SAMPLE QUESTIONS & ANSWERS

A
B

S.No.

QUESTIONS Set 1A

Public Sector Bank is one where

the stake of the Govt. is
Private Sector Bank is one where
the Govt Stake is
Foreign Bank is one which has its
HO and RO in
When the RBI was established, it
took over the power of credit
control from
When a Bank accepts Deposit, the
relationship of the Banker to the
Customer is that of
When a Bank accepts Deposit, the
relationship of the Customer to
the Bank is that of
When the Bank gives a Loan to
the Customer, the Banker is called
as a
When the Bank gives a Loan to
the Customer, the Customer is
called as a
When a Customer gives an item
for safe keeping (other than a
Locker), the Cujstomer is called as
While paying a Cheque given by a
Customer, the Banker is in the
relationship as a
While asking the Banker to pay a
Cheque given by a him, the
Customer is called as the
While asking the Banker to pay a
Cheque from a Trust Account, the
Banker is called as the
rd
The 3 Party to whom the Trust
money is paid is called as the
In a Safe Deposit Locker, the
Customers relationship with the
Banker is that of
The Anti-Money Laundering Act
(aka PMLA) was enacted in the
year
st
The 1 step in Money Laundering
is called as
To prevent Money Laundering,
Banks insist on Knowing the
Customer and call for
The relationship between a
Business corresspondent and his
banker is that of
Business Facilitator can handle
small value cash transactions
Business Correspondents can
handle
small
value
cash
transactions

2
3
4

10

11

12

13
14

15

16
17

18

19
20

< 50%

> 50%

> 75%

100%

< 50%

50%

> 75%

100%

India

Overseas

Imperial
Bank of India

State Bank
of India

HO in India &
RO abroad
Govt. of India

None of
these
None of
these

Debtor

Creditor

Bailor

Bailee

Debtor

Creditor

Bailor

Bailee

Debtor

Creditor

Bailor

Bailee

Debtor

Creditor

Bailor

Bailee

Lessor

Lessee

Bailor

Bailee

Principal

Agent

Trustee

Beneficiary

Principal

Agent

Trustee

Beneficiary

Principal

Agent

Trustee

Beneficiary

Principal

Agent

Trustee

Beneficiary

Lessor

Lessee

Bailor

Bailee

2002

2003

2004

2005

Placement

Layering

Integraion

Distribution

Address
Proof

Customer
proifle

All of these

ID Proof
Principal &
Agent

Agent &
Principal

Debtor &
Creditor

Creditor &
Debtor

Yes

No

Yes

No

Partly
Yes & No
Partly
Yes & No

None of
these
None of
these

ANS

S.No.
21
22

23
24
25
26

27

28

29

30

31

32

33

QUESTIONS
Scale of Finance is applicable to

A
Crop loans

B
Term loans

For construction of Warehousing

and Cold storage facilities, the
loan granted is
KYC
compliance
is
the
responsibility of
PIN is a must to operate Bank
accounts through BC/BF
Borrower profiling is the duty of
the BC/BF
Loans to small and marginal
farmers for purchase of land for
agricultural purposes is
Finance for setting up of Agri
clinics and Agri business centres.
Is an
Enterprises engaged in the
manufacture
/production,
processing or preservation of
goods and whose investment in
plant and machinery does not
exceed Rs. 5 Crores.
Enterprises engaged in the
providing / rendering of services
and whose investment in
equipment does not exceed Rs.
10 lakhs.
Advances to KVIC will be eligible
for consideration under the ----%
sub target
of the small
enterprises segment within the
priority sector
In Micro Credit, Loans not
exceeding
Rs---------per
borrower is provided by banks
either directly through a SHG/JLG
mechanism or to NBFC/MFI for
on-lending up to Rs.------- per
borrower.
Under Priority Sector, Educational
Loans are granted to individuals
upto.

Crop loan

Under Priority Sector, Housing

Loans
irrespective of location,
to individuals for purchase /
construction of a dwelling unit
per family, upto up to Rs.----excluding loans granted by banks
to their own employees.

Medium
Term Loan

C
Land
development
Long
term Loan

D
Farm
Machinery
Gold loan

BC

BF

BANK

All the three

No

Yes

Some times

No

Yes

Some times

Direct
Finance

Indirect
Finance

Direct
Finance

Indirect
Finance

Non fund
based
advance
Non fund
based
advance

Depends on
the account
Depends on
the account
No finance

Micro
Manufacturing
Enterprises

Small
Service
Enterprises

Small
Manufacturing
Enterprises

Micro
Service
Enterprises

Micro
Manufacturi
ng
Enterprises

Small
Service
Enterprises

Small
Manufacturin
g Enterprises

Micro
Service
Enterprises

40%

50%

60%

25%

Rs. 20,000/-

Rs
30,000/-

Rs. 40,000/-

Rs. 50,000/-

Rs. 5 lakhs
for studies in
India and Rs.
10 Lakhs for
studies
abroad
Rs. 10 lakhs

Rs. 10 lakhs
for studies
in India and
Rs. 15 Lakhs
for studies
abroad

Rs. 10 lakhs for

studies in India
and Rs. 20
Lakhs for
studies abroad

Rs. 20 lakhs
for studies in
India and
abroad

Rs. 20
lakhs

Rs. 30 lakhs

Rs. 50 lakhs

ANS

No finance

S.N
o.
34

35

36

QUESTIONS

Artisans, village and cottage

industries where individual credit
limits do not exceed Rs. 50000, is
recognised as finance to
Loans to Scheduled Castes and
Scheduled Tribes are treated as
loans to
Educating the Customer about all
theproducts offered by the Bank
represented by him is ------the role
of BC/BF

Weaker
Sections

Lower
Sections

Poorer
Sections

SC/STs

Lower
Sections

Poorer
Sections

SC/STs

Weaker
Sections

Not

Certainly

Expected

None of
these

ANS

S.No.

QUESTIONS Set 1B

NABARD is a ___________

State Bank of India is a __________

bank
Reserve Bank of India is a
__________ Bank of the country
Control of money supply and credit
is the function of
Several deposit accounts offered by
banks in India include
When money is borrowed by the
borrower from bank, a fee is
charged by Bank. This fee is called..
Money
_________
is
an
undesirable process wherein the
origin of funds generated by illegal
means is concealed.
In Money Laundering __________
means physical disposal
of
proceeds of criminal activity
KYC is

3
4
5
6

9
10

11
12
13

14

15

16

17

18

19

Both types of transactions i.e.

Deposit Transactions and Loan
Transaction require
Which document is Mandatory as
Photo ID while opening an account
The main Principals of lending
is/are
The credit policy of a bank should
be conformant with ______
guidelines
Direct form of lending in which a
loan with an actual cash outflow is
given to the borrower by the Bank
is known as
Facilities such as 'letters of credit'
and 'guarantees' fall under the
category
Working Capital Finance is a type of

Retail Loan is a type of

Loans to Small and

Enterprises is a type of

Medium

20

____________is the delivery of

Financial Services by the formal
financial system at an affordable
cost to low income groups.
Financial Inclusion includes

S.No

QUESTIONS

Public Sector
Bank
Private
Sector

Foreign
Bank
Foreign
Bank

Agri Co-op
Bank
Local Area
Banks

Local Area
Banks

Central

Local Area

Public Sector

Private
Sector

UBI

SBI

RBI

ICICI

Savings A/c

Current
A/c

Fixed Deposit
A/c

(A), (B) & (C)

Charges

Dividend

Interest

Cost

Laundering

Trading

Investing

Depositing

Investing

Placement

Integration

Layering

Know your
Customer

Knowing you
and your
customer

Knowledge of
your Client

Know your
Certificate

KYA

KYD

KYB

KYC

Demat A/c

PAN card

Ration Card

Electricity
Bill

Saftey

Liquidity

Profitability

All the three

UBI

ICICI

RBI

SBI

Non - FundBased
Borrowing

Non - FundBased
Lending

Borrowing

Fund-Based
Lending

Non - FundBased
Borrowing

Non - FundBased
Lending

Borrowing

Fund-Based
Lending

Non - FundBased
Borrowing
Non - FundBased
Borrowing

Non - FundBased
Lending

Fund-Based
Lending

Borrowing

Non - FundBased
Lending

Borrowing

Fund-Based
Lending

Fund-Based
Lending

Non - FundBased
Lending

Borrowing

Non - FundBased
Borrowing

Borrowing

Financial
Services

Lending

Financial
Inclusion

Savings A/c

Insurance

Financia
Advise
C

All of the
above
D

ANS

Public Sector

ANS

21

The Agents who provide Banking

Business
services in Villages and small Towns
Correspondents
are known as

Bank
Brokers

Dealers

Franchisees

22

Bank Representatives are known as

Dealers

Franchisees

Business
Correspondents

23

Business Correspondent carries a

Mobile
__________ to help villagers in
Device
Banking transactions
________ is a voluntary association
of poor formed with the common
Help Group
goal of social and economic
empowerment.
The role of _____ is to collect loan
Business
applications, forward them to
Correspondents
bank.
The role of _____ is to create
Business
awareness about savings in banks
Correspondents
small villages
The role of _____ is to ensure that
Business
the KYC norms have been complied Correspondents
Who can become Business
Correspondent
/
Business
NGO's
Facilitator
Who can become Business
Correspondent
/
Business
KVIC Units
Facilitator
Who can become Business
Primary
Correspondent
/
Business
school
Facilitator
Teacher
Who can become Business
Balwadi
Correspondent
/
Business
Workers
Facilitator
Banks use _______cards, with
biometric
identification,
for
credit
opening and operating bank
accounts
A plastic card having memory of all
bio-metric
data
of
finger
impression (thumb/index) of a
credit
customer
is
known
as
_____________ card
Agriculture In-Direct Finance Loans upto Rs. ______ lakhs
25
granted
for
purchase
and
distribution of inputs.

ATM
Machines

Teller
Machines

Computers

Helping
People

Helping
Group

Self Help
Group

Bank
Brokers

Dealers

Franchisees

Bank
Brokers

Dealers

Franchisees

Bank
Brokers

Dealers

Franchisees

Farmers
Club

Insurance
Agents

All of the
above

KVIB Units

Post Offices

All of the
above

Secondary
School
Teacher

Anganwadi
Workers

All of the
above

Postal
Staffs

Ration
Dealers

All of the
above

smart

debit

paid

debit

paid

bio-metric

10

40

50

50

25

10

30

Zamindars

Munims

Kisans

Arthiaas

10

25

50

24

25

26

27
28

29

30

31

32

33

34

35

36

37

S.No

Finance extended to dealers in drip

irrigation/sprinkler
irrigation
system/agricultural machinery - Loans
upto Rs. ________ can be provided

Commission Agents in rural and

semi urban areas functioning in
markets /mandies are also known
as
Micro Manufacturing Enterprises Loans upto Rs. ________ can be
provided
QUESTIONS

Bank Brokers

ANS

38

39

40

41
42
43
44
45

46

47

48

49

50

____________help villagers in
banking transactions. (deposit
Bank
Business
money, take money out of savings Correspondents
Brokers
account, loans etc.)
Business Correspondents get
__________from bank for every
Salary
Commissions
new account opened, every
transection made via them, every
loan-application processed etc.
Compliance with KYC norms will
continue to be the responsibility of
Schools
Investors
_________
Banks accepts deposits and lend
Rich
Poor People
monies to
Peolple
Who provides the cheque book
Agriculture
Chit Funds
facility to customers
Banks
Financial Inclusion is achieved by
Mutual
Trading
opening ___________ A/c
Funds
Financial Inclusion is headed by _
RBI
SBI
A
thirteen
digit
individual
identification number issued by the
Debit Card
Unique Identification Authority of
Pan Card
India on behalf of the Government
of India is known as
What will be the value of Rs 1000
deposited @ 10% interest p.a after
1100
1500
1 year
What will be the interest on Rs
1000 deposited @ 10% interest p.a
100
200
for 1 year
Who among the following can be a
Registered
Ex-Service
Business Coresspondent
Bank
Men
Employees
High
Volume of
Banks cannot open branches in
Administrati Business is
villages due to _______
ve Costs
low
The main source of funds for a
banker for lending or investments
Public
Shareholder
is deposits from the _________

Dealers

Franchisees

Credit Points

Loan Benefit

Banks

Colleges

Business
Class People
Commercial
Banks

All of the
above
Mutual
Funds

Bank

Demat A/c

IRDA

SEBI

Aadhar Card

Credit Card

2000

1110

500

110

Retired
Government
Employees
Reluctant
staff due to
lack of water
Zamindars

All of them

All of them

Management

S.No.
1

2
3
4
5

10

11

12

13
14
15
16
17
18

19

QUESTIONS Set 1C
Banks act
between

as

an

Intermediary

ANS

Co-operative
Government &
banks &
RRBs
Central Bank
Which one of the following is NOT a
Private sector
Urban Co- Regional Rural
Foreign Bank
Commerical Bank?
Bank
operative Bank
Bank
Which is the largest category in the
Foreign
Co-operative Public sector None of the
Indian Banking system?
Banks
Banks
Banks
above
Regional Rural Banks (RRBs) are
Agriculutral
Farmers
Rural Artisans All of them
providing credit to
labourers
Reserve Bank of India was
st
1 January, st
st
st
established under RBI Act, 1934 as
1 April, 1934 1 April, 1935 1 July, 1934
1935
central bank of the country on
Before the establishment of the
Imperial
State Bank of
Punjab
Government of
Reserve Bank of India, currency
Bank of
India
National Bank
India
notes in India were issued by
India
Reserve Bank of India is headed by
Chairman &
Chairman
Managing
President
Governor
Director
Reserve Bank of India as the central Controlling
managing
bank of the country is
money
Banker of the all the above
foreign
supply &
banks
a, b, c
exchange
credit
Deposits are broadly categorized as
Dem&
Current
deposits &
Fixed
Savings Bank
account
Time
deposits
deposits
deposits
Deposits
Which of the following is NOT a Time
Current
Savings Bank
Deposit?
account
Term deposit Both (a) & (b)
deposit
deposit
Which of the following is the
Deposits
Loans from Share holders Profit earned
principal source of funds for the
from Public Government
money
by the bank
banks?
When money deposited in a bank by
the depositor, bank pays a fees to
him & when money is advanced by Commission
Interest
Brokerage
Exchange
the bank to the borrower, borrower
pays a fees to the bank. It called as
The legal relationship between the
Debtor &
creditor &
banker &
Lessor & lessee
banker & the borrower customer is
creditor
debtor
customer
The legal relationship between the
Debtor &
creditor &
banker &
Lessor & lessee
depositor customer & banker is
creditor
debtor
customer
The legal relationship between the
Debtor &
creditor &
banker &
Lessor & lessee
borrower & the banker is
creditor
debtor
customer
The legal relationship between the
Debtor &
creditor &
banker &
Lessor & lessee
banker & the depositor customer is
creditor
debtor
customer
The legal relationship between the
Bailor &
Principal &
Hirer & Hiree Lessor & lessee
banker & the locker customer is
bailee
agent
The relationship between a
Bailor &
Principal &
agent &
customer & his power of attorney
Lessor & lessee
bailee
agent
principal
holder is
Which of the following is called Taking out legal
money from
Money laundering?
routing illegal
origin of funds
bank accounts
money through generated by illegal both (b) & (c)
without
Depositors & Government
Borrowers
& investors

customer
knowledge

legal channels means is concealed

S.No.

QUESTIONS

20

Banks are required to undertake

KYC process

21
22
23

24

25

26

For KYC, which of the following is not

an acceptable proof of identity?
For KYC, which of the following is an
acceptable proof of residence?
Banks extend credit facilities to
which of the following categories of
customers?
Which of the following does not
form part of Principles of lending by
banks?
The Loan Policy does not lay down
lending principles in the following
areas
Which of the following is not part of
the RBI guidelines relating to Credit?

since banks
to prevent
cannot
money
identify the
laundering at sources of
the first
funds at the
stage itself
first stage
itself
Driving
PAN card
license
Telephone
Ration card
bill
Households
Corporates &
& retails
PSUs
traders
Safety
Credit
Deposit
Ratio
Directed
credit
stipulations
Working
capital
finance

Liquidity

32

33

The legal relationship between the

Business Correspondents / Business
Facilitators & the Banks is
Business Correspondents / Business
Facilitators earn their income by way
of
Self Help Group (SHG) is a voluntary
association formed by the poor for

34

Which of the following is not the role

of a Business Correspondent?

35

Role of a Business Correspondent

includes

Ration card

Electricity bill All of the above

small &
medium
All of the above
enterprises
Unproductive
Risk diversion
purpose

Capital
adequacy

Credit
exposure limits

Collateral
security

Agriculture
loan

Bank
guarantee

Directed
lending

payments &
remittances

All of them

reluctance of
staff

all the three

government
appointed
employees

self appointed
business
agents

Financial Inclusion is delivery of

financial services by the formal
Savings &
financial system at an affordable
Insurance
Loans
cost to low income groups. The
range of services include
Banks cannot open branches in all
high
low volume
the villages in India, because of
administrativ
of business
e costs
Business Correspondents / Business representatives
agents of
of the village
Facilitators are
banks
people

31

Pass port

Deposit
Interest rates

28

ANS

as the process
is required for
both deposits all the above
& loans
accounts

Targeted
Portfolio mix

Which of the following is not known

as fund based lending?

30

Loan pricing

27

29

Principal &
agent

Agent &
Principal

Employee &
Employer

Hiree & Hirer

Salary from
bank

small amount
collected from
villagers

Commission
from bank

both salary &

commission

Groups
economic
empowerment

community
meeting

Discussing
development
village politics
of village

Opening of
bank
accounts

Preliminary
Give financial
processing of
advises to
loan
villagers
applications

sanction of
loan to
villagers

Educating
prospective
customers
about Banks
products in
deposits &
loans

Ensuring that
Post sanction &
KYC norms are
pre & post
complied with
disbursal
for both
verification &
deposit & loan
monitoring
accounts

All the above

S.No.
36

37

38
39

40

41

QUESTIONS

Which of the following organizations

Non
Agri Clinics &
can be Business Facilitators?
Government
Agri Business Farmers Clubs
Organisation
Centres
s (NGOs)
Which of the following individuals Primary &
can be Business Facilitators?
secondary
Member of
Ration dealers
school
SHGs
teachers
Which of the following organizations
KVIC/ KVIB
NGOs
Post offices
can be Business Correspondents?
units
Companies
Which of the following organizations
MFIs set up
NBFC not
registered
can
also
be
Business
accepting
under
Societies
under Sec.25 of
pubic deposits Companies Act
Correspondents?
Act
Which of the following individuals Registered
ExRetired Govt.
can be Business Correspondents?
Bank
servicemen
employees
employees
Business
What is the major difference
facilitator
Business
between
the
Business
Business
cannot handle Correspondent will
Facilitator
Correspondent
&
Business
cash whereas
open accounts
cannot give
Facilitator?
Business
whereas Business
financial advise
to the villagers

Correspondent
is authorized to
handle cash

ANS

All the above

All the above

All the above

All the above

All the above

Both (b) & (c)

(as per the course
content, BC is
allowed to handle
cash whereas BF
Facilitator will not
cannot hande
open accounts
cash Slide
No.49)

MODEL TEST 2
1) Banks use with Bio Metric Identification for Opening and operating bank accounts
a)
b)
c)
d)

Debit Cards
Credit Cards
Smart Cards
All of the above

2) BCs/BFs can commit sanction Before hand

True/False
3) Warehousing and Godown facilities
a)
b)
c)
d)

Medium Term Loans / Advances

Long term loans for construction
Short term Advances
None of the Above

4) Fund Based Lending

a) Actual Cash Outflow given to borrower by the bank
b) No funds Outlay
c) Letters of Credit and Guarantees
5) Which is not Principles of Lending
a)
b)
c)
d)

Safety
Liquidity
Profitability
Minimum Balance

6). Small and Marginal farmers with land holding of

a)
b)
c)
d)

5
4
3
2

acres
acres
acres
acres

and
and
and
and

less
less
less
less

and
and
and
and

landless
landless
landless
landless

labourers
labourers
labourers
labourers

,
,
,
,

tenant
tenant
tenant
tenant

farmers
farmers
farmers
farmers

and
and
and
and

share
share
share
share

croppers
croppers
croppers
croppers

7) Which is not a Fund Based lending

a)
b)
c)
d)

Working Capital Finance

Project Finance
Retail Loan
Letters of Credit

10

8) Which is not a Deposit Related Services

a)
b)
c)
d)

Interest Payments
Customer Information
Stop Payment facility
Collateral Security

9) RBI was established in

a)
b)
c)
d)

April
April
April
April

1
1
1
1

1935
1934
1932
1930

10) Suitability of land and climate is required for

a) Diary Farming
b) Poultry Farming
c) Tractor loan
11) Under Agricultural - Direct Finance - Advances up to against Hypothecation / Pledge of
Agricultural Produce for
a)
b)
c)
d)

10
30
20
40

lacs
lacs
lacs
lacs

12) Largest Category in Indian Banking System

a)
b)
c)
d)

Private Sector Banks

Regional Rural Banks
Public Sector Banks
Agricultural Cooperative Banks

13) Term Deposit accounts are

a) Current account Deposits
b) Savings Bank Deposits
c) Fixed/Recurring Deposit account
14) Finance of Housing are
a)
b)
c)
d)

Loans
Loans
Loans
Loans

up
up
up
up

to
to
to
to

20 lakhs
25 lakhs
30 lakhs
10 lakhs

purchase/construction
purchase/construction
purchase/construction
purchase/construction

of
of
of
of

a
a
a
a

dwelling
dwelling
dwelling
dwelling

Unit
Unit
Unit
Unit

per
per
per
per

family
family
family
family

15) Money laundering Act is in the year

a) 2001
11

b) 2002
c) 2003
d) 2000
16) Types of Interest which will change based on marketing condition
a)
b)
c)
d)

Simple Interest
Compounding Interest
Fixed Interest
Floating Interest

17) Why Agent is needed

a)
b)
c)
d)

High Administrative Costs

Volume of Business is low
Lack of water/electricity
All of the above

18) SHG is
a) Involuntary Association
b) Voluntary Association
c) Sponsored Association
19) Composite Hand Held Device Finger Print is needed
True/False
20) Bank Deposits for Banks is purpose of Lending
True/False
21) RBI is a
a)
b)
c)
d)

Nationalised Bank
Central Bank of the Country
Public Sector Bank
Private Sector Bank

22) Local Area Bank

a)
b)
c)
d)

Operates in many areas

License given to function in a given area
High Capital is required
Can act for many financial services

23) As of March 2013

a)
b)
c)
d)

197000
195000
198000
196000

BCs
BCs
BCs
BCs

24) Financial Inclusion

12

a)
b)
c)
d)

Higher Costs
High Income Group
For rich people
For farmers and sub marginal farmers

25) Money Laundering is

a)
b)
c)
d)

Legal arms trade

Illegal arms trade
Desirable Process
Face to Face Contact

26) Business Lendingon borrowed funds

a) Without Inherent Risks
b) With Inherent Risks
c) Safe and Secure
27) Difference Between BC and BF
a) BC allow to handle small Value of Cash
b) BF is allowed to handle small value of Cash
28) Can You Generate Receipt with Hand held device
Yes/No
29) Tractor Loan
a) Size of land holding is important
b) Size of land holding is not important
c) Nothing to do with land holding
30 ) Cross Selling is
a)
b)
c)
d)

Single Product
Nothing do with products
Customer need not have Banking Relationship already
Multiple Products

13

MODEL TEST - 3

1. The 2 skills required for the BC BF Role are: Generic skill/ Professional skills
True or False

2. Writing skill is:

a) Generic Skill
b) Professional Skill
c) None of the above

3. Reading skill is:

a) Professional skill
b) Generic skill
c) None of the above

4. Integrity is:
a) Professional skill
b) Generic skill
c) None of the above

4a) Integrity Means:

Maintain integrity with respect to customers time, sensitive documents and act
objectively in the best interest of the customer
True / False

5. Mathematical skill is
a) Professional skill
b) Generic skill
c) None of the above

14

6. Mathematical skill helps in

a) Compute numbers quickly and accurately - True \ False

7. Oral communication (Listening and Speaking skills):

a) Generic skill
b) Professional skill
c) None of the above

8. Oral communication skill helps in:

a) Listen to the customers and be able to offer products that are pertinent to their
requirements.
b) Communicate clearly with the customer using language that he \ or she
understands
Both the statements are true \ false

9. Decision making skill is:

a) Generic skill
b) Professional skill
c) None of the above

10. Planning and Organising skills are:

a) Professional skills
b) Generic skills
c) None of the above

11. Customer centricity skills are:

a) Generic skills
b) Professional skills
c) None of the above

12. Problem solving skills are:

15

a) Professional skills
b) Generic skills
c) None of the above

13. Analytical thinking skills are:

a) Generic skills
b) Professional skills
c) None of the above

14. Motivation means:

Be self driven, take initiatives and deliver results set by the organisation and
respective superiors
The statement is True \ False

15. Critical thinking skill is:

a) Professional skill
b) Generic skill
c) None of the above

16. Critical thinking means:

Exercise judgement in unforeseen situations and preserve company values and are
in line with organisational guidelines
True \ False

17. Decision making skill helps inMake clear logical decisions and portray confidence to the customers
True \ False

18. Customer centricity means Make decisions taking into account customers best interest
True \ False
16

19. Customer centricity includes Follow up and provide support services consistently
True \ False

20. Problem solving means Address problems arising either due to a technical issue, customer grievance or
administration related issues True \ False

21. PACS means

a) Primary Accounting Credit Society
b) Primary Agricultural Credit societies
c) None of the above

22. MSE means

a) Macro service enterprises
b) Micro service enterprises
c) Manufacturing sector enterprises

23. DRI means

a) Differential rate of Interest
b) Direct return on investments
c) None of the above

24. NBFC means Non Banking Financial company

True \ False

25. FSS Farmers Service Society (True / False)

17

26. KYC Stands for

a) Know your company
b) Know your competency
c) Know your customer

27. Pin is a must to operate bank account through BC/BF (True / False)

28. PAN Stands for

a) Provisional account number
b) Personal address number
c) Permanent account number

29. ATM stands for Automated Teller Machine (True / False)

30. ICICI is a
a) Public bank
b) Private bank

31. MFI stands for

a) Micro finance institution
b) Macro finance institution
c) Macro finance industry

32. Loans to farmers for purchase of land, fertilizers, seeds etc is

a) Direct finance
b) Indirect finance

33. Loans to farmers through cooperative societies, agri clinics, SHGs, etc is
a) Direct finance
b) Indirect finance
18

34. No frills account cannot be opened in banks (True / False)

35. BC/BFs should treat all the customers with respect & dignity (True / False)

36. Self Help Group is a

a) Voluntary association
b) Compulsory association
c) None of the above

37. Relationship between the banker & customer in case of deposit account. Banks is
a
a) Debtor
b) Creditor

38. Relationship between customer & bank in case of loan account. Customer is a
a) Debtor
b) Creditor

39. Interest is charged against the loan by the bank (True / False)

40. PAN / Aadhar card / Passport can be accepted as a document for the proof of
identity (True / False)

41. Ration card / Electric Bill / Telephone bill are documents for
a) Residential proof
b) ID proof
42. Anti Money Laundering Act came into force in the year
a) 2000
b) 2002
c) 2012
19

d) None of the above

43. RBI was established on

a) 1st April 1935
b) 1st August 1936
c) 30th May 1930
d) None of the above

44. RBI Act came into force in the year

a) 1930
b) 1931
c) 1934
d) None of the above

45. Micro finance is for loans upto

a) 10 lakhs
b) 25 lakhs
c) 50 lakhs

46. Education loan in India & Abroad respectively can be given upto
a) 10 lakhs, 20 lakhs
b) 15 lakhs, 30 lakhs
c) 20 lakhs, 30 lakhs

47. KYC compliance is the responsibility of BC/BF (True / False)

48. Fixed deposit is a type of

a) Time deposit
b) Demand deposit

20

49. Demand deposits

a) Payable on demand
b) Not payable on demand

50. Dairy farming, poultry farming are allied agricultural activities (True / False)

51. SME means

a) Small and Medium enterprises
b) Single Mode Enterprise

52. Loans for SHG member can be given upto Rs 50,000 (True / False)

53. In a Self Help Group, normally how many members will be available?
a) 20
b) 30
c) 50

54. KCC means

a) Kissan Credit Card
b) Kissan Customer card

55. Loans for micro manufacturing industries upto 25 lakhs (True / False)

21