Retail Banking Multiple
Choice Questions
(MCQs) for Bank Promotion Exams
1.Loans to individuals
for educational purposes, including vocational courses, with a maximum limit of
___________will be considered as eligible for priority sector classification.
A. Rs. 10 lakhs.
B. Rs. 20 lakhs.
C. Rs. 7.5 lakhs for
studies in India and Rs. 20 lakhs for studies abroad.
D. Rs. 10 lakhs for
studies in India and Rs. 20 lakhs for studies abroad.
The correct answer is Option
B. Rs. 20 lakhs.
2. What is the maximum
cap on Housing loans sanctioned by the banks is eligible for classification
under priority sector advances?
A. Rs.35 lakh in
metropolitan centres and up to Rs.25 lakh in other centres provided overall
cost of the dwelling unit should not exceed Rs. 45 lakh in metros and Rs. 30
lakh in other centers.
B. Rs. 40 lakh in
metropolitan centres and up to Rs. 30 lakh in other centres irrespective of
cost of dwelling unit.
C. Rs. 35 lakh in
metropolitan centres and up to Rs. 25 lakh in other centres provided overall
cost of the dwelling unit should not exceed Rs. 50 lakh.
D. None of these.
The correct answer is Option
A. Rs.35 lakh in metropolitan centres and up to Rs.25 lakh in other centres
provided overall cost of the dwelling unit should not exceed Rs. 45 lakh in
metros and Rs. 30 lakh in other centers.
3. Bank loans to HFCs
(approved by NHB for their refinance) for on-lending, up to ________for
individual borrowers is eligible to get classified as Priority sector advances.
A. Rs. 10 lakh.
B. Rs. 20 lakh.
C. Rs. 20 lakh in urban
areas and Rs. 10 lakh in rural areas.
D. Rs. 15 lakh in urban
areas and Rs. 10 lakh in rural areas.
The correct answer is Option
B. Rs. 20 lakh.
4. Which of the
following statement with respect to housing loan is incorrect?
A. A bank can sanction
a Housing Loan for a maximum period of 30 years.
B. Maximum LTV which
can be considered for housing loans is 80%.
C. Maximum Loan Tenure
which can be considered for housing loans under Pradhan Mantri Awas Yojana
(PMAY –Urban) Scheme is 20 years.
D. Loans up to Rs.10
lakh in metropolitan centres and up to Rs.6 lakh in other centres for repairs
to damaged dwelling units conforming to the overall cost of the dwelling unit
will be eligible for Priority Sector advances.
The correct answer is Option
B. Maximum LTV which can be considered for housing loans is 80%.
5. A Bank proposes to
sanction a Housing Loan of Rs. 100 lakhs. The minimum margin on security it can
consider is?
A. 10%.
B. 15%.
C. 20%.
D. 25%.
The correct answer is Option
D. 25%.
A.
Rs. 1 crore.
B.
Rs. 50 lakhs.
C.
Rs. 10 crore.
D.
Rs. 2 crore.
The
correct answer is Option D. Rs. 2 crore.
One liner Questions and Answers for Bank Promotion Exams (Set 4)
7. For reverse mortgage
loans the age of the applicant should be above?
A. 50 years.
B. 55 years.
C. 60 years.
D. 65 years.
The correct answer is Option
C. 60 years.
8. A House hold which
is considered as Mid Income Group – I (MIG-I), the annual income of the house
hold is in the range of?
A. Upto Rs. 3 lakh
B. Rs. 3 lakh to Rs. 6
lakh.
C. Rs. More than 6 lakh
to 12 lakh.
D. Rs. More than 6 lakh
to 10 lakh.
The correct answer is Option
C. Rs. More than 6 lakh to 12 lakh.
9. What is the minimum
and Maximum Housing Loan a customer can apply through psbloansin59minutes.com?
A. Minimum Rs. 10 lakh
& Maximum No limits.
B. Minimum no limit
& Maximum Rs. 5 crore.
C. Minimum no limit
& Maximum Rs. 10 crore.
D. Minimum Rs. 2 lakh
& Maximum Rs. 10 crore.
The correct answer is Option
C. Minimum no limit & Maximum Rs. 10 crore.
10. What is the
applicable Standard Asset Provisioning Required on Housing Loans?
A. 0.50%.
B. 0.25%.
C. 0.25% for loans upto
Rs. 75 Lakhs and 0.40% for Loans above Rs. 75 lakhs.
D. 0.25% for loans upto
Rs. 30 Lakhs and 0.40% for Loans above Rs. 30 lakhs.
The correct answer is Option
B. 0.25%.
11. As per THE REAL ESTATE (REGULATION AND
DEVELOPMENT) ACT, 2016, a builder or developer needs to register the project
with Real Estate Regulatory Authority (RERA), if ______?
A. Number of apartments
is more than 8 or the total area developed is more than 500 square meters.
B. Number of apartments
is more than 10 or the total area developed is more than 500 square meters.
C. Number of apartments
is more than 8 or the total area developed is more than 600 square meters.
D. Number of apartments
is more than 15 or the total area developed is more than 500 square meters.
The correct answer is Option
A. Number of apartments is more than 8 or the total area developed is more than
500 square meters.
12. The exposures included
in the regulatory retail portfolio of banks are assigned a risk weight of 75
per cent. (Other than those which are Non-Performing Assets). As per RBI
guidelines, maximum aggregated retail exposure to one counterparty should not
exceed the absolute threshold limit of Rs.5 crore to avail this benefit. The
limit has been increased to?
A. Rs. 10 crore.
B. Not increased and it
remains the same.
C. Rs. 7.5 crore.
D. Rs. 12.5 crore.
The correct answer is Option
C. Rs. 7.5 crore.
13. As per the latest
amendment made to SARFAESI Act 2002, banks to register particulars of
transactions of securitisation, reconstruction and creation of security
interest with the Central Registry of Securitisation Asset Reconstruction and
Security Interest (“CERSAI”) within a maximum period of?
A. 90 days.
B. 30 days.
C. 60 days.
D. No such limit.
The correct answer is Option
D. No such limit.
14.Vidya Lakshmi is a
first of its kind portal for students seeking Education Loan. The portal has
been developed and being maintained by?
A. SIDBI.
B. NSDL e-Governance
Infrastructure Limited.
C. Indian Banks
Association (IBA).
D. National Council of
Educational Research and Training (NCERT).
The correct answer is Option
B. NSDL e-Governance Infrastructure Limited.
Previous Years Recalled Questions for Bank Promotion Exams (Set 3)
15. Under Vidya Lakshmi
portal, a student can apply to a maximum of ______banks using Common
Educational Loan Application Form (CELAF)?
A. 3.
B. 2.
C. 4.
D. 1.
The correct answer is Option
A. 3.
16. As per Credit
Guarantee Fund Scheme for Education Loans managed by NCGTC, which of the
following statement is not appropriate?
A. The Guarantee
available is for an amount of Loan sanctioned upto Rs. 7,50,000.
B. Guarantee cover can
be obtained on the Outstanding Loan Amount i.e. guarantee can be obtained only
after full or partial disbursement of the loan.
C. Interest charged to
borrower by MLI should not be more than 2% over the Base Rate/ MCLR.
D. No Collateral
security should be attached with the Loan. However, third party guarantee can
be available.
The correct answer is Option
D. No Collateral security should be attached with the Loan. However, third
party guarantee can be available.
17. As per IBAs Model
Education Loan Scheme, education loan portfolio is classified into three
categories. Which of the following is not an applicable category?
A. Loans to students
admitted to top rated institutions.
B. Loans to students
admitted to other domestic institutions
C. Loans to students
seeking studies abroad.
D. Loans to students
seeking studies in professional education.
The correct answer is Option
D. Loans to students seeking studies in professional education.
18. As per IBAs Model Education
Loan Scheme, what is the minimum margin the banks can insist for sanctioning
Education loans above Rs. 7.5 Lakhs for a student to study in India and study
abroad?
A. 5% for studies in
India and 15% for studies abroad.
B. 5% for studies in
India and 10 % for studies abroad.
C. Nil.
D. At the Discretion of
the Bank.
The correct answer is Option
D. At the Discretion of the Bank.
19. Faster Adoption and
Manufacturing of Hybrid and Electric vehicle (FAME) scheme has been extended
till March 31, 2024. The scheme,
started in 2019 for promoting sales of electric vehicles. This scheme is
administered by?
A. Ministry of Heavy
Industries.
B. Ministry of Road
Transport & Highways.
C. Ministry of
Environment.
D. Ministry of Housing
& Urban affairs.
The correct answer is Option
A. Ministry of Heavy Industries.
20. Vahan 4.0 is the
centralized data management system and provides Vehicles Data of different
states under one portal. Which of the following data on registered vehicles,
can be viewed under the portal?
A. Registration
Details.
B. Chassis and Engine
Details.
C. Fitness Validity.
D. Insurance Details of
Vehicle.
E. All the above.
The correct answer is Option
E. All the above.
