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1 AG Mixed farming: Doing crop production and allied activity
Interest subvention for prompt repaying farmers: 3% (crop loan/ware house
2 AG receipts)
Loans to Corporate for agricultural finance, upto what amount priority : Ag
3 AG upto Rs.2 crores

4 AG KCC while fixing limit under Rupay card incremental percentage: 10% p.a.
Overdraft to Agriculturist against Gold jewellary - eligibility.... Agriculturists
5 AG owning land
6 AG RIDF is Managed by : NABARD.
Purchase of Heavy Commercial Vehicle under ALLHV scheme One of the
7 AG conditions is availability of : 15 acres of irrigated perennial land.

Dairy loans Availability of milch animals nearby market, availability of

Veterinary facility, availability of milk collection centres and vicinity of the
8 AG branch are to be ensured and : cash flow need not be taken into account.
Loan outstanding of agricultural loan is Rs.8.00 lakh; Realizable value of
security is Rs.9.00 lakh; OTS offered by the borrower is Rs.5.00 lakh OTS to be
settled with : at least book liability + Simple rate of interest @5% on
9 AG reducing balances.

Annewari Relief measures in case of crop loans to be converted into medium

term loan on the basis of anneveri certificate from Dist.Collector that crop
10 AG yield is below : 50% of normal yield during natural calamity.
Mortgage is required for Agricultural Loans if loan amount exceeds: Ans:
11 AG Rs.1,00,000/-
Sprinkler Irrigation system will be installed for what types of crops: Ans:
12 AG Dense Crops
What is the Ba k s Co t i utio of P e iu i ase of Pe so al A ide t
Insurance Scheme for KCCS holders: Ans: Rs.10/- by Bank (Debit Rs.5/- to
13 AG pa t s a ou t
What is the cut off date for RKBY during Khariff Season in case of Loanee
14 AG Farmers: Ans: November
In Kisan Credit Card Scheme, what is the maximum ceiling of sub limit for
consumption credit: Ans: 10% of Crop Component+WC for Allied activities
15 AG with maximum of Rs.15,000/-
Maximum Loan under CanaraKisan OD is _____ times of Gross Annual
16 AG Income of the farmer. Ans: 4 times
17 AG What is the margin for Mulberry Crop Loan of Rs.1.00 lakh: Ans: NIL
Advances to individual farmers upto _______against hypothecation of agri
produce including ware house receipt for a period of 12 months ,comes
18 AG under priority sector . Ans: Rs.50.00 lakhs
Marginal farmers means a farmer in rural area having _____hectares of land .
19 AG Ans: 1
20 AG Validity period of KCC ________with annual review.Ans: 5 years

In case of advances to Agri clinic & Agri business centers , the maximum
21 AG _____ % of refinance can be granted from NABARD.Ans: 100%
For agri loans upto Rs ___________ , No margin is to be stipulated.Ans:
22 AG Rs.1.00 lakh

23 AG Target for agriculture sector in priority sector is ____ % ANBC. Ans: 18%
What is the maximum amount of Gold Loan given under Agriculture: Ans:
24 AG Rs.5.00 lakhs
What is the limit of land in case of Marginal Farmers: Ans: 2.5 acres dry land
25 AG or 1 acre wet land
What is the maximum quantum of Loan that can be considered for purchase
26 AG of Agricultural Land. Ans: Rs.10.00 lakhs
27 AG What is target for Agriculture out of ANBC. Ans: 18% of ANBC

What is the insurance scheme for financial loss caused to crops due to
28 AG adverse weather conditions: Ans: Weather Based Crop Insurance Scheme
The limit of loans to farmers against Pledge/Hypothecation of Agricultural
Produce (including warehouse receipts) and the period: Ans. Rs.50.00 lakhs
29 AG and 12 months
While sanctioning Gold Loan for other than Agriculture purpose, what is the
maximum percentage of Gold Value is sanctioned as loan: Ans: 75% of
30 AG appraised value
31 AG RIDF is maintaining by: Ans: NABARD
What is mixed farming: Cultivation of Crops and Allied Activities(cattle) in the
32 AG same farm

After extending interest subvension, and interest incentive, the net rate of
33 AG interest charged to farmers on crop loans upto Rs.3 lakhs: 4%
The repayment terms for farmers are basing: net annual income/gross
34 AG annual income: Gross Annual Income
Organic Farming means: Growing crops by using manure ie animal and plant
35 AG waste material. Also by using Biological pesticides.
Kisa C edit Ca d he e Collate al se u it i ase of Tie up: o e tha
36 AG Rs.3 lakhs
37 AG Objectives of Agri Clinic are: To support Farming Community
The limit of loans to farmers against Agricultural Produce (including
38 AG WAREHOUSE RECEPITS) for a period not exceeding : 12 months
For KCC with Rupay Card Facility, Processing Charges are waived upto Rs.: Rs.
39 AG 3.00 Lacs
40 AG RKBY is applicable for: Crop Insurance
41 AG FCNR deposit can be made in : FDR/KDR
What is Cropping intensity: Cultivating more crops in a year (due to improving
42 AG minor irrigation facilities)
43 AG Rabi Crop season, range of months..... October To March
Criteria for identification of Business Facilitators : Presence in the local area &
44 AG knowledge of the area
45 AG Rural Godown........Margin Money 25%

Interest subvention on agriculture loans up to Rs.3lacs along with additional

46 AG incentive for prompt repayment. 2% subvention, 3% additional inventive

47 AG What is organic farming? Ans: Using organic manure and organic pesticides
48 AG What is Rabi season? Ans: Oct to March
Dai E t ep e eu ship De elop e t What is the a i u a ou t of
49 AG finance for 10 animals: Ans: Rs.50 lakhs

Scale of finance is provided by a. DICGC, b. DRDB, c. SLBC, d. RBI : Ans: SLBC

50 AG will decide and provide to CO, which inturn communicates to branches.
What is mixed farming: a) cultivating 2 crops simultaneously b) Cultivating in
2 types of soils c) Cultivating crops and Allied Activities d) cultivating 2 crops
51 AG in a year Ans: c
52 AG Cultivation of Silk Worms is called as: Ans: Sericulture
Government will fix minimum support price at the time of: a) before sowing
b) before harvesting c) after harvesting d) before selling produce e) after loss
53 AG of entire crop Ans: A : before sowing
What is meant by Organic Farming: ans: using manure of Green leaves,
54 AG biological manure, biological pesticides
Branches with more than 90% of recovery under Canara Kisan OD can
sanction ______ times of net annual income of the farmer and Rs._______
55 AG per acre of mortgaged land. Ans: 4 times, Rs.1.50 lakhs

Interest subvention applicable on crop loans upto Rs.3 lakhs Ans: 2%

56 AG subvention and 3% additional incentive for prompt payment with in one year

Normally loan repayment for farmer is fixed based on : a) Net Income of the
farmer b) Gross receipts to the farmer c)Total acres cultivated by farmer d)
57 AG Income from Allied Activities e) Total income from all sources Ans: E
In Sugar cane loans, wherever tie up arrangement with Sugarmills, loan upto
Rs._______ can be given without insisting mortgage under
58 AG KCCS/Investment/Development Loans: Ans: 3.00 lakhs
59 AG e u it o s fo Ag i ultu e loa s upto o e lakh : il
60 AG Apiculture : Bee keeping
61 AG Kisan OD minimum and maximum amount: Rs.1 lac and Rs.12.50 lac

Food and Agro Industries :For considering under Finance to Agriculture,

62 AG maximum loan amount : Rs.100 cr per borrower from entire banking sector
Farmer doing Agriculture and ALlied activity in the same farm: Mixed
64 AG Farming
After interest subvention, what is the net rate chargeable by banks on Crop
65 AG Loans upto Rs.3 lakhs : 7%

66 AG What is the minimum Loan amount under Canara Kisan OD: above Rs.1 lakh
67 AG Alternative Bearing of Fruit applicable in case of : MANGO

68 AG Normal Provision on Standard Assets in case of Agriculture and MSE: 0.25%

69 AG National Agricultural Insurance Scheme pertains to: Crop Insurance
Interest subvention is applicable for crop production loans upto Rs. : Rs.3
70 AG lakhs (same amount is being continued in Feb 2016 also)
Land Records are not to be insisted for Agricultural Gold Loans upto Rs. : Ans:
71 AG Rs.1,00,000/-
72 AG Coffee is produced from what part of the plant: Seeds
Crop Loans given for short duration crops will become NPA, if it is overdue for
73 AG a period of over : 2 crop seasons
74 AG Ne fa e s Ho to ide tif ? A s e : De la atio fa e .
Canara Kisan OD Ceiling per acre mortgaged: _________ subject to
___________ of value of mortgaged landed property. (Cir.189/2010)
75 AG Answer: Rs.1.50 lakh per acre // 50%.
Finance to agriculture under custom service units can be given upto a
76 AG maximum of Rs.______________ Answer: No Ceiling
The appraisal charges under gold loans for jewel appraisal is : 50paise per
77 AG Rs.100/- with a max of` Rs.200/-per loan (91/2009)
Under interest subvention for short term crop production loans for farmers
upto 3 lacs, if the farmer repays the loan promptly , then effective rate of
78 AG interest charged to the farmer is ____ Ans 4 %
The maximum limit under Kisan OD is ____ Ans -4 times gross annual income
79 AG max of Rs.12.50 lacs (189/2010 )
Gold loan per gram : Answer:80% of value of 22 carat gold as informed by HO
80 AG periodically
Canara Kisan OD Limit: Maximum of Rs._____________. (Cir.189/2010)
81 AG Answer: Rs.12.50 lacs
A loan associated with a short duration crop, becomes substandard after
82 AG remaining overdue for a period of : Two Crop Seasons
In Canara Kisan OD what is the value of security to be taken ? Ans: 200% of
83 AG loan amount
84 AG What is the tenable period of Kissan Credit Card: Ans: 5 years
85 AG What is the limit under Krishi Mithra Credit Card Scheme: Rs.50,000/-
What is the maximum quantum of loan to Allied Activities that can be
86 AG considered under Priority Sector - Agriculture ? Ans: No Ceiling.
In case of Agro food processing units, what is the maximum amount of
investment in P& M for considering under Agriculture? Rs.100 crore per
87 AG borrower
88 AG KCC validity Period : 5 yrs

89 AG Financing for Cow ( Cow Life is 10 lactations) Finance upto 2-3 lactations
In Agriculture, limit sanction is 4 lakh against EMT land . Mortgage is require
for :100% (land development related, land value post development should be
90 AG double the loan amount)
In Agri. Interest subvention, reporting to RBI for claiming interest subvention
91 AG : half yearly
92 AG Loan for broiler , Min birds : 200 (200,400, 1200)
What is the gestation period for poultry loans? Answer: Repayment for
Broiler Chicks: 90 to 105 days and for Layers in 18 months in monthly
installments with 6 months repayment holiday. Composite loans for Poultry
shed , equipment etc. Repayment in 7 to 9 years with repayment holiday of
93 AG 12 to 18 months.
94 AG Apiculture means : Ans: Bee Keeping
95 AG Under Kisan Suvidha, margin for Second Hand Tractor: Now it is 40%.
96 AG Time norm for sanction of KCC loan branch sanctions : Ans 15 days
97 AG Kisa OD eligi ilit Custo e s atisfa to e o d of : ea

98 AG Permissible period of reimbursement for Development Loans : Ans 6 months

99 AG Loa s to G ape Ga de Gestatio Pe iod : ea s epa e t: - ea s
Loans to farmers for repayment of debts raised from Non Institutional
100 AG sources - Maximum coverage of Area Ans:16 kms
Kisa u idha EMT p es i ed fo hat a ou t? No fo o e tha s.
101 AG lakh
Farmers Club: Minimum members and maximum members Minimum 10 and
102 AG no restriction on maximum members.
What is NF 986 Ans: Agriculture simplified application for loans of Rs.2 to 10
103 AG lacs

104 AG Kisa OD I te est de it he ? A s: Ma h a d epte e . Due i da s.

What is the permissible finance under Canara Kisan OD Ans: Min.1.0 lakh,
105 AG max 12.5 lakh
Reimbursement permissible under Agricultural Development Loans, by
106 AG sanctioning authority: Ans: Rs.5 lakhs
After sanctioning Tractor Loan at what stage the disbursement has to be
ade? A s: Afte deli e i g t a to dul pai ti g ou a k s h pothe atio ,
107 AG 95% and remaining 5% after receipt of RC.
Ag . De elop e t loa ei u se e t ho u h a ou t ? a . A ou t
Rs.1 crore. (Upto Rs.5 lakhs, respective sanctioning authority. Above 5 lakhs,
108 AG next higher authority.
In Canara Kisan OD value of security how much to be taken ? 200% of loan
109 AG amount.
110 AG Scale of finance is decided by : District Technical committee

111 AG KCC cannot be used for raising loan for: Purchase of Gold Coin from a Bank
Agriculture Interest subvention of 2% + 3% upto Rs 3 lac: 3% Interest rate
concession should for prompt repayment with effective rate of interest of
112 AG 4%.

113 AG What is organic farming? Using organic manure and organic pesticides.
If a short duration crop loan is not repaid within ____ crop seasons it will be
114 AG treated as NPA: Two
What is meant by Organic Farming: Ans: Using manure of green leaves,
115 AG biological manure, biological pesticides.

Normally loan repayment for farmer is fixed based on : a) Net Income of the
farmer b) Gross receipts to the farmer c)Total acres cultivated by farmer d)
116 AG Income from Allied Activities e) Total income from all sources Ans: e.

Under Farmer Club, NABARD assistance to all agencies will uniformly be @ of

Rs _________per club per annum for a period of 3 years irrespective of
117 AG whether they are institutional or other agencies. Ans: Rs 10,000/-.
Under Personal Accident Insurance Scheme, the premium payable by the KCC
118 AG farmer is : Rs.5/-.
Financing tenant farmers, oral lessees for raising corps thru Joint Liability
119 AG Group, the maximum limit is: Rs.5 lacs.
In respect of KCC, the limit for consumption credit is: 10% of crop and allied
120 AG activities component with maximum Rs.15,000/-
121 AG Agriculture loans can be sanctioned without mortgage upto: Rs.1 lacs.
122 AG Mulbery Crop Loan without margin can be upto : Rs.1 lac.

123 AG For Agri business centre, outer project cost limit for individual is: Rs.20 lacs
Sprinkler Irrigation system will be installed for what types of crops: Dense
124 AG Crops.
What is the Ba k s Co t i utio of P e iu i ase of Pe so al A ide t
I su a e he e fo KCC holde s: s. /- Ba k De it s. /- to pa t s
125 AG account).
What is the cut-off date for RKBY during Khariff Season in case of Loanee
126 AG Farmers: November.
In Kisan Credit Card Scheme, what is the maximum ceiling of sub limit for
consumption credit: 10% of Crop Component + WC for Allied activities with
127 AG maximum of Rs.15,000/-.
Under Rain Water Harvesting scheme for SC/ST farmers, the subsidy
128 AG component is ___________. 50%.
For Kisan Credit Card (KCC) there should be no processing fee up to a card
129 AG limit of ______: Rs.3 lakh.

130 AG Agriculture loans can be sanctioned without mortgage upto: Rs.1 lacs.
Minimum Support Price (MSP) is fixed by: Ans :The Agricultural Prices
131 AG Commission.
ho t Du atio a d lo g du atio op ho fi es: A s :Ag i Deptt of the
132 AG concerned State Govt.

133 AG One Tube well gap with other ____ meters: 250; 300; 100; 210. (Ans 180)
Current Asset: 32, NWC:8 , CR? Answer: 1.33 (CL = 32-8 = 24. Therefore CR =
2 BS
32 24 = 1.33)
Working capital assessment for seasonal industries is done as per: Cash
3 BS
Budget method.
Current assets Rs.5.50 lakh; Current liability Rs.5.25 lakh; Bank borrowings
4 BS
Rs.3.50 lakh - MPBF as per second method is Rs.2.38 lakh
Capacity utilization break even for 2nd year is at 55% and 50% for 3rd year
5 BS and actual production level is at 52% and 50% respectively : The unit is
incurring loss in 2nd year and profit in 3rd year.
What is the terminology for adjustment of book value of assets? :
6 BS
Current Assets:100 lacs. Current Liabilities:50 lacs. Quick Ratio: 1.5:1. What is
7 BS
the value of Stocks: Ans: 25 lacs.

8 BS While preparing balance sheet of a firm, closing value of stocks is inflated.

What will be the effect: Ans: Gross Profit (Inflation in gross profit)
What is the norm for classifying an asset under S1 category: Ans: CR : 1.14:1,
9 BS
TOL:TNW: 2.5:1
Ta gi le Net Wo th is al ulated as: A s: Total paid up apital + ese es
10 BS
Intangible Assets
11 BS
I B eak E e A al sis, Co t i utio ea s: A s: ales Va ia le Cost
12 BS Sales Above Break Even Level: Ans: Margin of Safety
If we discount future cash flows at the rate of Internal Rate of Return, the
13 BS
Net Present Value should be : Ans: Zero
14 BS
Calculate DSCR. PAT45, Dep.15, Int.onTL:25, Instalment:15 Ans: 85/40=2.125
What is the indication of Liquidity Risk: Ans: More amount of Liabilities
15 BS
maturing than maturing Assets
CR:1.33, NWC: 8 lacs. What is Current Asset: Ans: 32(in exam none of the
16 BS
above is answer)
Current Ratio is 3:1 and Quick Ratio is 1:1. What is inventory if Current Asset is
17 BS
30. Ans: 20
18 BS CL 48,NWC 12 then CA : Ans: 60
If the receivables are Rs 20.00 lakh and the sales has shown as 120 lakh, then
19 BS
what is the average debt collection period ? Ans: 2 months
The total amount of subordinated debt should not exceed _____% of Tier I
20 BS
capital. Ans: 50%
Working capital for seasonal crop Industries will be assessed by
21 BS
_______method. Ans: Cash Budget Method
Funds flow analysis in Term loans will give the picture/analysis of ________the
22 BS
firm. Ans: Repayment Capacity.
23 BS
As per Nayak Committee working capital cycle in general case: Ans: 3 months
Long Term Assets are procured by Short Term Liabilities. What type of Risk
24 BS
involved: Liquidity
25 BS
Debt Equity Ratio is useful for appraisal of ____ loans. Ans: Term Loan
26 BS
Tangible Net Worth arrived by_____: Ans: Net worth minus Intangible assets
The following ratio though least important, important for financial analysts:
27 BS
liquid ratio, commercial, technical, etc: Ans: Commercial
28 BS Which is not part of tier 2 capital : Statutory reserves
29 BS Revaluaton Reserves discounted at : 55%
What is minimum maturity period for Subordinated Debt under Tier II Capital:
30 BS
Ans: 5 years
IPDI bonds under Tier I Capital can be issued to FIIs&NRIs upto what
31 BS
percentage: 49%
For calculation of Turnover method for working capital limit : 20% of
32 BS
projected turnover in the ensuing financial year.
33 BS Tier I Capital is also known as : CORE CAPITAL
With in Tier 2 Capital Subordinated Debt is limited to a max. of : 50% of Tier I
34 BS
35 BS NWC 15 lacs, CL 75 LACS the current ratio is : 1.25:1
Balance Sheet always reflects: : WHAT A CONCERN OWNS AND WHAT IT
36 BS
For calculation of Current Ratio, the following is not required: Ans: Furniture
37 BS
& Fixtures
38 BS Margin as per Turn Over method: 5% of projected turn over
Tier 2 capital should be ______ of tier 1 capital: Ans: maximum 100% of T1
39 BS
40 BS
Co t i utio i B eake e elli g p i e pe u it a ia le ost pe u it
41 BS Break even point : Sales = Cost
Interest on TL. How it is to be treated in DSCR Calculation. In Numerator &
42 BS
also in Denominator
Limited Company wants to borrow more than capital + Reserves, who can
43 BS
approve.....Share holders can pass resolution in AGM
44 BS
.........Tool to egulate flo of edit to Bo o e Co pa De t : E uit
45 BS Depriciation............Cost Fixed
Which of the following is not term liability in Balance sheet of the Company :
46 BS
Holding level of Stock in process is worked on the basis of..... stock in process /
47 BS
Cost of production during the year
48 BS Break even point is : Ans: No Profit No Loss
Debt Service Coverage Ratio is used to find out : Ans: Repayment capacity
49 BS
towards Term Loan.
50 BS Advance received from Customer : Ans: Current Liability
Out of the following instruments, which one is eligible for including under Tier
I Capital: a) Perpetual Non Cumulative Preference Shares b) cumulative
51 BS perpetual preference shares c) Redeemable cumulative preference shares d)
Redeemable non-cumulative preference shares (Cir 159/2010, 212/2011)
Ans: A
Current Liabilities: 36, Net Working Capital: 12. What is Current Ratio: Ans:
52 BS
48/36= 1.33
53 BS Net Profit After Tax : 110. Tax: 40 Depreciation:50, Interest on Term Loan:
40, Instalment on TL : 85. What is DSCR: Ans: 110+50+40 40+85 = 1.6
Out of the below mentioned, which is not source of current liability : a) bill
54 BS discount c) supplies made by creditors c) advance to made to suppliers Ans:
c (it is current asset)
In our Bank, we are following the method for assessment of working capital
limits of above Rs.25 crores. a) Cash Budget method b) MPBF method c)
55 BS
Turnover method d) Cash budget or MPBF as per the choice of customer Ans:
56 BS Subbordinate debt maximum : 50% of Tier I capital
57 BS
DSCR: NPAT 100, IT 30, DEPRECIATION 30, INT 30, INSTAL 90 Ans: 1.33
58 BS Non SME - upto what limit Turnover Method : Rs.2 Cr
59 BS Current assets 75, NWC 15 . What is CR : 1.25
60 BS
In tier II capital, Revaluation Reserves are taken at a discount rate of: 55%
Banks not allow to exceed Current Liablities over Current Assets: as borrower
61 BS
cannot repay
62 BS Subordinate debt not to exceed : 50% of tier 1 capital
63 BS Which one can be converted as cash immediately: Current Assets
Opening Balance of Capital is Rs.3,00,000/-. Drawings Rs.30,000/-. Closing
64 BS
Balance Rs.4,20,000/-. What is the Profit: Rs.1,50,000/-
65 BS
Current Ratio, Quick Ratio are helpful in assessing to meet: Current Liabilities
66 BS Loan Repayment capacity will be assessed by: DSCR
67 BS
Current Assets: 30, Net Working Capital : 6. What is Current Ratio: 1.25
68 BS What is the ideal Current Ratio in case of MPBF method: 1.33
What is the rate of discount in case of Sub Ordinate Debt Instrument, to
69 BS qualify under Lower Tier II Capital, which is maturing in 30 months : Ans:
70 BS
Current Ratio for take over: 1.33 for MPBF / and 1.25 for Turnover method.
Working capital limits more than 25 crores may be assessed under: Cash
71 BS
budget or MPBF as per the choice of borrower.

72 BS Cu e t Assets /- ; Lo g te sou es /- ; Total ala e sheet total

o e side s. /- What is C a d NWC? A s e : C . // NWC
DC al ulatio : PAT /- ; I o e ta ; dep e iatio ; I te est o
73 BS
te loa /- ; i stall e t o TL ; a s e : .
In Canara Bank , MPBF to be calculated for over Rs.____ Cr for MSME
borrowers & for over Rs. ____Cr. For non-MSME borrowers. Ans:5, 2 (For
74 BS
Canara Trade, Turnover method upto Rs.2 cr and MPBF method above Rs.2 cr
upto Rs.5 cr)
The details are available for a company- the profit after tax 100, depreciation-
75 BS 28,interest on term loan-40 and annual installmement payable is 800. Find
DSCR Ans : 0.2
The current ratio of the firm is 1.33. Net Working Capital is 8 lacs. What is the
76 BS
value of current asset? Ans- 32
Debt Equity Ratio - DER is calculated for what purpose? Answer: Leverage /
DER represents stake of promoter vis-a vis lenders. Lender will decide the
77 BS same based on risk perception, i.e., higher the risk, higher the equity and
promoter will decide based on whether the business is going up or there is
Applicability of Turnover method: SME units for WC loans upto
78 BS _____________ and for others it is up to ____________________ Answer:
Rs.5 crores // Two crores.
Cal ulate NWC f o the follo i g figu es. Cu e t Asset s. la s, ho t
te loa s s. la s, C edito s s. la s. A s e : s. la s. U less
79 BS
the pe iod is spe ifi all e tio ed all sho t te loa s / o o i gs ill
come under current Liabilities only)
Method used for calculation of bank finance for loan up to Rs.2 crore :
80 BS
Turnover Method
Net working capital is Rs.80,000/- Current Ratio is 3:1. What will be current
81 BS
Asset: Rs.120,000/-
82 BS Where Goodwill is shown in balance sheet :Intangble Assets
Subordinate Debt is shown as part in the Balance Sheet of a Bank:Ans. Other
83 BS
liabilities and provisions.
What is the working capital requirement in case of Turn Over method
84 BS assessment: Ans: 25% of projected turn over is working capital out of which
20% is bank finance and 5% is margin.
What is the minimum Current Ratio for take over of Borrowal accounts: 1.25
85 BS
for turnover method and 1.33 for MPBF Method.
Under Turnover Method, how to compute working capital and permissible
86 BS bank finance: 25% of Projected Turnover is working capital requirement and
20% of projected turnover is Bank Finance.
What do you mean by Break Even Point ? A point at which unit incurs no loss
87 BS
or earns no profit /Where total costs is equal to total sales.
Debt Service Coverage Ratio is a tool for financing : Term Loans (to assess
88 BS
term loan repayment capacity of the firm)
What is the DSCR prescribed for term loans other than infrastructure? Ans:-
89 BS

What is the effect of non maintenance of DER? To contain the equity funding
risk, which is high in case promoters agree, ab initio, that they will bring in
equity funds proportionately as the banks finance the debt portion, RBI has
90 BS
advised to ensure that the infusion of equity/ fund by promoters shall be such
that the stipulated Debt Equity Ratio (DER) is maintained at all times and shall
adopt suitable funding sequences to obviate the possibility of equity funding
by the banks.

91 BS Provisions on Standard Assets are shown under which head in the balance
sheet of the Bank. Ans: Current Liabilities and Provisions on Liabilities side.
Liability of the Bank in case of Guarantees issued to the customers is Ans:
92 BS
Contingent Liability
93 BS
Calculation of DSCR. : NPAT+Depreciation+Int.on TL / Int.on TL + Inst.on TL
94 BS
The Meaning of Debtor Velocity Ratio: Ans: Cycle of Collection Period
In project finance DER requirement for other than Infrastructure finance is :
95 BS
Ans: 2:1
Which working capital method is best suited for Seasonal Industries: Ans: Cash
96 BS
Budget Method
97 BS Benchmark Current Ratio under turn over method is : Ans: 1.25
The ideally accepted DSCR for other than infrastructure is: a) 1.75 b)2 c) 2.5 d)
98 BS
3 e) 1.50 Ans: e
If the DER of a company increases, what does it signify: Ans: Term Loan
99 BS
increased / Incurred Losses so that NW is reduced.
Excess of current liability over current assets means the firm may face
100 BS
difficulties in meeting its financial obligations in short term.

The disadvantages of a Balance Sheet are that : a) the quality of the assets
101 BS
cannot be seen, only the quantity b) the figures on a particular day are only
a aila le the age of the assets a e ot k o .. A s: All
On the basis of Turnover Method WC margin: 20% of working capital or 5% of
102 BS
103 BS Ta gi le et o th : Capital+ ese e I te gi le
In a business a person brought capital of 3 lakh after sometime he has drawn
104 BS 25000/- and for a period a profit was 120000/- from business. what is his
captial at now .: 395000
105 BS BEP : no loss no profit
106 BS Goodwill is classified: Intangible asset
IRR and NPV concepts are used in __________________ Answer: Capital
107 BS
project appraisal
For Turnover of 4 crores, with margin of 20 lakhs, what is stock value to avail
108 BS
full limit? Rs.1 crore
DSCR formula : PAT + Depreciation + Int.on TL divided by Interest on TL +
109 BS
Instalment on TL.
What is the prescribed Current Ratio norm for MPBF and Cash Budget
110 BS
method? Ans:1.33
In term loan fixed asset coverage ratio is what ? 1.33 normally. Can be
111 BS
reduced to 1.2 (for agriculture and infrastructure)
Debt Equity Ratio in case of normal takeover a/c how much min. & max. ? 2:1
112 BS
can be relaxed to other than SME 3:1 for MSME 4:1
113 BS Banks undertake BEP analysis to assess what: Margin for safety
Holding period calculation how determined : Sales, Net Sales, Gross sales,
114 BS
Credit Sales, Production: Credit Sales
115 BS Net working capital means: Current assets minus current liabilities.

116 BS For assessing Fund Based Working Capital of Manufacturing unit, upto
_______ Turnover method ( Nayak committee) is followed: Rs. 5 crore.
Which of the following is Intangible Assets (a) Stock (b) Book debt more than 6
117 BS
month old (c) Goodwill: Ans: Goodwill.
A Firm is having Current Liabilities as Rs. 36, Net Working Capital: Rs.12. What
118 BS
is Current Ratio: Ans: 1.33.

119 BS Net Profit After Tax is Rs. 110, Tax is Rs. Rs. 40, Depreciation is Rs. 50, Interest
on Term Loan is Rs. 40 and Instalment on TL is Rs. 85, what is DSCR: Ans: 1.6.
120 BS Out of the following, which is not source of current liability: a) Bill discounted
c) Supplies made by creditors c) Advance made to suppliers Ans: c.
121 BS Net working capital = Current Assets minus Current Liabilities.
Under Break Even Point analysis, what is Contribution: Sales Realization minus
122 BS
Variable Expenses
Current Ratio is = 2:1. Quick Ratio is = 1.5:1. If CA is Rs.100 lacs, then value of
123 BS
Inventory is: Rs. 25 lacs.
124 BS Sales above Breakeven point is: Margin of Safety.
Current Assets:100 lacs. Current Liabilities: 50 lacs. Quick Ratio: 1.5:1. What is
125 BS
the value of Stocks: 25 lacs.
126 BS Cash accruals means: Net profit plus depreciation.
Current Ratio is 3:1 and Quick Ratio is 1:1. If Current Asset is 30, what is the
127 BS
amount of Inventory. Ans: 20
While preparing balance sheet of a firm, closing value of stocks is inflated.
128 BS
What will be the effect: Gross Profit will increase.
Ta gi le Net Wo th TNW is al ulated as: Total paid up apital + ese es
129 BS
Intangible Assets.
Internal Rate of Return is arrived at a point where future cash flows on Net
130 BS
Present Value basis should be: Zero.
Calculate DSCR. PAT Rs.45, Depreciation Rs.15, Interest on TL Rs. 25,
131 BS
Instalment of Term loan Rs. 15: 85/40= 2.125.
Pre-paid expenses in the shape of insurance premium are classified in the
132 BS
balance sheet as ________.Current asset.
The Net Worth of a firm does not include: a) Paid up capital. b) Free Reserve.
133 BS c) Share Premium. d) Equity received from Foreign Investor e) Revaluation
reserves: Ans: (e)
If Current Assets is Rs. 60, Net Working Capital Rs.10 what is the Current Ratio:
134 BS
To repay term loan installment and interest, what is the ratio to be seen :
135 BS
In case of restructuring of advances more than Rs. 10 lacs, minimum DSCR
136 BS
should be: 1.25.

137 BS A firm transfers 75% of the Net Profit to reserve. What does it indicate
______: Substantial portion of the profit is retained in the business.

138 BS To improve Current Ratio of 2:1, what has to be done?: a) Recover cash from
Receivables b) Cash sales c) Decrease the Bills payables Ans: C
139 BS Banks undertake BEP analysis to assess what: Margin for Safety
140 BS Net working capital means: Current assets minus current liabilities.
Current Ratio is = 2:1. Quick Ratio is = 1.5:1. If CA is Rs.100 lacs, then value of
141 BS
Inventory is: Rs. 25 lacs.
142 BS
What is Net Interest Income (NII): Interest earned minus Interest expended.
143 BS At Break even point ________ cost is fully recovered : Ans :Total
For assessing Fund Based Working Capital limit upto _______, Turnover
144 BS method is followed under Nayak committee: Ans :Rs. 5 crore (Manufacturing
Which of the following is Intangible Assets: a) Stock; b) Book debt more than 6
145 BS
month old; c) Goodwill: Ans :Goodwill.
146 BS Bills Receivable is also known as: Ans :Sundry Debtor
Holding period calculation - how determined : Sales, Net Sales, Gross sales,
147 BS
Credit Sales, Production: Ans : Credit Sales.
Single bulk deposit rate of interest to be taken through MIPD,
amount 1 cr. and above
2 DEP ASBA Advantages...... Demat a/c can be in any bank
3 DEP CASA Deposits relates to: Demand Deposits.

In Basic Savings Bank Deposit Account in all their accounts taken

together and the total credit in all the accounts taken together is
not expected to exceed _____ in a year has been simplified to
enable those belonging to low income groups without documents of
identity and proof of residence to open banks accounts: 1,00,000/-
A& B are husband and wife and maintaining joint account with E or S
conditions and Garnishee order received in the name of A. Whether
5 DEP applicable: Ans: Garnishee order is not applicable, since the same is
received in individual name and account is maintained in joint
Minimum withdrawal from Currency Chest is : Rs.100000.00 and in
multiples of Rs.50000/-.

A& B are maintaining fixed deposits in their names with E or S

7 DEP condition and they have requested for addition of two name by
deleting their names: Cannot be permitted and the deposit shall be
continued with at least one of the existing depositors name.
8 DEP HNI customers are classified under : High Risk category.
Nomination which is correct?: Nominee need not sign the
nomination form
10 DEP
Maximum number of persons allowed in a SB Account: Ans: 4
Newly Opened Current Account, cheque for Rs.1.00 lakhs is
11 DEP presented. Who will pass this cheque: Ans: Manager of Branch or
CA Department Manager.
Irregular RD is : Ans: where instalments are not paid regularly but
12 DEP maintained till maturity (Discontinued RD means, default of
continuously 4 instalments)

13 DEP While issuing Duplicate Term Deposit Receipt, Stamped Indemnity

is required for an amount of : Ans: Exceeding Rs.5,000/-
What is the guideline we follow in Canara Flexi Deposit Scheme:
14 DEP
Ans: Last In-First Out principle.
While accounting Broken period FD interest, the interest is
15 DEP
accounted under: SD Interest Payable FD
All deposits accounts not operated for _____years & above are
considered as unclaimed deposits and to be transferred to HO on
16 DEP
31st December ,every year. Ans: 10 years (HO will transfer to DEAF
fund of RBI)

17 DEP An SB/CA account holder can withdraw the cash at maximum of

________ at other than base branch. Ans: Rs.50,000/-
An SB account is considered as inoperative if the customer induced
18 DEP transactions are not there in the account for a period of ___ years
or more Ans: 2 years.

The branch incharge can permit the maximum withdrawl of Rs

19 DEP
________even after closing the business hours but before the
closure of office hours . Ans: Rs.10,000/- to account holder only
How many nominees can be registered at maximum for the fixed
20 DEP deposit in case of minor . Ans: No Nomination (one nomination in
case of Guardian operated account)
The periodicity of Updation of KYC in case of High risk customers, is
21 DEP
for every ___years. Ans: 2 years.

22 DEP The closure proceedings of FD of an amount more than Rs 20000/-

should not be given in cash .This rule is as per _________ act. IT Act.
As per KYC norms, what is the periodicity for review of risk
23 DEP
categorization of customers: Ans: 6 Months
Maximum number of Withdrawals permitted per month in Basic
24 DEP Savings Bank Deposit account is ______ and maximum amount per
month: Ans: Four & Rs.10,000/-
As pe ou a k s Doo step Ba ki g he e , hat a e the eili g
25 DEP limits for Cash Pickup/Delivery: Ans: Minimum Amount of Rs.1 lakh
and maximum amount of Rs.25 lacs.
Who can open a SB NSIGSE : Ans: All SC/ST girls who pass class VIII
and Girls who pass class VIII examination from Kasturba Gandhi
26 DEP Balika Vidyalayas (irrespective of whether they belong to SC/ST) and
enroll for class IX in State/UT Government, Government aided or
local body schools
As per PMLA (KYC guidelines), preservation of records required after
27 DEP
closing the account is: Ans: 10 years
What is the minimum amount and minimum period of RD deposit:
28 DEP
Ans: Rs.50 and 6 months
What is the periodicity for updation of KYC data in respect of Low
29 DEP
Risk Customers: Ans: once in 10 years
30 DEP
What is the minimum amount in respect of KDR: Ans: Rs.1000/-
An account is considered as Inoperative if there are no customer
31 DEP induced operations in the account for a period of _____ Ans: More
than 2 years
Unclaimed deposit means, there are no operations in the account
32 DEP
for more than _____ years. Ans: 10 years
33 DEP Role of Introducer in SB account: Ans: Identification
Not valid proof of Identification a)PAN card b) Ration Card c)Driving
34 DEP
licence d)Voter Card. Ans: Ration Card
Financial Inclusion Means: Ans: Providing financial services to poor
35 DEP
at an affordable cost
36 DEP
Full form of ASBA: Ans: Application Supported by Blocked Amount
Deregulation of SB interest for which type of SB? A) SB b) SB NRE c)
37 DEP
SB NRO: Ans: SB Domestic & NRO
SB accounts cannot be opened for: Ans: Panchayathies, KV&IC,
38 DEP
Govt dept, Ans: All

39 DEP Branches to review risk categorization of customers periodidically

once in : 6 months, 15th May and 15 November
Ca ta a e Joi t A ou ts P e atu e lousu e is pe itted if:
40 DEP
Ans:When First Account holder is expired
41 DEP HUF can not be partner in: Ans: Partnership Firm
In a Co Op Organisation, supreme power vested in: Ans: General
42 DEP
NRE Deposits Premature Penalty: Ans: 1% if closed after 1 year and
43 DEP
amount less than Rs.1 crore
TDS on NND Agent: to be calculated on par with our Salaries
44 DEP
including terminal benefits payable to NND agent.
Nomination facility is available for a. Proprietorship b. Firms c. Clubs
45 DEP
d. Trust Ans: Proprietorship
46 DEP
WHICH is the address proof to be taken a. PAN CARD B. RATION
49 DEP For printing of Term Deposit option is : TD043
In SB application, for doing nomination by illiterate customer, how
50 DEP
many witness are required: 2 WITNESSES
What is the amt of Term deposit withdrawal including int. portion in
51 DEP
cash : Less than 20000/-
In TDS Provision for Professional fees, where payment exceeds :
52 DEP
Rs.30000/- in FY
As per KYC guidelines, high risk customer data is to be updated
53 DEP once in: Ans: 2 years (Low Risk : once in 10 years, Medium Risk:
Once in 8yrs)
What is the security deposit for Volunteers who deal Small Savings
54 DEP
Bank Account: Ans: Rs.10,000/-
For accepting FDR for 7 days, minimum amount should be: Rs.5
55 DEP
56 DEP No preferential rate for _____ deposit: Ans: Can Tax Saver
Deposit in two names. Both want to replace the name with their kin.
57 DEP
Allowed or not Not Allowed

58 DEP Illiterates are not eligible to open the account - CA / SB / FDR / all
the above/ None of the above Ans: None of the above.
Periodicity for updating Low risk rating Customer id is : Ans: once in
59 DEP
10 years
Politically exposed persons comes under which Risk Category: Ans:
60 DEP
High Risk
As per KYC Guidelines, Records of transactions to be maintained for
at least ten years from the dateof transaction, instead of
61 DEP _________from the date of cessation of transactions, and records
pertaining to identification of the customer and his address to be
preserved for at least ten years after the business relationship is
ended. ( Cir 328/2009) Ans: ten years
In our Bank, SB interest is credited half yearly as on: (Cir 130/2011)
62 DEP
Ans: 1st February, 1st August.
63 DEP
Cantax saver who are eligible for preferential interest: Nobody

64 DEP KYC optio s . Details kept se et . Not fo use of oss u e

products 3. Can be used for cross currency producs 4. None Ans: 2
65 DEP Nomination notaion on pass book : nomination registered
66 DEP
Security Deposit amount from Business Correspondent Rs.10000/-

67 DEP In which of the following cases cash handling charges applicable at

Base branch for transactions above Rs.1 lakh: CA, OD, OCC
For Cancellation of Nomination Facility, the application form is: DA
68 DEP
As per Government of India Guidelines, SB account can be opened in
69 DEP
the following case: SHG
Fee payable to Banking Correspondant for opening Canara Saral SB
70 DEP
account: Rs.10/-
71 DEP Form 16A will be given by employer before: 31st May
Penal Interest waived in case of Priority Sector Advances upto Rs.:
72 DEP

73 DEP SB account closure before 1 year. Charges not applicable in case of

a) Account Transfer b) Death of customer c) All Ans: All

74 DEP NNND a ou t olle tio hat is the pe da eili g fo pa e t

of NNND age t s o issio : s. /- pe a ou t pe da
75 DEP KYC norms for :: Identification of the customer
Overdue domestic Term deposit is encashed. What is the interest
76 DEP
applicale: Ans: SB rate of interest
Record of AML / KYC documents should be kept for _______
Answer: 10 years from the date of cessation of relationship(Account
77 DEP
opening related) and 10 years from the date of transaction (for
transaction related).
RFC Term Deposit : Minimum and Maximum period: 1 Month & 3
78 DEP
Periodical updation of customer data as per KYC guidelines: Ans:
79 DEP Low Risk once in 10 years and Medium Risk:Once in 8 years, High
Risk: 2 years
As per PMLA rules, in case of Non Customer Transactions - either
80 DEP single or series of transactions exceeding Rs_______ and above are
subjected to Due Diligence : Ans: Rs.50,000/-
Maximum withdrawals under SB and charges if exceeds the limit:
81 DEP Ans: 50 withdrawals per half year free of cost. Exceeding 50,
charges of Rs.5/- per withdrawal min.Rs.10/-

For Ex-employee Senior citizens (60 years and above), an additional

interest rate of 0.50% over and above their eligibility for preferential
82 DEP rate of 1.00% (as detailed in Cir.15/2009) , is to be extended for
domestic term Deposits of less than ______________, in the
maturity slab of _____________ and above. (Cir.218/2010) Answer:
Rs.1 crore // 5 years.
Auto Renewal of Deposit exempted (not applicable to): Minor /
Encumbered deposit / Instruction otherwise given by party / All the
83 DEP
above. Answer: All the above. (now non-callable deposits also
RD minimum period and multiples thereof: answer: 6 months and 3
84 DEP
Deposit closed before maturity before completion of 46 days. What
is the applicable rule? (a) Penalty 1% (b) Penalty 2% (c) No penalty
85 DEP
d OI fo pe iod u % A s e : . F o Fe . , pe alt
@1% applicable)

In addition to the legend ______, the name of the nominee should

86 DEP
also be indicated on the face of the passbook/statement of a/c.
Ans-Nomination registered (87/2009)

In case of automatic renewal of domestic term deposits on due

dates a k has to _______ : e e the deposit. A s o eed to
87 DEP
issue new deposit receipt, particulars of renewals are to be
furnished on the reverse side of existing receipt. If customer insists
for renewed deposit receipt, it can be prepared. (243/2009)
Under KYC norms, risk categorization of accounts should be carried
88 DEP
out ___ Ans -Half yearly (119/08)
will be given free of cost and Rs.____ per cheque book can be given
89 DEP in addition. Ans -10, 10 (233/06 )Now this is changed and Basic SB
Deposit and 4 withdrawals per month hence, upto 48 leaves per
annum can be issued.
No eside t o di a a s a e ope ed as _____A s u e t a/
90 DEP
B, D, FD
There are 3 trustees- A, B,C and operation condition of the accounts
severally, then B has issued Rs.50000 in the trust a/c in favour of
91 DEP
personal a/c of B. What is the position of banker? Ans- yes, banker
can pass the cheque
The objective of no-frill accounts is ___.Ans- to achieve financial
92 DEP
Withdrawal of cash from operative SB & CA upto Rs.50000/- per
93 DEP occasion can be extended to _______ , at other than Base Branch.
Ans: Account Holders (254/2009 , 432/2009 ).
Payment of interest on savings bank accounts in our Bank would be
made on a daily product basis with effect from April 1, 2010 at
94 DEP
___________ intervals. Cir.82/2010. Answer: H/Y. 1st February and
1st August of each calendar year.
Withdrawals above Rs.15000/- through WOF shall be authorized by
95 DEP the following authorities: In large branches - (Cir.13/2009) Answer:
Branch-in-charge or Line Manager.

A Savings as well as Current account should be treated as

96 DEP
inoperative / dormant if there are no transactions in the account for
a period over _______ years. (Cir.378/2009) Answer: Two.
97 DEP
What is the minimum amount for FDR for 7 day? Answer: 5 lac

98 DEP FDs and KDs are to be automatically renewed on the due dates for a
_____________ as per original application. Answer: similar period
Who can give Nomination for minor account? Answer: Lawfully
99 DEP
appointed guardian.
Cash Withdrawal is permitted to the account holders (including
NRO/NRE) / third parties at all CBS Branches. As per the same,
uncrossed cheques drawn favouring payee upto a limit of
100 DEP
______________ per occasion can be permitted. No loose leaf
facility to be permitted. (Cir. 254/2009 & 432/2009) Answer:
A person wants to open a joint account with his wife in such a way
that the account can be operated by him only during his lifetime and
101 DEP
she should be able to operate the account only after his death :
Former or Survivor or No.1 or survivor
An NRI can open a joint account with a resident in case of -----
accounts : Non-Resident Ordinary Account.(Now NRE also can be
102 DEP
opened jointly with resident close relative with condition of
repayment Former/survivor or No.1 or survivor)
103 DEP
Interest rate in Savings Bank is fixed by : RBI (now - deregulated)
104 DEP Minimum amount for Can Tax Saver Scheme is : Rs.100/-
105 DEP What is the period of KDR : 5Months -120 Months
106 DEP
Minimum balance in Current account in Rural area is : Rs.1000

107 DEP An account will be treated as inoperative if no customer induced

transaction in account is there for a period of : More than 2 Years
A Current Account holder can be issued maximum number of
108 DEP
cheques in a year: No Maximum Limit.
How many risk level Customers under KYC: LOW RISK, MEDIUM RISK
109 DEP
Form 60/61 collected during half year ending September has to be
110 DEP
sent to Income Tax authorities by: October 31st.
Form to be submitted for non deduction of TDS by general public:
111 DEP
In which account we should not permit TOD for passing FTVs: Ans:
112 DEP
NRE account
Under KYC norms, to open SB account, party has given Identity
113 DEP Proof, Address Proof, Introduction. Which one is needed apart from
above: Ans: Photograph
Under KYC photographs are taken for the purpose of: Identification
114 DEP
and to avoid Benami accounts
What is the minimum period and maximum amount in case of
115 DEP Recurring Deposits? Ans:- Minimum period : 6 Months , No
Maximum amount prescribed.
SB A/C opened on 01-12-08. Cheque book was issued on 10-12-08.
Two cheques dated 07-12-08 & 18-11-08 were presented for
116 DEP
payment on 15-12-08. What should the bank do: Both Cheques will
be paid, if otherwise in order.

117 DEP Financial inclusion is meant for what ? Providing Banking facility to
the disadvantaged group of people at affordable price.
What is the penalty for making cash payment of Term Deposit
118 DEP exceeding Rs.20,000/- ? Ans: Fine up to Equal Amount of cash
While making payment to professionals what is the cutoff limit for
119 DEP
deducting TDS :Rs. 30000/-

What is the penalty for non submission of form 60/61 to Income tax
authorities & when it should be submitted? Form 60/61 is to be
submitted to IT authorities of the concerned region, once in 6
months ie upto March in April and upto September in October.
120 DEP
Form 60/61 to be obtained in duplicate. (Cir no.104/2007,
156/2008). It is not necessary to submit form 60/61 obtained for
opening SB/CA. As per Section 272 b of IT Act 1961, failure to
comply with provisions of submission of form 60/61 shall attract
penalty of a sum of Rs.10,000/- (cir 156/08)

What is the special feature of No Frill Account: Ans: a) Nil and

121 DEP
minimum opening balance b) Low and minimum service charges c)
High rate of return d) a & b above, e) all the three above. Ans: A
Single Deposit for preferential rate, the quantum is ____ Ans: Rs.1
122 DEP
As per KYC guidelines, the periodicity of obtention of photograph
and latest address proof for Low Risk Customers is ____ and
123 DEP
Medium and High Risk Customers is _____ Ans: 10 years, 8 years, 2

124 DEP Overseas / Correspondant banks /A Category branches can permit

Overdrawings upto _______ limit in USD. Ans: NO SUCH LIMIT.
Under Canflexi deposit scheme, sweep in, sweep out is done for
125 DEP Rs.____ and in multiples of Rs.____ Ans:Above Rs.15,000/-, in
multiples of Rs.1000/-.
126 DEP In Can Champ, the age group below _____ and the minimum
balance for opening the account ______ Ans: 12 years, Rs.100/-.
One of the unique feature of Can Tax Saver scheme is ___ Ans: No
127 DEP
closure before maturity.

An inoperative account is one in which there have been no

128 DEP
ope atio s fo .a o e tha ea s ea s o o e oe
than 10 years d) 10 years or more e) none of the above Ans: A

Wherever the threshold limit is exceeded in a deposit account, there

will be alerts. These alerts will not be there if: a) the amount is
129 DEP
exceeded b) the nature of payment is inconsitent with the type of
account c) a series of transactions has resulted in this..d)
transactions with whom being done Ans: d
C A/c opening in Rural / Semi urban Min Rs. 1000/- Urban Min Rs.
130 DEP
U de Ca a a upe ala a i gs a ou t i i u of
131 DEP
accounts are to be opened.

A & B have open FD with bank and nominate son C &D. After some
132 DEP time they come and request to Branch manager to Change with
name of C & D in place of A & B : Ans:Manager can'nt consider the
request. Atleast 1 original name should exist.
Cantax Saver which is not correct : Min 1000/- ( Ans : Min 100/-
133 DEP
A lady deposited Rs.25000/- and obtained loan of Rs.10000/- on the
134 DEP deposit. She wants to add the name of her son in FDR.: cannot add
before the repayment of loan.
Joint A/C of ABC , C dies operation either or anyone: payment only A
135 DEP
136 DEP RD can be opened max. Period: 120 months
A blind minor aged 15 years can open which of the following
137 DEP accounts? (a) Fixed deposit, (b) RD, (c) SB without cheque book : (d)
All the three. Answer: All the three.
Depositor dies and the nominee has which of the following
option/s? (a) to close the deposit (b) substitute his name in the
138 DEP
deposit (c) To give a valid discharge for the deposit (d) Raise a loan
(e) All the above. Answer: All the above.

Reporting to FIU is required under which of the following? (a) KYC

139 DEP
guidelines (b) AML Guidelines (c) Willful defaulters (d) Frauds
involving staff (e) Frauds not involving staff. Answer: (b)
For non deduction of IT on Term Deposits of Senior Citizens, which
140 DEP
form we have to obtain? Ans: 15H
141 DEP What is minimum deposit amount under RD? Rs.50/-
What is the minimum period for a customer deposit of Rs.2 lakhs ?
142 DEP
Ans.15 days
Mimimum age for opening Canchamp account? Zero days to 11 y
143 DEP
364 days
144 DEP Minimum amount of KDR: Rs.1000/-
145 DEP
Maximum deposit amount under Cantaxsaver : Ans Rs.1.5 lakh
146 DEP
Deposit ate E ha e e t/edu tio ho ? A s: Ou Ba k
147 DEP Maximum period of RD : 10 years(6 m to 10 years)

148 DEP Canchamp - withdrawl of amount: Only using as margin for EL. If
party withdraws amount, he is not eligible for EL under the scheme.
What is the minimum balance for SB in Urban Areas without cheque
149 DEP
book : Rs.1000/- (with or without cheque book)
Cantax saver deposit in joint names. What is the repayment clause?
150 DEP
Ans:Either or Survivor /Former or Survivor or Both.
By oversight, a bank has paid FD with maturity value of more than
Rs.20,000/-. What is the penalty to banker under IT act ie payment
151 DEP
of penalty or imprisonment? Ans: payment of penalty only ie equal
to payment amount.
A Trust is having 3 lakhs deposit. Trust Deed is silent about raising
152 DEP loans. Trustees want loan of Rs.2 lakhs on this deposit. Will you
grant? NO
Withdrawl form of Rs.15,000/- in Small/medium branch. Who has to
153 DEP
pass the cheque? Ans: Branch Manager
Under Canchamp, what is the minimum initial deposit amount and
154 DEP what is penalty for non maintenance of minimum? Ans: Rs.100/-
and no penalty
In pensioner's SB a/c if joint, what is the operation conditions ?
155 DEP
Former or survivor
In SB joint a/c whether 2 nominations as permitted ? No. Single
156 DEP
nominee only.
157 DEP Cantax Saver Scheme whether loan can be given or not ? NO
I Ca Cha p i ase of u a & et o a ea the a ou t of deposit
158 DEP
? Rs.1000/- per 6 months, minimum 2 credits.

159 DEP What is the responsibility of introducer of fraud occurred after 2

months of a/c opening ? To identify the depositor only.
160 DEP KDR min & max period ? Min.5 months, max.120 months.

A Saving Bank account is being maintained in the name of Raj

Bahadur. The account holder informs you that he has issued the
161 DEP
cheque but has signed as R.Bahadur. On checking the account you
find that the cheque has already been paid. What is the legal
position of the Bank: Bank is not liable as he has acknowledged.

Within how many days reports are required to be sent to financial

162 DEP intelligence unit as per KYC guidelines?: Cash Transaction Report
within 15 days from the close of month and Suspicion Transaction
Report within 7 days of identifying suspicious transaction
Banks can accept FDRs under tax saving scheme upto a maximum
163 DEP
amount of Rs. ________ : 1.5 lac
A Savings as well as Current account should be treated as
164 DEP inoperative / dormant if there are no transactions in the account for
a period over _______ years: Ans: Two.
As per the present practice, maximum number of persons who can
165 DEP
open Joint Saving Bank account: 4.
A Recurring Deposit account becomes irregular in case ______
166 DEP
number of installments become irregular: 4.
In the case of a fixed deposit in the name of an individual, in which
nomination has been made, can the nominee renew the FDR in his
167 DEP
name before maturity of term deposit: He can take premature
payment of FDR.
Signature on Nomination form is to be attested by: a) one witness b)
168 DEP t o it ess Not e ui ed: Not e ui ed o l Thu i p essio
to be witnessed).
I the Joi t a ou t, ith ope atio al a date of eithe o
169 DEP su i o , I o e Ta Atta h e t O de e ei ed i the a e of
one of the account holder will _______: 50%.
Deregulation of deposit rates: All deposits (NRE,FCNR ceiling rate
170 DEP
prescribed by RBI)
Savings as well as Current account should be treated as Inoperative
171 DEP / Dormant if there are no transactions in the account for over a
period of _____: Two years
In case of illiterate account holders, branch to obtain _____
172 DEP
witnesses while accepting nomination: Two

173 DEP What is the li it fo a i u pe issi le ala e u de o f ills/

asi sa i gs a k deposit a ou t s he e? A s :s. ,
A & B wants to change both their names with their sons in a deposit
174 DEP a/c: Ans :Not permitted; one original depositors name must
175 DEP No frills account is for what: Ans :Financial Inclusion.
Can we accept any Deposit beyond 120 months maturity: Ans :No
176 DEP
e ept ou t o de fo i o s deposits.
Regarding SHG -number of members: Ans : 10 to 20 members. (In
177 DEP
case of handicapped 5 to 20).
1 FX In FCNR (B) Exchange risk is borne by : Ans: Banks
As per Liberalised Remittance Scheme, Resident Individuals can
remit upto USD ________ per financial year for any permitted
Current or Capital Transactions or both. Ans:Now enhanced to USD
2 FX 2,50,000 in Feb 2015
Unspent Foreign Exchange brought back by Resident is to be
surrendered to Authorised Dealer with in ____ days: Ans: 180
3 FX days
FCNR(B) is opened in _____ currencies: Ans: 5
Why Selling rate of Foreign Currency is higher than Traveler
5 FX Cheque : Ans: Holding cost of currency is high
What is Nostro Account: Ans: Account of an Indian Bank with
6 FX Foreign Bank
Export Bills should be realized with in a period of_____ from the
7 FX date of export. Ans: 9 months
What is the rate of Interest payable on EEFC account: Ans: No
8 FX Interest. Only Current Account
Upto what percentage of export proceeds can be credited to EEFC
9 FX account : Ans: 100%
An account of Foreign Correspondant Bank with a Bank in India in
10 FX Indian Rupees is called as: ans: Vostro Account

11 FX Latest version of Exports & Imports guidelines. Ans: UCP 600

12 FX Import, Export rules governed by: Ans: FEMA

Interest Rate on FCNR(B) deposits should not exceed: Ans: LIBOR

for concerned currency for corresponding maturity plus
13 FX 200bps(Upto 3 year) and LIBOR +300bps (3-5 years).
Import transactions are to be completed normally within 6 months
14 FX from the date of : shipment.
Realisation period of export bills in respect of units situated in SEZ
15 FX is : 12 months from the date of export.
Retention of foreign currency and FCTCs after the return from
abroad for tourists is stipulated as : USD 2000/- irrespective of the
16 FX period.
Exports made by Customs Office which is not computerized and the
17 FX declaration form used by them is called as : EDF
18 FX Star export House : Previous 2 years turnover : Rs.20.00 cr
Direct rate for quoting exchange rate : Foreign currency will be
19 FX base currency and will remain the same.
UBEIMAE FIDEI ea s: Co t a t i ut ost good faith:
20 FX Insurance
As per UCP 600, number of days permitted for scrutiny of
21 FX documents while accepting Bills: Ans: 5 banking days

What is the exchange rate applicable for export proceeds that are
22 FX credited to NOSTRO account for USD 37500: Ans: TT Buying Rate
In an Exchange Quotation, the rate is mentioned as USD 60.61/63.
23 FX What rate you Buy: Ans: 60.61

A Forein Traveller is travelling into India. What is the maximum

Forex the traveler can carry without declaration in Currency
24 FX Declaration Form: Ans: Less Than FC$5000 or FC&FCTC$10000.

What is the maximum permissible amount of outward remittance

25 FX per annum by NRI from his NRO account: Ans: 1 million dollars
26 FX Internationally LCs are governed by: Ans: UCPDC
27 FX As per UCP 600, beginning of month means: Ans: 1st to 10th

28 FX Whether US citizen visiting India can open NRO account: Ans: Yes
29 FX EEFC account can be opened as: Ans: Current Account Only
Foreign Currency brought to India by a Resident has to surrender to
30 FX AD with in a period of: Ans: 180 days
P e hip e t edit Co essio al ate of I te est fo : A s:
31 FX days
As per UCP 600 if quality is not mentioned, what is the tolerance
32 FX level: Ans: Not applicable

As per FEMA guidelines ,an Indian citizen will get NRI status ,if he
33 FX stays abroad for more than _______days . Ans: 182 days

Branches may renew overdue NRE term deposits from the date of
maturity ,if the over due period is ____days or less provided the
renewed NRE deposit should run a further period of one year more
from the date .Ans: NIL. SB rate of int.for overdue period and
34 FX renewed for min.1 year from the date of presentation.

Form A1 is required for import exceeding :Ans: $ 5000 (Now

35 FX branches are auhorised to accept declaration in lieu of A1)

What is the minimum and maximum amount for NRE FD / KD

36 FX ___________ Ans: Min.Rs.1000/- No Maximum prescribed.
A person can keep foreign currency after return from abroad for
how many days with them.Ans: 180 days (upto $2000 can keep - no
37 FX restriction)
AD can endorse the passport for the foreign currency ----------
38 FX US$.Ans: 3000USD
NRI deposit closed before minimum maturity period of 1 year, in
case of death of the depositor :what will b the branch action.: Ans:
39 FX No Interest payable
Max time period of FCNR term deposit: Ans: 3 years (AUD, CAD)and
40 FX 5 years (USD, GBP,Euro)
Under UCPDC 600 what is maximum number of days allowed for
examination of documents by issuing bank and negotiating bank?: 5
41 FX banking days each.
How the RBI conducts open market operations : selling forex in
42 FX open market, selling govt sercurities, etc Ans: Selling forex
What is the meaning of beginning of month as per UCPDC 600 : 1st
43 FX to 10 th of the month
FCNR accounts can be opened in (all convertible currencies): In our
Bank, only 5 currencies are permitted ie USD, GBP,

Commission on import bills for collection in foreign currency or

45 FX rupee bill: 0.15% of the bill amount min 1000. Max 5000/-
46 FX EEFC in the form of: Current Account Only
47 FX Exchange rates of determined by: Ans: Market Forces
VSL against NRE term deposit, what is the maximum amount: Ans:
48 FX No Ceiling
In the context of FEMA, transactions undertaken by resident
individual that do not alter his account including current a/c
outside India is : fixed ac transaction (a) capital a/c transaction
(b) blocked a/c tr. C. current a/c tran., d. floating a/c transaction.
49 FX Ans: Current Account Transaction

50 FX Minimum period of NRE Term Deposit is: : 1 yr (max.10 yrs)

51 FX VSL against NRE term Deposit can be granted upto : 90%
If NRE term deposit is closed before completion of 1 year, ____
52 FX interest will be paid: Ans: No Interest paid
XOS statement for the purpose of: Ans: Follow up of Overdue
53 FX Export Bills
Approval of ECGC required for extension of PC beyond-------days.
54 FX 270 days
55 FX Importer Exporter Code is allotted by............DGFT
56 FX I po t ill o issio : . % ....Mi ... ....Ma
57 FX Difference between Import and Export.... Balance of Trade
Export bill rate.......... When LC provide for TT Reimbursement
58 FX TT Buying

59 FX Which Act regulates Foreign Currency Transactions . FEMA

Pre-shipment Credit 50 Lacs. Finance to be computed on......basis.
61 FX ECGC Exposure............Risk Weight 20%
A Foreign tourist having USD5000 want to open a deposit, what
type of deposit he can open with your branch? NRO for a maximum
62 FX period of 6 months
63 FX OI pa i g o FCN [B] is li ked ith LIBO ate

Unspent foreign currency has to be surrendered to AD with in how

64 FX many days after coming from foreign trip. Ans: 180 days

Resident while returning from abroad how much amount need not
surrender in Foreign Currency or coins or TC? No Limit . If FC
65 FX exceeds USD 5000 or TC exceeds USD 10000, CDF is required.
Export proceeds if getting overdue reversing the same by debiting
66 FX account is called : Ans: Crystalization

With in how many days an Export Bills for negotiation to be submit

67 FX to the banker after shipping of goods? Ans: with in 21 days
UCDPC means: Uniform Systems and Procedures for Documentary
68 FX Credit
R-return to be submitted in periods: Ans: Fortnightly ie on 15th
69 FX and month end.
FCNR can not be opened in which currencies: USD, AUD, GBP, Yen,
70 FX Singapore Dollar Ans: Singapore Dollar.
Liberalised Remittances Scheme: Remittance abroad without
specific purpose per financial year: ____________for any current
or capital account transaction or combination of both. Ans: US$
71 FX 2,50,000 (w e f Feb 2015)
Concessional Rate applicable to exporters under the Gold Card
72 FX Scheme. Ans: Up to 365 days
Who are eligible for preferential rate of interest under NRE
deposits: a) Staff b) Senior citizen c) Staff cum Senior Citizen d)
73 FX none of these Ans: None of these
Resident while returning from abroad can retain Forex Coins
without any ceiling. However foreign currency upto ________ only
74 FX can be retained by resident. Ans: USD 2000
Post-shipment Advances against Duty Drawback Entitlements:
Eligible for concessional ROI and refinance from RBI up to a
maximum period of ________from the date of advance. Ans: 90
75 FX days
Under UCPDC, if no mention about insurance quantum, what is the
76 FX insurance amount: Ans: 110% of FOB value
ECGC Prior permission is required for negotiating bills in relation to
77 FX exports to : Group II Countries
ADVANCE REMITTANCE FOR IMPORTS : What is the normal period
of realization from the date of shipment of goods a) 90 days b) 180
78 FX days c) 270 days d) 365 days Ans: b
The powers to permit negotiation of bills drawn under LC on
'without recourse' basis:(Cir 44/2010) Ans: No authority can
permit negotiation of bills drawn under LC on 'without recourse'
79 FX basis.
80 FX Gold card holder stand by credit : 20%
Usance bills under rupee postshipment credit period of advance:
81 FX 365 days
82 FX What type of account can be opened under EEFC :CA only
Eu o Cu e he ue pa a le i Ge a /F e h What is the
83 FX collection period : 21 days
84 FX Risk Weight on claims on ECGC : 20%
In Bill of Lading, it was metioned that Goods not in good condtion,
85 FX etc. This BL is called as: Claused Bill of Lading
86 FX Maximum period of NRE and FCNR : 10years and 5years
For education purpose, what is the maximum eligible amount for
87 FX remittance abroad, without evidence: USD 2.5 lac
Which (NRI) account can be opened jointly with resident : NRO
(now NRE also permitted along with close relative of NRI on
88 FX Former or Survivor clause basis)
Crystallization of Export Bill : Converting Foreign Liability into
89 FX Rupee Liability
Our Account in Foreign Currency maintaining abroad is called as:
90 FX NOSTRO account
Rate of Interest to be charged on Loans against FCNR/NRE deposits
in Rupees, wherein repayment is by way of inward remittance or
proceeds of NRE/FCNR deposits: 2% above deposit rate/Base rate
91 FX +0.5% whichever is higher
92 FX NRO deposits can be opened in : SB, CA, RD, KDR,FDR : ALL
What is XOS statement: Overdue Export Bills (outstanding for
93 FX more than 6 months)
NE deposit i i u a d a i u pe iod: Mi . ea , a .
94 FX years
95 FX R Return periodicity: Fortnightly
As per UCP 600, the term first of the month means: First day to
96 FX 10th day of the month
Upto what percentage of Inward Remittances can be credited to
97 FX EEFC account: 100%
Interest on NRE Term Deposits: Ans: now it is deregulated by RBI
wef Dec 2011. Individual banks can fix their own rate, but not to
98 FX exceed interest rates of domestic deposits

Immediate Credit of clean instrument without waiting for proof of

99 FX pass sheet credit (other than Dollar ): Ans: USD 10,000

100 FX Unspent forex to be surrendered to AD with in: Ans: 180 days

Waiver of Status Report for Foreign Buyer ( in exports) without LC :

101 FX Ans: DA Basis : Rs.10 lakhs, DP Basis: Rs.20 lakhs
Encashment of Foreign Currency for Residents and for foreign
tourists/NRIs, by way of cash payment: Ans: US$1000 for residents,
102 FX US$3000 for foreigners/NRIs
Rupee export credit Interest subvention : Now Interest subvention
103 FX enhanced to 3%
Post-shipment Advances against Duty Drawback Entitlements:
Eligible for concessional ROI and refinance from RBI up to a
maximum period of _____________ _____ from the date of
104 FX advance. Answer: 90 days.

upee Post-ship e t E po t C edit Pe iod: I ase of usa e ills,

credit can be granted for a maximum duration of
______________days from date of shipment inclusive of Normal
105 FX Transit Period (NTP) and grace period, if any. Answer: 365.
The o ds a out o app o i atel is used i o e tio ith
the amount of the credit or the quantity or the unit price stated in
the credit are to be construed as allowing a tolerance not
exceeding _____ _________ than the amount, the quantity or the
106 FX unit price to which they refer. Ans: 10% more or 10% less.
RFC account can be opened in which currencies ---Ans: USD GBP

The rate of interest on FCNR(B) is ____ Ans : LIBOR /swap rate +

200 Basis points for maturity upto 3 years, LIBOR/Swap Rate + 300
108 FX bps for maturity from 3 to 5 years.(wef 01-03-2014)
For scrutiny of documents under L/C covered by UPC600 the issuing
bank/negotiating bank would have _____ as reasonable time
109 FX pe iod A s a ki g da s
Unspent Foreign Exchange of $ 2000 to be surrendered to Bank
within _____days. Ans: Need not be surrendered. Resident can
keep USD2000 with him. Beyond USD2000, it has to be
110 FX surrendered to AD within 180 days.
For purchase of FC notes and FCTCs from customers for any
amount in excess of USD __ to USD __ the identification
documents are to be verified and a copy to be retained. Ans -200-
111 FX 2000 (ID 22/2008)
Duty drawback credit available under ______Ans-post shipment
112 FX credit
The relief on interest on rupee export credit is available upto ____
113 FX days. Ans 270 days (322/2008)

What is meant by crystallization? Import crystallization rate?

Answer: Delinking // Crystallization of bills (import or export)
means delinking the forex element in the bill and converting the
same into Indian rupees. Crystallization of import bills to be done at
bills selling rate (Forward sale rate if FS Contract was put through
by Importer). Delinking of export bill has to be done on 15th day
after normal transit period in case of sight bill. 15th day after
notional due date /actual due date in case of usance bill. On the
114 FX date of delinking of export bill, the rate applied is TT selling rate.
115 FX R Return submitted to RBI on Answer: Fortnightly
Liberalized Remittance Scheme (LRS) For Resident Individuals: RBI
has enhanced the limit to USD _____________, per financial year
for any permitted current or capital account transaction or a
combination of both. Answer:now it is enhanced to USD2,50,000 w
116 FX e f Feb 2015
What is Nostro account? Answer: Our Account with Foreign Bank in
117 FX Foreign Curency
EEFC up to ____% of foreign exchange earnings can be placed in the
118 FX account. (ANS: 100 %)
E ash e t of UD Photo opies of ide tifi atio opies
should be kept for (1 yr/6 months/2 year) Answer: One year. The
following is as per ID Cir22/2008. For encashment of foreign
exchange between USD 200 and USD 2000 or its equivalent, the
photocopies of the identification document should be maintained
for one year and till the completion of the statutory audit of the
branch/office. For encashment of foreign exchange in excess of
USD 2000 or its equivalent, the photocopies of the identification
document should be maintained for a minimum period of five
119 FX years.
What is maximum limit for remitting funds under liberalised
remittance scheme : enhanced to USD 2,50,000 with effect from
120 FX Feb 2015
Maximum amount of cash that can be accepted for issue of foreign
121 FX currency at present is :Rs.50000
As per current guidelines, the maximum amount of loan that can be
g a ted agai st FCN B deposit e eipt is : No Ceili g
122 FX following usual margin.

123 FX In the case of FCNR (B) deposits, the exchange risk is born by : Bank
The R Returns are submitted by the banks to RBI on : Fortnightly
124 FX basis
NRE A/C holder can open which type of accounts: SB/CA/RD/FD :
125 FX ALL.

NOSTRO Account means: Our account with you(Account of a bank

126 FX operating in India with a banker abroad in foreign currency).

Why buying rate in case of foreign currency is worse than rate in

127 FX case of buying cheques: Because holding cost of currency is high.
As per current guidelines, the maximum amount of loan that can be
granted against FCNR (B) deposit receipt is :no ceiling, but follow
128 FX normal margin requirement.
129 FX Packing Credit can be given to : Ans: Exporters
In case of ECGC what is the premium payable as per new guidelines
130 FX : O e o th s p e iu i ad a e i /
In case of Adhoc limit granted in PCFC account additional ROI to be
applied is ? No Additional Interest for ad hoc limits of export
131 FX finance.

Who can open NRE account? Answer: NRI, NRIO (foreign born
132 FX spouse jointly with NRI Spouse), Students going for studies abroad.
In case of FCNR a/c when the Interest is compounded for deposit
133 FX above 1 year ? Ans:- Once in 180 days.
As per UCPDC -600 what is the standard time for examination of
134 FX documents? Ans:- within 5 banking days.
Who is resident Indian? Ans: A person who was in India during the
135 FX financial year for 182 days or more.
Pre-shipment export finance @ concessional rate of interest can be
136 FX extended up to a period of _______ days? Ans:- 270 days.
As per recent RBI guidelines, Pre Shipment Credit can be extended
137 FX upto ___ days: Ans: 270 days

ECIB default reporting period is _____ from the date of Recall or

138 FX ______ from extended period. Ans: 1 month, 4 months

Receivables in terms of export bill negotiated under LC shall be

treated as: a) Current Liability b) Non Current Asset c) Current Asset
139 FX d) Fixed Asset e) Contingent Liability Ans: C
The release for Foreign Exchange for medical expenses abroad is
140 FX USD _____ without medical proof. Ans: 2.5 lakh

In case of NRO free transfer of funds from the sale of properties,

141 FX the limit is _____ per annum: Ans: 1 million dollars
Rupee Denominated subordinated debts should have maximum
maturity period _____ and minimum maturity period _______ .
Ans: Minimum maturity:5 years Maximum: Perpetual(no maturity
142 FX prescribed
Under UCP 600, what is the tolerance limit of Quality, if not
143 FX specifically mentioned: Ans: +/- 5%
Fixed deposit of more than 15 lacs under NRO . Min. period of
144 FX deposits da s

Bill of lading to be submitted within 21 days : if date of shipment is

145 FX 28th Sep 08, documents to be tendered on or before 19th Oct 08.
ECGC gives policies covering Post shipment Credit for a maximum
146 FX pe iod of.da s A s: ea .
In case of FCNR (B), the exchange risk is borne by : Concerned
147 FX Banks
Under UCP 600, a maximum of ___ are allowed for scrutinizing the
148 FX documents. Ans: 5 days
Full Convertibility means: Convertibility means the ability of the
domestic residents to convert the local currency to any foreign
currency at will / freedom to convert local financial assets into
foreign financial assets and vice versa at market determined rates
149 FX of exchange
The concession offered to Gold Card Exporters in interest is: NIL at
150 FX present.
151 FX PCFC - Refinance - Not available
Good exporters where series of pre shipment credits without LC :
152 FX hat is the fa ilit u i g a/ fa ilit
153 FX For export finance on the basis of : FOB value
154 FX In which a/c loan is not granted : RFC
155 FX Unspent TC/FC surrendered: 180days
156 FX Highest rate in FC: GBP
157 FX FCNR Max period: 5 yr.
158 FX B/L will be stale : 21 days
159 FX Indirect rate in FC : Rupee fixed, FC variable
If loan granted in FC, and currency is fluctuating, what type of risk:
160 FX Market Risk
For opening RFC account, what is the minimum period for which a
person should be NRI? Answer: Earlier he should have been a NRI
161 FX and became resident on or after 18.4.1992.

What is the extent of refinance available from RBI in respect of

162 FX PCFC? Answer: No refinance is available from RBI for PCFC.
What is the extent to which Exim Bank provides refinance for
163 FX project exports? Answer: 100% (To be checked)
What are finances under Preshipment finance? (a) Procurement of
raw materials, (b)processing, (c) warehousing (d) Packaging (e) All
164 FX the above. Answer: (e)

What are all Post shipment finance? Answer: Sight bills demand
bills / Discounting of usance bills on other than deferred payment
terms: usance bills /Discounting of export bills under export for
stock and sale through warehouses abroad /Discounting of export
bills under deemed exports as per RBI directives / Post supply
advances, Under duty draw back /Advance against retention money
/Undrawn balance, /Deferred credit / Consignment exports to CIS
and east EUROPEAN countries / Consignment exports RUSSIAN
165 FX federation against repayment of state credit in rupees / Gold card
What are the two new currencies added for accepting FCNR?
166 FX Answer: Canadian Dollar and Australian dollar
As per UCP-600, what is the new clause added under force
ajeu e? A s e : A ts of te o is . Fo e ajeu e ea s a ts of
god, which are beyond the control of exporter / importer, natural
167 FX calamities, etc.

For which of the following TT Buying rate is NOT applied? (a)

Payment of a DD drawn by a Correspondent Bank, (b) Cancellation
of an Outward remittance, (c) Purchase of a FCNR deposit (d)
168 FX Cancellation of forward Purchase contract. Answer: (d)
Interest Concession on Gold Card Export Credit : Ans:Now no
169 FX concession.
170 FX FCN B a i u pe iod : & ea s

Who is NRI? Who is not resident. Resident who resided in India for
171 FX more than 182 days during preceding financial year.

NI joi tl ith eside t What t pe of a ou t? A s:NO o

172 FX NRE &FCNR also permitted along with close relative of NRI)
173 FX Exchange Risk in FCNR(B) borned by whom? Ans: Bank
174 FX EEFC hi h a ou t to e ope ed? A s: CA

175 FX Maximum period of NRE term deposits : now enhanced to 10 years

176 FX What types of accounts can be opened under NRO? SB,CA, TD
Foreign Currency brought to India. In how many days it has to be
177 FX encashed? Ans: 180 days
Foreign Currency buying rate is on lower side. Why? Due to high FC
178 FX maintenance/holding cost
179 FX PCFC percentage of refinance: No Refinance
What is liability of drawer under Bills of Exchange : Ans: Always
180 FX Primary

It is e tio ed that hip e t of goods ill take pla e a ou d th

181 FX Ju e . What does it i di ate? + / - ale de da s ef:UCP
182 FX Under FCNR(B) how many currencies are accepted? Ans:5

183 FX EEFC entitlement of foreign currency upto what percentage ? 100%

What is the last date of shipment if the date is 31st March ? We
should receive documents within 21 days from the date of
184 FX shipment.

185 FX In which currency ;you will not be able to open FCNR (B) a/c ? Yen
186 FX PCFC finance ROI related to what ? LIBOR
A bank financed an exporter by discounted foreign bills but,
customers did not pay amount on due date. Bank wanted reverse
the transaction. What rate bank will apply? a) TT selling b) TT
buying c) Bill selling rate d) Bills buying rate e) Bank rate : Ans: TT
187 FX buying
An NRI returned India after working for 5 years in Boston and
brought foreign exchange proceeds. Which of the following
accounts cannot be credited? RFC/ NRE/ FCNR/ NRO / None of the
188 FX above Ans: NRO
A foreign tourist who is in India and is having USD 5,000 wants to
open a/c. Which type of deposit account he can open: Ans: NRO for
189 FX a maximum period of 6 months
190 FX In FCNR (B), exchange risk is borne by: Banks
Packing Credit facility is available in which type of Letter of Credit:
191 FX Red Clause Letter of Credit.

Why crystallisation of Import bill: To extinguish foreign exchange

192 FX liability by debiting the a/c and avoid exchange fluctuation risk.
I te est ate o FCN B Ba ks is li ked to : LIBO/ ap Lo do
193 FX Inter Bank Offered rate.
An NRO account can be maintained in the form of : SB, CA, FD, RD. :
194 FX Ans: All
Resident while returning from abroad. How much amount can be
brought in foreign currency? No Limit. If FC notes exceeds USD
5,000 or TC and FC notes exceeds USD 10000, Currency Declaration
195 FX Form is required.

Within how many days after shipping of goods an Export Bills has to
196 FX be submitted for negotiation to the banker? With in 21 days.
UCDPC means: Uniform Customs and Practices for Documentary
197 FX Credit.
Why Foreign Currency notes buying rate is worse compared to a
Foreign Cheque buying rate? Cash is an idle asset; high cost of
198 FX holding.
Concessional Rate applicable to exporters under the Gold Card
199 FX Scheme: Up to 365 days.
Who are eligible for preferential rate of interest under NRE
deposits: a) Staff b) Senior citizen c) Staff cum Senior Citizen d)
200 FX None: Ans: None.
ECGC Prior permission is required for negotiating bills in relation to
201 FX exports to : Group II Countries.
202 FX EEFC account is opened as: Current Account.
Pre-shipment Credit at concessional rate of interest is available for:
203 FX 270 days.
A person from USA visits India and wants to open an account, what
204 FX type of account can we open: NRO.
205 FX Internationally LCs are governed by: UCPDC.
206 FX The tolerance level for quantity under UCP600 is: + /- 5%
In Forex terms, at the beginning of the month would mean:
207 FX Between 1st and the 10th of that particular month.

Confirming Bank and the Issuing Bank get maximum of ______

number of days following the day of presentation to determine if
208 FX the presentation is in compliance of UCP600: 5 banking days.
Inward remittance of Rs.37,000 has been received by credit in the
NOSTRO account from your correspondent. What rate would you
209 FX apply for the same: TT Buying.
Maximum limit per year repatriation from an NRO account: USD 1
210 FX million.
For the purpose of Medical expenses abroad the maximum amount
that can be allowed is: USD 2,50,000 or as per the quotation from
211 FX the Hospital abroad whichever is high.
In an Exchange Quotation, the rate is mentioned as USD 60.61/63.
212 FX What is Selling Rate: 60.63.
213 FX Packing Credit is granted on the basis of: FOB value.
214 FX Whether US citizen visiting India can open NRO a/c: Yes.
As per UCP 600, if quality is not mentioned, what is the tolerance
215 FX level: Not applicable.
The Exchange Rate of 1 US $ increased from Rs.62/- to Rs. 64/-. It
216 FX will benefit the ________. Exporter.
If Foreign Currency position is oversold and currency is
217 FX appreciating: Bank will incur loss.
Financing of domestic receivables without recourse to seller is
known as __________ and export receivables as ________:
218 FX Factoring; Forfaiting.
Claused Bill of Lading indicates ___________: Defective condition
219 FX of goods or defective packaging.
A Resident Indian can obtain foreign currency for small value
remittance on the basis of self declaration without any
220 FX documentary evidence/A2 Form upto US$ ____: US $ 25,000.
Resident Foreign Currency (RFC) account can be opened by
_______________, subject to the condition that he was NRI for
221 FX minimum ________ years. Home returned NRIs.; one.
222 FX FCNR- Min and Max period: 1 and 5 years.
223 FX upee dep e iated ad e se affe t to ho : I po te
From NRO account up to what amount we can repatriated: 1
224 FX million dollars per annum.
A foreign tourist who is in India and is having USD 5,000 wants to
open a/c. Which type of deposit account he can open: NRO for a
225 FX maximum period of 6 months
Packing Credit facility is available in which type of Letter of Credit:
226 FX Red Clause Letter of Credit.
Number of days for examination of documents by negotiating bank
227 FX under L/C by bank: 5 Banking days.

Why crystallisation of Import bill: To extinguish foreign exchange

228 FX liability by debiting the a/c and avoid exchange fluctuation risk.
I te est ate o FCN B Ba ks is li ked to: LIBO/ ap Lo do
229 FX Inter Bank Offered Rate.
230 FX EEFC - Maximum retention in foreign currency: 100%
Interest on FCNR(B) deposit is paid on the basis of ______ days in a
year on the basis of half yearly compounding. In case FDR under
FCNR(B) deposit has not run for a minimum period of _____ no
231 FX interest will be paid. 360 days ; 360 days.
Capital Account Convertibility (CAC) refers to
______________________ Freedom to convert domestic financial
assets at market determined exchange rate both inward and
232 FX outward.
233 FX The tolerance level for quantity under UCP600 is: + / - 5%
Inward remittance of Rs.37,000 has been received by credit in the
NOSTRO account from your correspondent. What rate would you
234 FX apply for the same: TT Buying.
Maximum limit per year repatriation from an NRO account: USD 1
235 FX million.
When ECGC permission is required to extend the period of PC: Ans
236 FX :More than 360 days
What type of rate will be applied, for opening of FCNR with USD
237 FX 10000/-: Ans :No rate will be applied
Foreign tourist / NRI on their visit to India can encash how much
238 FX foreign currency: Ans :US$ 3,000/- per month.

If a Letter of Credit states - Shipment to take place at the end of

239 FX June, it means: Ans :Between 21st and last day of the month.
240 FX In FCNR (B) Exchange risk is borne by: Ans :Banks.
Joint a/c with Resident by NRI in which account: Ans :NRO. Now
241 FX also allowed in NRE & FCNR(B) on F or S basis.
Packing Credit facility is made available in which type of L/C: Ans :
242 FX Red Clause LC.
Gold Card for exporter can be charged at what extra interest: Ans
243 FX :No interest.
Number of days for Nostro and Vostro account credited (cooling
244 FX period): Ans :15 days.
Why Foreign currency buying rate is low: Ans :Cost of holding is
245 FX high.
Central Repository of Information on Large credit (CRILC) exposure
1 GA to be reported to RBI once in : quarterly basis.
Term loan Limitation period starts from the date of : default of
2 GA loan installment.
Registration of charges with ROC in respect of loan accounts in the
name of company is primarily on the part of : company and its
3 GA officials.
Time period of registration of mortgage transactions as per CERSAI
norms is within : 30 days and the purpose of registration is to
prevent loan frauds relating to multiple mortgage of same
4 GA property.

ROC creation for the loan documentation dated 04.04.2013 was

completed on 19.04.2013 and another loan documentation dated
10.04.2013 was created on 17.04.2013 : Loan documentation on
04.04.2013 will have priority over the another loan, as the priority
5 GA will be determined by the date of execution of documentation.
Small Enterprises-Manufacturing is classified based on investment
in plant and machineries upto Rs.5.00 cr and Small Enterprises-
Services is classified based on investment in equipments upto
6 GA Rs.2.00 cr.

The commodities considered under Selective Credit Control at

7 GA present are : Buffer stocks of levy sugar with sugar mills.
Drawer of the Bill of Exchange is liable before acceptance by the
drawee and after the acceptance the liability of drawer will be :
8 GA secondary.
Consortium accounts will be classified as NPA based on the :
9 GA I di idual Ba k s e o e .
As per CERSAI norms agricultural properties taken for agricultural
10 GA loans are : cannot be registered.
Letter of Credit not to be opened on behalf of parties not having
business at the place of branch; LC to be opened in securitsed
format; LC with large value bears joint signature: Repayment of
bills under LC opened for capital goods shall not be permitted out
11 GA of working capital limits.
Issuance of bank guarantee will be accounted under : Contingent
12 GA Liability.
Financing housing projects- Builder would disclose in the
pamphlets,the name of the bank to which the property is
mortgaged; Information realting to mortgage while publishing
advertisement of a particular scheme; Providing NOC of the
mortgage bank for sale of property and : escalation cost at 3%
13 GA need not be furnished.
BLBC meeting shall be attended by All Bank in the Block, Block
14 GA Development Officer and : Technical Officials.
CGTMSE advantage to bank : Zero Risk Weight for the guaranteed
15 GA amount
As per RBI norms group exposure norms are stipulated at : 40% of
16 GA capital funds.
Where credit risk is not calculated msme/retail / corporate /
17 GA sovereign/Equity : Equity
In case of own report obtained by customer form CIBIL which need
18 GA not be disclosed? Ans: Annual Income
Letter of Credit is : Ans: Unconditional Guarantee on behalf of
19 GA Importer
Housing Loan outstanding is Rs.10 lakhs. House property value is
Rs.20 lakhs and original loan granted was Rs.15.00 lakhs. What is
20 GA LTV: Ans: 50%

Loan System for Delivery of Bank Credit is meant for: Optimum

21 GA utilizatio of Ba k s fu ds a d a i izi g p ofita ilit
A Loan of Rs.25 lakhs sanctioned to Woman for Micro Enterprise.
22 GA What is the coverage of CGTMSE: Ans: 80%
23 GA Packing Credit is granted on the basis of: FOB value
As per Credit Risk Management Policy, Borrowers (Corporates and
othe constituents) having sales turnover of over Rs.________ shall
dis lose Agei g hedule of thei o e due pa a les i thei
periodical returns/statements submitted to the Bank.Ans: Rs.50
24 GA crores and above
What is the maximum quantum of loan that can be sanctioned to
25 GA Joint Liability Group: Ans: 5.00 lakhs

While submitting CGTMSE claims by banks, Legal Action is not

26 GA compulsory for advances uptoRs._____ Ans: Rs.50,000/-.
While doing Project Appraisal, sensitivity analysis is useful for: Ans:
27 GA Viability and sustainability of proposal.
What is the definition of Quick Mortality: Ans: Rs.5 lakhs and
above liability in case of new parties, becoming NPA with in 12
28 GA months from the date of first disbursement

While sanctioning Loans to feature films, what is the permissible

bank finance and margin: Ans: Finance 35%, Margin 65% (25% own
29 GA margin, 40% advance from distributors)
Rural Debt Swapping scheme purpose: Ans: To repay loans raised
30 GA from Money Lenders
Sec 19(2) of BR Act: No Banking Company can hold shares in
another companywhether as pledge, mortgagee or absolute owner
of an amount exceeding ____ ofthe paid up share capital of that
company or _____% of its own paid up share capitaland reserves,
31 GA which ever is less.Ans: 30%, 30%

While doing Risk Rating, an asset is downgraded from A+ rating to

32 GA A rating. What type of risk is involved: Ans: Credit Risk

A Guarantor has paid the liability on behalf of Borrower. What is

33 GA the right the guarantor will get: Ans: Right of Subrogation
Loan granted to women uptoRs.________ classified under Weaker
34 GA Sections. Ans: Rs.1,00,000/-(cir 235/2015)
35 GA Cluster Based Approach of SMEs will : Ans: Contain Risks
Debt Securitization means: Ans: Converting Financial Asset as
36 GA Marketable Securities
What is Green Clause LC: Provision of Warehousing apart from
37 GA Loan for procuring Raw Material
What is the maximum quantum of Loan for individual for setting
38 GA Agri Business Centre: Ans: Rs.20 lakhs
39 GA LLP is to be registered with: Ans: Registrar of Companies
Delay in commencement of commercial production by more than
6months for reasons beyond the control of the promoters
40 GA indicates: Ans: Handholding stage of MSEs.
General Credit Card is classified under: Ans: it is classified under
While extending finance to NBFC-MFIs, the percentage of
42 GA Qualifying Assets should be: Ans: minimum 85%
What is the maximum amount of award Ombudsman can give in
43 GA case of Credit Card Operations: Ans: Rs.1.00 lakhs
What is the LTV ratio prescribed by RBI for small value Housing
44 GA Loans of Rs.20.00 lakhs: Ans: 90%
45 GA Calculate Expected Loss: Problem given EL= PDxLADxEAD
e o e Poli No ill ful defaulte s, the a k s e dea ou
should be recovered not less than book liability as on cut off date
along with --------------- ( % ) as on date of proposal .Ans: Base
46 GA Rate+1%
As per MSMED act, a manufacturing unit with the investment in
plant & machinery up to ________comes under small enterprises.
47 GA Ans: Rs.5.00 crores
What is the provision for standard direct advance to agriculture
48 GA and MSE sector: Ans: 0.25%

What is the risk weightage for Secured loans to staff members

49 GA where mortgage available or other securities are taken : Ans: 20%
50 GA Limitation for Mortgage is ______years. Ans: 12 years

51 GA In general, the period of working capital cycle is : Ans: 3 months

Valuation from two panel valuators in case of fixed assets are
required for the loans whose value is Rs ______& above. Ans:
52 GA Rs.10.00 crores

Our bank has given Rs 50.00 lakh loan to entrepreneur and

CGTMSE cover has been made .If he became default in case ,the
53 GA bank will get CGTMSE cover up to Rs _________. Ans: 37.50 lakhs
Education loan subsidy will be given to students belong to
economically weaker section ,up to the amount of __________ (
options : 1year,2year,,4 year ,moratorium period,full loan ) Ans:
54 GA Moratorium Period.
55 GA The periodicity of Credit risk rating _________ : Ans: Yearly
Liability of drawer in B/E is _______: Primary before acceptance by
56 GA drawee and secondary after acceptance
No collateral should be demanded for SME loans upto -------lakhs
57 GA Ans: Rs.10.00 lakhs
How much Loan amount can be sanctioned without collateral
58 GA security to group under NRLM?: Rs 10lac.
Where Equitable Mortgage by Deposit of Title Deeds is created?:
Ans: By depositing title deeds at Notified place, notified by state
59 GA Govt

While sanctioning Term loan, which aspects you give maximum

60 GA importance?: Ans: Sufficient cash flow for repayment of loan.
What is the Risk Weight for Secured Staff Loan Account for the
61 GA purpose of capital adequacy? Ans: 20%

The maximum credit exposure for individual non corporate

borrowers - Individual borrowers for personal loans for Non
62 GA business purpose (Other than schematic loans) : Ans: Rs.10 crores
What is the minimum amount of Loan under Corporate Loan
63 GA Scheme: Ans: Rs.10.00 crores
CIBIL s CI is to e o tai ed fo o su e a ou ts ith edit
limits of Rs.______ and above for Priority Sector advances. Ans:
64 GA Rs.2.00 lacs
What is the coverage amount in Micro Insurance under Sampoorna
65 GA Kavacha Plan: Ans: Rs.50,000/-
66 GA Full form of LTV: Ans: Loan To Value

67 GA Definition of Medium Term Loan: Ans: Repayable in 1-3 years

What is the quantum of revolving fund under NRLM. Ans: Min.
68 GA Rs.10,000/- and Maximum Rs.15,000/-

NRLM has a provision for interest subvention, to cover the

difference between the Lending Rate of the banks and_____%, on
all credit from the banks / financial institutions availed by women
69 GA SHGs, for a maximum of Rs.3,00,000 per SHG. Ans: 7%
What is the target for Priority Sector in a Commercial Bank. Ans:
70 GA 40% of ANBC

Loans to distressed persons other than farmers, for repayment of

their debt raised from non institutional lenders, upto Rs.______ is
71 GA considered under Priority Credit. Ans: Rs.1,00,000/-

As per prudential exposure norms, the maximum quantum of loan

72 GA to a i gle Co po ate Bo o e : A s: % of a k s apital
73 GA Standby LC is similar to: Ans: Bank Guarantee
Qualification for PMEGP project cost of more than Rs.10 lakhs
74 GA under manufacuturing activity. Ans: 8th standard
75 GA A truck is financed by Bank. Lien noted by. Ans: RTO office
76 GA ________ provides credit history of customers. Ans: CIBIL
Green clause LC provides: Ans: Authorises the nominated bank to
77 GA give advance payment for Warehousing and Insurance Charges
Guidelines on Investor Protection Funds by Stock Exchanges issued
78 GA by: Ans: SEBI
What is the rate of Annual Guarantee Fee payable to CGMSE in
case of SME loans granted to other than women/North East. Ans:
79 GA 1% (for others)

Bank loans to any governmental agency for construction of

dwelling units or for slum clearance and rehabilitation of slum
dwellers subject to a ceiling of Rs._____ lakh per dwelling unit, can
80 GA e lassified u de P io it e to Housi g. A s: s. . lakhs

81 GA P o isio i g fo Co e ial eal Estates ta da d Assets: %

Delegation of powers for permitting reduction in interest rates by
82 GA ED-CAC : Upto BR+1.5%
Model loan scheme for vocational education and training : the
lock in period for the courses of one year and above.: Ans: 12
83 GA months moratorium period.
Time norms for disposal of SME loan application for the loan
amount of 25 lacs and above -- at HO level : Maximum period of
84 GA 8 weeks
The loan system for delivery of bank credit is applicable in the case
of borrowers enjoying fund based working capital facilities : Rs.10
85 GA crs and above
The subsidy under SJSRY is kept under : Non Interest earning
86 GA deposit FD su sid ese e fu d.

Periodicity of Stock inspection where the accounts are under

87 GA Special Watch/warning list: Manager/SM once in 6 months

Which of the following need not be registered with ROC : loan

88 GA given to company on the personal guarantee of Director
Whose responsibility to create charge with ROC : creditor/ the
company/the officials of the company and creditor: Ans:
89 GA Company
As per Damodaran Committee recommendations, the period within
which the EMT is to be put through in case of HLs, where the loan
has been given for purchase of land and for structure on the land:
90 GA Ans: 6 months

Any aggrieved person by an order of DRT in an application filed by

the borrower under SARFAESI act, can prefer appeal by paying fee
91 GA in DRAT by depositing : 50% of the dues. DRAT can reduce it to 25%
Limitation period for loans secured by EMT of property/mortgage
92 GA of property: 12 years
93 GA Provision for standard GLs : 0.40% (for Agriculture : 0.25%)
94 GA Margin for general category under PMEGP : 10%
What is the penalty for creation of charge under CERSAI for the
95 GA loans upto 5.00 lacs, beyond one month: Rs.2500/-
To obtain minimum 2 independent valuation reportrs from 2 panel
valuers in respect of loan accounts where the value of property
96 GA obtained is :Rs.10 Cr and above.
Under Consortium, classification of accounts under NPA is done
by: banks individually/ or leader bank Ans: Individual banks as per
97 GA their recovery record
Limit for micro enterprises manufacturing in P&M: upto Rs.25
98 GA lakhs
OD MSE Stock Inspection Periodicity: Ans: Quarterly (>10 lakhs)
99 GA and Halfyearly for less than Rs.10 lakhs

For take over of term loan proposals during project

implementation period, variations in Projections and actuals should
100 GA not exceed: Ans: 15% of time & cost overrun

As per Basel II, ECGC claim attracts risk weight of : Ans: 20% for
101 GA claims on ECGC and 50% on claims guaranteed by ECGC
CGMSE coverage for Women, loan amount >5 lacs, upto Rs.50 lacs:
102 GA 80%
WCG refers to: Working Capital Gap ie Current Assets minus
103 GA Current Liabilities excluding Bank Borrowings.

CGMSE is mandatory for more than Rs.10 lacs, upto Rs.100 lacs,
104 GA unless borrower provides collateral to the extent of: Ans: 100%
Registration of charge not required for: Moveable Machinery
105 GA under Pledge

Restructuring of more than Rs.10 crores, DSCR in any year not to

fall below: Ans: 1 (normal DSCR for restructuring of medium and
large enterprises not below 1.33 and in exceptional cases 1.25.
106 GA However DSCR in any year not to fall below 1 Cir 245/2010)

107 GA STCL Current Ratio not less than: 1.25:1 (CMD can relax to 1:1)
SSI Margin 25 Lakhs, Projection of Sales : Rs.500 lakhs. What is
108 GA working capital finance: Rs.100 lakhs
L t a sa tio s hethe u e t a ou t t a sa tio o apital
109 GA account transaction: Ans: Current Account
Which is not true in case of EMT: Borrower need not sign any
110 GA where in document
Bill of Lading, where defective condition of goods is indicated :
111 GA Claused bill of Lading
SHG CC limit worked on: Requirement for 5 years with increase
112 GA proportionate to their proposed savings
To micro and small enterprise no collateral and third party
113 GA guarantee upto : Rs 10.00 Lacs
The classification of Services Enterprises for small unit is : Above
114 GA Rs.10 lacs to Rs.2 crores
Difference between Long Term Loan and DPG is : OUT LAY OF
What is the income criteria in PMEGP : NO family income criteria
116 GA in PMEGP
In the case of financing SHG under the SGSY Who among the
following as members not eligible for Govt Subsidy : ABOVE
118 GA CERSAI is defined in : SARFAESI Act
119 GA Quatam of Loan to SHG in SGSY is : As per Project Cost
Maximum Guarantee cover under CGMSE to micro enterprises
with loan upto Rs 5 lacs : 85% of the loan amount with maximum
120 GA of Rs.4.25 lakhs
121 GA SHG LOAN should be granted In : Revolving Credit
Provision requirement for Standard Assets and Direct Agriculture,
122 GA SME SECTOR : 0.25%
Account become NPA If Renewal / Review / Overdue is not done :
123 GA And: in 6 months/180 days
Risk Weights are applicable for calculation of Capital Adequacy
124 GA Ratio, which should be atleast : 9% (as per RBI)
Provision requirements for Doubtful assets @ 100% Uniformly for :
125 GA Asset in DA category Over 3 yrs
126 GA Risk Weight of EL : 75%

Risk weight for secured loans to staff members by mortgage/

127 GA Superannuation benefits and other staff : 20% and 75%
128 GA WANA LOAN Ma i u A ou t: s. La s
129 GA Who decides notified areas for EMT : STATE GOVTS
What is the periodicity of Valuation of Fixed Assets under OD SME
130 GA : Once in every 3 years

FO Vehi le Loa s u de Tie Up ith AHOK LEYLAND , the

131 GA following types of vehicles are not financed: : 2nd Hand Vehicle
What is the minimum quantum of loan under Short Term
132 GA Corporate Loan scheme: Ans: Rs.5 crores
133 GA What is the margin on loan against LIC Policies: ans: 10%
While processing take over proposal of Term Loan, we have to
scrutinize the pass sheet with present banker for a period of : 12
134 GA months
DIR loans other than Housing Loans- maximum quantum is :
135 GA Rs.15,000/-
136 GA Mortgage papers are to be kept with : Notified Branch
Short Term Corporate Loan Scheme for existing customers, if they
are enjoying limits of Rs.____ and above: Ans: Rs.40 crores and
137 GA above
EMT can be done at _______ place : Ans: Any where in India in
138 GA places notified by State Govt.
Restructuring Of Advances Outstanding Not more than 10 lacs :
139 GA Viability study to be conducted by: Branch
TG Co e t tate e t - W o g A ou t Nu e hi h a ks
140 GA responsibility. Remitting Bank
141 GA ESOP Sanction of loan......... 90%
142 GA Components of project cost. Working Capital Margin

143 GA Approval of MC of Board required for loan amount.... > 400 Crs
Name of the committee that suggested WCTL : Vepa Kamesam and
144 GA subsequently Shyamala Gopinath
Qualification required for PMEGP Loan of Rs17.00 Lacs. 8th Std
145 GA Pass
Ceiling on exposure to Real Estate Sector. 20% of...........Gross
146 GA Credit.

147 GA Ceiling on exposure to partnership concern, Amount.........75 Crores

Credit facility not eligible for CGTMSE..... : Where collateral (other
148 GA tha u it s o p ope ties se u it is take .
149 GA Accrued expenses. Liability or Asset - CL
MSMED Small manufacturing eligible for benefit under CLCSS
150 GA Investment in P&M.... 5 Crore.

151 GA Pay Back Period Time Required to recover entire cost of project
152 GA CIBIL Caters to which segment....Commercial & Consumer
Loan system of Delivery of Bank Credit, Why... : For optimum
utilizatio of Ba k s fu ds, o ki g apital li its a of WCDL
153 GA & OCC facility available.
Shipment date in LC is beginning of the month. How many days....
154 GA 1st to 10th of the month.
155 GA Purpose of Mortgage Loan..... : Other than hoarding
Which of the following is not included under Weaker Section in
Priority Sector. Artisans, village & Cottage Industries with limit
156 GA above 100000
Maximum coverage for loan of 1.00 crore to CGMSE General
157 GA proponent....... 50.00 lacs
Provision on Standard Assets are reflected in which head of Balance
158 GA sheet. Liability
159 GA Assessment of LC. Factors..... Annual purchases
160 GA Objective of ALM of Bank to maximise..... Interest Spread
161 GA MICRO manufacturing investment in P & M..... 25 lacs

If a corporate customer want credit having Low risk rate with LR1,
LR2, LR3 up to the power of H.O GM, C& MD, ED can give the
concession R.O.I is: GM (HO) upto Base Rate + 2%, ED upto Base
Rate + 1.5% , CMD upto Base Rate. (GM(HO) can permit reduction
upto 1.5% maximum (not below BPLR) for LR1,LR2,LR3, NR
162 GA accounts only. No powers for MR, HR accounts)
MSE single window ceiling of the amount with CGTMSE coverage :
163 GA Rs.1 crore
164 GA Accrued portion means : Interest earned till date
Busi ess o espo de t is a age t to Ba ke / C edito to
165 GA Banker/ Debitor to Banker / none : Ans: Agent to Banker
What is extent of CGMSE coverage for loans less than Rs.5 Lakhs to
micro enterprises? Ans: 85% of loan amount with maximum
166 GA Rs.4.25 lacs.
167 GA MSE accounts growth as per NAIR committee : Ans: 10%
A Small service enterprise with investment of equipment cost of
168 GA upto Rs.: Ans: Rs.200 lacs
What is the maximum amount of loan that can be given on Demat
169 GA shares? Ans: Rs.20 lakhs
What is educational qualification in SJSRY scheme? Ans: No
170 GA Education criteria
171 GA i ila to sta d LC A s: Ba k Gua a tee
172 GA Swap means : Covering loss
173 GA Training cost is born by for PMEGP : Ans: Ministry of MSE

Tie up with Ashok Leyland, which are correct: a. Rate of Interest :

Base Rate + 1.75%, b. CGMSE fee 50% concession on One time
guarantee fee and annual service charges for one year c. Low Risk
174 GA & normal risk accounts eligible d. All the above. Ans: All the above
Target for Scheduled Commercial Banks for Weaker Sections: 10%
175 GA of ANBC or 25% of Priority
Senior Citizens not eligible for preferential interest: a) RD b) NRE c)
176 GA > Rs.1cr. d) All Ans: a and b

177 GA PMEGP Maximum loan for Service Sector: Ans: Proj cost Rs.10 lacs
CGMSE Annual Service Charges: Ans: 0.Now changed as Composit
Annual Charges 1% for general category. For Women, NE region,
0.75% for loan upto Rs.5 lakhs, 0.85% for loans > Rs.5 lakhs Cir
178 GA 406/2012)
Target in DIR loans for women__________ Ans: No Target for
179 GA women

As per Recovery Policy, Calculation of unapplied interest for

internal purpose : In respect of all NPA accounts except decreed
accounts, the amount of unapplied interest is calculated at Base
Rate plus ______% or contractual rate including penal rate
(whichever is lower) on simple basis from the date of LPD /
classification as NPA whichever is earlier, till the end of the quarter
immediately prior to the date of submission of the proposal. Ans:
180 GA SS: BR+0.75%, DA:BR-2%,LA:BR-4%
Credit Audit report is to be closed with in a period of
________from the date of submission of credit audit report.(cir
181 GA 52/2011). Ans: 3 months
Medium Manufacturing Unit means, Investment in Plant &
Machinery from Rs._______ to Rs._______ :(Cir 159/2010,
182 GA 212/2011) ans: Rs.5 crores to Rs.10 crores
What is the isk eight o ta da d Asset Tease Housi g Loa :
183 GA (Cir 212/2011) Ans: 2%
For creating Equitable Mortgage, title deeds are to be deposited in
: a) any place b) any place identified by Central Govt. c) Notified
place d) Notified Place by State Government for the purpose Ans:
184 GA d
What is the prescribed margin for General Category under PMEGP
185 GA scheme, on the project cost: ans: 10%
What is the risk weight on Personal Loans for calculation of Capital
186 GA as per Basel II: Ans: 125% (Cir 171/2011)

What is the risk weight for Housing Loan of less than Rs.75 lakhs
187 GA (above 30 lakhs) where LTV is above 75% upto 80%: Ans: 50%
What is the Pillar 2 of Basel II: (Cir 159/2010, 212/2011) Ans:
188 GA Supervisory Review
Bank is accepting sub ordinate debt under Lower Tier II Capital. If
the remaining maturity of subordinated debt is 18 months, at what
discount rate we will consider that under Tier II Capital Ans: 80%
189 GA discount
As per task force committee appointed by Prime minister for MSE
growth, it is recommended that growth in number of Micro
enterprises should be _______ % per annum. (Cir 212/2011) Ans:
190 GA 10%

Obtention of CIR of CIBIL is compulsory for loan accounts under

Priority Sector Rs._______ and above, Non Priority Sector
191 GA Rs._______ and above (Cir 136/2011) Ans: Rs.2 lacs, Rs.1 lac
DICGC cover is available in the following case : a) Credit balance in
Cash Credit Account b) Overdue Deposit c) Deposit of Govt. ans: A
192 GA &B
Bank has sanctioned loan for a purpose but the party has taken
out the amount out of business which resulted in deterioration of
business. This is called as: a) willful default b) diversion of funds
c) siphoning off Ans: siphoning off which is reason for willful
193 GA ldefault

Delegation Of Powers For Extending Reduction In Interest Rates (Cir

132/2011): GM (HO) For all borrowal accounts upto GM (HO)
194 GA powers :____ % ultimately not below base rate+____) Ans: 2%
A Small Service Enterprise means investment in Equipment of
195 GA Rs._______ Ans: above Rs.10 lakhs and upto Rs.2 crores
RBI has prescribed provision coverage of 70% and banks were
asked to reach this level by 30-09-2010. The reason behind this
instruction is: a) to meet international standard b)to meet Basel II
norm c) to make provision of banks stronger to meet future
196 GA challenges Ans: C

The cut off limit for submission of QOS/ HOS has been enhanced to
fund based working capital limits of Rs._______ and above from
the banking system in respect of industrial units, Traders, Merchant
Exporters, borrowers under SME (both manufacturing and service
197 GA sector). Cir.303/2009, 159/2010. Ans: 5 crore
Who are not eligible for becoming partners : a) HUF b) Minor
198 GA c) body corporate Ans: a&b
A Minor has extended Guarantee to a loan. It can be ratified by :
199 GA Ans: Can not be ratified
Under SJSRY (now NULM) - USEP scheme, target for women: Ans:
200 GA 30%
Subsidy under SGSY(NRLM) to be kept in : Ans: Subsidy Reserve
201 GA Fu d a ozga ise
Which one of the following is not correct in terms of Priority Credit
classification: a) Student sanctioned with EL of Rs.15 lakh for
studying in Chennai b) HL for Rs.20 lakhs sanctioned for purchase
of flat in Mumbai c) Rs.50 lakhs sanctioned for Micro Small
manufacturing enterprise Ans: A (inland studies maximum Rs.10
202 GA lakhs under Priority)

Normally we charge additional rate of interest for Adhoc Limits

sanctioned to parties. What is the additional interest rate we
203 GA charge on Export Credit: NO EXTRA INTEREST on export credit.
Gua a to s ight : a to i spe t a k s e o ds to dispose off
borrowers assets c) to inspect documents d) to take account
statement e) to know the progress in the conduct of account Ans:
204 GA E
LLP minimum and max partners: Minimum 2 and maximum
205 GA unlimited

206 GA As per RBI composit loan for WC and TL for MSE amount: Rs.1 cr
207 GA CIBIL o su e a d o e ial
208 GA In BASEL II Pillar I : Minimum Capital Requirement
If property is not mortgaged within (6 months) penal rate of
209 GA interest: 2%
210 GA LC issued as per UCP 600 as Guarantee type: Standby LC
Stock statements not submitted for ---- months treated as irregular
211 GA : 3 months
all Ma ufa tu i g E te p ise I est e t i Pla t a d
212 GA Machinery upto Rs.: Rs. 5 crores
Service charges in case of guarantee issued in lieu of LC: As
213 GA Applicable to Financial Guarantee
DICGC submission of statement : Half Yearly ie September and
214 GA March end

215 GA Under SJSRY (NULM)UPSEP maximum project cost : Rs.2 lakhs

216 GA Under SGSY(NRLM) Women Group percentage : 50%
217 GA Limitation for EMT : 12 years
Under restructuring mechanism, upto what amount branch can do
218 GA viability study in case of MSEs: Rs.25 lakhs
Normal one time charges on Credit Guarantee for above Rs.5 lakhs
: (Now it is changed. Composit annual fee: 1% for general
category, and Women & NE region: 0.75% for loan upto Rs.5 lakhs
219 GA and 0.85% for loan more than Rs.5 lakhs)
220 GA Credit Audit applicable to loan of Rs. : Rs.1cr and above
If a bill is returned what should be done : recover from party with
221 GA prior intimation
Guarantee given by bank which enable the customer to pay
machinery suppliers on installment basis: Deferred Payment
222 GA Guarantee.
Subsidy amount received under PMEGP is to be kept under: Term
223 GA Deposit with out interest
While sanctioning loans to group concerns, bank considers group
concern basing on: Commonolity of Management and effective
224 GA control over management.

In case of Bills for Collection and Cheque for Collection, what is the
225 GA relationship between Banker and Customer: Agent & Principal
226 GA CGMSE coverage is available upto limit of Rs.: Rs.100 lakhs
Investment limit in Equipment in case of Micro Service Enterprises :
227 GA Rs.10 lakhs
No Collateral Security is required for MSE loans upto Rs. : Rs.10
228 GA lakhs

Restructured Asset can continue in the same asset category for a

229 GA period of : 1 year from the date of first repayment instalment
Commission payable to Recovery Agent in case of Seizure of 2
230 GA wheeler: Rs,2000/-
Stock Audit in case of Low Risk Accounts applicable for limits of Rs.
231 GA : Rs.5 crore and above
Subsidy will not be available for in case of SGSY(now NRLM), for
232 GA borrowers: Above Poverty Line

In case of SJSRY(now NRLM) group loans, to be eligible for subsidy,

233 GA minimum number of Poor women in a group should be: Ans: 5

234 GA Irrevocable LC means :: Amendment with the consent of all

Red Clause LC means: Pre shipment credit facility available to the
235 GA beneficiary exporter
236 GA LLP should be registered with : Registrar of Companies
Which of the following will not come under Base Rate Purview:
(under the given options, MSE advances to acquire solar
237 GA equipment)
Collateral Security is not required in case of Vidyasagar Educational
238 GA Loans upto Rs. Ans: Rs.4 lakhs
Management of Credit Risk through Pricing: Ans: By loading
239 GA premium on interest rate
DICGC amount is paid by concerned banks. The periodicity is: Half
240 GA Yearly ie as at Sept and March
What is the ceiling limit of Investment in Plant & Machinery in case
241 GA of Micro Manufacturing Unit: Ans: Rs.25 lakhs
Maximum quantum of loan that can be sanctioned under DIR-Indira
242 GA Awas Yojana: ans: Rs.20,000/-
243 GA Risk Weight in case of Consumer Credit: Ans: 125%

Penal Interest for QOS/HOS : Applicable category of Borrowers and

Penal Interest: Ans: Fund Based & Non Fund Based WC limits for
244 GA Rs.5 cr and above (including agriculture), 1% penal interest
Gold Loan Re Appraisal Charges: Ans: 30 paise per Rs.100/- with
245 GA minimum Rs.1 and maximum Rs.100/-

Which is not classified under Commercial Estate: a) Shopping

Complex b) Integrated Town ship c) Property linked to rental
246 GA income d) Individual's loan for self occupied office Ans: d
CIBIL's CIR is applicable to: Answer: Priority more than 2 lacs and
247 GA NP > Rs.1 lacs.

Valuatio of Cu e t Assets E te al Value s to k Audit

(Cir.71/2010). For Unrated accounts the cut off limit shall be
_________________ and above and yearly for standard and sub
standard accounts and once in __________ years for Doubt full
248 GA accounts. Answer: Rs.1 crore // two (DA >5cr:yearly)

Which is not exempted categories for pricing with reference to

Base Rate: (a) DRI advances (b) Loans to bank's own employees (c)
Loans to bank's depositors against their own deposits. (d) Loans up
249 GA to Rs.2 lacs. (Cir.217/2010) Answer: (d) Loans up to Rs.2 lacs.
PMEGP subsidy is to kept in: Answer: Term Deposit Receipt for 3
250 GA ea s No i te est.
In case of Bill of exchange, drawers responsibility: Answer: Primary
till acceptance by drawee and secondary after acceptance by
251 GA drawee.

Classification in Priority Sector, of loans given to Repairs to House

upto __________in rural and semi urban areas and upto : Now it is
252 GA enhanced to Rs.5 lakhs in urban areas and Rs.2 lakhs in Rural Areas
What is the loan for individual and group under Micro Credit
253 GA Group? Answer: Rs.50000/- and Rs.5 lacs.
Loan Scheme For Reimbursement Of Investment Made In Fixed
Assets By SMEs - Quantum of Loan for old machinery and age
Answer: Maximum of Rs 15 lakhs for second hand machinery which
254 GA is not more than 2 years old.
Wherever we are leaders in the consortium, the lead bank fee is to
be collected on the total fund based ___________ limits from the
consortium as a whole at the rate of _________% p.a. i.e. the
charges to be collected normally. (Cir.68/2010) Answer: working
255 GA capital credit // 0.30%
Collection of DPG Commission in instalments: Collection of
Commission on DPGs/Co-acceptance of bills on deferred basis may
be permitted in exceptional cases. In case of DPGs of duration/bills
co-accepted with usance of more than 2 years and where the total
commission chargeable is ________________, the amount of
commission may, at the discretion of sanctioning authority, be
collected in instalment at the specific request of the party. The first
of such instalment shall not be less than __________________ and
the balance of commission should be collected in equal instalments
payable at the commecement of each subsequent year. (Source:
256 GA TL Manual) Answer: Rs.1 lakh or over // Rs.25,000/-.
Rs.80 lacs MSE loan sanction to women entrepreneur. In case of
default CGMSE cover is available for : Answer: Rs.50 lacs.(80% for
first 50 lacs and 50% above Rs.50 lacs with overall ceiling of
257 GA rs.50.00lacs)
Term loans other than infrastructure but more than Rs.100 lacs.
What is the FACR? How much can be relaxed? Answer: 1.33 //
258 GA 1.20
Adhoc overlimit time period? Answer: 10 days in a row and 15
259 GA days in a month.

ME de t est u tu i g What is a ou t upto hi h a h a

do viability study beyond which panel valuer/ chartered account
260 GA etc will prepare the same? Answer: Rs.25 lacs.
In case of short term corporate loan scheme, the current ratio for
261 GA others is ______ Ans : 1.25:1 (203/2009)

The definition of small (manufacturing enterprises ) is _____ Ans-

262 GA investment in plant and machinery does not exceed 500 lacs.
An industrial unit sanctioned Rs.70 lacs as loan . The guarantee
cover available under CGTMSE is _____Ans:47.50 Lac (for women
263 GA &NE region: Rs.50 lakhs)
Bank Guarantee for ____ and above should be signed by 2 officials.
264 GA Rs.50000 (375/2009)

The term commercial real estate means ______ Ans- :Loan given
for construction/creation of additional space, more than 50% of
265 GA repayment is out of rental income or sale proceeds of the asset.
Submission of QOS/HOS from borrowers has been increased to
266 GA ______ Ans Rs.5 crores

Under micro credit groups , the applicant should be residing within

a radius of ____ kms from the branch and all the members
267 GA preferably shall reside in a cluster Ans 16 (178/09)

Under interest subsidy scheme for housing the urban poor , the
268 GA interest subsidy is restricted to _____ Ans 5% (59/2010)
The max distance criteria for the operation of the Banking
correspondent for rural , urban , semi urban areas is _____ Ans
269 GA 30 kms (now distance factor removed)

Under PMEGP , max project cost is ______ Ans 25 lacs for

270 GA manufacturing sector and 10 lacs for service activity. (132/09 )
The max finance ( general ) under DIR scheme is________Ans:
271 GA 15000 (277/2010)

The review of CMF of accounts with exposure __ to __ to be done

272 GA Ci le Offi e. A s o e to o es / , /
The categorization of standard assets under special watch category
273 GA are ____ Ans : 5 (A,B,C,D,E)
The takeover of borrowal accounts from other banks the current
274 GA atio is ot less tha _____A s: . to .

275 GA In Takeover norms for SME advance current ratio is _____ Ans 1

Loan scheme for reimbursement of investment made in fixed asset

by SME the quantum of loan is____Ans: Rs. 50lacs for new
276 GA machinery 15 lacs for second hand machinery

Under restructuring package, the account can be classified as

_____ after a period of 1 year from the date when the 1st payment
of interest or installment of principal falls due and there are no
277 GA o e dues as pe est u tu ed pa kage. A s sta da d
A Bill of Exchange has no time on it , then what it denotes. Ans- On
278 GA Demand

To recover possession of immovable property, mortgaged the

279 GA pe iod of li itatio a aila le to o tgage is ___ A s s
The guarantee commission secured by 100 % margin of our bank
280 GA deposit is: 25% of applicable commission
The clean OD / DPN max rate of interest at present is __ Ans- Base
281 GA Rate + 7%
In case of consortium advances, individual banks can classify the
borrowal accounts according to ___ Ans : its own record of
282 GA recovery
Status report on buyers waived when bills are drawn under prime
bank / reputed bank LC____Ans-15 lacs per DA basis and 30 lacs for
283 GA DP basis

Under Consortium Advances as far as a meaningful participation is

ensured by taking a share of at least _____share of the total Fund
284 GA Based Limits. Ans:10% (159/2010)
CGMSE Coverage available in an account of Rs.75 lakhs (general).
What is the amount CGMSE will pay in case of default: Ans: 50
285 GA lakhs.
___________ shall be levied at 1% per annum on the committed
line of credit and unutilised/ unavailed sanctioned working capital
limits or Short Term limit for Working Capital purposes and also
Term loans in respect of corporate borrowers. Answer:
Commitment charges (Other options were: Service charges / Penal
286 GA Interest etc)
Under the SJSRY(NULM)-USEP Scheme, the percentage of women
beneficiaries shall not be less than____ percent. SCs / STs must be
benefited to the extent of the proportion of their strength in the
287 GA local population. Ans: 30%
Micro Credit Group: The scheme provides credit to persons
belonging to economically disadvantaged sections of the society.
The loans can be sanctioned for smaller groups with
_________________ members in urban areas and
________________ members in Rural and Semi urban areas.
288 GA Answer: 3-5 // 5-10

After expiry of validity period of Bank guarantee, registered notice

should be sent to the beneficiary advising that liability discharged
and no claim from beneficiary on basis of guarantee. If no reply is
received from beneficiary within ______ months the entry is
reversed by banks. (1month / 2 months/3 months/4 month / 6
289 GA month) (Ans: 1 Month)
Rate of Interest on Loan against rupee deposits up to 90% of NRE
borrower wef 01.07.2010 (Ans: 2% above the ROI offered on
290 GA deposits)
Maximum ROI for Working Capital Limits / Short term loans
291 GA (Cir.132/2012) Ans: Base Rate + 7%

292 GA PMEGP Margin Money : _____ years of lock in period Ans: 3 years

PMEGP Fo setti g a p oje t a o e s. la i a ufa tu i g

sector and above Rs. 5 lac in services sector, beneficiary should
293 GA have passed at least Answer: VIII standard
The CMO shall prepare the Credit Monitoring Format in respect of
accounts with Fund based limits of __________ and above Answer:
294 GA Rs.1 Cr and above.
295 GA MSME Collateral free loans up to ___Answer: Rs.10 Lacs
296 GA I o e eili g fo DI loa UBAN A s e : s. /-

Loan amount of Rs.5 Lacs under Micro enterprises, Maximum cover

297 GA % & amount under CGMSE Answer: 85% & Rs.4.25 lacs
An account where the regular / adhoc credit limits have not been
reviewed / renewed within a period of _____________ from the
due date / date of adhoc sanction, will be treated as Non-
298 GA Performing Asset. Answer: 180 days.
Bank has introduced new Application Form for credit facilities
numbered as NF 998 to ___________. Cir.337/2009 Answer: Micro
299 GA and Small Enterprises (MSEs).
CIBIL has categorized the credit information under certain groups.
Which of the following are they? (a) Consumer Accounts- Borrowal
accounts in the name of Individuals (b) Commercial Accounts-
Borrowal accounts of other than Individual. (c) Both. (Cir.83/2010)
300 GA Answer: (c)

Micro Enterprises (Mfg) The investment in plant and machinery

301 GA (original cost) does not exceed Answer: Rs.25 lakhs.
SHG which of the following is not the primary objective? Answer:
302 GA Credit is not the Primary Objective
Which is not a strength of SHG (a) Uniformity (b) Internal Savings &
Thrift (c) Indiscriminate Profit making / Super profits (d) Leadership
303 GA development Answer: (c)

The basic criteria required to be looked into for financing term

loans? (a) Securities (b) Quick setting up of the unit (c) Repayment
capacity of the borrower (d) Viable ratios Answer: Projected cash
304 GA flows are sufficient to recover the loan instalments.
P ude tial E posu e No s o i gle Bo o e / G oup Bo o e
Linked to what? Answer: Previous year as on 31st Capital funds &
305 GA risk grades.

Under SGSY(NRLM) Scheme Repayment installment should not be

306 GA more than : (Cir 302/09) Answer: 50% of incremental income

Provision in Standard category under SME is : 0.25% (However,

307 GA provision on Standard assets of Medium Enterprises is 0.40%)

Ta get of E po t C edit of ANBC u de P io it e to :

Incremental export credit over corresponding date of the preceding
year, up to 2% of ANBC or CEOBE, whichever is higher, effective
from April 1, 2015 subject to a sanctioned limit of Rs.25 crore per
borrower to units having turnover of up to Rs.100 crore.
308 GA
Maximum ceiling under priority secctor for education loan for
309 GA study in India :Rs.10 lac
For being defined as Medium manufacturing enterprise, the
original investment in plant and machinery should be more than
310 GA s. o e a d up to .. : s. C o es
Finance to retail trade will be under priority sector if the advance is
311 GA up to .: s. . u de ME e i e se to

In case of priority sector advance no dues certifiacate is waived

from small and marginal farmers as per RBI guidelines for advances
312 GA up to : Irrespective of amount (declaration by farmer is sufficient)
Under PMEGP, the maximum cost of the project/unit admissible
313 GA under manufacturing sector is : Rs.25 lac

A Unit in service enterprise is considered as medium if the

314 GA investment in equipment is : more than 200 lac but up to 500 lac.
315 GA Limitation period for mortgage: 12 Years.

Under SGSY (NRLM) Scheme, how the repayment installments are

fixed?: Repayment installment should not be more than 50% of the
316 GA incremental net income expected from the project.

A firm is allowed a limit of Rs.3 lac at 25% margin. It wants to avail

317 GA the limit fully. What should be the value of security: Rs.4 lac

What type of bench mark is used for lending in banks: Now it is

318 GA Base and from 01/04/2016, it is Marginal cost based lending rate.
What is the normal size of Self Help Group under SGSY Scheme: 10
319 GA to 20.
What do you mean by surrender Value of Life Insurance Policy?
Minimum amount payable by the insurance company in case of
320 GA closure of the policy before maturity.
321 GA Ba k s Cha ge o e LIC Poli to e eated is : Assig e t.
If the time is not mentioned on Bill of Exchange, It will be payable :
322 GA On Demand
Transfer of an interest in specific immovable property for the
purpose of securing repayment of money advanced by way of loan
323 GA is known as: mortgage.
What is the maximum amount that can be lent under LUCC: Rs.10
324 GA Lacs
Which of the following is not the special feature/strength of Self
325 GA Help Group: Higher Profits.
Guarantee coverage under CGMSE :Ans. 75% (80% in case of
Women entrepreneurs, NE Region & 85% for loans upto Rs.5 lakhs.
326 GA Above Rs.50 lakhs, coverage is 50%)
In PMEGP, service sectors upto project cost of Rs._____ are
327 GA considered. Ans: Rs.10 lakhs
Service Area approach has been discontinued except for: ans:
328 GA Govt.Sponsored Schemes

329 GA Under DRI, what is the income criteria in rural areas: Rs.18,000/- pa
What is the loan amount that can be sanctioned under Top Up for
330 GA Indira Awas Yojana Scheme: Rs.20,000/-
331 GA Target for SC/ST under SGSY(NRLM): 50%
332 GA Target of DRI loans in Rural & Semi Urban branches: 2/3rd
What are the loans exempted from obtention of Credit Report
from CIBIL: Ans: Priority upto Rs.2 lacs and NP upto Rs.1 lakh, Staff,
333 GA VSL,GL, Canara Pension.
What is the maximum loan amount under Debt Swapping scheme:
334 GA Rs.50,000/- in canara bank
For Legal Scrutiny Report, Nil EC is obtained for ______ number of
335 GA years: Ans:13 years
336 GA In Letter of Credit, beneficiary is also called as: Supplier
337 GA For doing foreign business, party usually opens: Ans: LC
In case of VSL whether pronote is to be obtained or not: ans: Not
338 GA required
339 GA In simple mortgage, how many witnesses required: Ans: 2

Under PMEGP what should be the minimum age of the borrower

and what is the minimum educational qualification if requires a
loan of more than Rs 10 Lacs in manufacturing sector & more than
340 GA Rs.5 lakhs in Service Sector: Ans : - 18 Years 8th standard.
In case of DIR what should be the percentage of target for
341 GA achievement in case of SC/ST . Ans:- 40%

Within Priority Sector what is the target for lending under Weaker
342 GA Sections? Ans:- 25% of Priority Sector or 10% of ANBC.
What is the maximum Holding period of receivables for financing
343 GA by Banks: Ans: maximum 180 days
Indirect housing finance is the finance to HFC approved by NHB the
344 GA limit is Rs ---Ans:-10Lacs (from July 2012)
Right of subrogation is available to whom ? To Guarantor after
345 GA clearing dues of Borrower
I ase of staff HL ta da d Asset , hat is p o isio fo Bala e
346 GA sheet ? Ans: 0.40%
What is Claused Bill of lading ? Ans: Which bears super imposed
clause or notation that expressly declares the defective condition
of goods or packaging. Ship owner can disclaim his liability on lost
to goods in case of such Bill of Lading. Hence, it is not considered
347 GA safe.

Loan System for delivery of Bank Credit (LSDBC) is applicable for

348 GA limits of:- Ans: Rs. 10 Crores and above working capital limits.
In normal case CGMSE annual fee is how much ? Ans: Now single
composit charges 1% general category. For women, NE region, it is
0.75% for loan upto Rs.5 lakhs and 0.85% for limits above Rs.5
349 GA lakhs.
What is advantage in CC account from banks point of view? Ans: It
350 GA is a demand loan with leverage in drawing levels.

What is the interest to be charged on VSL against third party

deposit: Ans: Upto 75% of deposit: Base Rate + 3% or 3% above the
interest paid on Deposits whichever is higher. Beyond 75% :
Maximum Rate (BR + 700 bps) on the overdrawn liability from the
date of erosion beyond 75%(80% if permitted by DM/AGM) till
351 GA regularisation of the account. (Cir 132/2011)
As per MSMED Act what is the Ceiling amount of P&M in case of
352 GA Small Enterprise? Ans: Rs. 5 crore.
In case of DIR for Housing Purpose to SC/STs how much loan
amount can be given ? Ans:- Rs.20000/- (same amount under Indira
353 GA Awas Yojana also)
354 GA What is not correct regarding EMT? Ans:- It is registered.
Asset Classification is being carried out for what? Answer:
Provisioning norms, Income recognition and Prudential guidelines
355 GA and timely recovery action.
Stock verification by branch in charge to be done within----------
months? In case of VLB,ELB,CSB: Mgr/SM of Advances dept: stock
inspection once in a year for regular accounts and once in 6 months
356 GA Spl.Watch and Non LPD NPA a/cs.

In the context of need for obtention of stock statement, which

statement is incorrect. Ans: a) For assessment of proper limits b)
For qualitative assessment of limits c) to have proper monitoring
and controlling Ans: b. Stock statement indicates quantitative, but
357 GA inspection will take care of qualitative aspects.
General provision on standard assets other than Agriculture, SME :
358 GA Ans: 0.40%

Asset Classifi atio I ase of o so tiu a ou t : a e o e

performance with the leader bank b) recovery performance of the
member banks c) recovery performance of majority of the
359 GA members d) Recovery performance as per individual banks Ans: D

Who is bound to file a charge when the same is created under MCA
21: Ans: a) Creditors b) Officials of the Corporate c) Creditors and
360 GA Officials both d) Share holders Ans: b
Advance to a company against Trust receipt where goods are to be
released by delivery whether a charge is to be created under MCA
361 GA 21 : Ans: Not Required
In case of PMEGP, maximum project cost under Manufacturing
Sector is ____ and Service Sector is _____ Ans: Rs.25 lakhs and
362 GA Rs.10 lakhs

Under multiple banking system, exchange of information between

the banks is to be done for the limits of ____ crores and above and
363 GA periodicity is _____ Ans: Rs.5 crores and Quarterly

A VSL is granted in Indian Rupees against a FCNR (B) deposit. The

rate of interest applicable is: Upto 90% : Base Rate +0.5% , 90% to
100%: 2% extra interest. Beyond 100% : Maximum rate ie Base
364 GA Rate + 7% from the date of erosion of margin till recovery.
What is the validity period for availment of adhoc limit: Ans: 30
365 GA days

Normally SGSY(NRLM) group shall contain below poverty line only.

In case of non availability of BPL members to the fullest extent, the
mixture should be ____ and _____ Ans: Minimum 20% & Maximum
366 GA 30% above BPL members and remaining BPL members.
As per the guidelines of RBIA, the first reply should be given with in
_____ days and second reply with in ____ days. Ans: 15 days, 30
367 GA days.
The family income criteria under DIR scheme for urban areas is
368 GA Rs.______ Ans: 24,000/-
ME se i e s all, is o e he e the o igi al ost of e uip e t is
369 GA upto Rs. Ans: Rs. 2 crores
To be classified as Priority Sector, the limits for repairs to dwelling
unit under Rural is ______ and urban Rs._______ Ans: Rs.2 lakh
370 GA rural, Rs.5 lakh urban
A Sick MSE Unit is defined as: An enterprise remains NPA for 3
months or more, or There is erosion in the net worth due to
accumulated losses to the extent of 50% of its net worth during the
371 GA previous accounting year
If a Bill is accepted by the drawee, then the payment is to be made
: a D a ee d a ee s a k d a e d d a e s a k e o e
372 GA of the above Ans: a

If during routine stock inspection, it is found that the stock is

insufficient to cover the liability, then as a prudent banker, what is
the first action that you will be taking: a) stopping all operations
immediately b) filing criminal complaint c) requesting borrowe for
373 GA additional security d)recall the advance e) none of the above Ans: c

The adjustment made in order to bring the value of the original

security to the present value is called: a) net present value b)
374 GA depreciation c)net market value d) value adjustment e) none Ans: b

Before granting a Term Loan to a new industry, what is the first

thing that has to be seen; a)Whether the security taken is adequate
b)whether the unit can go into production c)whether the unit can
generate sufficient income to repay the loan d) whether outside
375 GA borrowings are cleared e)none Ans:c
Banks can lend upto 15% of their net worth to an individual
borrower and this can be further extended by 5 % in case of
infrastructure. In case another 5 % is to be extended, then it can be
done a) with the resolution in the General Body Meeting b) with
Board permission c) by charging 2 % extra d) a and c e) b and c Ans:
376 GA b
In a Consortium advance where we are the lead bank, the charges
to be collected by us are a) .30 percent from all member banks
b).40 % from all member banks c) .50 % from all member banks d)
.30 percent of our share e) none Ans: a (0.3% on total consortium
377 GA advance)

A unit sanctioned under KVIC Sector, can be classified under Micro

Sector of SME irrespective of location if the original investment, in
Plant and Machinery does not exceed: Ans: No Ceiling. Irrespective
378 GA of amount it is Micro Sector
For a DIR loan to be granted in a semi-urban area, the income
379 GA criteria is: Rs.24,000/-

De t appi g he e to u a poo to lea out side

380 GA borrowings: Quantum is: 150% of annual income with Max 50000/-
What is kite flying? Ans: A Bill of exchange with out consideration
or raising bills without trade transaction on sister concerns for
381 GA accommodation of funds.
A is having a liability of 5 lakhs and the Guarantor B has a Term
Deposit of 4 lakhs . Whether right of set off can be exercised: Ans:
only after account is recalled from borrower and guarantor and
382 GA after giving to notice to guarantor for adjusting his deposit.
The criteria for determining a group concern is a) same area b)
same line of business c) same family d) commonality of
383 GA management Ans: d.
Fo P eship e t edit e o d .da s, p io pe issio f o
384 GA ECGC is required Ans: 360 days.
Prudential norms on asset classification do not cover which of the
following : a) interest b) asset quality c) transparency of the
385 GA business d) risk perception.. e) none Ans: c
If an account gets 60 marks out of 150 under Manual Model, then
386 GA the atego of isk ill e A s: High isk

Which is the type of appraisal which is least mentioned on paper,

but which is of most importance to a financial Analyst: a) Financial
387 GA b) Commercial c) Management d) Technical e) economic Ans: e

Report in respect of certain financial statements in respect of

388 GA companies to be obtained from Secretary / Chartered Accountant.
L i ase of house hi h is i he ited, EC sea h e ui ed fo
389 GA Ans: 30 yrs
390 GA CGMSE coverage is available for loan upto : Rs.100 lakhs
391 GA Composite loan of SSI Sector : 1 Cr
Medium Manufacturing Enterprises- investment P & M : above Rs.5
392 GA cr, upto 10 Cr
393 GA PMEGP family income : No income criteria.
394 GA DRI Target : 1% of previous year gross credit
395 GA In DRT for which amount : Cases of Rs.10 lakh and above.

In case of company, Its registered office in mumbai, corporate

396 GA office in Chennai , Equitable mortgage where registered : Mumbai
397 GA STR 18 report who is signed: Branch manager
Loan for individual-non business purpose ( bank exposure) : max
398 GA Rs.10 crores.
399 GA Which mortgage is not registered: Equitable mortage
400 GA Deffered payment guarantee: Bid bond guarantee
401 GA ACABC no collateral security is required: upto Rs.5 lakh

402 GA DPN received from abroard is to be stamped : within 3 months.

In deposit DICGC cover is available. how much premium paid: 10
403 GA paise P.A on Rs.100/-
A banking co. cannot hold share more than : 30% of its capital &
404 GA reserves or 30% of that company capital.
405 GA Series of gurantee: Continuing guarantee
Margin on loan against shares ; 50%(now on demat shares, margin
406 GA can be reduced to 25%
Bill Of Exchange date 18.02.2008 payable 3 months after site.
407 GA accepted on 20.02.2006 , payable : 23.05.2006
408 GA Purpose of SGSY (NRLM)scheme: BPL to APL
409 GA In DRI scheme family income in rural area: 18,000/-

Which of the following are to be excluded for computing original

cost of Investment in P & M for SME manufacturing units? (a) Land
and building, (b) Pollution control devices, (c) Safety control devices
(d) Tools, jigs, dies etc (e) All the above. Answer: All the above.
(Other items excluded are: Installation expenses; R&D: Power
generation set; Extra transformer; Installation of cables, wiring;
Transportation charges; Charges paid for technical know-how ;
410 GA Firefighting equipment.)
Small Service providers having turnover upto a total receipt of
Rs._____________ annunally are exempted from Service tax
411 GA provisions. Answer: Rs.10.00 lacs.
Banks' exposure to a Group should not exceed ______% of the
Capital funds. Answer: 40% ( 50% of capital funds provided the
additional credit exposure of 10% is on account of infrastructure
412 GA financing).

For which of the following Charge creation is NOT required for a

limited company? (a) Trust limit (b) Charge by pledge of movable
assets (c) charge on the uncalled share capital of the company (d)
Charge on calls made but not paid (e) Charge on Goodwill,
413 GA Trademark, Licence or Copyright. Answer: (b)

Which of the following correctly describes a floating charge? (a)

The asset can be transferred without encumbrance (b) It is created
on assets which undergo change (like stocks) (c) It is an equitable
charge on the assets of a going concern for example cash credit
against stocks (d) The security is allowed to be used until the
414 GA charge is crystallized. (e) All the above. Answer: All the above.

A company which has issued shares to the public can not

commence business unless ______________________ (certificate)
415 GA is obtained. Answer: Certificate of commencement of business.
TRA in Term loan assessment means what? Answer: Trust and
416 GA Retention Account. (Infrastructure lending).
417 GA Repayment of Apple Crop Loan:With in 12 to 15 years.
Margin on Capital Reimbursement Scheme to SMEs: Ans: 25% for
new machinery and 50% for Old machinery, not more than 2 years
418 GA old.
419 GA PMEGP to ho ? A s: U e plo ed outh

420 GA SGSY(NRLM) to whom? Ans: Rural people below poverty line.

WC limit of Rs.500 lakhs to SSI, under which method? Ans:
421 GA Turnover method
422 GA Commitment Charges : 1%
423 GA JLG loan whether Clean or Secured? Ans: Clean
424 GA Target for Priority Sector: 40%
425 GA Validity of working capital sanction: Ans : 3 months
426 GA Maximum quantum under LUCC Ans:10 lakhs
Drawing limit : 3 lakhs, Margin : 25% what is stock value? Ans.4
427 GA lakhs
GCC - what is norm for considering under Priority: 100% Priority
428 GA SME
429 GA Bill of E ha ge C ossed - What is the effe t? NO EFFECT
Bill of Exchange with out consideration. What type?
430 GA Ans:Accommodation Bill
431 GA Who is LC opener _ Importer

432 GA Standby credit for capital expenditure to SMEs :Ans:Rs.25 lakhs

433 GA Target of Women under SGSY(NULM) : 40%
Loans to Distressed Urban Poor from Money Lenders : Maximum
quantum of loan amount: Rs.50,000/- (for priority sector it is
434 GA Rs.1.00lakh)
Under Risk Rating, marks are 80 out of 150. This comes under
435 GA which model? V Moderate Risk
DI Pe e tage fo u al/e i-u a a eas : / d of total DI
436 GA loans
What is the minimum educational qualification for PMEGP? Ans:
8th class for project value exceeding Rs.10 lacs under Industry
Sector, Rs.5 lakhs under Service sector. Below that level, no
437 GA educational qualification is required.

What is prudential exposure of Bank for discounting bills

438 GA guaranteed by Co-op Banks? Ans: 25% of their Net Owned Funds.
What is the target of Women under SGSY (NRLM) including groups.
439 GA Ans: 40% and for groups, it is 50%
What the norm for PMEGP margin ie Subsidy and margin should
440 GA be: Ans: margin for SC/ST:5%, Others:10%
For upgradation of Substandard Asset of SMEs, one of the
conditions is that the asset should be covered by securities to the
extent of not less than 100%. What is the percentage applicable in
case of MSEs? Ans: Upto Rs.25 lakhs, this norm is not applicable.
441 GA For infrastructure, it is not applicable.

A consortium of loan with X as leader and Y and Z are members. In

the Books of Y bank, it is classified as Sub-Standard. What is the
applicable classification in case of X and Z as per RBI norms of
Consortium Advances. As per respective banks repayment track
442 GA e o d o l . Othe a k s lassifi atio to e ig o ed.

443 GA An LC which provides finance to exporter: Ans:Red clause LC

What is the maximum quantum for standby credit under export
finance? 10% of sanctioned limit or delegated power which ever is
444 GA lower.
What is the cut off limit to include in Weaker Sections in case of
finance to Artisans and Village & Cottage Industries: Ans:
445 GA Rs.1,00,000/-
Whether Bill culture is mandatory in case of Export Finance : Yes.
446 GA Otherwise 2% penalty.
Expired Bank Guarantees, after sending Registered Notice, if the
original is not returned by the beneficiary, after how many days it
447 GA has to be reversed? Ans: 30 days
Loans against Shares of our Bank: Whether to employees/ex-
e plo ees/ asso iatio of e plo ees pe issi le? A s: ot
448 GA permissible

As per prudential norms, a loan account can straight away classified

as doubtful asset without undergoing Sub Standard stage, provided
there is substantial erosion of security value of the asset ie 50%
449 GA erosion and available security is more than 10% of the liability.
ROI charged from quarterly to monthly why ? To make compatible
450 GA with NPA norms
SME- reimbursement of investment made in fixed assets: New:
Rs.50 lacs, Old Rs.15 lacs. Margin: New :25%, Old :50%, with in 6
451 GA months, Old not more than 2 years old.
452 GA In SGSY(NRLM) SC/ST percentage ? Ans: 50%
JLG per group how much amount and per individual how much
453 GA amount ? Rs.50,000/- per head with max.Rs.5 lacs.
454 GA LSDBC credit cut off limit is what ? Rs.10 crores and above.
Fixed Asset valuation in DA cut off limit how much ? Rs.1 crore.
455 GA Periodicity once in 3 years.
Now, under MSME, investment in equipment upto Rs.2 crores and
also finance upto Rs.5.00 crores comes under : Small Service
456 GA Enterprise under Priority
Co u e t audit o e due he losed he ? With i o e
457 GA month. Regular RBIA, in 4 months.
Cluster based approach is applicable for: a) Priority credit advance
458 GA b) SME c) SHG. Ans: SME
Bills discounted and dishonoured: Debit the account for recovery
459 GA immediately.

460 GA In CC account which is not a disadvantage: Issue of Cheque book.

MSE single window ceiling of the amount with CGTMSE coverage :
461 GA Rs. 1 crore
Number of days for examination of documents by negotiating bank
462 GA under L/C by bank : 5 days.
For MSE units, no collateral security/third party guarantee is to be
463 GA taken for loans upto Rs. _____: Rs. 10 lakhs.

Medium Service Enterprises are enterprises with investment in

464 GA equipment for Rs. ____: Above Rs. 2 crore and up to Rs. 5 crore.

Ba ks a e e ui ed to le d to Weake e tio s up to _____%, of

465 GA total Priority Sector advances within the 40% of ANBC: 25%
Accrued interest means: Interest earned during the financial year
466 GA but not received.
Medium manufacturing units means units with investment in plant
and machinery above Rs. 500 lakhs upto what amount as per
467 GA MSME Act? : 10 crores.
A Small Service enterprise means a unit with investment in
468 GA equipment upto Rs.: Rs. 200 lacs.

469 GA Housing Loan under DRI to SC/ST can be given up to: Rs. 20,000/-.
Converting liability on account of overdue export bills into Indian
470 GA Rupees is called: Crystalization.

If a Letter Credit states that shipment to take place at the end of

471 GA June, it means: Between 21st and last day of the month.
The Income Criteria for Differential Rate of Interest Loans in Rural
and Urban areas is ________: Rs. 18,000/- p.a. in rural areas and Rs
472 GA 24,000/- in urban and semi-urban areas.
An agreement signed by borrower for delivery of title to goods with
Import bill without payment is called ____________________:
473 GA Trust receipt.

In a Micro manufacturing enterprise, as per MSME norms, original

474 GA investment in plant and machinery can be upto______: Rs. 25 lakh.
What is the Composite Loan Limit for Working capital and TL for an
475 GA Micro and Small manufacturing enterprise: Rs 1 cr
Right of foreclosure is available in which type of mortgage?
476 GA Mortgage by conditional sale.

Liability of drawer in B/E is _______: Primary before acceptance by

477 GA drawee and secondary after acceptance by drawee.

In Limited Liability Partnership (LLP) what is the extent of liability of

478 GA a partner: Limited to the extent of his share holding.
For creating Equitable Mortgage, title deeds are to be deposited in
: a) Any place b) Any place identified by Central Govt. c) Notified
place d) Notified Place by State Government for the purpose: Ans:
479 GA d.
DICGC cover is available in which of the following cases : a) Credit
balance in Cash Credit Account b) Overdue Deposit c) Deposit of
480 GA Govt. Ans: A & B.

Scheme of 1% interest subvention on housing loans is available for

home loans upto Rs Rs.15 lakh subject to the condition that the
481 GA cost of the house does not exceed Rs.________: Ans: 25 lakhs

Whi h of the follo i g is o e t . .t gua a to s ight : a To

i spe t a k s e o ds To dispose - off o o e s assets To
inspect documents d) To take account statement e) To know the
482 GA progress in the conduct of account : Ans: e.
The powers to permit negotiation of bills drawn under LC on
'without recourse' basis is with ______: Ans: No authority can
permit negotiation of bills drawn under LC on 'without recourse'
483 GA basis.
Your bank has financed against assets. For verification of assets,
which are the key aspects: Ans: Quantity, Quality, Charge on assets
484 GA are proper.

The Prudential norms of Income Recognition was implemented in

phased manner so that Indian Banks can have: a) Capital adequacy
and solvency; b) Cannot declare excess profit; c) More
485 GA transparency in published accounts. Ans: All
Under Priority Sector, loan to Govt. Agency for construction of
dwelling house, slum clearance can be upto Rs ____ lacs.: Ans: Rs.
486 GA 10 lac per dwelling unit.
What is the project cost under PMEGP scheme Ans: Manufacturing:
487 GA 25 lac, Service: 10 lac

In DRI scheme, what the target and sub-targets under Priority

488 GA Sector: Ans 40% to SC/STs and 2/3rd in rural/semi urban areas.
In the PMEGP scheme the margin for general category of
489 GA borrowers is _______ % of Project cost Ans: 10%.
What is the maximum limit of investment in Equipment in Micro
490 GA (Service) enterprises? Ans: Rs 10 lacs.
Maximum amount that is permissible under Priority Sector for
Repair of House in Rural and Semi urban area is _________ Ans: Rs
491 GA 2 lacs .
Under CGTMSE scheme, units sanctioned credit facilities upto
_____ ( fund based & non fund based ) are covered Ans: Rs 100
492 GA lacs.

CIBIL has categorized the credit information under certain groups.

Which of the following are they? (a) Consumer Accounts- Borrowal
accounts in the name of Individuals (b) Commercial Accounts-
493 GA Borrowal accounts of other than Individual. (c) Both. Ans: c.
Under Group Exposure norms, the exposure ceiling for Single
borrowers for normal projects is _______ and Group exposure in
normal case is up to_________ of __________: Ans: 15%; 40%;
494 GA capital fund of the bank.
Guarantee given by bank which enable the customer to pay
machinery suppliers on installment basis: Deferred Payment
495 GA Guarantee.

496 GA Sensitivity Analysis is done for what purpose: Viability study.

Registration of Limited Liability Partnership is done with: Registrar
497 GA of Companies.
Green clause LC refers to: LC in which there is a provision of
allowing pre-shipment credit and also to arrange for
498 GA storage/warehouse facility.
Rural Debt Swap is related to: Financing by the bank for clearing
499 GA the dues of the money lenders.

CGTMSE cover for a loan of Rs.60 lacs availed by Women

entrepreneur: Rs.45 lacs. (For credit facility upto Rs 50 lacs it is 80%
of the amount in default with maximum upto Rs.40 lacs. Above Rs
500 GA 50 lacs it is 50% with overall ceiling upto Rs.50 lacs.)
Loans to NBFC - SHG only in case the SHG contains: 85% of
501 GA qualifying assets.
Lette of C edit is issued I po te s Ba ke as: U o ditio al
502 GA Undertaking.

503 GA Advantages of Cluster based finance to MSMEs: Risk mitigation.

Advance under General Credit Card is covered under other priority
504 GA sector: MSE.
Where accounts are covered under CGTMSE, filing of suit is not
505 GA required in case the outstanding is: Rs.50,000/-

In respect of CGTMSE: No collateral and no third party guarantee

506 GA for fund based and non fund based credit facilities upto Rs.100 lacs.
In respect of the MSME to arrest the early signs of weaknesses in
507 GA the account _____ is done: Handholding.

Loan System for Delivery of Bank Credit is meant for: Optimum

508 GA utilizatio of Ba k s fu ds a d a i izi g p ofita ilit .

A Loan of Rs.25 lakhs sanctioned to Woman for Micro Enterprise.

509 GA What is the extent of coverage under CGTMSE: 80%.

As per Credit Risk Management Policy, Borrowers (Corporates and

other constituents) having sales turnover of over Rs.________ shall
dis lose Agei g hedule of thei o e due pa a les i thei
periodical returns/statements submitted to the Bank: Rs.50 crores
510 GA and above.
While doing Project Appraisal, sensitivity analysis is useful for:
511 GA Viability and sustainability of project.
While doing Risk Rating, an asset is downgraded from A+ rating to
512 GA A rating. What type of risk is involved: Credit Risk.
When an MSE unit is showing signs of sickness, the unit is said to be
513 GA in the ______: Handholding stage of MSEs.
A party is sanctioned regular bills discounting limit while
discounting bills, which type of bills will not be discounted: Bill for
514 GA purchase of fixed assets/ Accomodation bills.
DICGC scheme covers maximum liability of ________: Rs. 1 lac per
515 GA depositor per bank.
Concurrent Audit has been initiated on the recommendations of:
516 GA Ghosh Committee.
The bill is dated 15-03-13 and the date of acceptance is 20-03-13.
The bill was returned unpaid on 25/03/13. The limitation period is
517 GA upto ________ : 25/03/16.
The Concept of Agency coupled with interest is applicable in
518 GA respect of ___________ : Govt. Supply bills.
Transferable L/C can be transferred in _____________ but only
519 GA _____. Part or Full, Once.
Under Credit Guarantee Fund for Micro Small Enterprises
(CGTMSE) of SIDBI, SSI units sanctioned credit facilities upto _____
520 GA is covered. Rs. 1 crore ( Fund + Non Fund based).

Projected Turnover method as given by the Nayak Committee is for

SSI units with working capital (WCFB) sanctioned limits upto
521 GA Rs______, and non-SSI limits upto_____ . Rs. 5 crore; Rs 2 crore.

522 GA Clean bill means : Bills not accompanied by documentary proof.

In L/C, if insurance percentage not mentioned, then insurance
523 GA should be of: 110% of CIF Value.
Provision on Standard assets: Shown in Other liabilities and
524 GA p o isio s hedule .
525 GA PMEGP nodal agency : KVIC.
While sanctioning Term Loan what the banker has to examine: Unit
526 GA is in a position to repay the installments.

In case of Take-over of borrowal accounts shifting of accounts from

banks during last 5 years shall not be more than one occasion and
527 GA gap to last switch over shall be minimum : 2 years
Micro Manufacturing investment criteria is original investment in
528 GA plant and machinery : Rs.25 lacs
Income ceiling in case of DRI advances in case of Rural areas:
529 GA Rs.18,000/-

In case of housing loans for dwelling houses, income ceiling for

530 GA Rural areas: Rs. 2,00,000/- (irrespective of location)
In case of Vocational courses, for course of duration period above 1
year, the moratorium period is: 12 months from completion of the
531 GA course.

532 GA Loans to Services sector upto what amount priority: Rs.10 crore
What will be debtors period in months if Sales Rs. 180, debtors 30
533 GA lacs: 2 months (debtors/sales x 12)
The main difference between the Term Loan and Deferred Bank
534 GA Guarantee is ______: Outlay of funds.

The extent of coverage under CGTMSE for Micro units upto Rs 5

535 GA lacs: 85% with maximum amount of claim upto Rs 4.25 lacs.
Up to what loan amount banks need to lend under Consortium
finance? Now JLA to be formed for finance of Rs.150 cr and above
536 GA by Public Sector Banks

What should be annual income of a BPL family to be eligible for

537 GA getting interest subvention under educational loan? Rs 4.50 lac.
Cluster based approach is applicable for: a) Priority credit advance
538 GA b) SME* c) SHG. Ans: SME

539 GA What is the target in DRI scheme for women: No Target for women.
Bills discounted and dishonoured: Debit the account for recovery
540 GA immediately.
In Cash Credit account which is not a disadvantage: Issue of Cheque
541 GA book.
MSE single window ceiling of the amount with CGTMSE coverage:
542 GA Rs. 1 crore.
For MSE units, no collateral security/third party guarantee is to be
taken for loans upto Rs. _____: Rs. 10 lakhs. (For Good track record
543 GA unit upto Rs 25 lacs).
Interest Subsidy Scheme for Housing the Urban Poor (ISHUP) (Now
Rajiv Rinn Yojana). The scheme will provide a subsidy of 5% for a
maximum amount of _______ for a EWS individual for a house: 5
544 GA lakh.

As per the terms and conditions of L/C, the last date of shipment is
30th September and the last date for Negotiation is 21st October. If
shipment is done on September 28th, what is last date for
545 GA submitting the Bills for negotiations ? 19th October.
The main difference between the Term Loan and Deferred Bank
546 GA Guarantee is ______. Outlay of funds
Maximum credit for Service Enterprises under priority sector
547 GA increased to _______: Rs. 10.00 crores
Income ceiling for assistance for projects under PMEGP is ______:
548 GA There will be no income ceiling.
Takeover of accounts from other Banks - The account copies of all
the borrowal accounts with the present bankers / financial
institution shall be obtained at least for the last ______: 12
549 GA months.

Central Registry of Securitization Asset Reconstruction and Security

Interest of India (CERSAI) is a government company licensed under
section 25 of the Companies Act 1956, has been incorporated to
operate and maintain the Central Registry under the provisions of
550 GA _____: SARFAESI Act 2002.
The Audited Balance sheet for the latest financial year is to be
obtained within ______ to finalise credit rating and re-fix interest
551 GA accordingly: 7 months from balance sheet date

552 GA Advantages of Cluster based finance to MSMEs: Risk mitigation.

What is the minimum education qualification required for an
entrepreneur for a manufacturing project of Rs.10 Lakhs to be
considered under PMEGP? Ans :No educational qualification
553 GA required.

554 GA Provision on Standard assets of teasers home loans? Ans :2%

If the company limit is enhanced, company has to file a) creation of
charge b) Modification of charges c) Satisfaction of charge: Ans
555 GA :Modification of charges.
Which of the following is not part of Plant and machinery? Land
Building/ Fire Equipment/ Electrical fitting/ Furniture/ None : Ans
556 GA :All of the above
What extent SHG finance can be refinanced by NABARD? Ans
557 GA :100%

In Limited Liability Partnership (LLP) what is the extent of liability of

558 GA a partner: Ans :Limited to the extent of his share holding.
Small Mfg Enterprises - Investment in Plant and Machinery what
559 GA amount: Ans :Upto Rs.5.00 crore.

CGTMSE: For Micro unit upto Rs 5 lacs, what is the extent of

560 GA coverage: Ans :85% with max amount of claim is Rs 4.25 lacs.
Deferred Payment Guarantee - Ans :Type of Credit appraisal:
561 GA Similar to that of Term Loan.
Bills discounted and dishonoured: Ans :Debit the account for
562 GA recovery immediately.
563 GA Housing loan Risk weight LTV < 80% for 30 lacs is: Ans :35%.
Which of the following is the benefit of CGMSE: Ans: No Collateral
564 GA and Third party guarantee
1 LE NPA to be kept in sub standard ; 12 month
When NPA can be sold to other bank: after keeping 12 month in
2 LE
selling bank
Under SARFAESI Act, for Consortium Advances, what is the
3 LE percentage for acceptance of proposal : Three fourth in value of the
amount outstanding as on record date
NPA p o isio i g fo Dou tful Assets ea s a d a o e :
4 LE
Under OTS compromise proposal of Agricultural loan, at what rate
5 LE
simple interest is to be collected? Ans: 4%

6 LE An NPA account is having dues with less than 20% of the original
loan. Whether we can proceed under SARFAESI Act? Ans: NO
What is applicable DSCR on Term Loans other than Infrastructure
7 LE
Projects? Ans:1.50
In case of OTS proposal of Govt. Sponsored Loan of Rs.25,000/-
what is maximum permissible sacrifice for branch manager?
8 LE
Ans:Loss Assets, upto Rs.50,000/- for 50 accounts, branch managers

Under OTS for small borrowers upto Rs.2 lakh, what is acceptable
norm? Ans: Security is 150% : Min100% book liability. If security is
9 LE
less than 100% of book liab. :80% of realizable security value. Loss
Assets: upto Rs.25,000/- maximum possible .Above Rs.25,000 to 2
lacs: 25% of liab. . Now this OTS extended upto Rs.10 lakhs.
10 LE SERFAESI sale notice period ? 30 days.
11 LE Who head CDR empowered group ? EDs
How you will sell the asset to ARC with/without recourse ? Without
12 LE
OTS time permitted how many months without intt. charging in
13 LE
normal cases ? Ans: 12 to 18 months.
14 LE Definition of Hypothecation is given in : SARFAESI Act 2002.
Principal and interest not serviced for the last 3 months and value
of security declined from Rs. 75 lacs to 32 lacs the account will be
15 LE
classified under : Doubtful Category ( security values less than 50%
to 10 % )
NPA loan outstanding is Rs.10.00 lakh; ECGC coverage is at 50%;
Security coverage is Rs.3.00 lakh; Account is classified under
16 LE
Doubtful 2 years- Required provision is : Rs.4.70 lakh. (Clean
portion:3 lacs + 40% of security of Rs.3.00lacs)

17 LE Which of the following cannot be attributed to the borrower for the

account becoming NPA?. Economic Environment
Infrastructure loans with regular repayments will be classified as
18 LE
NPA If the DCCO is delayed : beyond 2 years.
19 LE
Legal expenses in NPA account will be debited to : P&L account.
20 LE Future course of action to be taken within : 60 days of account
becoming NPA including revival / restructure of loans.
Wilfull defaulters will not be allowed to float any new ventures for a
21 LE
period of : 05 years.
A possession notice has been issued under SARFAESI Act and no
response from the borrower even after 60 days Bank can proceed
22 LE
for : possession of security / take possession of management / sell
the security.
The account is classified as Doubtful for 3 years now; Total dues in
the account is 80lakhs, security value is Rs.100 lakhs Provision to be
23 LE
made for : 40% of Rs.80.00 lakh ie 32.00 lacs as it is only DA 2 Upto
3 years

24 LE Search report for CERSAI need not to be drawn for : HL upto Rs. 20
lacs/MSME/Expired/ Agril. Loan of Rs. One crore Ans: Agrl Loan
Security value is eroded by more than 50% and the available
25 LE security is more than 10% of liability. What is the classification of
this Asset: Ans: Doubtful
What is the provision for Doubtful Assets more than 1 year: Ans:
26 LE
Deficit + 40% of security value
An account has become NPA without customer intervention due to
27 LE
the following reasons: Ans: Economic Recession
Adhoc granted in an account becomes NPA after : Ans: 180 days
28 LE
(90days adhoc + 90 days for NPA)

29 LE CDR is applicable for Rs _______& above and in MBA / JLA .( only FB

or Both FB& NFB..???? ) Ans: FB+NFB Rs.10 cr and above.
Ned based fresh finance to Rs _________ may be considered to the
30 LE non will ful defaulters whose accounts are settled under OTS. Ans:

31 LE The running account with irregularities for more than _____days

will become NPA as per the NPA policy norms . Ans: 90 days

SARFAESI is applicable for all NPA accounts which is having Non

32 LE
Agricultural land & building as security ..except ..Ans: The
outstanding liability is lesser than 20% of the loan amount
Maximum repayment period of settlement amount in case of OTS
,from the date of conveying the sanction . Ans: 12-18 months
33 LE
(another 12 months as a special case with interest BR+2%
compounded monthly.
In OTS, in general minmum _____________ of settlement amount is
34 LE to be recovered upfront from the borower at the time of
settlement itself . Ans: 10 to 15%

35 LE An NPA account is directly treated as Loss asset if the available

security is lesser than ___ of the out standing liability . Ans: 10%
In case of Joint Lending Arrangement, if Stressed assets are found
and those assests are to be securitised ,the consent of creditors not
36 LE
less than _______in value is required.Ans: Lenders with 75% value/
60% in number.

As per the advise of RBI , Banks can sell their NPA to other banks /
37 LE
FI/NBFC after holding for a minimum period of ________years
before it is sold to other banks. Ans: NIL period.

38 LE Giving loans to partnership firms which is not registered- is not

encouragable ....why ? Ans: It can not sue others in court of law
In case of loan, where borrower became default, all the dues are
recovered from the guarantor, then the right of gurantor on the
39 LE
loan/securities is called ____________ of the guarantor. Ans: Right
of Subrogation.
SWL of Rs _____ & above will be viewed by CO quarterly: Ans: Rs.5
40 LE
lakhs and above
RBI formulated way to recover the NPA : Which among the below is
TARGET Ans: Reducing Priority Target
A loan granted for short duration crops will be treated as NPA if the
42 LE installment of principal or interest thereon remains overdue for
________ Ans: Two Crop Seasons

43 LE In which assets provision does not apply- Standard, Sub standard,

Doubtful, Loss: Ans None of these as it is applicable in all cases.

44 LE For enforcing right under SARFEASI, the account should be of what

type?- NPA, Standard, Loss Asset, Doubtful asset, : Ans NPA

45 LE After sale of NPA, for how many days, account will be treated in
standard category with the purchaser bank?: 90 Days.
Limitation period for executing decree is _____ years from the date
46 LE
decree becomes executable. Ans: 12 years
What is the maximum claim amount in Lok Adalat: Ans: Rs.20.00
47 LE
48 LE
What the period of NPA in Sub Standard Category: Ans: 12 months
In a Loan Account, Borrower died. What is the role of guarantor.
49 LE
Ans: to pay the liability

What is the percentage of provision on Unsecured Portion in an

50 LE
NPA account of 18 months old. Ans: 100% (since it is DA1 category,
providion is 100% of unsecured portion + 25% of security)

When the guarantee will become NPA, where the guarantee is fully
51 LE secured by Central Govt: a) 90 days and 180 days interest and
principal becomes due(b) when the Central Govt rejects the claim
when the Guarantee is invoked.Ans: B
ettle e t of s all alue NPAs upto s. lakhs hi h a ou t is
52 LE
not eligible: Ans: H L
Provision on Doubtful Assets more than 2 years old: Ans: Deficit +
53 LE
40% of security
CDR mechanism applicable to: Multiple Banking Financing Rs.10 cr
54 LE
and above
55 LE What is the Appeal Pe iod fo LOK ADALAT NO APPEAL
56 LE CDR I is applicable for which accounts : STD AND SUB STD
After taking possession of Assets under SARFAESI Act, bank has to
57 LE serve sale notice demanding payment within _____ days: Ans; 30
What is the minimum claim amount to be eligible for filing case in
58 LE
DRT: Ans: Rs.10 lakhs

As per SARFAESI Act, while selling securitized assets, before going

59 LE for private treaty, bank should attempt atleast ____ attempts
through other modes like open auction, inviting bids etc., where
the claim amount is less than Rs.1 crore: Ans: 1 attempt
Provision required for doubtful assets 1 to 3 years ....40% of
60 LE
security + 100% On Unsecured portion
61 LE Hypothecation defined under which act.... SARFAESI Act
Limitation time for execution of Decree 12 Years from the date
62 LE
of Decree
63 LE CDR Not applicable to Corporate.... Single bank.
Under SARFAESI.......Option is available to Bank. (To sell the secured
64 LE assets, to take over the management, to appoint a manager). All
the above
SARFAESI Demand notice. Mode of service. All the three ie e mail,
65 LE
regd post, courier
Whose assistance is taken for taking physical possession under
66 LE
SARFAESI Act. Dist Magistrate
67 LE
Monteray ceiling for case filing at LOKADALAT? Max Rs.20 lakhs
How many days notice is required to be given to the borrower for
68 LE selling the possession taken securities under SARFEASI Act? Ans: 30

Banks are required to submit the list if willful defaulters of

69 LE Rs.______ and all other defaulters with the liability Rs.______ and
above to RBI. Ans: 25 lakhs, Rs.100 lakhs (now submission to Credit
Information Companies from Dec 2015 onwards)
Short term crop loan become NPA by out standing for: ans: overdue
70 LE
for 2 crop seasons
Fee pa a le to e o e Age ts o A tual e o e i NPA
Accounts under Doubtful Category: 5% of the recovered amount or
71 LE liability whichever is less, with maximum of __________per
account. (Cir 430/2010) Ans: Rs 40,000/- (Loss Asset/w/o
As per Restructuring Policy of Our Bank, (Cir:245/2010) The extent
of Bank's sacrifice amount computed on net present value method
72 LE
would not exceed _______ %in case of Medium and large
enterprises Ans: 10%

Following accounts need not be classified as NPAs as long as they

73 LE
maintain margin a) Loans against Govt.securities b) Loans against
LIC policies c) Loans against bank Deposits Ans: B

74 LE As per SARFAESI Act, sale notice of _______ days to be issued

before sale of assets taken into possession. Ans: 30 days
Accounts that are eligible under CDR I (Cir 70/2011) Ans:
75 LE
Standard/Sub Standard
Advantages of Lok Adalat : a) No advocate fee b) No court fee c) No
76 LE appeal as the decree is consent decree d) All the above Ans: d) all
the above
When an account has become NPA, interest debited earlier and non
77 LE recovered should be: a) reversed b) fully provided c) Reversed or
fully provided d) write off Ans: C
Property mortgaged in one PLACE where to proceed legally --
78 LE
notified area
Working capital advance not renewed, when it will become NPA --
79 LE
180 days from due date
80 LE Lok adalat judgement: no appeal
81 LE CDR not applicable to : SINGLE BANK finance
In case of Auto Riksha seizure, what is the amount payable to
82 LE
Recovery Agent : Rs.3000/-
Account need not be classified as NPA as long as minimum margin
83 LE
available: LIC policies
Under SARFAESI minimum loan amount for eligibility of a/c : Rs.1
84 LE
What is the time prescribed for Seizure Notice under SARFAESI Act:
85 LE
60 days

An Asset can continue in Doubtful Category for a maximum period

86 LE
of: Ans: As far as security is more than 10% of liability (for provision
purpose, above 3 years treated as Loss Asset)
Maximum time period allowed in case of repayment of
87 LE
Compromise Settlement: 12 to 18 months
Conditions for Doubtful Asset Category: More than 12 months in
88 LE
Sub Standard Category
No Wilful defaulte s pa i g less tha the ealiza le alue hat is
89 LE the formula: Ans: Book Liability as on cut off date plus Base rate +
What is p o isio i g e ui e e t fo u ta da d Assets
90 LE Secured and Clean: Ans:from June 2011, it is 15% for secured and
25% for clean)
91 LE Sale of NPA by purchasing bank after: Answer: 12 months.
After receiving possession notice under SARFAESI, borrower can
92 LE approach DRT by paying ___________ Answer: NO amount is to be
CDR 1 and CDR 2 accounts: Answer: Standard & Substandard (CDR1)
93 LE
// Doubtful (CDR2)

An account is to be classified as NPA if: Interest is not paid for

94 LE
_____________(30 /60/90) days from the date of _____________
(debit / quarter end) answer: 90 days // debit.
The data on suit field accounts in respect willful defaulters of _____
and above and other borrowal accounts of _____ and above are
95 LE
available in the CIBIL website which can be accessed freely. Ans :25
lac, 1 crore
If stock statements not submitted for more than ---- months and
the irregular drawings are permiteed in the account for a
96 LE
continuous period of --- days then the account becomes NPA (out of
order accounts) Ans 3 months, 90 days
Under corporate debt Restructuring the decision binding by all
97 LE creditors where ____ % by value and _____ % by number should
agree Ans: 75, 60 (315/05)
Ou a k has odified ut off li it of NF si plified fo at fo
98 LE recommending transfer of a/c to LPD increased from Rs 25000 to
_______ Ans Rs.2 lacs (93/2010)

Wherever parties seek time for payment of compromise amount for

genuine reasons, then at the time of sanction, Bank may at its
99 LE
discretion permit time upto _________ from the date of
communicating the orders, without charging interest on the OTS
amount. (Loan recovery policy of our bank). Answer: 3 months

Special Scheme for Settlement of Small Value NPAs. The Scheme

100 LE covers accounts classified as NPA and outstanding more than 1 year
in NPA category with aggregate book liability up to ___________
and classified as Doubtful or Loss Assets. Answer: Rs.10.00 lacs
CDR is not eligible for (Individual Banking/ Multiple Banking /
101 LE Consortium / Syndication) Answer: Individual Banking // Sole

102 LE A/c not eligible for restructuring (Std/SS/DA/Loss) : Cir.245/2010

Answer : LOSS (in CDR also Loss accounts are not eligible).
For taking action under SARFAESI, the outstanding should be : More
103 LE
than Rs.1 lac
For being considered for Corporate Debt Restructuring, the account
104 LE should have been classified as : Standard or sub standard or
Doubtful account and not loss account.
If borrower have the capacity to repay the loan & does not repay
105 LE
called :Ans. Wilfuldefaulter.
What is the rate of provision in case of doubtful asset , which is
106 LE doubtful for 24 months: Ans: 100% of unsecured portion + 40% of
security value
Under Sick SSI Units, there is erosion in the net worth due to cash
107 LE
losses to the extent of _____ % : Ans: 50%

Under OD against Book Debts, when it will be treated as NPA basing

108 LE
on submission of Stock Statement non submission: Ans: From Stock
Statement date, 3 months is irregularity and 90 days thereafter.
To refer under CDR I, creditors with minimum ____ % of value
109 LE
(share) are eligible: Ans: 20%
In SARFAESI A/c what is the time period for appeal? Ans: If
borrower wants to prefer appeal against Banks action in DRT, it is
110 LE
45 days. If borrower wants to appeal against DRT decision in DRAT,
it is 30 days.

An NPA is purchased by Bank from Housing Finance Company. If

111 LE
there is no recovery, upto what period the purchased asset will be
in Standard Category in Purchased Banks Records: Ans: - 90 Days.

112 LE I CD I est u tu e pa kage is to e ag eed hat pe e tage

of creditors: Ans: creditors with 75% of value and 60% in number.
Before classifying the Account under Doubtful Category, The
113 LE account should remain in Sub Standard category for a period of ? 12

If one account is in BIFR and we want to bring it to SARFAESI then

how much amount is to be deposited ? Answer: Where the account
is pending before BIFR/AAIFR, if the secured creditors representing
114 LE
3/4th in value of the amount outstanding against the borrower
agree, then proceedings under the Act can be initiated by the Lead
Bank or any other Bank as may be decided by the member Banks.
Once possession notice is given in such account, then BIFR / AAIFR
has to be approached for abatement of the proceedings.

In case of OTS what is the max period of clearing the dues as per
our Loan recovery policy? TIME LIMIT FOR PAYMENT OF
115 LE COMPROMISE AMOUNT: The payment period may not ordinarily
exceed a period of 12 to 18 months from the date of conveying the
sanction. However, in exceptional cases a longer repayment period
may be considered by the sanctioning authorities on merits.

In case of OTS while taking the valuation of security it should not be

more than ? Answer: Along with the OTS proposal, the observations
/ comments on the valuation report (not be more than one year old
116 LE
as on the date of submission of OTS) by branch-in-charge who
inspected / visited the securities / properties together with colour
photographs of the securities are forwarded to the sanctioning
Balance outstanding in a CC limit is Rs.9 lakh. Value of stock is Rs.5
lakhs. It is in doubtful third year during March 20012. What is the
117 LE
provision on 31-03-2014: Ans: Rs.9 lakhs (100% of liability as DA
more than 3 years)
Legal Expenses incurred by Bank in respect of suit filed account to
118 LE be debited to Ans: a) P & L account b) Borrowers Loan account c)
Sundry Assets Ans : A

As per Loan Recovery Policy of the bank, NPA accounts of Rs.____

119 LE
and above should not remain in the Books of the bank for _____
without initiating the action. Ans: 1 crore, 6 months

120 LE Under SARFAESI act, if the account is already under BIFR or DRT ___
% of creditors to agree to bring the same under SARFAESI. Ans: 75%
For purpose of classification of Wilful Defaulters, the limit is Rs.____
121 LE
: Ans: Rs.25 lakhs and above
Possession Notice under SARFAESI act to be published with in _____
122 LE
days: Ans: 7 days

123 LE In case of sale of NPA, the NPA should remain for a minimum period
_____ i pu hasi g o pa s ooks. A s: o ths
Under CDR mechanism, ___ % in value and ____ % in Number
124 LE
should agree. Ans: 75% value, 60% number
Under recovery policy of the bank which cases refered to Advisory
125 LE
o ittee at HO A s: a ifi e of &a o e
For compromise proposals in respect of Wilful Defaulters, the same
is to be reported to :a) GM (HO) and above b) GM ,Circle and above
126 LE
c)ED and above d) CMD and above Ans: d (MC is the authority to
take decision)
If the liability today is Rs. 12.5 lakhs in an account which has been
classified as NPA as on 31..03.2008 , then the Provisioning to be
127 LE
made for the Balance Sheet as on 31.03.2013 is: Ans: 100% ie 12.5
What are the loans that cannot go to SARFAESI : Where security
128 LE
created is by way of Pledge.

CD lassified as Dou tful Me ha is a e pe itted o l

129 LE
if a minimum 75% of creditors by value and 60% creditors by
number should satisfy themselves of the viability of study.
130 LE Under SARFEASI : 1 lakh & above
131 LE In LOK ADALAT : max.20 lakh
132 LE CRR Calculation : On the basis of NDTL
133 LE
Long duration crop loan become NPA : Overdure one crop season
When SARFAESI Act cannot be applied? Answer: Claim / liability
below Rs.1.00 lac // Security interest (mortgage) created in
agricultural land // Pledge of movables within the meaning of
134 LE
Section 172 of Indian Contract Act // In case where the amount due
is less than twenty percent of the principal amount and interest
thereon // Ship & Aircraft.
Which of the following is the earliest legal initiative for recovery of
bank dues? (a) CDR (b) Lok Adalat (c) DRT (d) ARC/Securitization
135 LE Co pa ies e AFAEI A t. A s e : CD - // Lok Adalat
Legal se i es Autho it A t // DT e o e of de ts due to
banks & FIs Act 1993 (amended in 2000) / ARC & Securitization
o pa ies a e eatio s u de AFAEI. a faesi A t .
136 LE
Minimum quantum for referring under SARFAESI Act? Ans: Rs.1 lakh
Under SARFAESI Act, how many days notice is to be given to
137 LE
customer? Ans:60 days
Validity of OTS : Ans 12 to 18 months and another 12 months with
138 LE
compound interest
Which of the following can purchase NPA? a) ARC b) Banks c)
139 LE
Financial institutions d) NBFC e) All of the above Ans: E
Account when becomes NPA, if principal and interest not serviced
140 LE beyond 90 days from which date: From the date of application
during defaulting quarter
CDR Eligibility criteria: Multiple banks/Syndication /Consortium with
141 LE
outstanding of Rs 10 cr and above.
NPA - D3 Category (Beyond three years): 100% Provision both on
142 LE
secured and unsecured.
143 LE
Hypothecation is defined in which Act: Sec 2(n) of SARFAESI Act.
144 LE
SARFAESI is applicable to what type of accounts: NPA accounts.
Which is the latest recovery channel made available to the banks
145 LE for speedy recovery of NPAs backed by security: Action can be
taken under SARFAESI.
Monetary ceiling for case filing at Lok Adalat is: Maximum Rs. 20
146 LE lakhs. (Above Rs 20 lac cases are referred to Lok Adalat set up under
Corporate Debt Restructuring (CDR) covers multiple banking
147 LE accounts /syndicates / consortium a/c with outstanding exposure of
___ and above with the banks/FIs: Rs. 10 crore
An asset can remain in Doubtful - I category for a maximum period
148 LE
of _______: 12 Months
What is the minimum provisioning that has to be done for the
149 LE
a ou ts i loss assets atego : %
When an account has become NPA, interest debited earlier and non
150 LE recovered should be: a) reversed b) fully provided c) reversed or
fully provided d) write off : Ans: c

What is the cut-off limit for declaring Willful defaulters and what
151 LE
are the penal clauses specified: Ans Rs. 25 lac. No financial support
by any bank to new unit of the promoter upto 5 years.

152 LE As per NPA guidelines, Quick Mortality refers to: An account which
becomes NPA within 12 months (Liab Rs.5 lakhs and above).
153 LE Provision in respect of Doubtful asset above 1 year upto 3 yrs: 40%
of the Realisable Value of Security + 100% of Unsecured.
Debt Securitization refers to: Conversion of receivables into debt
154 LE
Recently the NPAs increased due to: Economic environment and
155 LE
not wilful default.
The account shall become NPA in case the regular/adhoc limit is not
156 LE
reviewed for a period of: 90 days.
What is the definition of Quick Mortality: Rs.5 lakhs and above
157 LE liability in case of new parties, becoming NPA with in 12 months
from the date of first disbursement.
Adhoc granted in an account becomes NPA after: 180 days (90days
158 LE
adhoc + 90 days for NPA).
What is the advantage to Banks for referring cases to Lok Adalats.
159 LE
Consented decree, No Court Fee and No Appeal.

A loan account was rescheduled / restructured. The first instalment

was due on 31-12-2012 and payment was promptly made on 30-12-
2012 and thereafter the account was regular. The account can be
160 LE
upgraded and treated as Standard Asset from what date: 31-12-
2013 (12 months from due date of 1st instalment subject to the
condition that the repayment is regular as per the revised
repayment schedule).

161 LE For handling of NPA accounts, which of the following was formed
first: a) DRT b) Lok Adalat c) Sarfaesi d) CDR : Lok Adalat.
Doubtful asset upto 6 months provision : Unsecured portion 100% +
162 LE
25% of security value
163 LE
Accrued interest in NPA: To provide fully or to reverse to account.
The CDR scope has been extended to cover entities with
164 LE
outstanding exposure of Rs _____ crores and above: 10
Which of the following can purchase NPA? a) ARC b) Banks c)
165 LE
Financial Institutions d) NBFC e) All of the above Ans: E
NPA - D3 Category (Beyond three years): 100% Provision both on
166 LE
secured and unsecured.
167 LE
SARFAESI is applicable to what type of a/cs: Secured NPA Accounts.
Monetary ceiling for case filing at Lok Adalat is : Max Rs. 20 lakhs. (
168 LE
Above Rs 20 lac for Lok Adalat under DRT).
Which is the latest recovery channel made available to the banks
169 LE for speedy recovery of NPAs backed by security: Action can be
taken under SARFAESI.
An account becomes NPA, if Regular credit limits have not been
170 LE
reviewed within ______ from due date: 180 days.
CDR scheme will not apply to accounts involving ______: Only one
171 LE financial institution or one bank and outstanding exposure is less
than Rs. 10 cr.
Debt Securitization refers to: Conversion of receivables into debt
172 LE
Recently the NPAs increased due to: Economic environment and
173 LE
not wilful default.
If a principal debtor files objection to his assets being acquired
174 LE under SARFAESI Act, the bank has to reply within ____ days: Fifteen
days (enhanced from 7 days)
An asset can remain in Doubtful - I category for a maximum period
175 LE
of _______: Ans :12 Months
What is the minimum provisioning that has to be done for the
176 LE
a ou t i loss assets atego : A s : %
Account when becomes NPA, if principal and interest not serviced
177 LE beyond 90 days from which date: Ans :From the end of the quarter
in which interest is debited.
NPA - D3 Category (Beyond three years): Ans :100% provision both
178 LE
on secured and unsecured
179 LE
Hypothecation is defined in which Act: Ans :Sec 2(n) of SARFAESI.
180 LE
SARFAESI is applicable to what type of accounts: Ans :NPA accounts.
In case of customer complaint received if it is redressed in how
1 MISC many days so that it will not be noted in record as customer
complaint? Ans:- 24 hours (cir 251/08)

2 MISC ATM cash verification to be done by branch manager within -----------

days? Answer: Once in a quarter in case of outsourced ATMs.
When a customer tenders a fake note, which is correct while issuing
3 MISC acknowledgement. Ans: Cashier can give acknowledgement, even if
the tenderer refuses to sign.

4 MISC Which type of preferential shares appear in Tier I capital of the

Bank. Ans: Perpetual Non Cumulative Preference Shares.
As per RBI guidelines, all PSBs and RRBs have to report on business
segments with effect from 31-03-2008. The segments are: Ans:
Wholesale, Retail Sector, Treasury Operations, Other Banking

Customer of your bank asked for cash payment of crossed DD which

you have paid. In the above case, risk the bank may face: Ans: a) In
6 MISC case the purchaser disputes that it has gone to wrong person, the
bank is liable b) Bank can not pay as it is crossed and should be
routed through the account only c) Bank can pay duly satisfying the
genuineness of the draft and payee Ans: C
TDS collected to be deposited with in: Ans: 7th day of succeeding
7 MISC month during which it is collected(Now within 5th day through
OLTAS package)
What is the percentage in Region A to bring training materials
bilingually. Ans: 100%

In following cases, which is liquidity risk: a) More maturing assets

than maturing liabilities b) More maturing liabilities than maturing
assets c) Maturing assets and liabilities are equal. Ans: B
What are the charges for NEFT of Rs.3 lakhs : Ans: Rs.25/- + ST
Inspection of Stock by Branch Incharge of ELB/CSB, the periodicity
is: Ans: Once in a Year

In order to facilitate better customer service branch in charge

should adopt the concept and role of a) Business Facilitator b)
Business Correspondant c) Floor Walker d) Branch Manager. Ans: C

13 MISC What is the Service Charge for a remittance of Rs.20,000/- to Nepal

by a Non Customer: Ans: 100/- (cir 54/09) (earlier it was Rs.75/-)
As per disclosure policy of the Bank Authorised spokes person
14 MISC means a) CMD b) ED in the absence of CMD c) Authorised GM d) a
and b only. Ans: A
What is the rate of penalty for delay in reporting currency chest
transactions to RBI: Ans: Bank Rate + 2%
What are the charges for balance enquiry through other bank
ATMs: Ans: NIL for 5 transactions in a month for SB customers.
Thereafter Rs.10/- per transaction for non cash transaction.

17 MISC TDS is to be collected in case of rent exceeds _______ per year. Ans:
Rs.1,80,000/- @10% on rent on Land, Building, Furniture.
When an order is passed by Banking Ombudsman, the same should
be complied within 30 days of : a) from the Date of Order b) the
receipt of the copy of the order c) from the date of receipt of
acceptance from the complainant. Ans: C
In our Canara Gold Card, the billing date and the due date for
19 MISC payment is ______ and ______ Ans: Month End and 20th of
succeeding month.
Cheques deposited at ATMs to be lifted within: Ans: At the
beginning of the day

21 MISC Penalty for delay is _____ per day if information is not furnished
within prescribed time under Right to Information Act. Ans: Rs.250/-
Under BASEL II, Operational Risk is measured by: Ans: Basic
Indicator Approach
Basel consists ____ Pillars and _________ is pillar no.2. Ans: 3
pillars, Supervisory Review is Pillar no.2
Floating Provisions can be included in : Ans: Tier II capital under
General Provisions and Loss Reserves
Under Manual method, an account is rated 75 marks. What is the
risk gradation: Ans: Grade V - Moderate Risk
For an ECS debit received at a branch, the same should be acted
26 MISC upon only after the Mandate is lodged at the: Branch where the
party is maintaining account.
What are the charges for countersigning a signature to an SB
27 MISC account holder in an urban branch. Ans: Rs.75/- per case (Rs.50 in
Rural Area) cir 7/2011

NEFT charges on account of a remittance of Rs. 20000 effected on

behalf of a Nepalese worker who is having an account in Nepal is:
Commission : If beneficiary maintains account with Nepal NSBL:
28 MISC Rs.5/- by our Bank, Rs.20/- by SBI (Rs.10/- by SBI, Rs.10/- by Nepal
SBL) ie total Rs.25/- to be collected by originating bank and pass on
to SBI. If party does not maintain account with Nepal SBL, additional
charges of Rs.50/- for remittance upto Rs.5000/- and Rs 75/- for
remittance above Rs 5000/-.
Additio al details i espe t of f auds fo a ou ts g eate tha ..
29 MISC a e to e epo ted ithi .. a lakh, hou s lakh, da s
c) 5 lakhs , 30 days d) 5 lakhs, 24 hours Ans: D
Renewal of CANARA Card : Automatic renewal if there are
transactions during previous 12 months
U de o site ATMs, he ues deposited a e to e lea ed.a at the
end of the day b) at the beginning of the day c) at regular intervals
d) at any time during the day e) cheques should not be deposited in
onsite ATMs. Ans: b

Under the Disclosure Policy, public information can be given by an

employee if 1) it is required by Law 2) with the explicit permission
of the Compliance Officer 3) it cannot be revealed 4) 1 and 2 Ans: 1
E- ails to e eplied ithi a d p io it e- ails to e
eplied ithi .. A s: o ki g hou s, hou
A pe so etu i g f o a oad a keep upto a a i u of..
34 MISC a of Fo eig Cu e otes a d.. a of oi s A s: Upto
US$2000 and any amount of coins.
Method is used fo C edit isk
a d..Method is used fo Ope atio isk. A s:
Standardised Approach for Credit Risk, Basic Indicator Approach for
Operational Risk.
If the e is defe t i the legal do u e tatio , the it is .... isk
Ans: Legal Risk, which is part of Operational Risk.
General Provisions and Loss Reserves at ___ % of Risk Weighted
Assets should o e u de Tie . a . % , Tie I . ,%
Tier II c) 2.50%, Tier I d) 2.50 % Tier II Ans: b ie 1.25% and under tier
II capital.

38 MISC Risk on account of changes in on balance sheet and off balance

sheet ite s due to ha ges i a ket ates Ma ket isk
The recommended period for which Bonds are to be invested for
Tier I Capital is: Perpetual ie no maturity.
P o isio fo u se u ed ad a e u de su sta da d atego %
from June 2011 balance sheet onwards.

Floati g p o isio s o l fo o ti ge ies u de e t a-o di a

circumstances for making specific provisions only for contingencies
after obtaining board approval and with prior permission of RBI.
Preservation of records pertaining to claims of deceased a/c holder
A s: s f o the date of lai settle e t.
Which of the following is not a valid reason for returning an
application for information under RTI: a) Fee not received with
application b) purpose not mentioned c) request is not in writing d)
it is not by an Indian Citizen Ans: B
N introduced the Account of A&B , a partnership firm.. What is
44 MISC liability of N in case of fraud committed in the account of A & B: No
Liability. Identification of party only.

45 MISC DL E o Ke lost epo ted A hethe B a ope ate :

Bank will not allow operations without the consent of A.
Incomplete cheque with space signed by the drawer. Employee
46 MISC adds' 0' and 'Y' to 8000 both in figures and figure. Bank makes
payment. Party objects payment. Bank is not in order in making the
payment. ( Not a payment in due course)

47 MISC Counterfeit notes returned after police verification, the same has to
be preserved for 3 years subject to half yearly verification.
Whi h of the follo i g does ot fall u de fi a ial efo s
obtention of photographs.
Group Insurance of Scale -I officer except posted in J & K : 3.0lacs in
other areas, Rs.5.5lacs in J&K (cir 508/2015)
50 MISC Ombudsmen can give award : maximum Rs.10 lakh
CRR maintained min % of NDTL : no min . At present CRR is 4%
52 MISC For immediate credit Outstation cheque: 15000/-
53 MISC How many times DD can be revalidated: once
54 MISC Nomination is not available: turst a/c
55 MISC In Case of LOCKER relation between : lessor & lessee
56 MISC In all computers , Bilingual: is must
57 MISC In RTGS amount is credited within: 2 hours
58 MISC TDS deduction on interest: 10000/- and above
59 MISC Commercial Paper issue min amount: Rs.5 lakh
60 MISC Debit card facility provided: Immediate debit to a/c
61 MISC spend now pay later: credit card.
Charge of satisfaction is registered in case of company: with in 30
63 MISC Life Certificate of defence pensioner obtained : November

64 MISC If person aged is 61 year exemption in TDS: 15 G (Now 15H as

Senior Citizen for IT purpose is reduced to 60 years and above)
Drawing power of the board : defined in Articles Of Association
66 MISC Nominee is : trustee of legal heir
Internal inspection of branch: for performance of branch & staff
68 MISC RBI discounting the bill : @ bank rate
ANBC = Gross Credit + Non SLR bond in HTM category+RIDF bonds
70 MISC Goiporia Committee: Customer Service

Resolution of Board of Directors without quorum is given for

opening of account. Whether the resolution can be accepted for
opening a Current Account a/c? Answer: Yes. Doctrine of Indoor
Management: This is exception to doctrine of Constructive Notice.
Outsiders dealing with the company can assume that the internal
affairs of the company are done as per the rules and regulations
defined in the AOA.
A safe deposit locker key is lost. It was later found by a third party &
72 MISC promptly returned to the branch. What is the procedure to be
followed? Answer: To be sealed in a cover, obtain a witness of the
person and keep in DL and bring to the notice of the hirer.

In a Safe deposit locker (where nomination is given), hirer has died.

Branch has settled the claim in the SDL account after promptly
73 MISC observing all the rules. Later before allotting the SDL to some other
person, it was found that the SDL is having a sealed pocket. What is
to be done? Answer: Packet to be handed over to the nominee &
no need to call legal heirs. and no need to open the packet.
Mr. AA mortgages to Mr. BB, a site. After sometime, Mr.AA
74 MISC constructs a house thereon. Whether Mr.BB is entitled for
mortgage rights on both site and building? Answer: Yes.
What is the main objective of ALM? Answer: To protect Net Interest

Which of the following is not the responsiblilty of ALCO? (a)

Achievement of Budgeted Targets (b) Pricing of deposits / advances
(c) Determining of the desired maturity profile of incremental assets
and liabilities (d) Overseeing the implementation of ALM (e)
Monitoring the risk levels. Answer: (a)
Under Basel II , what is the III pillar? Answer: Market Discipline

Which one of the following is not accounted for SLR security? (i) in
cash (ii) in gold valued at a price not exceeding the current market
price, (iii) in unencumbered approved securities valued at a price
determined in accordance with such one or more of, or
combination of the methods of valuation, namely, valuation with
reference to cost price, market price, book value or face value, as
may be specified by the Reserve Bank of India from time to time.
(iv) Approved Securities in Shares / debentures etc. Answer: (iv).
For calculating the Time and Demand liabilities for the purpose of
calculation of SLR /CRR which of the following are not excluded? (a)
79 MISC Borrowings from RBI (b) Borrowings from Commercial Bank (c)
Borrowings from IIBI/SIBI (c) Liabilities of Offshore banking Units.
Answer: (b)
What is the Risk Weight for NPA taken over from other Banks?
Answer: Risk weight is 100%
Memorandum of Association does not contain clauses as to : (a)
Objectives of the company (b) Internal administration (c) Name (d)
Capital (e) Registered Office Clause. Answer: (b). Internal
administration is covered in AoA. Other clauses in MoA are: Liability
of share holders (limited or unlimited) & Association clause. Total 6
Bank guarantee issued for release of goods from Customs without
payment of customs duty against future export performance is
called as ____________ _____ ___ guarantee. Answer:
Performance Guarantee. (Financial guarantee: All guarantees issued
for repayment of a debt or a loan or payment of a sum without
linking to performance is financial guarantees. In a financial
guarantee the relationship between applicant and beneficiary is
that of a creditor and debtor generally. Performance guarantee:
82 MISC These are the guarantees issued in respect of performance of
contract or obligation. Although these guarantees are for
performance, in such cases, in the event of non-performance of the
obligations as per the terms of the contract, the bank assumes
under the guarantee, only monetary liability up to a specified
amount, and for specified period and not due performance of the
contracts like construction of a building, or supply of material etc.
One should invariably call for copy of the underlying contract or
agreement to determine whether a guarantee is for performance or
financial since the entire process of appraisal and fixing of
commission differs.)

What is Sub Prime lending? Answer: Sanctioning of loan to

borrowers who do not qualify for the best market interest rates due
to certain deficiency in their credit history. The risk is offset with a
higher interest rate. Lending to customers who come under High
risk category. (Also called as B-Paper;Near Prime; Second chance
lending). Sub Prime borrowers have credit score below 620 on a
scale of 300 to 850.
The Act of RBI through market intervention in buying and selling of
84 MISC dollars in domestic market is called as _____________ Answer: MSS
(Market stabilization scheme)
CRR is a function of RBI for ____________________ Answer:
liquidity & solvency of scheduled banks.
A request was received from a Company for issuing solvency
certificate. What are all the items that will be deducted for arriving
at the TNW of the CO? Answer: Goodwill, accumulated loss and
preliminary expenses
Bearer DDs are not to be issued. Under Which Act? Sec 31 of RBI
Howmany times a Pay Order can be revalidated? No Revalidation.
Only cancellation.
Cha ge i I te est ate What t pe of isk? A s:Ma ket isk
When customer meet is conducted? Ans: 15th of every month
91 MISC When Hindi Day is being celebrated? 14th September
92 MISC Minimum characters required in password : Ans 8 characters
93 MISC Who appoints Ombudsman : Ans: RBI
94 MISC OSC returned. What are stamps to be affixed on the cheque? Ans:
All ou sta ps a elled dul sig ed autho ized sig ato
Suggestion box key - with whom? Ans: Internal Control manager
96 MISC LFC of Wo k e Whe to su it ill : A s. ithi da s
97 MISC PIN abbreviation: Ans: Personal Identification Number
98 MISC Cash T a sa tio epo t pe iodi it : A s : Mo thl
99 MISC Ca a d li it of pu hase fo f ee e e al : A s:s. ,
In case of Cancard withdrawl through branch - what is to be
100 MISC
produced? Card and identity
101 MISC Plastic White Card - Forfeited/Hotlisted/Whitelisted
Ca edi lai olla o atio ith ho ? A s: U ited I dia
102 MISC
For hiking Bank Rate what is the criteria : :Inflation/Absorption of
103 MISC
What is Conversion? Ans: Crediting proceeds of cheque to other
104 MISC
than payee

105 MISC O e sold positio Cu e ate is i eased . What is the effe t

out of the following: Ans: Exchange Loss (Forward Contract)
Ga ishee O de Appli a le fo hi h elatio ship? A s:De to -
106 MISC
Standing Instructions - What is the relationship? Ans: Agent
107 MISC
Service Tax not to be collected on: Ans: Interest collected on our
108 MISC
Tier I capital consists of: Paid up shares, Statutory Reserves, Free
109 MISC
Reserves, IPDI, PNCPS
110 MISC
CAMEL rating for what? Health of Bank (Padmanabhan committee)
uggestio Bo F e ue of ope i g : F e ue of ot o e
111 MISC
than 7 days intervals
112 MISC Hindi Report : Periodicity : Quarterly last day.

113 MISC Income Tax - Qualifying amount for TDS under rent paid to lessors
of premises : Rs.1.80 lakhs p.a. for financial year 2013-14

Under Ombudsman, in how many days appeal has to be preferred

114 MISC
before Apellate authority? 45 days . If apellate authority satisfied,
he can permit another 30 days.(cir no.74/06)
Garnishee Order not applicable to: Amount deposited after receipt
115 MISC
of order
Lo ke e t olle tio ti e o : A s: Ap il st due date a d to
116 MISC
be collected within 15 days
117 MISC
Under Capital Adequacy, what is risk rating for Cash? Ans: 0%
118 MISC Who a o i ate i Mi o s FD? Natu al Gua dia
119 MISC When is customers day observed? 15th every month
120 MISC What is the preferential interest rate for Senior Citizens under Can
Tax Saver? NO Preferential Interest on CanTax Saver
Tier II capital should be not more than ____ percentage of Tier I
121 MISC
capital Ans:100%
122 MISC Ope atio al isk Failu e of ste s /P o ess/People
Eligibility criteria for Cancard Visa International (Gold): Income of
123 MISC
Rs.2 lakhs per annum

There are more than 20 partners in an unregistered firm(other than

124 MISC banking business). As per Companies act, what is the status of this
account? Ans: Now upto 100 partners are permitted in Partnership
Firm as per Companies Act 2013.
ight to I fo atio A t hat is the pe iod of p ese atio of
125 MISC
records normally? Ans:20 years

126 MISC Under Right to Information Act, who can ask for information and
what is the criteria? Indian Citizen. Purpose need not be mentioned.

127 MISC What is the maximum period to approach Ombudsman? Ans: 1 year
1 month from the date of representation to Bank by customer
What is cut off limit for collection of Tax in case payment of
128 MISC
professional fee? Ans:Rs.30,000/-
In case of loan to distressed for clearance of debts from non
institutional sources, what precaution bank takes while granting
129 MISC loan, to prevent them to approach money lenders again? Ans:
Obtain co-obligation of spouse or adult family member to exert
peer pressure
Lette s e ei ed B a ea a hes i Hi di. What is the o fo
130 MISC
reply? Ans: B to A, B to B :90% B to C region:55%
What is the risk weight for staff loans as covered by security or
131 MISC
terminal benefits: Ans:20%
132 MISC What is the age for Canmediclaim: Ans: 5 to 65 years
What is the penalty for delay in submission of 26QAA: Ans:Rs.100/-
133 MISC
per day
On Customers day, executives available to customers without
134 MISC
appoint between : Ans:3 pm to 5 pm
Upto what amount a duplicate DD can be issued without obtaining
135 MISC confirmation from payee and without noting caution by the payee
branch? Ans: Rs.5000/-

A forged DD was presented to a branch for payment was detected

136 MISC
as forged. Who has to file FIR with Police? Ans: payee branch/issued
branch/collecting bank branch: Ans: Paying Branch.
A fake note found in cash remittance by a customer. What is to be
137 MISC
done? Ans: Impounding
Staff meeting expenses debited to which head of General Charges?
138 MISC
Ans: Staff Welfare Expenses
F aud o e tha s. o es to s. o e ho to epo t ? CBI
139 MISC (economic offences wing, if staff involvement is not there. Anti
Corruption Bereau if staff is involved.)
In case of arbitration between banks when to report to Finance
140 MISC
Ministry- cut off amount ? Above Rs.,50,000/-
CRR changes what is the effect ? Liquidity in the market will be
141 MISC
In VISA GOLD CARD how much in the accident relief amount ?
Death due to Ai ash - elf --- s . lakhs/// pouses .
142 MISC
lakhs Death due to other than Air crash - Self -----Rs 4.00 lakhs////
Spouse- Rs 2.00 lakhs
In case of Canmediclaim the premium amount to be sent to whom ?
143 MISC
United India Insurance co.
144 MISC
In case of commercial real estate risk weight in what % ? Now 100%
In case of TDS Return 26 QAA non filing of return fine per day how
145 MISC much ? Rs.100 per day. Filing quarterly ie last day of July,Oct, Jan
and June.
TDS in term deposit how to be deposited by what date ? before 7th
146 MISC of succedding month. In case of March month, deposit within 2
147 MISC In ATM if one fails to give PIN : It will not allow transactions.
In CBS environment in customer terminal giving wrong password
148 MISC
after how much time it will be locked ? 3 times.
NEFT member banks are global/in the country only ? With in
149 MISC
country only. (NEFT Nepal scheme through SBI)
150 MISC RTGS cut off limit ? Min.Rs2 lakhs now.
Ba k to i ple e t O uds a e di t i ho a da s ? ith
151 MISC
in 30 days after acceptance by complainant.
What is the purpose of observing Customer day ? To know
152 MISC
customer grievances and to render better customer service.
153 MISC Visit of security officer when & how much time ? Quarterly

Hindi Karyanvayan Samiti Baithak when observed ? Hindi

154 MISC
Implementation Committee meeting: Once in quarterly. (First
month: Branch, Second Month:Circle, Third Month: at HO.)
Tier-II capital deals with what ? Revaluation Reserves, General
155 MISC Provisions & Loss Reserves, Sub ordinate Debt, Hybrid Debt, PCPS,
Flu tuatio of fo e ese e & a ket f ee a iatio effe ts
156 MISC
Market Risk
No claim period in Canmediclaim in case of natural death ? within
157 MISC
45 days
Chartered accounts to be depanelled by whom ? HO by
158 MISC recommendations of CO.(Branches to inform to CO. CO inturn to
P ese atio of e o d death lai ho a ea s ? ea s
159 MISC
from the date of settlement.
For setting up of White Label ATMS, the net worth of the Corporate
160 MISC
must be: 100 crores.
What is the maximum limit on Subordinated debt instruments as
161 MISC
part of Tier II capital? 50% of Tier I capital.
RBI introduced scheme for providing incentives to banks for
extending enhanced services in the area of mutilated / soiled notes
162 MISC & coin distribution and levying penalties for deficiency in providing
services to members of the public distribution of coins over the
counter is : 25/- per bag
___________ is a money market instrument, which enables
163 MISC collateralized short term borrowing through govt. securities: Repo

164 MISC What should be annual income of a BPL family to be eligible for
getting interest subvention under educational loan? Rs 4.50 lac.

165 MISC What is Hybrid debt instrument? a) Debenture b) Bond c)

Preference shares d) Convertible Bonds Ans: Convertible Bonds
When Guarantor on payment of all dues to principal debtor, he gets
166 MISC which rights as that of creditor? a) Subrogation b) Lien c)
Assignment d) Pledge. Ans: Subrogation

Which of the following does not come under Tier II capital? a)

167 MISC
Capital reserves b) Undisclosed reserves c) Revaluation reserves d)
Non cumulative perpetual shares: Ans: Capital Reserves.
168 MISC Ombudsman Award - Maximum for credit card: Rs. 1,00,000

169 MISC Locker Operation: periodicity of atleast one operation in case of

High and Low risk customers: 1 year and 3 years respectively.
Why International Financial Reporting System (IFRS) should be
170 MISC implemented: For comparison of financials of companies operating
in two different international jurisdictions.
For Speed clearing no charges should be levied in Saving Accounts
171 MISC
for cheques up to : Rs.1 lakh.

You receive an Income Tax attachment order for Rs. 1,50,000/- in

the name of Mr. Raj Thapa who is maintaining a joint account with
172 MISC
his wife Mrs. Naval Thapa. The balance in the joint account is Rs.
2,50,000/-. How will you handle the situation: Attachment order
will be applicable up to Rs. 1.25 lac only.

For Ultra Small Branches, a designated officer will visit the villager
173 MISC
on a prefixed date and time every _________ with laptop and will
be connected to Banks central server (CBS): Week.
AML - FIU Cash T a sa tio s details fo the o th to e
174 MISC
submitted before: 15th of the following month.
Revaluation Reserve discounting factor to be taken to which capital:
175 MISC
55% & Tier II Capital
176 MISC Business correspondent is: Agent of Banker
What is the latest RBI directives for issuing DD for amount of Rs.
177 MISC
20,000 and above: It should Account Payee only.
178 MISC If Garnishee Order does not specify any amount, is it applicable or
not: Applicable and full amount in the a/c will be attached.
What is minimum amount for NEFT transaction? No Minimum
179 MISC
What is the type of risk if computer data lost? Ans: Operational
180 MISC
As per Right to Information Act, Public Information Officer has to
181 MISC
provide information in how _____ days: 30 days
What is the number of days within which the proceeds should be
credited to the account under Cheque collection Policy in Metro &
182 MISC
State capital, Distt Head Qtrs and Other areas? 7 days; 10 days; 14
For settlement of claims in a Deposit account of a missing person,
183 MISC how many years one should wait if a person is not heard of alive or
dead: Y s e of I dia E ide e A t.

184 MISC What is the maximum amount of Award that can be given by an
O uds a u de BI s O uds a s he e? s. la s
What is the minimum amount to be transacted under RTGS? Rs. 2
185 MISC
Within how many days of filing a complaint with the bank, the
complainant can approach the Ombudsman: One year from the
186 MISC
date of the receipt of the reply from the bank. If no reply received
then it is one year and one month.
Investment Fluctuation Reserve is part of which type of capital: Tier
187 MISC
I Capital.
As per RBI guidelines, the visually impaired person is to be provided
188 MISC with: a) Cheque book facility b) ATM card c) Locker facility d) All the
above. Ans: All the above
Speed clearing refers to: Clearing system organized locally wherein
189 MISC
settlement of outstation cheques takes place.
In the case the Electronic Funds Transfer (EFT) instruction is
dishonoured for insufficiency of funds, imprisonment of 2 years or
190 MISC
double amount penalty or both are provided in which Act: Payment
and Settlement Systems Act.
What is the risk weight on Personal Loans for calculation of Capital
191 MISC
as per Basel II: Ans: 125%.
In case of Fraud of Rs. 3 crore where no staff is involved has to be
192 MISC
reported to _______: Ans CBI, Economic Offence Wing.

193 MISC Floating reserves form part of _____ capital with ______ %age of
RWA. : Ans: Tier II: maximum 1.25% of total risk weighted assets.
Under Basel II, what is the initial approach for Credit risk and
194 MISC Operational risk: Ans: Standardized approach, Basic Indicator
What is the capital charge under Basic Indicator Approach of
195 MISC Operational risk: Ans: 15% of positive gross income average of last 3
What is the purpose of Audit Trail: (a) Internal control (b) Provides
196 MISC
useful information to auditors. Ans: Both a and b.

197 MISC In Balance sheet, Subordinated debt is shown in ____ capital under
the _____ head of B/s. Ans: Tier- II ; Other liability and provision.
Hybrid Debt Instruments are _____________ and are shown in
_________ captal. Ans: Hybrids are instruments that have some
198 MISC
characteristics of both debt and shareholders' equity. Shown unde
Tier II capital.
Clean Audit report is also known as _______. Ans: Unqualified
199 MISC
Greening of advances refer to _________. Ans: Two banks buying
200 MISC
NPA s of ea h othe .

201 MISC In merger proposals shares are exchanged on the basis of

_________ value. a) Market b) Face c) Book Ans: Market Value.
Subordinate debt is shown under ________ capital and can not be
202 MISC
exceed _____ % of Tier - I capital. Ans: Tier-II ; 100.

No Banking Co shall hold shares in any company for amount

203 MISC
exceeding ____ of paid up share capital of that company or____ %
of its own paid-up capital and reserves whichever is less: 30:30.
204 MISC ALM main function: To improve Net Interest Margin (NIM).
Penalty in case of delay in submission of information under RTI:
205 MISC
Rs.250/- per day with maximum upto Rs.25,000/-.
Reverse Repo refers to _______ and the present Repo rate is
206 MISC
________: Absorption of liquidity; 5.75%.
207 MISC IFSC stands for: Indian Financial System Code.
208 MISC Spot value transaction: Settlement after 2 working days.
209 MISC IMPS: Immediate Payment Service - Mobile to account.
As per the Official Language Policy: 50% of the Library Budget is to
210 MISC
be spent to purchase Hindi Books.
For a Loan more than Rs.1 crore to NGO-MFI /NBFC-MFI: 10%
211 MISC
collateral in the form of Bank Deposits.
National Financial Switch of IDRBT (now with National Payment
212 MISC
Corp of India): ATM network.
Liquidity Risk arises when: Matured Liability exceeds Matured
213 MISC
214 MISC As per Basel II, the CRAR of Tier I should be: 6%.
215 MISC By what date Basel III is to be implemented: 31.03.2019.
Max compensation an Ombudsman is empowered to award in
216 MISC respect of deficiency in service of the Credit Card operations: Rs.1
217 MISC
Market Risk is monitored by: Bank for International Settlements.
218 MISC What is the present Reverse Repo Rate: 5.75%.(in Feb 2016)
Lorry Receipts issued by Transport Operators approved by IBA are
219 MISC preferred. The reason is the Transport Operators will take care of:
Carriers Risk.
220 MISC
What is the interest payable by RBI on CRR balances: No Interest.
While extending finance to NBFC-MFIs, the percentage of Qualifying
221 MISC
Assets should be: Minimum 85%.
Operational risk is NOT caused due to a) Failure of systems; b)
222 MISC Process by people; c) External events; d) Non Payment of dues by
borrowers; e) none of the above: Ans is d.
If an Account holder has no PAN number, then he has to submit
223 MISC
Form No_____. Form 60. ( For Agri Form 61).
Under Copra, maximum time limit for an appeal in the State
224 MISC
Commission against District Forum is _______.30 days.

To ensure prompt payment of locker rent, banks to obtain at the

225 MISC
time of allotment of locker, fixed deposit which would cover ______
years rent and charges for breaking opening of locker : 3 years.
In Internet banking, without involving another bank, what can be
done? a) Customer funds can be transferred b) Issue of cheque c)
226 MISC
FD can be issued d). Intimation regarding LC : Customer funds can
be transferred.
A crossed Demand Draft paid in cash by a bank to a known
227 MISC
customer. The Risk inherent is: Operational risk.
228 MISC Clean report by Auditors is also called: Unqualified Report
CRAR stands for _____________: Capital to Risk Weighted Assets
229 MISC
230 MISC Complaint from PM office has to be attended within: 7 days
231 MISC
NEFT charges above Rs. 10,000 and upto 1 lacs: RBI prescribed Rs.5/-
232 MISC
As per which Act amount upto Rs. 20,000 can be paid in cash : IT Act
While issuing DD banks have to invariably put account payee
233 MISC
crossing for _____: ( For Rs 20,000/- and above)
Fake u e otes o e tha pie es pe iodi it of epo ti g to
234 MISC
police: Monthly (at the end of the month).
Fake note statement to FIU IND: As and when detected, with in 7
235 MISC
days (STR).
236 MISC Risk weight for Consumer loans : 125%
237 MISC Risk weight on claims on CGTMSE: 0%
As per BASEL II capital risk is: Credit risk, Market risk and
238 MISC
Operational risk.

239 MISC Subordinate debt along with all other instruments of Tier II capital
should not be more than _____% of total capital: 50%.
In Tier II, minimum maturity of Subordinated debt instruments : 5
240 MISC
241 MISC Tier II capital should not exceed : 100% of Tier I capital
What is the full form of FSDC: Financial Stability & Development
242 MISC
In the case of liquidation of a company, who will be appointed to
handle the affairs of the company:________ Official Liquidator
243 MISC
(Official receiver or Official assignee in case of non-companies

244 MISC What is Hybrid debt instrument? a) Debenture b) Bond c)

Preference shares d) Convertible Bonds* Ans: Convertible Bonds
ati g of Ba k is a ied BI o CAMEL ite ia, hat do C
245 MISC
stands for? Capital Adequacy.
Which of the following does not come under Tier II capital? a)
246 MISC Capital reserves b) Undisclosed reserves c) Revaluation reserves d)
Cumulative Perpetual shares: Capital Reserves.
247 MISC Electronic cheque refers to: Cheque signed digitally.
248 MISC Buy Now, Pay Later what type of card: Credit Card
249 MISC Hindi day is celebrated on: 14th Sept.
What is the latest RBI directives for issuing DD for amount of Rs.
250 MISC
20,000 and above: It should Account Payee only.
251 MISC Business correspondent is: Agent of Banker.

In the case of liquidation of a company who will be appointed to

252 MISC handle the affairs of the company:______________ Official
Liquidator (Official receiver or Official assignee in case of non-
companies account).
As per extant Income Tax guidelines, all depositors have to submit
253 MISC PAN if the interest income on term deposits is over Rs 10,000-
failing which will attracts TDS @ ______: 20%
_______ prohibits payment of term deposits or notice deposits in
254 MISC cash if the amount involved, principal plus interest is Rs.20,000/- or
more: Income Tax Act, 1961
For setting up of White Label ATMs the corporate body net worth
255 MISC
must be ______: 100 Crores
For Ultra Small Branches a designated officer will visit the village on
256 MISC a prefixed date and time every ______with laptop and will be
o e ted to Ba k s e t al se e CB : Week
257 MISC Basel-II has how many pillars ______: 3

258 MISC Subordinated debt instruments together with all other instruments
of Tier -II capital are to be limited to _____ of Tier I: 100%.
FIR is required to be filed in case where the counterfeit notes found
are ______ in a single transaction and acknowledgement is to be
259 MISC
obtained from the concerned police authorities: Five pieces and

260 MISC ______is a money market instrument, which enables collateralized

short term borrowing through Govt. securities: Repo Rate.

While disposing off the request under RTI Act, PIO is required to
261 MISC
mention clearly the time limit of _____ and address of the Appellate
Authority to the complainant: 30 days.
For a Loan more than Rs.1 crore to NGO-MFI /NBFC-MFI: 10%
262 MISC
collateral in the form of Bank Deposits.
Liquidity Risk arises when: Matured Liability exceeds Matured
263 MISC
264 MISC As per Basel II, the CRAR of Tier I should be: 6%.
265 MISC By what date Basel III is to be implemented: 31.03.2019.
Investment Fluctuation Reserve is calculated on which type of
266 MISC security? Ans: Available for Sale category and Held for Trading
Whi h a d is ased o p i ipal of Bu No Pa o : A s : De it
267 MISC
Under BASEL-II, what is the Risk Weightage on the Loans and
268 MISC advances given to Staff of the bank secured by mortgage /
superannuation benefits: Ans :20%.

269 MISC What is the maximum amount of Award that can be given by an
O uds a u de BI s O uds a s he e? A s :s. la s
What is the minimum amount to be transacted under RTGS? Ans
270 MISC
:Rs. 2 lakh.
Investment Fluctuation Reserve is part of which type of capital: Tier
271 MISC
I Capital.
Right of foreclosure is available in which type of mortgage? Ans :
272 MISC
Mortgage by conditional sale.
What is the minimum amount that can be remitted through NEFT:
273 MISC
Ans :No Minimum and no Maximum.
Double Dip Recession: Ans :The economy is partially in the recovery
274 MISC
mode but it again slips down toward recession.
275 MISC Committee on E.F.T. was headed by: Ans : K.S. Shere.

276 MISC Speed clearing refers to : Ans :Clearing system organized locally
wherein settlement of outstation cheques takes place.
What is liability of members of HUF if Karta incurred debt? Ans :
277 MISC
Coparceners are liable to extend of their share.
278 MISC
BCSBI is affiliated or regulated by? Ans : An independent body.
The objective of the Pillar III as per BASEL-II is ____: Ans :Market
279 MISC
discipline through public disclosures.
280 MISC Ombudsman Award - Max for credit card: Ans :Rs. 1,00,000.
281 MISC NEFT Cha ges A s : I a d: NIL
Locker Operation to be categorised under High and Low risk to
282 MISC
operate atleast once in : Ans :1 year and 3 years.
283 MISC
Interest Rate Fluctuation - what type of risk: Ans : Market Risk.
Which of the following is the one way of sending remittance to
284 MISC
India : By Western Union Money Transfer
Fortnightly balance of banks are reported RBI for the purpose of
285 MISC
maintenance of : CRR and SLR.

286 MISC Purchase of goods and services through POSEDC and amount gets
debited to account of the customers in case of : Debit Card.
287 MISC TDS applicable in : NRO Term Deposits.
Methods used for computation of operation risk are : (i) Basic
288 MISC Indicator Approach (ii) Standardized Approach (iii) Advanced
M&N are having joint locker in joint names with E or S condition
and M has reported loss of keys and at the same time, N has come
289 MISC
for operating locker with keys: Operation should not be allowed
with out concurrence of M
One or two Counterfeit notes are detected : FIR need not be
290 MISC
BCSBI - Release of securities on repayment of loans in any case
291 MISC
within : 15 days of repayment of all dues.
Strategic Risk arises due to adverse business decision and :
292 MISC
improper implementation of decisions.

293 MISC Fraud, failed business process or inability to maintain business

continuity is called as : Transaction Risk (operational risk)
As per Official Language Act 1963 sec 3(3),internal
294 MISC circulars/manuals are to be issued in : both Hindi and English
295 MISC BASEL III implementation started on : 01.04.2013.
As per RBI , Internationally BASEL III full implementation date is:
296 MISC
In Electronic transaction the security of the transaction can be
297 MISC increased by way of : Ans : by way of second level of authentication
by putting password(Pin No.)
Operational Risk includes Legal risk, People risk, Process risk,
298 MISC
System risk and does not include : Liquidity risk.
299 MISC Asset not prone to Rate Sensitivity is : Current Deposits.
300 MISC ISC stands for : Internet Storm Centre
Cheques Drop Box: Customers are not compelled to drop the
he ue i the d op o a d a oti e ith Custo e s a also
301 MISC
te de the he ue at the ou te to e displa ed o the : Che ue
Drop Box itself.

302 MISC Customers are grouped under various Customer Types as per BASEL
Norms : Corporate / Equity / Retail/Sovereign/others
One Customer came & deposited Rs. 10.00 lacs as term deposit but
303 MISC branch found 10 fake/forged notes : branch to in form nodal officer
in CO & in turn FIR is to be filed.
304 MISC Spot Transaction Settlement : T+2 days
Mobile banking daily transaction limit : Approved by Board of
305 MISC
Individual Banks (Rs.50,000/- in our Bank)
306 MISC EFT : Electronic Fund Transfer
ATM wrong Debit to be reversed within : 7 days otherwise Rs.100
307 MISC
per day fine
308 MISC Balance enquiry : 09289292892
309 MISC SLR not maintained penality of : RBI BR + 5%
What is the time period for crediting proceeds of outstation cheque
310 MISC
presented in Speed Clearing: Ans: 48 hours
311 MISC What is the present Reverse Repo Rate: 5.75% (Feb 2016)
As per RBI instructions Basel 3 implementation to be completed by:
312 MISC
Ans: 31-03-2019.

313 MISC While granting Loans to NBFC-MFIs collateral security of deposit to

the extent of ____ % of loan is to be obtained. Ans: 10%
Hotlisting of Debit Card is done by way of: Ans: Stopping
314 MISC
transactions at Switch
Lorry Receipts issued by Transport Operators approved by IBA are
315 MISC preferred. The reason is the Transport Operators will take care of:
Ans: Carriers Risk
What is the interest payable by RBI on CRR balances: Ans: No
316 MISC

What is the maximum permissible outward remittance for

317 MISC
Treatment Abroad with Estimates from Local Hospital: Ans: To the
extent of estimates (without estimates under LRS $250000)
Internationally, Banks are maintaining Market Risk under
318 MISC
supervision of: Ans: Bank for International Settlements
What is the minimum percentage of Tier 1 capital prescribed by RBI:
319 MISC
Ans: 6%
Operation risk is NOT caused due to (1)failure of systems (2)
320 MISC process by people (3) external events (4)Non Payment Of Dues By
Borrowers (5) none of the above.Ans:4
321 MISC IMPS us used for: Ans: Immediate Payment Services
322 MISC Spot Delivery means: T+2 days
______ % of total library budget should be used for purchase of
323 MISC
Hindi Books Ans: 50%
Basel II, Pillar 1 prescribed what type of Risks: Ans: Credit Risk,
324 MISC
Market Risk and Operational Risk
Commercial paper is issued in the form of: Ans: Usance Promisory
325 MISC
326 MISC
What is the full form of IFSC: Ans: Indian Financial System Code

327 MISC What is the penalty for Non Providing Information under RTI Act:
Ans: Rs.250/- per day beyond 30 days, with maximum of Rs.25,000/-
Asset Liability Management is useful for : Ans: Interest Spread
328 MISC
As pe BI s di e ti es, NF is a a ged i IDBT. This NF ill take
329 MISC
care of: Ans: ATM connectivity
An individual who is in abroad or their relatives can remit foreign
330 MISC currency of $ _________, by giving self declaration ,on medical
grounds. Ans: USD 2.5 lakh

A student who is studying in abroad or their relatives can remit

331 MISC
foreign currency of $ _________ ,by giving self declaration ,for
meeting educational expenses. Ans: USD 2.5 lakh
332 MISC In PAIS , on the death of the borrower ,the Nominee has to give
notice of death of borrower to bank within ____ days. Ans: 30 days
In case of claims settlement ,Testamentary succession means : Ans:
333 MISC
Will is executed in favour of successor
In case of issuing safe locker to a customer, minimum of ____ years
334 MISC locker rent should be taken upfront along with break open charges .
Ans: 3 years
Operational risk arises due to : Ans: Loss caused due to failure of
335 MISC
systems, process, people or external events
A special assistant is authourised to sign the DD of amount upto Rs:
336 MISC
Ans: Rs.50,000/-
Conversion means : Crediting proceeds of cheque to other than true
337 MISC
o e s a ou t
Dealy in crediting the account in case of NEFT will attract the
338 MISC
penalty of : Ans: Repo + 2%
A walk in customer also can make NEFT transaction against cash
339 MISC
upto the maximum limit of Rs : Ans: Rs.50,000/-
340 MISC What is the minimum amount for RTGS ? Ans: Rs.2.00 lakhs
Bank has to maintain certain % of SLR with them as per sec __ of BR
341 MISC
act.Ans: Sec 24 of BR Act.
Rules on Banking codes and standards are issued and governed by :
342 MISC
Ans: Governing Council of BCSBI
343 MISC The validity of Canara club card is _____years.Ans: 10 years.

344 MISC In the branch, Excess cash found is to be transferred to

_________at the closure of the FY. Ans: Commission Account.
345 MISC The expiry period for IMB password : Ans: 1 year
Canara Bank is awarded for ________from IDRBT . Ans: Secure IT
346 MISC
For IMB corporate, the bulk RTGS is restricted to _____cr Ans: 5
347 MISC
348 MISC
The periodicity of customer meet in branch level : Ans: Monthly
349 MISC In FCR, password is valid for: 30 days
350 MISC Buy now, pay later: Credit Card
Maximum amount of purchase allowed for a customer through
351 MISC
credit card is called as: Card Limit

If an account is wrongly debited through ATM without dispensing

352 MISC
cash and customer complains about it. Within how many days the
bank should refund the amount. Ans: 7 working days

Which of the following apex body and Regulator has asked banks to
swap customer-related information so that the frauds and defaults
353 MISC
may be prevented in future? a)Bombay Stock Exchange (BSE)
b)Indian Banks, Association (IBA) c)Securities & Exchange Board of
India (SEBI) d) Reserve Bank of India (RBI): Ans: d, (RBI)
354 MISC Total number of digits in AADHAR.: Ans: 12
Under Mobile Banking, what is the maximum limit of for funds
355 MISC transfer for daily and monthly: Discretion of the bank (Rs.50,000/-
per day)

356 MISC In case of pension payments as part of Government Business, how

much commission is paid to the banks? Ans: Rs. 65 per transaction.
357 MISC Ombudsman Award - Max for credit card : Ans: Rs.1,00,000

358 MISC What is the periodicity of conducting Study Circle Meeting: Ans:
Once in 3 months in branches, once in 2 months in C O s
What is required for sending RTGS/NEFT a.MICR b IFSC c PIN CODE
359 MISC
What is the form to be taken from Senior Citizen for exemption of
360 MISC
TDS on deposits: Ans: 15H
What is the form to be taken from Other than Senior Citizen for
361 MISC
exemption of TDS on deposits: Ans: 15G
What is the percentage of Income Tax to be deducted on deposits
362 MISC
if PAN is given: Ans: 10%
What is the percentage of income tax to be deducted on deposits if
363 MISC
PAN is not given : Ans: 20%

364 MISC In which of the following accounts, Nominee is maintained: a) safe

custody articles b)deposit accounts c)Locke accounts Ans: All
In which of the following 3 pillar concept is maintained: a) Basel I
365 MISC
b) Basel II c)Basel 3 Ans: Basel-II
DDs of amount Rs.20,000/- and above is crossed with: Ans:
366 MISC
Account Payee
In which of the following types of accounts, ATM cards are not
issued a) Illiterate b)Joint Account, operation Jointly c) Minor
367 MISC
Account d) None. Ans: None (since issued to all types of accounts
mentioned above)
Canara Gift Card is available in the denominations of: Ans: Rs.500/-.
368 MISC
1000/-. 2000/- and 5000/-.
Maximum RTGS transactions permitted to Corporates under
Corporate Net Banking: Ans: Rs.5.00 crores maximum amount per
369 MISC
day with a cap of 5 bulk uploading files (each file not exceeding
Rs.1.00 crore) (Cir 351/2013)

If there are 4 counterfeit notes in a single remittance by a

370 MISC
customer, when complaint is to be lodged with police? Ans: once
in a month (if there are 5 pieces or more, complaint immediately)
What are the charges for cash withdrawal through Credit Card, Ans:
371 MISC 3% of transaction amount with minimum Rs.30/- per thousand or
part thereof.
What is the rate at which RBI lends to Commercial banks: Ans:
372 MISC
Repo Rate
373 MISC
Basel 3 implementation to be completed by: Ans: 31-03-2019
Under RTI Act, information to be provided to applicant with in
374 MISC
maximum a period of_____ days. Ans: 30 days
375 MISC
What is the periodicity of customer meet in a Branch. Ans: Monthly
How many member countries are there in Asian Clearing Union:
376 MISC
Dishonour of cheques of value less than `1 crore, on ____occasions
377 MISC during the financial year will attract stoppage of cheque book
facility and closure of account. Ans: Six
Risk arising out of Non Functioning of a Computer in Branch. Ans:
378 MISC
Operational Risk
379 MISC Full form of FATF: Ans: Financial Action Task Force
380 MISC
Clearing of cheques in outside of station: Ans: Speed Clearing
381 MISC
s. , /- DD is issued : A s: De iti g usto e s a ou t
382 MISC Hindi Day celebrated on: 14th November
The time limit for resolving complaints from : VVIP persons: 15
383 MISC

384 MISC The maximum period within which the customer has to present for
revalidation of DDs from the date of issue : 6 moths

385 MISC For claiming wrong debits to the account of ATM card holder, the
complaint is to be made to bank before : 30 days
What is the ti e li it fo TG usto e t a sa tio s : a to -
386 MISC
30 pm for customer transactions
Preservation of records pertaining to identification of customer : 10
387 MISC
yrs from the date of cessation of account
388 MISC Commission for effecting clean outwad remittance: Rs.500/-
Delay in E TDS after 1 year, what is penalty: Ans: Min.Rs.10,000/-
389 MISC
maximum Rs.1.00 lakh (Cir 177/2012)
DDs for Amount exceeding Rs._________ to be issued duly crossed
390 MISC
Account Payee: Ans: Rs.20,000/- and above

391 MISC Sale of third party product may attract ______ Risk: Ans:
Operational Risk(Reputation risk which is part of Operational Risk)
Process Flow to PIN Validation in ATM for every Transaction : to
392 MISC
reduce Frauds
Usage of other bank ATMs - Maximum times : no restriction.
393 MISC However for usage by SB customers more than 5 times, CA/OD all
transactions - charges payable by party.

394 MISC Sabbatical Leave to employees: Minimum service for eligibility:

Ans: confirmed employees with 5 years active service.
395 MISC Minimum amount for RTGS : Rs 2,00,000/-
How many settlements are there in week days under NEFT: 12
396 MISC
Hourly Settlements
DD for Rs 20,000 and above should be crossed with: Account
397 MISC
Payee Crossing
398 MISC XO Half Yea l state e t to e su itted the a ks to BI i
the o th of : JUNE AND DECEMBE e d FO EXPOT
399 MISC
Relationship in leasing of Locker to customer: Lesser and Lessee
400 MISC
Returned Cheques to be given to the customer : with in 24 HOURS
Provision requirement for Sub Std for Secured Assets: 15% of O/s
401 MISC
Town Official Language implementation committee(TOLIC) meet is
402 MISC
conducted once in : Half Year
If we withdraw amount form other bank ATM, the charges are :
403 MISC
20/- (beyond 5 transactions for SB customers)
TDS amt to be remitted to Income Tax within : 5th of succeeding
404 MISC
405 MISC
Legal Risk can be considered a type / Facet of : Operational Risk
406 MISC Who can stop the Payment of DD : NO ONE(only courts)
The Note Should be impounded, receipt issued to tenderer and FIR
407 MISC lodged with the Local Police if the number of such notes are : 4
408 MISC
Complaint by general public to be resolved with in : 21 days
All employees working in sensitive areas have to avail leave
409 MISC mandatorily for atleast ____ days in a year. Ans: at least 10
continuous days in each calendar year
If employee avails leave for a minimum period of ____ days,
410 MISC
password should be disabled. Ans: 5 days
411 MISC
Banks have to issue cheque book as per Standards of: Ans: CTS2010
Any wrong entry in ATM transactions should be settled with in a
412 MISC
maximum period of _____ Ans: 7 working days
Complaints through CPGRS package in our bank should be settled
413 MISC
with in a period of: Ans: 3 days
Medical treatment abroad, Remittance permitted....2.5 Lac US
414 MISC
415 MISC
Voice Recognition System. Input/Output/Peripheral.... Input
Minor admitted to partnership. Date on which he will become
416 MISC pa t e o date of ajo it o o date o hi h he o es to
know about this fact. Date of Admission
Exporter to present document to bank, Max period allowed after
417 MISC
shipment of goods ...... 21 days
Weighted average prices of basket of consumer goods and services.
418 MISC
Index name.. Consumer Price Index.
419 MISC Aadhar Card..... Number of Digits 12
NEFT Whi h a e the pa ties i ol ed...... : e itte , e itte s a k,
420 MISC
421 MISC Name Fixed Income Securities...... : Debentures &Bonds
422 MISC Hindi adopted as OL on 14 SEPT.......... 1949
Statutory Restrictions on Banks for lending to Non Prime Banks:...
423 MISC
50% of Total Networth
Recent RBI guidelines in issuing DD above Rs.20000/- - a. Not to
425 MISC issue b. Stamping Not negotiable c. Stamping A/c Payee d. none
Ans: C
426 MISC Hindi day is celebrated on : 14th Sept
What is minimum amount for NEFT transaction? No minimum
427 MISC
428 MISC
What is the type of risk if computer data lost? Operational Risk

429 MISC Offi ial La guage Co ittee epo t has to e su itted o thl
/ quarterly / yearly : Ans: Quarterly calendar quarter
As per RTI concern authority is to submit information in how many
430 MISC
days? Ans: 30 days
AML data is to be submitted to RBI with in __________days. Ans:
431 MISC CTR in 15 days from month end and STR with in 7 days of
Deposits received are investing only on Government securites is
432 MISC
called : Ans: Narrow Banking
What is the C.A.R norms for Basel II? Ans: 9% of Risk weighted
433 MISC
Debit card : Maximum withdrawal of cash per day: Ans: Rs.50,000/-
434 MISC
per day
What is the minimum prescribed amount under NEFT: Ans: No
435 MISC
Minimum and no Maximum is prescribed.
Bank is selling third party products. What type of Risk is involved in
this: a) liquid risk b) financial risk c) reputation risk d) settlement
436 MISC
risk e) Operational Risk Ans: d) Reputation Risk(part of operational
Risk weight for exposure to scheduled commercial bank that
437 MISC
maintains CRAR as per RBI requirement: Ans: 20%
All Frauds involving an amount of Rs. 1 Crore and above should be
monitored and reviewed exclusively by the Special Committee of
438 MISC the ____________constituted for this purpose. (Cir 334/2010) Ans:
Board (Containing 5 Directors of Board) and also Audit committee
of the Board)
Official Language Implementation Committee at branch level has to
439 MISC meet quarterly during the months of: (Cir 358/2010) Ans: January,
April, July, October

Aggrieved party on the award of Ombudsman, it can make

440 MISC
application for review to appellate authority (Deputy Governor, RBI)
within ________of the date of receipt of award. Ans: 30 days
In case of Return of cheques issued by party for value below Rs.1
crore and also return of ECS debits, we issue notice to party and
441 MISC
stop issuing cheque book. For ECS returns, caution notice is to be
issued after return of ECS debit for _________ time: Ans : Third
time (ECS third time, cheque below Rs.1 cr.5th time)

In case of Cheque Drop Box facility, out of the following, which is

not correct (Cir 72/2011) : a) Under No Circumstances, branches
shall refuse to accept the cheques over the counter b) Branches
442 MISC
shall give proper acknowledgement when cheques are tendered
across the counters c) Customers shall not be forced / compelled to
drop the cheques in the Drop Box d) Customers are asked to put a
small Round Stamp of the Bank on counterfoils as Proof of receipt
Ans: D (Customers are NOT asked to put a small round stamp)
RTGS timings: For customers transactions on Week days Ans: 8
443 MISC
am to 04-30 pm

444 MISC JOB ROTATION (Cir 88/2011) is compulsory upto _______ and
normally effected once in every ______ Ans: Scale II, 6 months
In Canara Debit card Platinum, the Bank will charge Rs._____ if
445 MISC
annual turnover does not reach Rs.50,000/- : Ans: Rs.300/-
What is the ceiling in Rate of Interest under Call Money and Notice
446 MISC Money Ans: No ceiling and as per decision taken as and
when(answer to be checked)
447 MISC
Ombudsman award max amount in case of credit cards : Rs.1 lakh
448 MISC RTGS min & max amount : Min.Rs.2 lacs & no maximum limit

SDL late payment charges : extra10% of locker rent if paid during

449 MISC
first Quarter (16th Apr to 30Jun),25%second Quarter, 40% third
quarter, 50% in 4th quarter, 100% extra after 1 year
450 MISC Debit card platinum purchase limit : Rs.2 lakhs
Speed clearing - nil charges upto what amount and what is
451 MISC maximum charges : Nil charges upto Rs.1 lac and Rs.150/- above
Rs.1 lakh
POS : what is the amount we receive if our ME has paid amount on
452 MISC
other Bank Card:Rs.5
453 MISC What is rate at which RBI lends to banks : Repo Rate
454 MISC Maximum lending rate : Base rate + 7%
455 MISC TDS 24Q submission date for September Quarter : Oct 15TH
456 MISC Provision coverage ratio : 70%, by September 2010
457 MISC Report to CBI on Frauds: with in 21 days
458 MISC
Campus Credit Card contains: logo, photo and institute name
Ca a a HBC Life I su a e i i u a d a i u age to
459 MISC
460 MISC
What is the Rate of Interest paid by RBI on CRR balances: NIL
461 MISC
C edit a d ede ptio of poi ts a di ultiples of
462 MISC
Cheque Drop Box Facility - cut off time pasted on : box itself
When market is running as per rules and regulations : Regulatory
463 MISC
464 MISC Fraud- What type of Risk: Operational Risk
465 MISC Hindi day : 14th Sep
466 MISC RBI statement mainly used for : SLR and CRR purpose
467 MISC Interest subsidy under ISHUP : 5%
468 MISC Under BASEL II Risk Weight for EL : 75%

469 MISC Counterfeit notes- should not be issued to customer and should not
be destroyed, report to police and to be: Impounded
Termination of contract with customer : when he dies / closing of
470 MISC
the account/ bankruptcy : All
In case of Private Limited Company : Certificate of
471 MISC
Commencement of Business is not required
Waiting period for collection of cheque drawn in GBP and payable in
472 MISC
UK: 10 days

473 MISC PSR 33 statement relates to : disbursement and outstanding in

agricultural loans, Position of Overdues in Priority Sector

Return of Cheques below Rs.1 crore and ECS returns of ____ times,
474 MISC
we can close down the account : 4 times for ECS return, return of
cheque for less than Rs.1.00 crores, 6 times return
475 MISC Smart Card issued in Canara Bank is named as: Canara Vikas
476 MISC
Validity Period of Canara Bank Debit Card-Platinum: 10 years
Undelivered debit cards lying in branches to be destroyed : If not
477 MISC
delivered with in 3 months
478 MISC SLR rate: 21.5% (As on Feb 2016)
479 MISC Maximum award can be given by Ombudsman: Rs.10 lakhs
480 MISC
Risk Weight for Staff Loans covered by Terminal Benefits: 20%
Basel II covers which types of Risks: Credit Risk, Market Risk and
481 MISC
Operational Risk
As per Basel II, Tier II Capital should not be more than ____ % of
482 MISC
tier I Capital: Ans: 100%
Risk Weight in case of Housing Loans below Rs.30 lakhs, where LTV
483 MISC
is below 80% : ans: 35%
484 MISC NEFT charges for an amount of Rs.2 lakhs: Rs.15/-
Normally prudential exposure norms are taken in relation to:
485 MISC
Capital funds of banks
TG a ou t is to e etu ed, if ot edited to e efi ia s
486 MISC
account with in : 2 hours
As per OL implementation, country is divided into ____ regions:
487 MISC
Ans: 3
What is the maximum amount that can be withdrawn through ME
488 MISC
by using our Debit Card: Ans: Rs.2000/-
Counterfeit Note received at the counter- what should be done:
489 MISC
Impounded and FIR to be lodged
Incentive given by RBI for distribution of one bag of coins: Rs.25/-
490 MISC
per bag
491 MISC
Hotlisting of Credit card- effect: No Operations are permitted
Upto what amount, account payee cheque of co-operative bank
492 MISC
can be collected by us as an agent: Rs.50,000/-
493 MISC Risk taken care by ALCO: Liquidity Risk (part of Market Risk)
If PAN number is not available, what is the applicable TDS rate:
494 MISC
Ans: 20%
495 MISC IFSC code contains _____ digits: Ans: 11 digits
496 MISC Excess Money supply in market leads to: Inflation
497 MISC Payment of DD of Rs.50,000/- and above: Not in Cash
Cash Shortage of Rs.________ and above, even if reported by
498 MISC
cashier will be treated as fraud: Rs.10,000/-
Instructions on Cheque Drop Boxes should be in: Hindi, English,
499 MISC
Regional Language
500 MISC
RTGS Timings for customer transaction : Ans: 8 am to 4-30 pm
Premises Rent : Allocation between rent & maintenance: Ans:
501 MISC

Life Insurance Cover Creditor Protection Plan of M/s Canara HSBC

502 MISC
OBC Life I su a e Co pa Li ited U de G oup I su a e: No
medical check up for age group 18-35 years: Ans: Rs.25 lakhs
In case of failure of transactions through ATM, if customer
complains, we have to re credit with in 12 days (7 days from 01-07-
503 MISC
2011). Other wise, what is the compensation: Ans: Rs.100/- per

504 MISC Provisions towards Standard Assets to be shown in Tier II Capital

under which head: Ans: Other Liabilities and Provisions
Roles & Responsibilities of Circle Level Help Desk (cir 89/2010) : (a)
To resolve simple day to day operational problems. (b) Cash
505 MISC
Management of Branches c) Help to branches in CBS related issues
(d) All the above. Answer: d
LA pa kage Ve sio hi h epo t is ot a aila le to a hes?
506 MISC
Answer: Company's financial position.
The Basel II Framework has three components or ___________
507 MISC Pillars. And the second pillar is ______. Answer: three //
Supervisory Review Process (SRP).
BASEL 2 Standardised Approach (SA) for credit risk and Banks shall
apply the _____________________ for computing capital
508 MISC
requirement for market risks. Answer: Standardized Duration
Approach (SDA)
MSE OTS : Payment Conditions: In deserving cases where borrowers
are unable to pay the entire amount in one lump sum, Bank may
509 MISC consider recovering _________% of the amount of settlement
upfront at the time of sanction and the balance amount should be
recovered within a period of ________ months from the date of
sanction (without interest) Answer: 25% // 3 months.

Which of the following are the features of Canara bank Debit card
510 MISC
differs from non personalized card Answer: Validity period 3
years(now enhanced to 10 years) // Name not mentioned.
Business facilitator: Security deposit for individual and institutions:
511 MISC
Rs.10000/- and Rs.1.00 lacs.
If an account is overdrawn by Rs._____ due to FTV debit, it will be
512 MISC
temporarily blocked: answer: Rs.500/-
Fraud of more than Rs.2 Crores with prima facie evidence of staff
involvement. It has to be reported to : Answer: CBI-Anti corruption
513 MISC
bureau.(Now frauds of Rs.3.00 crores to Rs.25 crores to CBI and
below 3 crores to State CID)
The bank can prefer an appeal, within __________ from the date of
_________________ by the complainant, comply with the Award
514 MISC and intimate compliance to the Banking Ombudsman. Answer: one
month // receipt by it of the acceptance in writing of the Award by
Janashree Bima Yojana: Death cum Disability insurance scheme by
515 MISC LIC of India. Coverage: Natural death Rs.30000/- , Death due to
accident Rs.75000/- .
516 MISC
P epa atio of ili gual t ai i g ate ial C egio s A s e : %

Under the Basic Indicator Approach, banks must hold capital for
517 MISC operational risk equal to the average over the previous __________
years of a fixed percentage (denoted as alpha) of positive annual
gross income. The percentage is _______ Answer: three // 15%
518 MISC NEFT return timings: Batch + 2 hours.
Categorisation of branches: Average aggregate deposits and
519 MISC advances of Rs.120 crores and 40 crores respectively. The
categorisation is______ Answer: LB.
Banks may shift investments to/from Held To Maturity with the
approval of the Board of Directors _______________. Such shifting
will normally be allowed at the beginning of the accounting year. No
520 MISC
further shifting to/from HTM will be allowed during the remaining
part of that accounting year. Answer: once a year.(question asked
on investments)
Upper Tier II instruments shall be subjected to a clause in terms of
which the issuing bank shall not be liable to pay either interest or
principal, even at maturity, if I. the bank's CRAR is below the
521 MISC minimum regulatory requirement prescribed by RBI; OR II. the
impact of such payment results in bank's capital to risk assets ratio
(CRAR) falling below or remaining below the minimum regulatory
requirement prescribed by Reserve Bank of India. (c) Issue upto
10% of Tier I capital Answer: Both (a) and (b)
Cash Reserve Ratio: In terms of Section 42 (1) of the Reserve Bank
of India Act, 1934 the Reserve Bank having regard to the needs of
securing the monetary stability in the country, prescribes the CRR
522 MISC
for Scheduled Commercial Banks (SCBs)
_______________________. Answer: without any floor or ceiling
Which of the following is not part of Tier II capital? Floating
523 MISC provisions // Provision for Standard asset // disclosed free reserves.
Answer: disclosed free reserves
Under Janashri bima yojana ,the parent of the child gets scholarship
524 MISC to the extent of ________ Rs.1200 per year per student studying in
9 th to 12 th std (94/09)

525 MISC A branch is having 60 crores deposits and 15 crores advances, the
branch can be classified as --Ans:- large branch. ( 43/209)
If a person is missing and not traceable for a period of ____ years or
526 MISC more he will be treated as legally dead as per section 108 of the
Indian Evidence Act . Ans -7
Under BASEL II norms, the third pillar is _____Ans -market
527 MISC
Innovative perpetual debt instrument appears in _____Ans- tier I
528 MISC
The risk weight for scheduled commercial banks(where CRAR is 9%
529 MISC
and above) is ____Ans 20 %

530 MISC Under internet banking, funds transfer up to 2 lacs in NEFT cannot
be permitted to ____ Ans: Blind persons (139/2010)
The official language implementation committee meets ______Ans
531 MISC
e e o ths
Banks required to maintain __ of required CRR on daily basis . Ans -
532 MISC
95 %

Under banking ombudsman scheme, after receiving award, the

533 MISC
customer has to furnish letter of acceptance within _______ Ans-30
days from the date of receipt of copy of award.
Commercial paper can be issued at ___ Ans- a discount to face
534 MISC
In terms of bipartite settlement, for availment of LFC, the max
permissible distance shall be ___ kms for subordinate staff and ___
535 MISC
kms for non subordinate staff. Ans- 5000,4000 (194/2010,237/2010
We can extend 1% extra rate of interest to senior citizens under the
domestic term deposits of ____. Ans :Now additional interest for
536 MISC
Senior Citizens is 0.5% for deposit upto Rs.10 crore irrespective of
the period

Under premises and estates policy of our bank , the information on

537 MISC
the owners who are getting annual rent of ___ is to be informed to
tax authorities. Ans- Rs.25 lakhs and above
Under the standard approach for risk calculation _____ % of risk to
538 MISC be considered for exposure to public sector banks where prescribed
CRAR is maintained. Ans- 20%

539 MISC The operational risk refers to ___Ans- risk of loss due to inadequate
or failed internal processes, people, systems or external factors
Measures to improve level of customer service at Branches, the
540 MISC Branch Managers to act as ________.Ans: Floor Walker (338/2009,
What is the rate of discount in case of Sub Ordinate Debt
541 MISC Instrument, to qualify under lower Tier II Capital, which is maturing
in 18 months : 80%
AD Category-I banks can permit the period of realisation and
repatriation to India of the amount representing the full export
542 MISC value of goods or software exported, from six months
to___________ months from the date of export. Answer: 9 months
(ID Cir 44/2013)

Commission for Govt Business receipt per challan Answer: Direct /

543 MISC
Indirect tax collections - Rs. 50/- per Challan for physical receipts
and Rs.12/- per challan for e-receipts (Cir 212/2012)

In the case of complaints, arising out of credit card operations, the

Banking Ombudsman may award compensation not exceeding
544 MISC _______________ to the complainant, taking into account the loss
of the complainant's time, expenses incurred by the complainant,
harassment and mental anguish suffered by the complainant.
Answer: Rs 1 lakh. RBI Notification dated February 3, 2009. (Other
than credit card matters: Powers are: Rs.10 lacs)
Minimum Maturity Period in the matter of Issue of Rupee-
denominated subordinated Debt by Indian banks, which is eligible
for inclusion in lower Tier II capital _________ Answer: The bonds
545 MISC should have a minimum maturity of 5 years. However if the bonds
are issued in the last quarter of the year i.e. from 1st January to
31st March, they should have a minimum tenure of sixty three

Subordinated debt instruments will be limited to _______ per cent

546 MISC of Tier-I Capital of the bank. These instruments, together with other
components of Tier II capital, should not exceed ___________% of
Tier I capital. Answer: 50% // 100%
Fa e s lu : The sha i g of these e pe ses at : has ee
547 MISC discontinued & NABARD would be giving a uniform assistance of
Rs.______________ per year per club, for three years for the
minimum and mandatory expenses. Cir.89/2009 Answer: Rs.10000/-

Janashree Bima Yojana is a Death cum Disability insurance scheme

by LIC of India. The premium payable is________________ per
548 MISC
member per year. Members have to pay a premium of
_________________ per year and the balance would be met by
Govt. of India (Cir.94/2009) Answer: Rs.200/- // Rs.100/-

The settlement of claims by the branch shall be applicable only in

549 MISC
case of domestic deposit accounts of the missing person held in
individual capacity and up to a limit of _______ Answer: Rs. 50000/-
550 MISC
NEFT No of settlements on week days Ans:12 (8 am to 7 pm hourly)
P Wo e e efi ia tate e t pe iodi it Ci . /
551 MISC
A s e : Qua te l Last F ida
Tier I capital is generally referred to as _______ Capital (Main,
552 MISC
Original, Major, Basic, Core) Answer: Core.

553 MISC All fraud cases are to be reported to Police / CBI within ______ days
of their detection as per guidelines. (Cir.81/2009) (Ans: 21 days)

554 MISC Which is not a money market instrument (a) Certificate of Deposit
(b) Commercial paper (c) Treasury Bills (d) Shares Ans: Shares
Rate of Interest given by RBI for CRR (1.5% / 2.5% / 3.5% / 4.5% /
555 MISC
No int) Ans: No Interest
556 MISC Risk weight of direct exposure to central govt _____ Ans: 0%
557 MISC Pe iodi it of OLIC eeti gs A s: ua te l
It would be prudent to consider revaluation reserves at a discount
558 MISC of _____________ percent while determining their value for
inclusion in Tier II capital. Answer: 55%
Bank is under obligation to implement a garnishee order when
559 MISC
received relationship is Answer: Debtor and creditor
560 MISC
Under Basel II types of risk: Answer: Credit, Market, Operational
Debit Cards (Personalized) lying undelivered at branches beyond a
period of ___________ months from the month of issue (printed on
561 MISC the card) shall be destroyed at the Branches. Cir.64/2010. Answer:
THREE The above exercise shall be carried out as on last day of
every month.
Cash Transaction Report (CTR): All Cash transactions of the value of
more than Rs 10 lakhs or it's equivalent in FC or series of cash
562 MISC transactions aggregating Rs.10 lacs or more in one month. Report to
be submitted to FIU IND by __________ (IO 15/2010) Answer :15th
of succeeding month.
Parallel run? Answer: Parallel running is one of the ways to change
from an existing system to a new one. During changeover, a new
system and an existing system run side by side. To input the same
563 MISC
data and perform the same processes, compare their output and
prove the reliability of the new system. If the new system is
accepted, the existing system will stop running and will be replaced
by the new one. (Source: Wikipedia)

Audit Trail purpose? (a) Internal control (b) Provides useful

information to auditors. Answer: The liability issues of auditors can
be addressed using audit trails. Audit trails can work as an evidence
for some incident. Definition: Wikipedia defines an audit trail as "a
564 MISC
record showing who has accessed a computer system and what
operations he or she has performed during a given period of time."
In accounting, it refers to documentation of detailed transactions
supporting summary ledger entries. This documentation may be on
paper or electronic records.
Issue of DD's above Rs. 50000.00 can be done against (a) Cheque (b)
565 MISC Transfer from Account (c) Cash (d) a & b (e) All the above Answer:
(d) Cheque and Transfer from account.
Risk due to failure or inadequacy of internal system, process, people
566 MISC
is : Operational Risk.
Purpose of star seris currency notes : To replace defectively printed
567 MISC
568 MISC
Customer service Committee meeting held on : Monthly basis
569 MISC PSR29 sent on : Last Friday of June.
570 MISC White plastic card is called : Counterfeit card.

Term used for conversion or transfer of property derived from a

571 MISC
criminal offense for the purpose of concealing, or disguising the
illicit orgin of the property is called: Money Laundering
The rate at which RBI rediscounts the usance bills of banks is called :
572 MISC
Bank rate

573 MISC What is the charge of RTGS: Now RTGS starts from Rs.2 lacs and
commission varies basing on timing of RTGS Maximum Rs.55/-
Hindi day is celebrated generally in the month of :
574 MISC
575 MISC
TDS is deducted on the interest if it exceeds per annum :Rs10000
For medical Treatment abroad how much amount can be remitted
576 MISC
on declaration basis : US$250000
Who can stop the payment of a DD: Purchaser can stop till he
577 MISC
delivers DD to payee and there after only Court can stop.
The risk arising out of changes in interest rate, is called as : MARKET
578 MISC
579 MISC What is Inward charge of RTGS for Rs.1 lac : nil
Who can seek information under Right to Information Act: Indian
580 MISC
581 MISC
In terms of ATM, PIN Stands for: Personal Identification Number.
582 MISC At present bank rate :7.75% (Feb 2016)
What are the charges collected for collection of cheque of
583 MISC
Rs.10000: Rs.50/-
584 MISC
How many alpha numerical in PAN No: 10(Example.AXAPK4399P)
What is the minimum annual income eligibility criteria for Canara
585 MISC
Credit Card : Rs.1.00lakh (staff:Rs.60000/- p.a.)
Use of other banks ATM will be free of charge : Now only 5
586 MISC transactions are free with ceiling of Rs.10,000/- for each
withdrawal, for SB a/c holders.
587 MISC Debit Card issued for a period of :10 Years
Fraud of above Rs.3 crore is to be reported to, where there is no
588 MISC
staff i ol e e t: CBI E o o i Offe e Wi g
589 MISC
The ph ase Bu No a d Pa Late is elated to: CEDIT CAD
590 MISC Service Tax is not applicable to Interest on loan.
591 MISC Under RTI Act, what is the fee payable: ans: Rs.10/-
Cash shortage of Rs._____ and above should be reported to higher
592 MISC
authority: Ans: Rs.1000/- and above
593 MISC
Upto what amount Special Assistant can sign Pay Orders: Rs.50,000/-
Indo Nepal Remittance Facility under NEFT: Maximum amount and
594 MISC number of times per party per annum: Rs.50,000/- with maximum
12 times per party
Financial Inclusion Means: Providing Banking Services to Poor at
595 MISC
affordable rates.
If cashier receives counterfeit note, what he has to do: Ans:
596 MISC
Why banks generally not accept the partly paid shares: Others lien
597 MISC
is there
598 MISC What is the OSC commission for Rs.7000/- ans: Rs.50/-
599 MISC STAT -5 and STAT -8 relates to what ? Ans: NRE & FCNR.
Hindi Pakhwara (fortnight) what is the time period ? 01st Sept to
600 MISC
14th Sept.

601 MISC In case cash withdrawal by using other bank ATMs what is ATM
charges ? Ans:- Rs. 20/- + service tax (5 transactions are free of cost)
When the recovery meet is observed ? Monthly (ref. Manual on
602 MISC
recovery, legal aspects)
When the Customer meet is observed . 15th of everymonth (if it is
603 MISC
holiday, next day)
What is P ? What is its pe iodi it ? A s:tate e t o
604 MISC
P io it e to Le di g Qua te l Last F ida .
In case of CANARA Global Credit Card what should be the turnover
605 MISC
so that the inactivity fee is not to be levied ? Rs 12,000/- for Canara
Standard Classic Card, and Rs.25000/- for Canara Gold Card
In case of renewal of debit card whether the card and PIN should go
606 MISC in one cover or in different cover ? In different cover (each
communication in separate cover)
An employee can remain in leave continuously for how many days
607 MISC and after words for joining the duty Bank has to give him a notice of
--------- days ? 90 days & 30 days.
In case of Right to Information Act, what is the time norm for
608 MISC providing information where there are cases concerning Life and
Liberty ? Ans:- 48 hours.
In case of delay in crediting the RTGS remittance amount to
609 MISC e efi ia s a ou t a h ill pa o pe satio at hat ate?
REPO Rate + 2%
In case of defect in documentation it comes under which type of
610 MISC risk ? Legal Risk. ( Legal Risk is Part of Operational Risk as per Basel
RBI has announced incentive scheme for customer service wherein
611 MISC if banks distribute coins across the counter what is the amount of
incentive ? Ans: Rs.25/- per bag
Under Tier II capital, Revaluation Reserves are taken at what rate:
612 MISC Ans: At 55% discounted rate, net 45% is considered under Tier II
Tier II capital should not be more than ____ % of Tier I capital: 100%
613 MISC
(Tier II should not be more than Tier I capital)
In case of BASEL II what is the first pillar ? Ans:- Minimum capital
614 MISC
Complaints can be made to Ombudsman when a period of more
than ____ has not lapsed after receipt of Bank reply: Ans: 1 year. If
615 MISC
reply is not received, it can be made within 1 year 1 month from the
date of complaint.
Validity of cheque: now 3 months from 01-04-2013 is mentioned in
616 MISC
which ACT? Answer: RBI prescribed.
In case of clearing difference, it is to be rectified in how many days?
617 MISC
Ans: 30 days (cir no.319/2008)
What is the cash handling charges ? No charges for cash
remittances of upto Rupees One Lakh per day per account. For cash
deposits above Rs. 100000/-, cash handling charges @ Re. 1/- per
618 MISC
Rs. 1000/- or part thereof shall be collected, subject to a minimum
of Rs. 100/- and a maximum of Rs. 5000/- per transaction(wef

619 MISC Which one of the following is the advantage for the Bank in joining
CGMSE Ans: Coverage and Zero Percent Risk Weightage
Job rotation for clerical staff should be done in every ______: Ans :6
620 MISC
621 MISC
Delayed collection beyond abnormal period: Ans :SB Rate + 2%.
622 MISC Buy Now Pay Later - What type of card: Ans :Credit Card.
RBI Authorisation policy - where RBI permission not required: Ans
623 MISC
:Tier 3 to Tier 6 branches.
A fraud of Rs.26 crores occurred. To whom we have to report? Ans:
624 MISC CBI Ba ki g e u it a d F auds Cell fo f auds of s. a d
1 NI ACT ule i Cla to Case hi h ight applies: A s: et off
Dishonour of cheques of value less than Rs.1 crore, on
___________ occasions during the financial year will attract
NI ACT stoppage of cheque book facility and closure of account. Answer:
six (Cir. 134/2010).
Which of the following amounts to Material alteration? (a) Crossing
a uncrossed cheque (b) Filling the date (C) Change the amount (d)
Converting general crossing to spl crossing Answer: change the
4 NI ACT Right of lien is not affected by : law of limitation.
The amount written in words and figures are differing in the cheque
5 NI ACT and the cheque can be : passed based on the legal amount i.e

A&B are the partners in one firm and one of the partners of the
firm is the common partner in another firm.
6 NI ACT The current account of one firm is overdrawn and current account
of another firm is having sufficient balance: The debit balance in the
current account can not be adjusted out of credit balance in
another account as both are different accounts.

7 NI ACT Partnership deed is not registered by the partners : even then the
partners are jointly or severally liability for all the debts of the firm.
Deceased with Testate means deceased Ans - After Writing
Will(Other options are without will, etc)
Conversion : Deprives the interest of holder of instruments.
Private Limited Company can not be partner in : partnership firm
Cheque returned As per Sec 138 of NI Act,the punishment is
imprisonment : upto 2 years.
Cheque signed by the agent presented for collection and agent dies
: The cheque will be passed
In case of a/c operated by POA Principle dies & later on a cheque
13 NI ACT signed by POA presented: not to be passed as POA will be not
applicable as Principle dies
A Forged Cheque is passed by Bank, wherein forgery is done in such
a manner that it can not be identified with naked eye. Whether
Banker is liable: Ans: Yes, because it will not be construed as
mandate to debit the account
A Cheque is signed by an Agent. Cheque presented after death of
15 NI ACT agent. What is to be done: Cheque can be passed if it is otherwise
in order.
In case of Nomination, the nominee will get right after death of
depositor as: Ans: Trustee of Legal Heirs
Bailment of goods as security for securing payment of debt &
interest is under ___ process . Ans: Pledge
Inchoate instrument means _________. Ans: Incomplete
Paripassu means: Ans: Right on security to creditors in proportion
to the liability with in sanctioned limits.
What is a liability of legal heirs of a deceased borrower to the bank
: Ans: To the extent of assets inherited

A has given power of attorney to B .B has produced a cheque across

the counter duly signed by him. Meanwhile Branch has got
information that the A has met with an accident and passed away
.The What is the a ke s dut ..... hethe to ho ou the he ue
or not .Ans: Not to honour
Prohibition of issuing promissory note payable to bearer on
22 NI ACT demand ,except Central Govt & RBI is as per _____act . Ans: Sec 31
of RBI Act.
In a OD account overdues are observed and the same was adjusted
by the bank from the Savings account of the same borrower. The
bank can perform the duty as per the Right of ________.Ans: Set
A cheque is signed by Treasurer & director of a company has been
brought for the payment, Mean while bank was informed that the
director has met with an accident and died ,can the cheque be paid
..Ans: Yes.
In which of the following situations bank is not called Holder in Due
Course?: :When proceeds of a cheque sent for collection are
edited a k to a usto e s a ou t o l o ealizatio of the

If a cheque is dishonoured due to insufficient funds, the holder

should issue notice to drawer within _____ days of receiving notice
of dishonor as per Sec 138 of N.I. Act. Ans: 30 days
Which one is not a material alteration?: Ans: Converting Bearer
instrument to Order instrument.
Validity of the Cheque is 3 months as per: Ans: RBI Guidelines (Sec
35A of BR Act)

Mr Ram who is payee of the cheque, puts his signatures on the

a k of he ue a d a o e his sig atu es, he ites the o ds Pa
to M Moha . This p o ess is alled: A s: E do se e t.
What is Pari-Passu Charge when loan has been sanctioned by more
than one bank in consortium?: Ans: In case of default, the sale
proceeds of security will be shared in the ratio of outstanding
within sanctioned limits.
Garnishee Order is applicable when relationship with respect to
Customer and Bank : Debtor - Creditor

A cheque signed by agent is presented for payment after his (agent)

death. What should the bank do: Ans: The cheque will be paid if
otherwise in order, dated prior to death

33 NI ACT What is the relationship between a Bank and Customer in case of

Deposit Account: Ans: Debtor(Bank)-Creditor(Customer)
Relation of Banker and Customer in case of collection of cheque:
Agent and Principal
If amount mentioned in words and figures differs in a cheque,
which amount will be paid Ans: Amount in words
The penalty for dishonor of cheques under Sec 138 of NI Act:
Double the amount or 2 years imprisonment or both.

37 NI ACT In case of disposal of assets pertaining to deceased SB account

holder, the status of nominee : trustee of legal heirs

While collecting cheque of a customer, the bank is not holder for

value in case of : Cheque accepted for collection where proceeds
are credited only after collecting proceeds of cheque.

39 NI ACT Not to collect account payee cheques to others, Why? Ans: No

Protection to bankers under Sec 131 of NI Act in case of Conversion

40 NI ACT Goods remain within constructive possession of Bank as lender : a)

Hypothecation of BD b) Clean OD c) DP B/P d) Usance Bill Ans: C
Format of the the cheque is defined in which Act : No where it is
defined (It is usage and practice)

42 NI ACT Right of creditor to retain in the procession the securities owned by

the debtor Until the debt has been discharged is called : LIEN
Cha a te isti of NOT NEGOTIABLE COING : T a sfe ee does
not get better title than that of the transferor
A he ue is dis ou ted a d edited to pa t s a ou t a d the
44 NI ACT cheque is in transit. The position of collecting banker: Ans: Holder
for value
45 NI ACT Validity period of Cheque, DD and PO : Ans: 3 months
C ossed he ue pa e t ade to age t of olle ti g a ke alid
or not Valid
Cheques is a BE, Choose correct statement.... a cheque is a bill of
47 NI ACT exchange drawn on a specified banker and not expressed to be
payable otherwise on demand

48 NI ACT Public limited Co by issue of shares, when to commence business.

After obtaining Certificate of commencement of Business

Probating not insisted in case of will made in Presidencey town.

Which of the following do not come under presidency town.
Chennai, Mumbai, Kolkata, Delhi None of the above
Payment to PA Holder in case of death of Pricipal.... Not to be paid
IT Attachment order received at 15.30, whether applicable to
51 NI ACT amount paid after business hours at 15.00 Bank is in order in
making payment to the party after business hours

52 NI ACT Limited Powers of the partners as per Sec 19(2) Of Partnership Act :
Withdrawal of suit, acquire/transfer of immovable property of firm
RBI is empowered to regulate Banking Companies Under : Banking
Regulation Act.
Statutory Audit of Banks under provision of .......Act. : Sec 35 of BR

55 NI ACT In joint account one forced signature and one forged signature.
Mandate is valid / invalid. No mandate to make payment
What is the status of nominee? Ans: he is only trustee for legal
What is/ are view/s on Third party cheques for collection in
Banking.- No problem with the same, b. Can not be permitted, c.
Better to avoid, Ans: a. No problem with the same, provided it is
duly endorsed

If Garnishee Order was mentioned with amount, action as a Banker-

a. Full A/c balance amount has to be blocked. B. Half of the A/c
balance amount has to be blocked. C. Send return unpaid. D.
Bankers Choice - Ans: Amount mentioned in Garnishee Order if
amount not mentioned, account to be blocked
A,B & C are partners, if deed is not written what is the liability level
of partner? Ans: Jointly and severally liable

60 NI ACT What is the relation ship between Bank and depositor in the
cheque collection sent and received? Debtor , Creditor
If amount is differs in words and figures what amount is to paid :
Ans: Amount in words

X and Y are having joint account with operation E or S. Y instructed

not to accept signatures of X. Cheque signed by X presented. What
to do: Ans: We should honour cheques signed by both.
Right of Set off governed by: Indian Contract Act.(Answer to check)
Pa t e s lia ilit i the pa t e ship fi : Joi tl a d se e all

Signature on Nomination form is to be attested by: (Cir 114/2011)

a) one witness b) two witness c) Not Required Ans: Not Required
(only Thumb imprison to be witnessed by 2 witnesses)
As per Supreme Court observation, the following can not become
partner in partnership firm: Ans: HUF

67 NI ACT Garnishee Order is issued by _________ and the relationship of

Bank with customer should be: Ans: Court, Debtor
Afte e ei i g he ue f o usto e , e affi ou a k s ossi g
stamp. This is done for the purpose of: a) prevention of fraud b)
requirement of NI Act c) Cheque will become payable to our bank
only Ans: C
69 NI ACT Creditors right on deposits : Lien
70 NI ACT General Crossing is instruction to: Paying Banker
71 NI ACT Rule in Clayton case applied in : Set Off
72 NI ACT Testamentary Succession means: Supported by Will
Construed Possession of Goods means: Hypothecation of Goods
In case of Crossing, a person can not give better title in case of:
Not Negotiable Crossing
Purchaser of Demand Draft will not have the following Right: Stop
Payment of DD
Garnishee order is served on a person who has 4 accounts as
under: SB in personal Name; TD in personal name maturing in Oct
76 NI ACT next ; Joint account with his wife; another account in his name as
trustee of a Mandir. Which can be attached? Answer: Individual
and TD.
A cheque is presented with words and figures differ. As per section
77 NI ACT 18 of NI act what should be done by bank? Answer: Pass the
amount as per words.
A cheque signed by agent is presented for payment after his death.
78 NI ACT What should the bank do: Answer: The cheque will be paid if
otherwise in order
Dishonor of Cheque of Rs.1.00 crore and less, for 6 times will
79 NI ACT attract which of the following actions? Answer: Cheque book
stopped. Account may be closed.

80 NI ACT What is the RBI rule regarding writing of Nomination details in pass
book? Answer: Written only with the consent of customer.
Not egotia le ossi g ea s _______A s the t a sfe ee of
cheque cannot get better title than the transferor
The punishment under regular proceedings under section 138 of NI
act is ____years. Ans imprisonment up to 2 years

Validity period of cheques is 6 months. This is stated ___________

(directly / indirectly) stated in Section 138 of ___________.
Answer: Indirectly // NI Act. (Restriction on the validity is as per
usages and practices. Now cheque validity is reduced to 3 months
from 01-04-2012 onwards by RBI)
In terms of Section 19 (2) of the Banking Regulation Act, 1949, no
banking company shall hold shares in any company, whether as
pledgee, mortgagee or absolute owner, of an amount exceeding
___% of the paid-up share capital of that company or ___% of its
ownpaid-up share capital and reserves, whichever is less.
Answer:30 & 30

What may be the purpose of crossing (specially) a cheque received

for collection? a. Not transferable b. Not negotiable c. Payable only
85 NI ACT to a bank. Answer: (c) The paying banker is required to pay the
amount of a specially crossed cheque only to the banker named in
the crossing or his agent for collection i.e., another banker to whom
it is sent for collection by that banker to whom it is crossed. Special
crossing of a cheque further enhances the safety of a cheque.
As per Section 24 of the __________________, the Reserve Bank
can prescribe the Statutory Liquidity Ratio (SLR) for SCB in specified
assets Answer: Banking Regulation Act, 1949
87 NI ACT What is the status of Nominee: Trustee of legal heirs.
For wrongful dishonour of the cheque the bank is liable to : drawer
of the cheque
While paying a bearer cheque, signature is obtained on the back
side of the cheque : As evidence of payment.
In the case of hypothecation : both possession and ownership are
with borrower.
A cheque is valid up to what period : 3 Months from the date of
X and Y are having joint account with operation mode Either or
Survivor Mr X endorsed it with some mistake which was rectified by
Mr.Y with his full signature. what should bank do: Bank to honour if
cheque is otherwise in order
93 NI ACT Who can be a nominee : An Individual
A Cheque is written in different hand writings and different inks.
Whether this can be paid: It will be paid
The crossing on a cheque is required to be cancelled. who can do
so: Drawer with full signature
Material alteration : converting a cheque payable to order to a
cheque payable to bearer
The relationship between a customer and bank in the case of Safe
Custody: Bailor and Bailee.

If a cheque is returned unpaid on account of insufficient funds, then

maximum punishement can be imposed on the drawer :
imprisonment upto 2 years, double the amount of cheque or both
Bailment of goods as security for repayment of debt , with the
bank. This comes under: Ans: Pledge
100 NI ACT
In Equitable Mortgage, deposit of title deeds with whom: Ans: Bank
Garnishee order can not be attached in : Ans: Undrawn balance in
101 NI ACT
OD/OCC accounts
A Promissory Note or Bill of Exchange without date : Is it a valid
102 NI ACT instrument or Invalid instrument: Ans: Can be filled by holder,
hence, valid
A Minor can : Endorse/Negotiate/Issue a Cheque. Which is valid:
103 NI ACT
Ans: all
In case of the Death of the depositor what is the right of the
104 NI ACT
Nominee : Trustee for Leagal Heirs.
In case of the death of the Principal, Cheque signed by the PA
105 NI ACT holder presented for payment whether payment will be made or
not ? No. After death of principal, PA is not valid.
In case of the death of the PA holder the cheque signed by the PA
presented for payment, whether it is to be paid or not ? Yes. It will
106 NI ACT
be paid if it is otherwise in order and dated prior to death of PA
What do you mean by Pari-passu charge ? : Right of creditors will
107 NI ACT be in proportion to their outstanding balance within the sanctioned
A solicitor is maintaining an account individually and also maintains
an account as Client account. On receipt of garnishee order in the
108 NI ACT
name of the solicitor which account will be attached? Ans:
Individual Account Only.

109 NI ACT Section 18 of Negotiable Instruments Acts states what? Words will
prevail on figure in case of difference in words and figures.

Current balance is Rs.6000/-. A cheque of Rs.18,000/- is presented.

Branch passed the cheque by allowing TOD. After few days, deposit
of the same party matured and TOD was cleared by crediting the
proceeds to CA. Customer disputes the transaction. Whether bank
110 NI ACT
is having right in doing so. Ans: Yes. Bank has mentioned specific
clause in CA application. Hence, though there is no specific request
from the party, we can allow TOD and recover the same from party.
If the clause is not there in application, then for allowing TOD
pa t s spe ifi e uest should e the e.
In respect of a fake DD who is to lodge the complaint. Ans: Paying
111 NI ACT

A post dated cheque is passed in the account of a customer. But

112 NI ACT another cheque was dishonoured which was in order. What is the
liability of the Banker. Ans: Bank is liable to the drawer as bank is
not in order in honouring post dated cheque
Credit of Rs.20,000/- was taken as Rs.2000/- and as a result a
cheque was returned in the account for want of funds. Bank has
113 NI ACT already sent pass sheet to customer and customer has
acknowledged the pass sheet. Whether bank is liable Ans: Yes.
Liable to drawer of cheque.
A cheque of Rs.10,000/- was presented where the words and
figures were different. Bank has to : a) pass the cheque based on
114 NI ACT
figure b) bank has to pass the cheque relying on words c) bank can
not pass the cheque. Ans: B
Whether a Private Limited company can be a partner with Public
115 NI ACT
Limited company to form a Partnership. Ans: Yes
In the context of Nomination, which is incorrect statement: Ans :
116 NI ACT High Level Secrecy is to be maintained b) Nominee along with
depositor has to sign Ans: B

A bearer cheque of Rs.7,000/- was presented. The cashier informed

that the cheque can not be passed as the balance is less by Rs.700/-
117 NI ACT . The tenderer credited the shortfall amount and the cheque was
passed. Customer disputed the transaction. Whether bank is liable:
Ans: Yes. For disclosing balance to third party, bank is liable to
account holder.
Banks generally do not prefer giving loans to an unregistered
118 NI ACT Partnership because: Ans: It can not sue others where as others can
sue that firm.

If an award is passed on the Bank by the Ombudsman, then the

Bank is bound to honour the Award within 30 days from the:a) date
119 NI ACT
of the Order b) date of receipt of the Order at the branch c) date of
acceptance of the Order by the complainant d) date of receipt of
the o plai a t s a epta e the a k. A s:
A a ot e a pa t e i a Pa t e ship A ou t: a HUF
120 NI ACT
b)Purdanishin Lady c) Company d) Proprietorship Ans: a
Hypothecation is defined under which Act : Ans: SARFAESI Act
121 NI ACT
Crossed cheque payment across the counter to the authorized
122 NI ACT Officer of collecting Bank: can be made and there are no violation
as per NI Act.
Validit of he ue defi ed As pe p a ti e & usage also i e
123 NI ACT
138 of NI Act) Now RBI changed validity to 3 months.
Validity of cheque : NI ACT Sec 138. Now RBI reduced validity of
124 NI ACT
cheque to 3 months.
If Director Died, Cheque is presented: what you do: cheque can be
125 NI ACT
Customer has kept the money with bank but has not given any
126 NI ACT instruction to deal with it . in this case what is the relation between
bank & customer: trustee & beneficiary
If HUF obtained loan , liab. of Coparcner is : upto the share in profit
127 NI ACT
& assets
Payment of Rs 12000/- @ 3.45 pm on friday, where customers
128 NI ACT dealing working hours is upto 2 pm : payment not in order or due
A/C payee crossing cheque: instruction to collecting bank, to credit
129 NI ACT
proceeds to the correct a/c of payee only.

130 NI ACT In partnership a/c one of the partner is minor, after some time one
partner became insolvent, liability of minor is: He is not liable
131 NI ACT Charge in Hypothecation : floating
Minor can be admitted to partnership firm for the benefit of firm. A
minor has to give notice within _____________ after attaining the
132 NI ACT age of majority as to his election to be in the partnership. His
silence after that period will be taken as consent to continue in the
firm. Answer: 6 months

Husband nominates wife for a deposit of Rs 1.60 lacs & the

depositor expired. Mother of the deceased depositor seeks share in
133 NI ACT the deposit. Son of the deceased informs about a will left over by
the father which is being searched. Under the above circumstances
the claim can be settled favoring whom? Answer: Can be settled as
per Nomination rules to the wife, the nominee.
A account is having a balance of Rs 6500/- & against this balance 3
different cheques for RS 250/-, Rs 5200/ and Rs 6200/- are
134 NI ACT presented for payment. What are the cheques you will pass?
Answer: Cheque for Rs 250 and Rs 5200/ to be passed. (Lowest
value cheque to be passed on priority. If it is returned damages to
the usto e s eputatio ill e highe .

A customer is declared insolvent & taken to jail. A cheque is

presented in his account which is dated prior to the date of
declaring him as insolvent. What should be done? Answer: On
receipt of notice of insolvency, operations in the account should be
135 NI ACT stopped. All assets should be handed over to Official Assignee /
Receiver. Cheques signed by the customer prior to insolvency
should not be passed. It should be returned with the following
e a ks: EFE TO DAWE. Do t use: D a e is i sol e t .The
right of set off should be immediately used. Surplus of funds /
assets should be given to official assignee.

Unregistered firm Current account TOD allowed for RS 6000/-

ithout pa t s e uest. u se ue tl out of atu it p o eeds of
136 NI ACT a term deposit in the name of firm, TOD was adjusted. Party
objected stating that party never requested for TOD and FDR is
ea t fo othe pu pose? What is the a k s positio ? A s e :
Bank is in order in exercising right of set off.
Negotiable instruments are of two types. First being recognized
u de NI A t & se o d o e ei g Not e og ized u de N I
137 NI ACT
ACT . Whi h o e is ot e og ized u de the N I A t? A s e :
Dividend warrant

What is Negative lien? Undertaking to create charge / EMT at a

later date to bank and not to encumber the securities without the
138 NI ACT consent of the bank + Deposit of title deeds /Relevant documents
like Power of Attorney etc. Negative lien can also be found in the
follo i g o ds Futu e assets also ill ot e e u e ed
ithout the o se t of the Ba k .
Holder for Value :Person who received instrument for
139 NI ACT
Not Negotia le C ossi g What is ea i g? : T a sfe ee ill ot
140 NI ACT
get better title than transferor.
In case of Hypothecation, possession with whom? Ownership &
141 NI ACT
Possession with borrower.

142 NI ACT Either or Survivor Account. Cheque signed by X. Material alteration

authenticated by Y. Whether cheque can be paid? Ans: Yes
143 NI ACT Nomination is given to whom? Ans: Individual
What is not material alteration out of the following?
144 NI ACT
Ans:Conversion of General crossing to special crossing
Bank name is written across the cheque. What type of crossing is
145 NI ACT
this: Ans:Special Crossing
146 NI ACT Design of cheque - under which Act? Practice and usage
147 NI ACT Nomination not eligible - Ans: Loan Accounts
148 NI ACT
Cash paid fo C ossed he ue o es u de hi h A t? NI A t
A cheque is specially crossed as Indore. Presented in Mumbai. Can
149 NI ACT
it be paid? YES
e tio of NI A t pu ish e t pe iod of i p iso e t - A s:
150 NI ACT
What is the period of imprisonment under Section 138 of NI Act, for
151 NI ACT
dishonour of cheque? 2 years

A person has presented a bearer cheque for encashment across the

152 NI ACT
counter and refuses to sign on the backside. How will you deal?
Ans: Obtain receipt for acknowledgement of receipt of cash
Pa t e ship Cu e t Bala e is s. /-. Che ue issued fo
s. , /-. Che ue is passed allo i g TOD ithout usto e s
request. Subsequently a KDR for Rs.20,000/- of the subject Current
153 NI ACT Account is matured. Party says, you can not recover the Overdraft
out of deposit proceeds as the TOD is not requested by them. What
is the position of Bank. Ans: Bank is in order in adjusting deposit
Guarantor has cleared dues granted to a customer against
154 NI ACT securities. What is the right the guarantor gets? Ans: Right of

Mr.X availed clean OD on the personal guarantee of Mr.Y.

Subsequently, Mr.Y came to know that there was overdrawings in
155 NI ACT that Account prior to guarantee agreement execution and the same
was not informed to him. In this context, Mr Y contends that he is
not liable for the entire loan. What is the correct position of Mr.Y.
Ans: Y is liable upto contracted amount

What is conversion/material alternation of cheque ? Conversion

156 NI ACT means crediting proceeds other than to true owner. Material
Alteration (Section 87): Which brings basic change in the mandate
given by drawer. Can be rectified by the drawer only
Bank is not required to produce original book of records but true
copy can be submitted when court has demanded as per which act?
157 NI ACT
a) Civil procedure code b) Registration act c) B.R. Act d)RBI act e)
Banker Books Evidence Act Ans: E
Nominee can claim payment when: Only after the death of
158 NI ACT
depositor and his status is that of a trustee of legal heir.
Special Crossing- what is essential: Bank's name must appear with
159 NI ACT
or without two parallel lines.
Agent dies - Cheque signed by him presented for payment: Can be
160 NI ACT
paid as for all acts of agent, principal is liable.

161 NI ACT Financial Director Dies - Cheque signed by him presented for
payment: Can be paid as he is signing in representative capacity.
Pari Passu charge: Equal rights to all creditors in proportion to their
162 NI ACT
loan quantum
Guarantee given by a minor: Cannot be ratified even when he
163 NI ACT
becomes major.
Cheque issued without balance what penalty: No penalty (Only on
164 NI ACT
dishonour, Court Proceedings)
Which of the following is not material alteration? Making Crossing,
165 NI ACT Filling the date which was not filled; Writing Bank name between
two parallel lines; Ans: All of these.

166 NI ACT How many days notice is required to be given to the borrower for
selling the possessed securities under SARFEASI Act? 30 days
I ase of Pa t e ship fi , pa t e s lia ilit is: Joi tl a d
167 NI ACT
Which Crossing restricts the transferability of Bill of Exchange:
168 NI ACT
Crossing is not applicable to B/E.
If a cheque is dishonoured, the beneficiary can demand payment
169 NI ACT from the drawer within ______ days of dishonour: 30 days as per
Sec 138 of N.I. Act.
In the Gold Loan, what is the charge that bank creates on the
170 NI ACT
ornaments taken as security: Pledge.
Can the bank fix the liability on the legal heirs in case of a loan
171 NI ACT given to their father, who has expired: Yes. Legal heirs are liable to
the extent of assets inherited.
In case of disposal of assets of deceased SB account holder, if legal
172 NI ACT heirs and nominee approach the bank simultaneously who should
be preferred: Nominee.

173 NI ACT What is atu e of Ba ke s lie ?: It is i plied pledge e ause

Banker can dispose of the goods after notice to the borrower
Bill sent for collection Banker Customer relation ship is_____: Agent
174 NI ACT
& Principal.
Can an Insolvent be a partner in a partnership firm: No, insolvent
175 NI ACT
cannot be a partner.

176 NI ACT Who are not eligible for becoming partners in Limited Liability
Partnership: a) HUF b) Minor c) Body corporate: Ans: a & b
Termination of contract with customer: when he dies / closing of
177 NI ACT
the account/ bankruptcy : All.

178 NI ACT Guarantor Z clears the loan availed by Borrower X. The securities
shall be released to Z under: Right of subrogation.
After the death of the Principal, the nominee receives the payment
179 NI ACT
in the capacity of: Trustee of Legal heir.
180 NI ACT
Co e ial Pape is: P o isso otes Negotia le i st u e t.
Agent dies and the cheque signed by agent on behalf of the
181 NI ACT Principal comes in clearing for payment: Can be paid if otherwise in
A Forged cheque is passed by Bank, wherein forgery is done in such
182 NI ACT a manner that it cannot be identified with naked eye. Whether
Banker is liable: Yes.

A Cheque is signed by two authorized persons of a Mahavir Trust.

183 NI ACT
One of the Trustee dies. Whether Cheque signed by the deceased
trustee can be passed: Yes if it is otherwise in order.
In which type of charge neither possession nor ownership is
184 NI ACT
transferred to creditor ___________. Hypothecation.
When can an agreement made by a Minor for raising a loan be valid
185 NI ACT
or ratified? Never.
Can Bank exercise right of Set-Off in respect of Contingent
186 NI ACT
Liabilities ________. No.
If a Sole-trustee dies, the Trust will be managed by ______ . Court
187 NI ACT
appointed Trustee.

I a o pa , the egist atio of Cha ges U/s of Co s A t is

188 NI ACT
required for: a) Loan against FD b) Lien on Govt Securities c) Book
Debts d) Loan against Shares : Book Debts.
In Flying Club a/c, cheque signed by the Secretary is received after
189 NI ACT his death. Whether it is payable: It will be paid if it not dated
subsequent to date of death.
Which of the following relationship is incorrect in case of Locker
190 NI ACT facility: a) Lessor- Lessee b) Landlord-Tenant c) Bailor-Bailee d)
Li e so - Li e ee : Bailo Bailee.
191 NI ACT Cla to s ule applies to_____: App op iatio of pa e ts.
Section ____ Banking Regulation Act 1949 deals with return of paid
192 NI ACT
instruments to account holders: Sec. 45-Z.
Power of Attorney executed abroad must be stamped within
193 NI ACT
_________ of its receipt in India: 3 months.
Preservation of Banks records is governed by provisions of Section
194 NI ACT
_____: 45-Y of B.R. Act.
Bearer Demand Draft, Promissory Note and Bill of Exchange cannot
195 NI ACT be issued by Commercial Banks under Sec. _____: Sec. 31 of RBI
Section 22 of the NI Act provides for a grace period of 3 days to be
196 NI ACT added for arriving at the due date for _______. Usance Bill &
Usance Promissory notes.
Book Debts are charged by way of ________ and LIC policy is
197 NI ACT
charged by way of _________. Assignments.
198 NI ACT Cheque/DD validity 3 months : Sec 35-A of B.R. Act.
What type of crossing Holder can do: General as well as special
199 NI ACT
The Banker Customer relationship for deposits is ____: Debtor &
200 NI ACT
The authority under which the bank collects Supply Bills is
201 NI ACT
________: Power of Attorney.

202 NI ACT Implied authority of a partner does not allow ______ singly? Settle
a dispute relating to the business of the firm thru arbitration.
Bank is not required to produce original book of records but true
copy can be submitted when court has demanded as per which act?
203 NI ACT
a) Civil procedure code b) Registration act c) B.R. Act d)RBI act e)
Banker Books Evidence Act Ans: E
204 NI ACT Whethe WILL has to e egiste ed? Not e ui ed.
Nominee can claim payment when: Only after the death of
205 NI ACT
depositor as a trustee of legal heir.
Special Crossing - what is essential: Bank's name must appear with
206 NI ACT
or without two parallel lines.
If Garnishee Order does not specify any amount, it will be
207 NI ACT applicable or not: Applicable and full amount in the a/c will be
Cheque issued without balance what penalty: No penalty (Only on
208 NI ACT
dishonour, Court Proceedings).
M/s Impex & Co has its registered office in Mumbai, and its factory
is at Kolkatta. The company has availed credit facilities from banks
209 NI ACT a h i Mu ai. The E uita le o tgage of o pa s
immovable property is to be created at _________: Any notified
The authority under which the bank collects Supply Bills is
210 NI ACT
__________: Power of Attorney.
Ba ke Custo e elatio ship fo deposits is ____: De to
211 NI ACT
212 NI ACT
Co e ial Pape is: P o isso otes Negotia le i st u e t.
Agent dies and the cheque signed by agent on behalf of the
213 NI ACT Principal comes in clearing for payment: Can be paid if otherwise in
In the Gold Loan, what is the charge that bank creates on the
214 NI ACT
ornaments taken as security: Ans: Pledge.
Can the bank fix the liability on the legal heirs in case of a loan
215 NI ACT given to their father, who has expired: Ans: Yes. Legal heirs are
liable to the extent of assets inherited.

In case of disposal of assets of deceased SB account holder, if legal

216 NI ACT
heirs and nominee approach the bank simultaneously, who should
be preferred: Ans: Nominee as a trustee of the legal heirs.
An agreement signed by borrower for delivery of title to goods with
217 NI ACT Import bill without payment is called ___________: Ans: Trust

218 NI ACT What is atu e of Ba ke s lie ?: A s : It is i plied pledge e ause

Banker can dispose-off the goods after notice to the borrower.
Gold is pledged with bank as security for a Bank Guarantee by a
borrower. Bank Guarantee stands expired. Whether a temporary
overdraft availed by the borrower which is overdue can be got
219 NI ACT adjusted by selling the Gold held as security for issue of guarantee:
Ans :Yes, because Bankers lien is a general lien and is an implied
pledge. Further, the Gold was deposited in the ordinary course of
Rohit and Mohit have a joint a/c in which Rohit is adjudged
220 NI ACT
insolvent. A cheque signed by Rohit is presented: Ans :Cheque will
e etu ed Joi t a/ holde i ol ed i i sol e p o eedi gs.

Which of the following is not payment in due course: a) Crossed

221 NI ACT
cheque paid on the counter; b) Forged DD; c) Forged Cheque d)
Payment of cheque after receipt of Garnishee order. Ans : ( All)
In which case Bank is having constructive possession of goods? Ans
222 NI ACT
A Garnishee order is issued by the court on behalf of _______: Ans
223 NI ACT
:Judgment Creditor.
More than 2 nominees can be taken in which type of account: Ans
224 NI ACT :No Account. Maximum nominee allowed 2 only in jointly operated
locker account.
Section 45ZA to ZE of Banking Regulation Act deals with: Ans
225 NI ACT
:Nomination of Deposits, Safe Custody and Lockers.

226 NI ACT Nominee can claim payment when: Ans :Only after the death of
depositor (account holder) as a trustee on behalf of the legal heirs.
Whether Pvt. Company can be a partner in a partnership firm: Ans
227 NI ACT
Pari Passu charge: Ans :Equal rights to all creditors in ratio to their
228 NI ACT
Amount and words differ in cheque: Ans :Pass the cheque and pay
229 NI ACT
as pe o ds e of N.I. A t.
Cheque issued without balance what penalty: Ans :No penalty (Only
230 NI ACT
on dishonour, Court Proceedings).

1 RT
Canara Money Loan is given against: Shares and Mutual Funds
2 RT Canara Budget. GM Power....10 Lacs (15 months salary)
3 RT
Ca a a ite Highe ua tu e t highe autho it ......%
Retail loans are sanctioned based on Application details and rating
4 RT
of marks and : ECAI rating is not required.
What is the income eligibility criteria for sanctioning Canara vehicle
5 RT loan for non salaried class. Ans: Rs.3.00 lacs evidenced by ITR/ITAO
for 4 wheelers
In Canara pension scheme, the maximum repayment period is ___
6 RT months for the persons below 65 yeras & ____months for above 65
years . Ans: 60 months, 48 months.

7 RT In Canara Mortgage ,a loan can be sanctioned upto _____% of the

value of the land & building as per the latest valuation.Ans: 50%
In Canara Jeevan scheme , the residual life of the property should
8 RT
be : Ans: 20 years.

Maximum Repayment period for Housing loan to individuals is upto

9 RT
____years Or _____years of age of the borrower, which ever is
earlier. Ans: 30 years, 70 years of age.
Canara home loan plus + HL both put together should not exceed
10 RT
_____% of the value of the property. Ans: 60%
Can mobile ,if customer wants to transfer the funds to other bank
11 RT ,fo othe a k s a ou t , _______ u e is a dato . A s: IFC
loans against DEMAT shares_______ Ans: Maximum Rs.20 lakhs,
12 RT
25% margin.
What is the limit of Education Loan for inland studies for
13 RT
considering under Priority Sector: Ans: Rs.10.00 lakhs

14 RT What is the maximum amount of loan that can be considered under

Canara Pension Scheme: Ans: Rs.2.00 lakhs
What is the maximum repayment period under Canara Pension
15 RT Scheme Ans: 60months(if pensioner is below 65 years) 48 months
if pensioner is above 65 years
What is the maximum loan amount eligible under Canara
16 RT
Mortgage: Ans: 50% of Land&Building

17 RT What is the rate of interest subvention for Housing Loans upto

Rs.15.00 lakhs with a project cost ceiling of rs.25.00 lakhs. Ans: 1%
No collateral security or personal guarantee for EL upto Rs.___
18 RT
Ans: Rs.4 lakhs
Bank loan to housing finance companies for HL purpose for
19 RT
dwelling units to EWS upto : Rs.10 lacs
Repayment Holiday for Education Loan for Vocational Courses, if
20 RT
the course period is upto 1 year: Ans: 6 months
Housing Loan sanctioned in places with more than 10 lakh
21 RT
populatio hat is eili g to o side u de P io it e to : A s:
Rs.28lakhs with max. project cost of Rs.35 lakhs.
What is the maximum quantum under Canara Pension: Ans: Rs.2
22 RT
Ex Employee cum Senior Citizen: What is the maximum
23 RT preferential rate of interest: Ans: 1.5% for period 5 years and
above, 1% below 5 years.
EL subsidy for Economically Weaker Sections - Family income:
24 RT
For EL interest will not be charged during : repayment holiday
25 RT
(interest accrued but not added to the account)
For Canara Pension, after deducting the installment, NTH should
26 RT
be: 40%
For EL during Repayment holiday period: Only SIMPLE INT TO BE
27 RT
28 RT Apiculture is : Rearing of HONEY BEES

29 RT Quantum of EL for studies in India, more than :Rs.10 lakhs

classified under: Upto 10 lakhs under PS, >10 lakhs under NP
Loan amount for House Repairs under CANARA KUTIRA YOJANA :
30 RT
Rs.25,000/- (cir 182/2011)
Ca a a Jee a age ea s ad issi le loa as p opo tio to alue
31 RT
of property. 90%
Additional interest rate to Senior Citizen, ineligible schemes....:
32 RT
RD,NRE,Capital Gains, Can Tax Saver
Modification in Swarna Loan. What is 3rd option for repayment.
33 RT
Bullet payment if interest is serviced monthly
What is the risk weight for housing loan up to 30 lakhs where LTV
34 RT
is <80%? Ans: 35%(LTV 80 to 90%: RW50%)

35 RT E L Repayment should start: Ans: 12 months after completion of

course or 6 months after getting job, whichever is earlier
Scheme of 1% interest Subvention on Housing Loan A/Cs : 1%
36 RT Interest Subvention of Housing Loans upto Rs. _______ Ans: Rs.15
Lakh and Project cost upto Rs.25 lacs
How much amount can be remitted for estimated education
37 RT expenses to abroad? Upto estimated level or Rs.USD 2.5 lakh with
38 RT
Housing loan under DIR to SC/ST can be given up to: Ans: Rs.20,000/-
39 RT Product code of Swarna loan in CBS : 608
How much amount can be given loan under Canara Budget? Ans:
40 RT
Rs.3 lakh by small, medium and large branches.
41 RT Maximum age of the borrower to avail HL? Normally 55.
42 RT Maximum amount under Swarna Loan: Ans: Rs.10 lakhs

43 RT Out of the below mentioned options, which one is not eligible for
financing under Swarna Loan Scheme: Ans: Investment
44 RT
Mi i u Net Take ho e sala fo Tea he s Loa : A s: %
Under Canara Pension, we sanction loan to : a) All Senior Citizens
45 RT b)All pensioners c) Only pensioners drawing pension through our
bank d) our ex employees Ans: C

Loan can not be sanctioned on the following property under our

46 RT
Reverse Mortgage Loan ie Canara Jeevan: a) Flat b) House c)
Commercial Property Ans: Commercial property
As per Vidyasagar Educational Loan Scheme, bank has specified
47 RT Third party Guarantee for loan of Rs.______ to Rs._________ Ans:
Above Rs.4 lakhs to Rs.7.5 lakhs

What is the normal repayment holiday for Housing Loan and

additional repayment holiday of _____months for completion of
48 RT
the construction of house/ commencement of repayment may be
permitted By DGM/GM/HO as the case may be. :(Cir 37/2011) Ans:
Normal 18 months, additional 6 months (beyond 18 months)

Scheme of 1% interest subvention on housing loans upto Rs. 10 lakh

49 RT The e isti g s he e of i te est su e tio of pe e t o
housing loans extended to housing loan upto Rs.15 lakh where the
cost of the house does not exceed Rs.________ Ans: 25 lakhs
What is the maximum quantum of loan that can be sanctioned
50 RT
against Demat Shares: Ans: Rs.20 lakhs


51 RT
LOANS : The parental income ceiling of not more than
Rs.______lacs per annum.(Cir 48/2011) Ans: Rs.4.50 lakhs
Maximum loan quantum under Canara Rent: Ans: 75% of gross
52 RT
rental receivables minus TDS and Advance Rent
In Canara Mobile Loan, sanctioning of more than 2 vehicle to
i di idual du i g the u e of e isti g loa po e s ested ith:
53 RT
Ans: ED (Cir 40/2011) (Now changed and GM(CAC) of Circle can
HL p io it No s. lakhs i Met os ith > lakh populatio
54 RT
and Rs.20 lakh in other areas)
55 RT HL interest subsidy on what amount: Rs.15 lakh
EL abroad studies: what is the amount under prority sector: Rs. 10
56 RT
57 RT
Canara Jeevan - life of residual residential property : 20 years
In Housing Loan, LTV <75% and amount less than Rs.75 lakhs.
58 RT
What is the risk weight: 35%
Canara Budget delegation of powers of Small, Medium and Large
59 RT
branch: 6 months salary with maximum Rs.3 lacs
60 RT Interest subsidy in EL : till moratorium period
Margin for 2 wheelers under Canara Vehicle Loan Scheme: 20% for
61 RT
salaried and 25% for non salaried persons.
What is the minimum age of Joint Borrower in case of Canara
62 RT
Jeevan: 55 years
63 RT
Housing Loan for Officer Employees: maximum of Rs.50 lakhs

64 RT In case of Interest subsidy scheme on Housing Loans for LIG & EWS
interest subsidy is available upto loan amount of Rs.: Rs.5 lakh
In case of Educational Loans for Economically Weaker Sections,
65 RT upto what extent interest is waived : Total interest waiver till
repayment holiday period
In case of Housing Loan for purchasing site and construction
66 RT thereon, construction should start with in a period of_____ from
the date of first disbursement: 12 months
Canara HSBC insurance Protection cover is available for HL
67 RT
borrowers upto the age of: 69 years
68 RT Canara Guide Scheme is for : Income Tax Return Preparers
Canara Trade : Stock Statement periodicity for above Rs.50 lacs:
69 RT
Ans: Quarterly
70 RT Canara Mobile 4 wheelers eligibility: Rs.3.0 lacs // 40% NTH
Ca a a e t Qua tu : A s e : % e t e ei a les TD a d
71 RT
Advance received.
Tenanted properties to be discouraged for EMT. Which one is
72 RT
exempted from this? Answer: Canara Rent.

73 RT Educational loan repayment holiday: Now it is 12 months from

course completion or 6 months from getting job whichever is earlier
Loan to value ratio is more than 75% in HL. What is the risk
74 RT
Under canara jeevan, the maximum loan for independent house
75 RT
and flats: Rs.50 lacs and 25 lacs.

76 RT Housing loan reimbursement by GM upto what % of loan quantum

and period less than _______ Answer: 25% // 3 months.
Under education loan scheme branch has to take acknowledgement
77 RT of debt ______ after commencement of repayment, Ans:within
Under canara jeevan , if the age of the borrower is 70 , ____
78 RT amount of loan as proportion of assessed value of property. Ans- 70
% (171/09 )
A loan is to be classified as Priority sector housing loan , if the
amount does not exceed Rs. _____ Ans:At present, Rs.28 lakhs for
79 RT
houses in Metros with population of 10 lakhs and above, Rs.20
lakhs in other areas.
In respect of CANARA TRADE , to commission agents ,EMT of land
80 RT and buildings whose value shall not be less than ___ % is taken as
security. Ans 200 % (365/09)

Under Canara Site loans, the eligibility criteria for salaried persons is
81 RT
_________and non-salaried persons is _________ Ans:Net Take
home salary 40% & Net income of Rs1 Lac in IT for 3 Years.
Under Home improvement loan, for repairs and renovation of
82 RT House, maximum amount of loan sanctioned is Rs._______
Ans:Rs.15 lakhs(cir 232/2013)
83 RT HL / Staff Risk Weight Answer: 20%
Canara Site Age of the applicant should not be more than: Answer
84 RT
:55 years
85 RT Canara Trade EMT of mortgage over 10 Lacs Answer: 133%
86 RT EL Without Security Upto Answer: RS. 4 Lacs
87 RT Margin for HL 2nd Unit Answer: 25%
Canara Mobile 4 wheelers Other than salaried individuals: This
category should have a minimum annual income of
88 RT
_______________ p.a. and above to be evidenced by ITAO/ITR.
Answer: Rs.3.00 lacs

Maximum permissible limit as % of the total eligible loan quantum

89 RT under Canara Jeevan for the purpose of supplementing
pension/other income Answer: 80%. (One time lump sum payment,
not more than 20% of the eligible loan amount)

Housi g Loa he e To Custo e s Life I su a e Co e C edito

Protection Plan : Ceases On Customer Attaining The Age Of Answer:
90 RT
Cover will cease on attaining 70th birthday. If (maximum cover age -
age at entry of borrower) < Loan term, such borrower cannot be
enrolled under the plan (Cir.259/2010)
91 RT
For housing loan of Rs.30 lac risk weight : 50%.(if LTV is 80-90%)

92 RT What is the minimum and maximum amount where third party

security is required for the purpose of education loan : Rs.4-7.5lac
93 RT Minimum Net Take Home salary in Teachers loan is : 30%
94 RT Payment period in Canara Jeevan Loan : 15 Years
What is the eligible amount under Canmortgage : 50% of mortgaged
95 RT
Vehicle loan financed under Canmobile for old vehicles up to 75% of
96 RT
value, with maximum amount of : Rs.15 lac
The Minimum percentage of Marks to be scored as per revised
97 RT rating sheet for consideration of loan under Retail Lending Scheme
is : 70% of total marks.
Under Canara Jeevan What is the max. amount of loan that can be
98 RT granted ? Ans : Rs. 50 Lacs for independent house, Rs.25 lakhs for
In case of CANARASITE what is the maximum amount of loan and
maximum repayment period? Ans :- 3 years income with Rs.15 lacs
99 RT
in Metros, Rs.10 lacs in other areas. Maximum repayment period 5

100 RT In case of Large Branch, for granting CANARA BUDGET what is the
branch power? 6 Months gross salary subject to max. Rs. 3 Lacs.
What is the maximum amount that can be sanctioned against
101 RT
security of Flat under Canara jeevan ? Ans:- 25 Lac.
In case of EL if the interest is served during the pendency of loan
102 RT
what interest concession to be provided? Ans:- 0.5%

What is the criteria for considering Educational loan to the children

of Government Servants who are in transferable service? Answer : If
the parent/s are in a transferable job working in Government
Departments, PSUs and leading Corporate, the education loan may
103 RT
be availed either at their place of permanent residence or at the
place of work at the option of the borrower/s. Persons staying in a
rented house for a minimum period of 2 years in a place without
owning a house in the present place of stay may also be treated as a
permanent resident of the place.
In normal HL for employee what should be the NTH salary
104 RT
pe e tage :A s e : Net take ho e sala %
Education Loan for inland studies upto Rs._____ lakhs and Rs.____
105 RT lakhs for studies for abroad are treated as Priority Sector advances:
Ans: Rs.10 lakhs FOR BOTH

In the context of rejection of educational loan, which one is

incorrect: a) Proposal can be rejected with the concurrence of
106 RT higher authority b) The valid reason be accorded in the register c)
the reason for rejection should be informed to the borrower in a
convincing and non painful manner d) Proposal can be rejected if
the branch has reached the target under EL. Ans: D
The minimum Net Take Home Salary for Housing Loan to Individuals
107 RT is _____ and the Next Higher Authority can reduce the same to
_____ Ans: 40%, 25%
Under Canara Jeevan, the loan can be granted jointly. The age of
108 RT one borrower should be ____ and the other should be______ Ans:
Min.60 years, 55 yerars.
Under CANARA JEEVAN, at no point of time should the VER be
109 RT
below: Ans:10%
Which of the following is incorrect regarding Teachers Loan: a)
teaching and nonteaching staff permitted b) salary in branch or
110 RT
mandate c) Obtention of PDCs Ans: c (PDC s not accepted for
teachers loan)
In Canmobile loan for second hand vehicle: 75% of the appraisee
111 RT
value max 15 lakh
112 RT
Ca e t loa : % of the e t e ei a les ad a e a d ta es.
113 RT Can mortgage loan: 50% of property value
Risk weight to Housing loan upto 30 lakh : 50% (if LTV is less than80-
114 RT
115 RT In EL no collateral security is required : upto 4 lakh
What is the risk weight for Housing loan up to Rs 30 lacs (having a
116 RT
LTV less than 80%)? Answer: 35%
117 RT
Maximum loan under Can Pension : Ans:now enhanced to Rs.2 lakhs
Under Canmobile, loan quantum for old vehicles : Ans: 75% of
118 RT
onroad cost of the vehichle with max.Rs.15 lakhs
119 RT Housi g Loa ua tu fo p io it A s:No s. lakhs i Met os
and 20 lakhs in other areas with population of less than 10 lakhs.
120 RT Cantrade - Whether OD or OCC : SOD
Assessment of quantum under Canarabudget : 6 m gross
121 RT
salary/10m gross salary
122 RT Canrent - What type of loan : Ans: Term Loan
123 RT Ca a at ade I spe tio of se u ities: O e i o ths
124 RT Margin on EL of Rs.5 lakhs for inland studies? : 5%
Housi g Loa u de BI s he e : Mi i u se i e of e plo ee
125 RT
for eligibility : 3 years
126 RT Canbudget - whether Secured or Clean loan? Clean Loan
What is the maximum limit of finance for RT under priority?
127 RT
Ans:1000 lakhs ( under service sector of MSE)

128 RT What is the quantum of Canbudget Loan to a branch under normal

circumstances Ans: 6 months salary with maximum of Rs.3 lakhs
What is the lease period permissible in case of Housing Loan is to be
129 RT granted on Leased Property? Ans: 90 years (source:Retail lending
What is the eligible amount under Canmortgage? Ans:50% of
130 RT
mortgaged property
Under Cantrade, what is the quantum of loan where 10% margin is
131 RT
prescribed? Ans:50 lakhs and above
Ca Mo tgage a . epa e t pe iod ho u h o th ?
132 RT
months EMIs (10 years by next higher authority)
I Ca Budget loa loa a le a ou t ? o ths sala ith s.
133 RT lakh upto Scale III. Scale IV 10 m salary Rs.5 lacs. GM-CO sanction
10 months salary Rs.10 lakhs.
I Ca T ade if o e tha la ho u h is the alue of se u it
134 RT ? 133% of loan amount. 200% security in case of commission
In case of Education Loan how much in the margin upto Rs.4 lacs
135 RT
loan ? No margin.
Beyond Rs.7.5 lac & upto Rs.10.00 lac in Education Loan how much
136 RT
security to be taken : 100% tangible security.
HL age relaxation beyond 60 years for repayment who will permit ?
137 RT
Ans: Circle Head.
In Model Educational Loan Scheme prepared by IBA, repayment of
the loan starts after ________ from the date of completion of
138 RT
course or 6 months from employment whichever is earlier: 12
Under Interest Subvention Scheme of 1% on Housing Loan, the
139 RT subvention is available for: Housing Loans upto Rs. 15 lakh with unit
cost of house up to Rs. 25 lacs.
What is the maximum amount of loan that can be given on Demat
140 RT
shares?: Rs. 20 lakhs.
For being eligible under Central Sector Scheme for Interest
141 RT Subvention on Educational Loan, the parental income ceiling from
all sources is: Rs. 4.5 lacs per annum.
What is the loan amount in Education loan on which guarantee can
142 RT
be taken: Ans: More than Rs 4 lac.
143 RT Maximum LTV for a Home Loan of Rs.30 lacs is: 90%.
The Housing Loan disbursed is Rs.15 lacs and the balance
144 RT outstanding is Rs.10 lacs. The value of Security is Rs.20 lacs. The LTV
will be: 50%.
What is the LTV ratio prescribed by RBI for small value Housing
145 RT
Loans of Rs.30.00 lakhs: 90%.
Interest subsidy under Education Loan scheme for EWS : Till
146 RT
moratorium period.
Housing loan under Priority Sector if population is upto 10 lac: Rs.20
147 RT
Interest subsidy for Housing loans for Rs.15 lacs, if unit cost is upto
148 RT
_____ : Rs. 25 lacs.
Housing loan repayment maximum 30 years and age of borrower:
149 RT
max 70 years.
As per LTV guidelines, what is the risk weight for housing loan up to
150 RT 30 lakhs with LTV of 90%: 50% (LTV upto 80-90% for HLs upto Rs.30
lakhs, RW is 35%)
As per the moratorium guidelines, the repayment of education loan
151 RT should start from: 12 months on completion of course or 6 months
after getting job, whichever is earlier.
No margin is required to bring in by the borrower for the
152 RT
educational loans to special courses up to ____: 4 lakh.

Interest subvention of 1% will be available on housing loans up to

153 RT ______ to individuals for construction/purchase of a new house or
extension of an existing house, provided the cost of construction /
price of the new house/extension does not exceed 25 lakh: 15 lakh

154 RT For Housing Loans, maximum amount of EMI that can be permitted
for salaried class, is to be taken as _______ of net salary: 50%.
Education Loan: Both Inland and Foreign under Priority sector: Ans :
155 RT
Rs.10 lacs
Information assets as per IT policy Restricted/ Public/ Internal/
IT Policy Access control in restricted area : No waiver for staff
What is the purpose of Disaster Recovery Plan : Ans: Alternate
3 TECH Server installed for smooth functioning of systems in case of failure
of Main Server (Blue Print)
Computer programme which spreads and interfere with files is
called as: Ans: Virus
Information Technology Act 2000 has helped the Banks while
5 TECH dealing with: Ans: Courts of Law while dealing with evidence in
electronic form
Local Area Network (LAN) is the character of: Ans: Group of Users
in specified area
7 TECH LAN stands for: Local Area Network
8 TECH Capital Letters shifting indicated in key board as: Caps Lock
9 TECH Following is not a Hardware: Windows
Computer can do the below mentioned functions: Ans: All ie
Addition, Substraction, Comparision
11 TECH Scanner Scans : Text and Pictures
12 TECH Adhoc reports refers : As of now
13 TECH Customer ID digits: 10
14 TECH Computer can perform: Computing, Storing, Retrieving
15 TECH Mouse performs the function of: Graphic User Interface
16 TECH WWW stands for: WorldWide Web
17 TECH CG stands for: Computer Graphics
Generating and sending pass sheet through email periodically to
customers: CHM34
19 TECH EFT : Electronic Funds Transfer
20 TECH To go to end of document, command is: Control+End
21 TECH CPU Stands for: Central Processing Unit
22 TECH Storage Device: CD, FLOPPY, DAT : All
23 TECH First package in the Bank: ALPM
24 TECH 1 GB is equal to: 1024MB
25 TECH Speed of computer depends on: Capacity of Processor
RBI has installed in IDRBT the network between Banks and
Financial Institutions: INFINET
27 TECH Common unit of measurement of computer memory: Byte
28 TECH Microsoft word is: Application software
29 TECH SPNS: Shared Payment Network System
30 TECH DFS : Distributed File System
31 TECH Information stored in Computer as: Analog
32 TECH In CHM37, S stands for: Stopped Cheque
33 TECH Brain of Computer: CPU
34 TECH Firewall is meant for: Security & Authentication
35 TECH Mandatory for a PC: Hardware & Software
Bank Computerisation started after which committee
recommendations: Rangarajan Committee
37 TECH ISC stands for : Internet Storm Centre
38 TECH Linking of PC with telephone: Modem
39 TECH OSS stands for: Open Source Software
40 TECH Output device: Printer
41 TECH ISP stands for: Internet service Providers
42 TECH Electronic Finger: Mouse
43 TECH Cannet is best example for : Intranet
Completely migrated to CBS by our Bank in which year: 2010
45 TECH Transfer of funds without customer intervention: IMB
46 TECH Missed call alert for balance: 09289292892
47 TECH ECS stands for: Electronic Clearing Service
In 13 digit CBS account, 5th to 7th digits indicate: Product Code
49 TECH Print Option: Control+P
Member establishments collects amount from Debit Card/Credit
Card holders through which mode: POS
In computer environment, where the processor works with speed :
Micro computer
52 TECH Chip system:
53 TECH M I C R full form : Magnetic Ink Character Recognition


What is the ATM cash with drawl limit for one day? Rs.50000/-
99 TECH ATM card refers : Anytime money
Electronic cheque means-a. Cheque signed digitally, b. Xerox
100 TECH copy of Cheque signed manually c. Scanned copy of Cheque signed
manually d. All the above. Ans: A
In the case of Electronic funds transfer is dishonored imprisonment
101 TECH of 2 years, double amount penalty or both are defined in which
Act? Ans: NI Act
102 TECH Number of digits in UID(Aadhar card) ? 12 digit
103 TECH CBS connectivity for ATM: Any time / Anywhere
Who is not eligible for internet banking : Ans: a) Joint account
104 TECH operation severally b) Minor account operated by Guardian c)
Illiterate Ans: Illiterate

105 TECH E TDS - 26Q (tax deduction other salaries) to be filed for the month
of September, before: (Cir 137/2011) Ans: 15th October
ECS returned : After how many number of ECS returns, we can
106 TECH
close the account: : 4 times
107 TECH NEFT Batches of settlement: 12 on week days
108 TECH IMB pass word expiry : One Year
109 TECH ATM ash he ki g Pe iodi it : Qua te l
110 TECH IMB transaction amount : Rs.2 Lakhs(Retail)
Morphing means Animation: An animation technique in which one
111 TECH
image is gradually turned into another.
112 TECH Starting of computer is called as: Booting
113 TECH Expand WAN : Wide Area Network
In a building premises which type of computer network will be
114 TECH
applicable : Local Area Network (LAN)
115 TECH
Definition of Hacker : a computer expert with criminal intentions

A company wants to electronically pay the dividend to large no of

116 TECH
its shareholders, which include small amounts also. What is the
mode suitable: Electronic Clearing Serivice:Credit (ECS-Credit).
What was first steps towards computerization in banking:Ans.
117 TECH
Setting up ALPM.
What do you mean by Encryption? Ans:- Encoding/Compressing for
118 TECH
security reason
Which equipment is required to capture the signature and
119 TECH photograph and create the same in the programme. Ans: a) Xerox
b) Photocopier c) Scanner Ans: C
What do you mean by firewall: Ans: Protection which denies access
120 TECH
to the hawker.
Firewall is related to : Protecting to unauthorized person from using
121 TECH
122 TECH
Which is the output device: Floppy ( Keyboard, mouse, floppy)
123 TECH
In which package you make letter & other text letter: Ms Word
124 TECH In which act bilingual is must : 3(3)
125 TECH How many OLIC meeting in a year : 4
126 TECH Display in small object in screen is called :ICON
127 TECH Convert digital analogue to..........: : modem
128 TECH In LAN, computers are connected with: network
129 TECH
CTR report to be sent to RBI: within 15th day from the month end
130 TECH Computer related committee: Saraf committee
131 TECH Abbrevation of WAN? Wide Area Network
132 TECH Starting of Computer is called : Ans: Booting
133 TECH In computer, where is data stored? Ans: Hard Disk
Co upte T ou le hooti g Whi h P o le ie
134 TECH
Hardware/Software : Software
135 TECH Firewall means: Security in computer
What is Encryption? Converting into code language for security
136 TECH
I I te et Ba ki g u de CB e i o e t, if the usto e does t
137 TECH use pass word, in how many days it will lapse? Ans:60 days (user
138 TECH In computers, DOS allows _____ users. Ans: single user
Advantage of Local Area Network (LAN) is: Group of Users in
139 TECH
specified area and Central Storage.
140 TECH Virus refers to: Program which infects the system.
What is the purpose of Disaster Recovery Plan: Alternate Server
141 TECH installed for smooth functioning of systems in case of failure of
Main Server.
Computer programme which spreads and interfere with files is
142 TECH
called as: Virus.
Information Technology Act 2000, has helped the Banks while
143 TECH dealing with: Court of Law while dealing with evidence in electronic