which of the following is an international Credit Rating Agency ?
A. UNCTAD
B. UNDP
C. BNP Paribas
D. Standard & Poor’s

20. Which of the following organizations provide credit history of the borrowers?
A. ARCIL
B. RBI
C. CIBIL
D. SEBI