fbpx

Q1. ___________ is an electronic fund transfer system that operates on a Deferred Net Settlement (DNS) basis which settles transactions in batches.
(a) NEFT
(b) RTGS
(c) NPCI
(d) BBPS
(e) IMPS

Q2. The Central Office of the Reserve Bank was initially established in Calcutta (now Kolkata) but was permanently moved to Mumbai in-
(a) 1949
(b) 1937
(c) 1943
(d) 1945
(e) 1934

Q3. The Reserve Bank of India (RBI) is vested with the responsibility of conducting monetary policy. This responsibility is explicitly mandated under which act?
(a) Companies Act, 1956
(b) Negotiable Instruments Act, 1881
(c) Reserve Bank of India Act, 1934
(d) Banking Regulation Act, 1949
(e) None of the given options is true

Q4. A facility under which scheduled commercial banks can borrow additional amount of overnight money from the Reserve Bank by dipping into their Statutory Liquidity Ratio (SLR). It is called?
(a) Repo Rate
(b) Reverse Repo Rate
(c) Bank Rate
(d) Marginal Standing Facility (MSF)
(e) Liquidity Adjustment Facility (LAF)

Q5. National Housing Bank (NHB) was set up on ______________ under the National Housing Bank Act, 1987.
(a) 01st July 1956
(b) 02nd October, 1976
(c) 01st January 1934
(d) 21st May 1956
(e) 09th July 1988

Q6. BCSBI was set up to ensure that the common person as a consumer of financial services from the banking Industry is in no way at a disadvantageous position and really gets what he/she has been promised. BCSBI stands for-?
(a) Branch Codes and Standards Board of India
(b) Banking Codes and Stability Board of India
(c) Banking Codes and Standards Bank of Industry
(d) Banking Codes and Society Board of Investment
(e) Banking Codes and Standards Board of India

Q7. When was the currency system in India converted into decimal system?
(a) April 01st 1959
(b) April 01st 1957
(c) April 01st 1955
(d) April 01st 1953
(e) April 01st 1951

Q8. Which of the following field Dalal Street in Mumbai is famous?
(a) NABARD
(b) Stock Exchange
(c) RBI
(d) SEBI
(e) Commerce and industry ministry

Q9. Deposits which can be withdrawn by a customer without notice is called?
(a) Time Deposits
(b) Demand Deposits
(c) Variable Deposits
(d) Low cost Deposits
(e) None of the given options is true

Q10. Which of the following is not e-banking software?
(a) ECS
(b) RTGS
(c) PIPS
(d) NEFT
(e) M-Banking

Q11. _________ account is opened by the investor while registering with an investment broker.
(a) Fixed Deposit Account
(b) Savings Bank Account
(c) Recurring Account
(d) Demat Account
(e) None of the given options is true

Q12. Which of the following bank launches India’s first Mobile ATM?
(a) HDFC Bank
(b) Axis Bank
(c) ICICI Bank
(d) SBI
(e) Bank of Baroda

Q13. World’s first Bitcoin ATM located in-
(a) US
(b) Brazil
(c) Canada
(d) UK
(e) Japan

Q14. _______ is a financial market in which share prices are rising or expected to rise.
(a) Bear Market
(b) Bull Market
(c) Pig Market
(d) High Market
(e) None of the given options is true

Q15. Who was known as the “Father of Modern Economics”?
(a) Amartya Sen
(b) Karl Marx
(c) Adam Smith
(d) George Loewenstein
(e) None of the given options is true

Q16. Which Act was framed specially to deal with Non Performing Assets (NPA)?
(a) Banking Regulation Act 1949
(b) Foreign Exchange Management Act(FEMA) 1999
(c) Industrial Disputes Act 1947
(d) SARFAESI Act, 2002
(e) None of the given options is true

Q17. In Notice Money Market,the tenor of the transactions is from ________
(a) 2-7 days
(b) 2-14 days
(c) 2-21 days
(d) 2-28 days
(e) 2-90 days

Q18. An Asset Reconstruction Company (ARC) in India is associated with-
(a) UCPDC
(b) DICGC
(c) NPA
(d) Home Loan
(e) None of the given options is true

Q19. Which of the following is mainly used by the banks in order to meet their temporary requirement of Cash on a daily basis?
(a) Commercial Paper
(b) Certificate of Deposit
(c) Collateralized Borrowing and Lending Obligations (CBLO)
(d) Call Money
(e) None of the given options is true

Q20. ___________ is a voluntary market body for the bond, money and derivatives markets.
(a) RBI
(b) SEBI
(c) IRDAI
(d) FIMMDA
(e) UIDAI

Q21. Who among the following regulates the Indian Corporate Debt Market?
(a) RBI
(b) NABARD
(c) SIDBI
(d) SEBI
(e) PFRDA

Q22. _______ is an integrated bill payment system which will offer inter operable bill payment service to customers online as well as through a network of agents on the ground.
(a) BBPS
(b) IMPS
(c) AEPS
(d) APBS
(e) None of the given options is true

Q23. To become BBPOUs, Banks and non-bank entities are mandatorily required to apply for approval/authorisation to Reserve Bank of India under ________
(a) Payment and Settlement Systems (PSS) Act 2007
(b) Foreign Exchange Management Act, 1999
(c) Banking Regulation Act, 1949
(d) SARFAESI Act, 2002
(e) None of the given options is true

Q24. Which of the following will function as the Bharat Bill Payment Central Unit (BBPCU), single authorized entity operating the BBPS?
(a) RBI
(b) NPCI
(c) GOI
(d) SEBI
(e) NABARD

Q25. As per the Reserve Bank of India, BBPS will initially accept utility bill payments such as-
(a) Telephone Bill
(b) Electricity Bill
(c) DTH services
(d) All of the Above
(e) None of the given options is true

Q26. NSDL is the first and largest depository in India, established in-

(a) August 2003
(b) August 1991
(c) August 1989
(d) August 1999
(e) August 1996

Q27. A Public Provident Fund (PPF) account holder can deposit a maximum of-
(a) 1.5 Lakhs
(b) 2.5 Lakhs
(c) 1.0 Lakh
(d) 3.5 Lakhs
(e) 5.0 Lakhs

Q28. Where is the headquarters of Paschim Banga Gramin Bank?
(a) Howrah, West Bengal
(b) Nagpur, Maharashtra
(c) Dumka, Jharkhand
(d) Bolangir, Odisha
(e) Bathinda, Punjab

Q29. National Securities Depository Limited is an Indian central securities depository based in _______
(a) New Delhi
(b) Chennai
(c) Hyderabad
(d) Mumbai
(e) Bengaluru

Q30. The Board of Industrial and Financial Reconstruction (BIFR) came into existence in-
(a) 1999
(b) 1995
(c) 1991
(d) 1987
(e) 1982

Q31. ___________ to provide guaranteed clearing and settlement functions for transactions in Money, G-Secs, Foreign Exchange and Derivative markets.
(a) NPCI
(b) SEBI
(c) GOI
(d) RBI
(e) CCIL

Q32. _________ will be authorised operational entities, adhering to the standards for facilitating bill payments online as well as through a network of agents, on the ground.
(a) BBPCU
(b) BBPOU
(c) Biller Payment
(d) Creditor
(e) Assets and Liabilities

Q33. ___________ a/an electronic trading platform, operated by the Reserve Bank of India, used to facilitate the exchange of government securities and other money market instruments.
(a) Delivery versus Payment (DvP)
(b) Negotiated Dealing System (NDS)
(c) Risk Mitigation
(d) Competition Commission of India (CCI)
(e) None of the given options is true

Q34. The Clearing Corporation of India Ltd. (CCIL) was set up in?
(a) December 2010
(b) February 1995
(c) September 2006
(d) April 2001
(e) March 1999

Q35. Which of the following is the mode of settlement of securities where in the transfer of securities and funds happen simultaneously?
(a) Delivery versus Payment (DvP)
(b) Negotiated Dealing System
(c) Clearing Corporation of India Ltd. (CCIL)
(d) All of the Above
(e) None of the given options is true

 

ANSWERS

 

  1. Ans.(a)
    Sol.National Electronics Funds Transfer (NEFT) is an electronic fund transfer system that operates on a Deferred Net Settlement (DNS) basis which settles transactions in batches.
  2. Ans.(b)
    Sol.The Reserve Bank of India was established on April 1, 1935 in accordance with the provisions of the Reserve Bank of India Act, 1934. The Central Office of the Reserve Bank was initially established in Calcutta but was permanently moved to Mumbai in 1937.
  3. Ans.(c)
    Sol.The Reserve Bank of India (RBI) is vested with the responsibility of conducting monetary policy. This responsibility is explicitly mandated under the Reserve Bank of India Act, 1934.
  4. Ans.(d)
    Sol.Marginal Standing Facility (MSF) is a facility under which scheduled commercial banks can borrow additional amount of overnight money from the Reserve Bank by dipping into their Statutory Liquidity Ratio (SLR).
  5. Ans.(e)
    Sol.The Hon’ble Prime Minister of India, while presenting the Union Budget for 1987-88 on February 28, 1987 announced the decision to establish the National Housing Bank (NHB) as an apex level institution for housing finance. NHB was set up on July 9, 1988 under the National Housing Bank Act, 1987.
  6. Ans.(e)
    Sol.In November 2003, Reserve Bank of India (RBI) constituted the Committee on Procedures and Performance Audit of Public Services under the Chairmanship of Shri S.S.Tarapore (former Deputy Governor) to address the issues relating to availability of adequate banking services to the common person. Therefore, the Committee recommended setting up of the Banking Codes and Standards Board of India (BCSBI). BCSBI was set up to ensure that the common person as a consumer of financial services from the banking Industry is in no way at a disadvantageous position and really gets what he/she has been promised.
  7. Ans.(b)
    Sol.The Indian currency system was converted into decimal system by Indian Coinage (Amendment) Act 1955 which brought into force from April 01st 1957.
  8. Ans.(b)
    Sol.The Bombay Stock Exchange (BSE) is located at Dalal Street.
  9. Ans.(b)
    Sol.A deposit of money that can be withdrawn without prior notice is known as Demand Deposits, Ex:- in a current account.
  10. Ans.(c)
    Sol.ECS – Electronic Clearing Service.
    RTGS – Real Time Gross Settlement.
    NEFT- National Electronics Funds Transfer System.
    Mobile banking is a service provided by a bank or other financial institution that allows its customers to conduct financial transactions remotely using a mobile.
    PIPS is not an e-banking software.
  11. Ans.(d)
    Sol.DEMAT or De-materialized Account refers to a deposit made at an Indian financial institution that can be used for investing in shares of stocks and other financial assets.Securities are held electronically in a DEMAT Account, thereby eliminating the need for physical paper certificates.
  12. Ans.(c)
    Sol.India’s largest private sector bank, ICICI launched the “ATM on Wheels” country first Mobile ATM, in Mumbai. It was connected to the bank through the GPRS technology.
  13. Ans.(c)
    Sol.The world’s first-ever Bitcoin ATM opened in Vancouver, Canada. It enables Bitcoin owners to exchange the digital currency for cash, and vice versa. Bitcoin is a digital currency also called crypto-currency that is not backed by any country’s central bank or government. Bitcoins can be traded for goods or services with vendors who accept Bitcoins as payment.
  14. Ans.(b)
    Sol.A bull market is a financial market of a group of securities in which prices are rising or are expected to rise. It means the economy is growing. The term “bull market” is most often used to refer to the stock market, but can be applied to anything that is traded, such as bonds, currencies and commodities.
  15. Ans.(c)
    Sol.Adam Smith was an 18th-century philosopher renowned as the father of modern economics, and a major proponent of laissez-faire economic policies

 

  1. Ans.(d)
    Sol.SARFAESI Act (The Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002) was enacted to regulate securitization and reconstruction of financial assets and enforcement of security interest created in respect of Financial Assets to enable realization of such assets.
  2. Ans.(b)
    Sol.In money market, the amount that is lent for one day is known as “call money” and, if it exceeds one day or two days to 14 days is referred to as “notice money.”
  3. Ans.(c)
    Sol.Asset Reconstruction Company (ARC) also known as Securitization company in India helps to unlock the value of non-performing assets (NPA) in banks through Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act 2002.ARC is regulated by RBI as a Non Banking Financial Company (NBFC).
  4. Ans.(d)
    Sol.Call money market is a market for uncollateralized lending and borrowing of funds. This market is predominantly overnight and is open for participation only to scheduled commercial banks and the primary dealers.
  5. Ans.(d)
    Sol.The Fixed Income Money Market and Derivatives Association of India (FIMMDA), an association of Scheduled Commercial Banks, Public Financial Institutions, Primary Dealers and Insurance Companies was incorporated as a Company under section 25 of the Companies Act,1956 on June 3rd, 1998. FIMMDA is a voluntary market body for the bond, money and derivatives markets.
  6. Ans.(d)
    Sol.Regulator for the Indian Corporate Debt Market is the Securities and Exchange Board of India (SEBI). SEBI controls bond market and corporate debt market in cases where entities raise money from public through public issues.
  7. Ans.(a)
    Sol.The Bharat Bill Payment System (BBPS) is a RBI mandated system which will offer integrated and interoperable bill payment services to customers across geographies with certainty, reliability and safety of transactions.
  8. Ans.(a)
    Sol.To become BBPOUs, Banks and non-bank entities are mandatorily required to apply for approval / authorisation to Reserve Bank of India under Payment and Settlement Systems (PSS) Act 2007. Bharat Bill Payment Operating Units (BBPOUs) will be the authorised operational units.
  9. Ans.(b)
    Sol.National Payments Corporation of India (NPCI) will function as the authorized Bharat Bill Payment Central Unit (BBPCU), which will be responsible for setting business standards, rules and procedures for technical and business requirements for all the participants. NPCI, as the BBPCU, will also undertake clearing and settlement activities
    related to transactions routed through BBPS.
  10. Ans.(d)
    Sol.As per the Reserve Bank of India, BBPS will initially accept utility bill payments such as electricity, water, gas, telephone and direct-to-home services and will later include other repetitive payments including school and university fees and municipal taxes.
  11. Ans.(e)
    Sol.NSDL, the first and largest depository in India, established in August 1996 and promoted by institutions of national stature responsible for economic development of the country has since established a national infrastructure of international standards that handles most of the securities held and settled in dematerialised form in the Indian capital market.
  12. Ans.(a)
    Sol.A Public Provident Fund (PPF) account holder can deposit a maximum of Rs 1.5 lakhs in his/her PPF account.
  13. Ans.(a)
    Sol.The headquarters of Paschim Banga Gramin Bank is Howrah, West Bengal.
  14. Ans.(d)
    Sol.National Securities Depository Limited is an Indian central securities depository based in Mumbai.
  15. Ans.(d)
    Sol.The Board of experts named the Board for Industrial and Financial Reconstruction (BIFR) was set up in January, 1987 and functional with effect from 15th May 1987. The Appellate Authority for Industrial and Financial Reconstruction (AAIRFR) was constituted in April 1987.
  16. Ans.(e)
    Sol.The Clearing Corporation of India Ltd. (CCIL) was set up in April, 2001 to provide guaranteed clearing and settlement functions for transactions in Money, G-Secs, Foreign Exchange and Derivative markets. The introduction of guaranteed clearing and settlement led to significant improvement in the market efficiency, transparency, liquidity and risk management/measurement practices in these market along with added benefits like reduced settlement and operational risk, savings on settlement costs, etc.
  17. Ans.(b)
    Sol.Bharat Bill Payment Operating Units (BBPOUs) will be authorised operational entities, adhering to the standards set by the BBPCU for facilitating bill payments online as well as through a network of agents, on the ground.
  18. Ans.(b)
    Sol.Till 2002, the Government securities market was mainly a telephone market. Buyers and sellers traded over telephone and submitted physical Subsidiary General Ledger (SGL) transfer forms for transfer of the Government securities and cheques for settlement of the funds to the Reserve Bank of India. These manual operations were inefficient and often resulted in delays. In order to improve efficiency in the market, the Reserve Bank of India took steps to automate the process of trading and settlement of Government securities transactions and the Negotiated Dealing System (NDS) was introduced in February 2002.
  19. Ans.(d)
    Sol.The Clearing Corporation of India Ltd. (CCIL) was set up in April, 2001 to provide guaranteed clearing and settlement functions for transactions in Money, G-Secs, Foreign Exchange and Derivative markets.
  20. Ans.(a)
    Sol.Delivery versus Payment (DvP) is the mode of settlement of securities where in the transfer of securities and funds happen simultaneously. This ensures that unless the funds are paid, the securities are not delivered and vice versa. DvP settlement eliminates the settlement risk in transactions.

 

Online Bank Coaching

GET A HIGHLY PAID BANK JOB IN FEW MONTHS

DIAL NOW : +91-7025001100