Banking Awareness Questions For NICL AO Mains Exam 2017

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Banking-Awareness-Questions-Fo- NICL-AO Main- Exam-2017

Just a few days are left for NICL AO Exam. It is time to pace up your preparation of Banking Awareness for NICL AO Mains Exam. These Banking questions will also help you in preparing for other upcoming banking recruitment examination.

Q1. Which Bank has launched 10-second paperless instant loan Scheme?
(a) HDFC
(b) SBI
(c) PNB
(d) IDBI

S1. Ans.(a)
Sol. HDFC Bank, India’s second-largest private sector lender has launched a 10-second paperless instant loan Scheme for its existing customers. The 10-second Loan Scheme was launched as part of HDFC Bank’s digital banking platform GoDigital. With this, HDFC Bank became first banking institution to completely automate the entire process of loan approval and disbursement.

Q2. Which among the following organisation to provide Rs 30,000 crore credit to farmers for irrigation?
(b) RBI
(c) SBI
(d) PNB

S2. Ans.(a)
Sol. State-run National Bank for Agriculture and Rural Development (NABARD) has set a target of providing 30,000 crore rupees as the credit to farmers for the irrigational purpose. It was announced by Bank’s Chairman and Managing Director Dr Harsh Kumar Bhanwala in Mumbai on the occasion of 34th Foundation Day of NABARD.

Q3. Which of the following bodies regulates the Regional Rural Banks?
(a) Union Government
(b) SBI
(c) RBI

S3. Ans.(d)
Sol. RRBs are regulated by NABARD. Other banks are regulated by RBI directly.

Q4. Which among the following banks has launched the First Multi-Currency Contactless Card service in India?
(a) HDFC Bank
(b) Axis Bank
(c) State Bank of India
(d) Punjab National Bank
(e) ICICI Bank

S4. Ans.(b)
Sol. India’s third largest private sector lender, Axis Bank has launched the first Contactless Debit, Credit and Multi-Currency Forex Card in association with VISA payWave in the country. Axis Bank will offer a contactless debit/credit cards to its 1.7 million premium customers which also enables withdrawal of 15 currencies via Multi-Currency Forex facility. To facilitate contactless cards operations bank will upgrade 50,000, of its point of sale (PoS) machines across the country.

Q5. Name the organisation, which has allows Banks to tie up with insurers?
(a) IRDA
(b) RBI
(c) SBI
(d) World Bank
(e) SEBI

S5. Ans.(a)
Sol. The Insurance Regulatory and Development Authority of India (IRDA) has allowed banks to tie up with insurers. This decision was taken as part of the IRDAI’s new Bancassurance model guidelines which will be notified soon. Prior to this decision, banks were not allowed to have insurance agency tie-ups with more than one insurer. As per new decision banks can tie up with nine insurers from three segments viz. life, non–life and standalone health. It will not be binding on banks and they are free to take their call. Earlier, IRDA had constituted a 7 member committee to study the reviewing of the existing architecture of the Bancassurance model.

Q6. Which among the following Banks has launched ‘Saral-Rural Housing Loan’ Scheme for weaker sections?
(a) ICICI Bank
(b) SBI
(c) PNB
(d) Syndicate Bank
(e) Axis Bank

S6. Ans.(a)
Sol. India’s largest private sector lender Industrial Credit and Investment Corporation of India (ICICI) Bank has launched ‘ICICI Bank Saral-Rural Housing Loan’ Scheme for weaker sections of society. The scheme is new home loan proposition of the bank with the special interest rate to cater people from rural areas including women borrowers as well as from weaker sections.

Q7. Which of the following public sector bank emblem figures a dog and the words ‘faithful, friendly’ in it?
(a) Punjab National Bank
(b) Oriental Bank of Commerce
(c) Syndicate Bank
(d) State Bank of India
(e) Indian Overseas Bank

S7. Ans.(c)
Sol. Syndicate Bank emblem figures a dog and the words ‘faithful, friendly’ in it.

Q8. If the Cash Reserve Ratio (CRR) is lowered by the RBI, its impact on credit creation will be-
(a) Increases
(b) Decreases
(c) No impact
(d) All of the above
(e) None of the given options is true

S8. Ans.(a)
Sol. The Cash Reserve means, RBI informs the banks to maintain particular cash as the reserve. So if the reserve ratio is lower then the bank can utilise those cash for credit purpose.

Q9. Which one of the following is a private bank?
(a) Allahabad Bank
(b) Punjab and Sind Bank
(c) Punjab National Bank
(d) South Indian Bank
(e) Bank of Baroda

S9. Ans.(d)
Sol. South Indian Bank Limited is a major private sector bank headquartered at Thrissur in Kerala.

Q10. PAN card issued by the income tax department cannot be used for which of the following purpose?
(a) Proof of identity
(b) Proof of a registered tax payer
(c) Proof of address
(d) Proof of date of birth
(e) None of the given options is true

S10. Ans.(c)
Sol. Permanent Account Number (PAN) is a ten-digit alphanumeric number, issued in the form of a laminated card, by the Income Tax Department, to any “person” who applies for it or to whom the department allots the number without an application.

Q11. Which among the following sectors contributes most to the saving in India?
(a) Banking and financial sector
(b) Private corporate sector
(c) Export sector
(d) Household sector
(e) None of the given options is true

S11. Ans.(d)

Sol. Household contributes most to the saving in India.

Q12. The EXIM Bank of India was established in-
(a) 1964
(b) 1970
(c) 1982
(d) 1984
(e) 1992

S12. Ans.(c)
Sol. Established by the Government of India, EXIM Bank has commenced operations in 1982 under the Export-Import Bank of India Act, 1981 as a purveyor of export credit, mirroring global Export Credit Agencies.

Q13. In banking terminology, NPA means-
(a) Non-Promise Account
(b) Non-Personal Account
(c) Non-Performing Asset
(d) Net-performing Asset
(e) Non-Performing Agency

S13. Ans.(c)
Sol. NPA stands for Non-Performing Asset.

Q14. Which of the following schemes has been launched for providing health services in rural areas?
(a) Operation Flood
(b) Look East
(d) ASHA

S14. Ans.(d)
Sol. The ASHA or the Accredited Social Health Activist. ASHA will be the first port of call for any health related demands to access health services. ASHA will be a health activist in the community who will create awareness on health and its social determinants and mobilise the community towards local health planning and increased utilisation and accountability of the existing health services in Rural areas.

Q15. Which of the following is NOT a banking related term?
(a) Radiation
(b) Outstanding Amount
(c) Explicit Guarantee
(d) Benchmark Prime Lending Rate
(e) None of the given options is true

S15. Ans.(a)
Sol. In physics, radiation is the emission or transmission of energy in the form of waves or particles through space or through a material medium.

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