Non-Face to Face Customer KYC Guidelines

MODULE 2
1
Who is a “Non face to face” customer for bank?
A customer with whom the Branch or any branch official has no direct interaction at the
time of opening of account.
A customer entering branch premises with face covered with mask.
When a customer is a legal person.
A customer who executes all his transactions through Net-Banking and rarely visits his
home branch.
Item 2
2
Which of the following documents are not required by the bank for opening an account
of an unincorporated association or a body of individuals?
Registration certificate and Trust deed
Documents relating to beneficial owner, managers, officers or employees, as the case

may be, holding an attorney to transact on its behalf.
Permanent Account Number or Form No. 60 of the unincorporated association or a

body of individuals.
Resolution of the managing body of such association or body of individuals. Power of

attorney granted to transact on its behalf.
Item 3
An account becomes KYC Non-Compliant/ KYC discrepant accounts in certain

circumstances? Which of the following statement is NOT correct in this regard?
Small accounts where OVD is not provided within a period of 12 months, subject to
relaxations provided by RBI/ Govt. of India.
Small accounts where OVD is not provided within a period of 24 months, subject to
relaxations provided by RBI/ Govt. of India.
Accounts where KYC Updation is overdue.
Accounts opened with Deemed OVD but updated OVD is not provided within 3 months.
Item 4
Which of the following statements is NOT correct regarding the requirement of the
undertaking of customer due diligence (CDD) by the financial institutions?
Branches/ offices will undertake CDD while there is a suspicion of money laundering or
financing of terrorism, regardless of any exemptions or thresholds.
Branches/ offices will undertake CDD whenever they have doubts about the veracity or
adequacy of previously obtained customer identification data.
Branches/ offices will undertake CDD while establishing business relationship.
There is no need of undertaking CDD measures while carrying out occasional

transactions, within the applicable designated threshold, for the account.
Item 5
An account becomes KYC Non-Compliant/ KYC discrepant, and the bank takes steps to
make such accounts KYC Compliant. However, if the customer is not forthcoming to
provide the necessary documents and/or information. What steps bank will take?
Bank will immediately close the account.
Bank will convert the account to Small Account.
Bank will take the steps towards phased imposition of partial / full freeze and eventual
closure of the account.
Bank will impose and recover a penalty on the customer till the account become KYC
compliant.
Item 6
6
As per the RBI guidelines, what is the Periodicity of review of Customer Risk
Categorisation (CRC)?
Review of risk categorization of customers should be carried out only if there is a

change in a customer’s profile.
Review of risk categorization of customers should be carried out at a periodicity of not

less than once in three months.

less than once in six months.

less than once in a year.
Item 7
For opening an account in the name of a sole proprietary firm, CDD of the individual
(proprietor) is carried out. In addition to this, the bank should obtain two documents or
the equivalent documents thereof as proof of business/ activity in the name of the
proprietary firm. Which of the following documents, in the name of the firm, will serve
the purpose?
Registration certificate in the name of the firm.
Certificate/ licence issued by the municipal authorities under Shop and Establishment
Act in the name of the firm.
Sales and income tax returns or CST/VAT/ GST certificate (provisional/final) in the
name of the firm.
All the above

Item 8
8
Which of the following is not true regarding the Video-based Customer Identification
Process (V-CIP)?
Video based CIP will be treated as Non face-to-face CIP.
Video CIP is an alternate method of customer identification with facial recognition and
customer due diligence by an authorised official of the Reporting Entity.
Video CIP is done by undertaking seamless, secure, live, informed consent based
audio-visual interaction with the customer to obtain identification information required for
CDD purpose,
The official of the Bank performing the V-CIP shall record video as well as capture
photograph of the customer present for identification.
9
Which statement is NOT correct in respect of obtention of Aadhar number for CDD of an
Individual?
Banks can obtain the Aadhaar number from a customer where he is desirous of
receiving any benefit or subsidy in his account (DBT).
Banks can obtain the Aadhaar number from a customer where he decides to submit his
Aadhaar number voluntarily to a bank.
Banks must obtain the Aadhaar number/card from a customer whenever he is desirous
of opening an account with a Bank.
All the above statements are correct.

Item 10
10
Ms C has instructed to transfer her account from branch 'A' to branch 'B'. The account is
fully KYC compliant account. The officer at branch 'B' has asked her to submit the
identity documents afresh, which she resisted.
What are the instructions regarding this?
It is the discretion of the branch 'B' to accept or not, the KYC verification already done
for the concerned account by 'A' branch.
If KYC verification has already been done for the concerned account and the same is
not due for periodic updation, the KYC verification done by 'A' branch will be valid for
transfer of account to 'B' branch only if CIF is also being transferred.
If KYC verification has already been done for the concerned account and the same is
not due for periodic updation, the KYC verification done by 'A' branch will be valid for
transfer of account to 'B' branch.
Even if KYC verification has already been done for an account, the KYC verification
done by 'A' branch will not be valid for transfer of account to 'B' branch.
Item 11
11
The Customer Acceptance Policy (CAP) section of the Bank’s KYC Policy, lays down
the criteria for acceptance of a person as a customer of the bank. Which of the following
statement is not correct in respect of CAP?
It should be ensured that identity of customer does not match with any person or entity
whose name appears in the sanction’s lists circulated by Reserve Bank of India.
No account is opened in anonymous or fictitious/ benami name.
No account is opened where the Branch/ Business unit is unable to apply appropriate
CDD measures, either due to non-cooperation of the customer or non-reliability of the
documents/ information furnished by the customer.
An account may be opened in anonymous or fictitious/ benami name but it must be

ensured that identity of customer does not match with any person or entity whose name
appears in the sanction’s lists circulated by RBI.
Item 12
12
Which of the following statements regarding Customer Identification Procedures (CIP) is
correct?
Customer identification requires identifying the customer and verifying his/ her identity
by using reliable, independent source documents, data, or information.
The first requirement of Customer Identification Procedures (CIP) to be satisfied is that
a prospective customer is who he/ she claims to be.
Customer identification means undertaking client due diligence measures while

commencing an account-based relationship including identifying and verifying the
customer and the beneficial owner.
All statements are correct.

Item 13
13

correct?



Item 13. Selected.
14
Customer risk categorization (CRC) is carried out by AML-CFT Department at pre-

defined periodicity. Which of the following option regarding periodicity is not correct?
CRC is done, daily for the incremental accounts/customers.
CRC is done weekly for the incremental accounts/customers.
CRC is done at half-yearly intervals typically as on 31st March and 30th September
every year or in between if the need arises.
Review of customer risk categorization (CRC) of customers should be carried out at a
periodicity of not less than once in six months.
Item 15
15
Can the Mandatory and other ‘Optional’ information collected from the customer be
used for cross-selling or any other purpose?
Though such information collected from the customer is to be treated as confidential

and details thereof are cannot be divulged but it can be used for cross-selling of our
groups' products.
No, such information collected from the customer is to be treated as confidential and
details thereof are can not to be divulged for cross selling or any other purpose.
Such information collected from the customer is the property of the bank, hence can be
used for cross selling or any other purpose.
Yes, any information collected from the customer may be used for cross selling.
Item 16
16

groups' products.
Item 16. Selected.
17

groups' products.
Item 16
18
Which one of the following is not an Officially Valid Document” (OVD)?
Driving Licence
Passport
Aadhaar number/ card
Proof of possession of Aadhaar number

Item 19
19
The Customer Acceptance Policy (CAP) section of the Bank’s Policy & Procedure
Guidelines on KYC/ AML/ CFT Measures lays down the criteria for acceptance of a
person as customer of the bank. Which of the following statement is not correct in
respect of CAP?
Branches/ Offices shall apply the CDD procedure at the CIF level.
If an existing KYC compliant customer of our Bank desires to open another account with
another Branch, fresh Customer Due Diligence (CDD) exercise has to be undertaken.
Accounts of persons having relationships with banned entities such as individual

terrorists or terrorist organizations etc. are not to be opened.
Customer Due Diligence (CDD) Procedure is followed for all the joint account holders,
while opening a joint account and also for Guarantors in case of loan accounts.
Item 20
20
Which of the following documents are not required by the bank for opening an account
of a Trust?
Registration certificate and Trust deed
Memorandum and Articles of Association
Documents relating to beneficial owner, managers, officers or employees, as the case

may be, holding an attorney to transact on its behalf.
Permanent Account Number or Form No.60 of the trust

Item 21
21
Enhanced Due Diligence (EDD) is required to be exercised in respect of what type of

customers-
Politically exposed Persons (PEPs)
Relatives and associates of PEPs
All customers categorized under high risk
All of the Above

Item 22
22
Where the OVD furnished by the customer does not have an updated address, the bank
can accept a utility bill, as deemed OVD, for the limited purpose of proof of address.
Which of the following option is correct in respect of a Utility Bill?
Utility bill which is not more than three months old of any service provider (electricity,
telephone, post-paid mobile phone, piped gas, water bill) can be accepted.
Utility bill which is not more than one month old of any service provider (electricity,
Utility bill which is not more than two months old of any service provider (electricity,
Utility bill which is not more than one year old of any service provider (electricity,
Item 23
23
An account which has been opened using Deemed OVD, for the limited purpose of
current address, within what period the customer will provide the OVD updated with
current address?
The customer shall submit OVD updated with current address within a period of three
months of submitting the deemed OVD.
The customer shall submit OVD updated with current address within a period of six
The customer shall submit OVD updated with current address within a period of nine
The customer shall submit OVD updated with current address within a period of twelve
Item 24
24
What is NOT true regarding KYC/AML/CFT guidelines issued by RBI?
It prevents banks/FIs from lending, funds to borrowers who can not provide proper KYC
documents.
It prevents banks/FIs from being used, intentionally or unintentionally, by criminal

elements for money laundering or terrorist financing activities.
RBI has mandated the banks for having a board-approved KYC policy.
The KYC policy should have four key elements.

Item 25
25
In which of the following instances, Customer Due Diligence (CDD) Procedure in the
case of an Individuals is required?
While establishing account-based relationship with an individual.
While establishing account-based relationship with a beneficial owner/ authorized

signatory or the power of attorney holder related to any legal entity.
While establishing account-based relationship with an authorized signatory or the power

of attorney holder related to any legal entity.
All the statements are correct.

Item 26
26
Who should ensure compliance with the KYC guidelines at the time of on-boarding of a
customer?
The Service manager should ensure that all aspects of KYC guidelines are complied
with.
The Branch manager should ensure that all aspects of KYC guidelines are complied
with.
Business Correspondents (BCs) & Business Facilitators (BFs) who open the account,
should ensure compliance with the KYC guidelines.
The officer-in-charge vested with the authority to open the account, should ensure
compliance with the KYC guidelines.
Item 27
27

NOT correct?
Branches shall undertake Customer Identification while selling of third-party products as

agents, selling our own products, payment of dues of credit cards/ sale and reloading of
prepaid/ travel cards and any other product for more than Rs. 500,000/-
Branches shall undertake Customer Identification while selling of third-party products as

agents, selling our own products, payment of dues of credit cards/ sale and reloading of
prepaid/ travel cards and any other product for more than Rs. 50,000/-
Branches shall undertake Customer Identification while when the Bank has reason to
believe that a customer (account based or walk-in) is intentionally structuring a
transaction into a series of transactions below the threshold of Rs 50000/-.
Branches shall undertake Customer Identification while carrying out transactions for a
non-account-based customer, that is a walk-in customer, where the amount involved is
equal to or exceeds Rs 50000/-, whether conducted as a single transaction or several
transactions that appear to be connected.
Item 28
28
Which of the following documents are obtained for opening accounts of juridical persons
other than Company, Partnership or Trust accounts, such as societies, universities, and
local bodies like village panchayats?
Such documents as may be required by the RE to establish the legal existence of such
an entity/juridical person.
Documents for carrying out Customer Due Diligence (CDD) of the individual, holding an
attorney to transact on its behalf.
Document showing name of the person authorised to act on behalf of the entity.
All are correct

Item 29
29
“Where no natural person is identified in case the client is a Company / Partnership firm
/ Unincorporated Association or Body of Individuals, Who will be treated as ‘Beneficial
Owner’ as per PML Amendment Rules 2013 ?
The relevant natural person who holds the position of senior managing official.
Any one of the signatories to the account.
All of the signatories to the account.
None of the Above.

Item 30
30
If the branch has doubt about authenticity / veracity or the adequacy of the previously obtained
customer identification data, what is the periodicity for review of profile of Customer?
1) What is V-CIP in respect of KYC?
Video based Customer Identification procedure
2) A small account which has been opened without obtaining OVD when it will become
KYC Non-Compliant/ KYC discrepant accounts?
The account shall remain operational initially for a period of twelve months…….
3) What is Partial Freezing of an account that has become KYC Non-Compliant/ KYC
discrepant?
Restricting debit in the account through all channels but allowing credits
4) For opening an account in the name of a sole proprietary firm, CDD of the individual
proprietary firm. Which of the following documents will NOT be accepted for the purpose,
in the name of the firm?
Duly notarized, lease or rent agreement.
5) Which of the following documents are not required by the bank for opening an account of
a Partnership Firm?
Certificate of incorporation, memorandum and articles of association.
6) Which of the following statement is correct regarding the identification of a

beneficial owner, where the customer is a trust?
15% OR MORE
7) If a customer, who has submitted Aadhar number voluntarily, wants to provide current
address different from the address contained in Aadhaar records, which of the following
document will be obtained as proof of current address?
Simply a self declaration
8) Which of the following categories of accounts are NOT exempted from obtention of
details of Beneficial Owners?
Partnership firms or LLPs
9) Branch AB Park has received a request for opening an account in the name of a
Partnership firm, the officer in the branch has identified that all the three partners are
beneficial owners. How many CIFs are required to be created while opening the account
in the name of that Partnership firm?
Four
10) An account becomes KYC Non-Compliant/ KYC discrepant accounts in certain

circumstances? Which of the following statement is NOT correct in this regard?
The Voter's Identity Card issued by the Election Commission of India,
Letter issued by the National Population Register containing details of name and
address.
Job card issued by NREGA duly signed by an officer of the State Government.
Landline Telephone Bill

Item 3
Which one of the following options is not the purpose of name screening?
To avoid the risk of financing an entity which is having a dubious reputation of non-
payment to its creditors.
Which of the following statement is correct regarding identification of beneficial

owner in case of a company?
Beneficial Owner has Controlling ownership interest ownership of/entitlement to

more than 25 per cent of the shares or capital or profits of the company.
“Control” includes the right to appoint majority of the directors or to control the
management or policy decisions including by virtue of their shareholding or
management rights or shareholders agreements or voting agreements.
Where the customer or the owner of the controlling interest is a company listed on
a stock exchange, or is a subsidiary of such a company, it is not necessary to
identify and verify the identity of any shareholder or beneficial owner of such
companies.
All the statements are correct.

Item 6
For Risk management, Bank has adopted a _____________as per RBI Guidelines?
Customer Based Approach
Risk Based Approach
KYC Based Approach
Application Based Approach

Item 7
Which of the following documents are required to be obtained as Customer Due
Diligence measures for opening an account in the name of a sole proprietary firm?
Any prescribed document in the name of the proprietorship firm only to be

obtained for undertaking CDD of the firm.
Any document in the name of the proprietorship firm only to be obtained for
undertaking CDD of the firm.
Prescribed documents for undertaking CDD of an individual to be obtained in the

name of the proprietor as well as two documents or the equivalent e-documents
thereof as proof of business/ activity in the name of the proprietary firm.
Prescribed documents for undertaking CDD of an individual to be obtained only in

the name of the proprietor.
Item 8
Which of the following statement is correct regarding the identification of a

beneficial owner, where the customer is a trust?
Where the customer is a trust, the identification of beneficial owner(s) shall include
identification of the author of the trust, the trustee, the beneficiaries with 25% or
more interest in the trust and any other natural person exercising ultimate effective
control over the trust through a chain of control or ownership.
identification of the author of the trust, the trustee, the beneficiaries with more
than 15% interest in the trust and any other natural person exercising ultimate
effective control over the trust through a chain of control or ownership.
identification of the author of the trust, the trustee, the beneficiaries with more
than 25% interest in the trust and any other natural person exercising ultimate
identification of the author of the trust, the trustee, the beneficiaries with 15% or
more interest in the trust and any other natural person exercising ultimate effective
control over the trust through a chain of control or ownership.
Item 9
While opening an account in the name of a sole proprietary firm in addition to CDD
of the individual (proprietor) two documents or the equivalent documents thereof
as a proof of business/ activity in the name of the proprietary firm shall also be
obtained. In cases where it is not possible for the firm to furnish two such
documents, can branch open the account with obtaining one document only?
Branch may, at their discretion, accept only one document in the name of the firm
as proof of business/activity subject to ‘Contact Point Verification.
Branch , at the discretion of branch manager, may accept only one document as
proof of business/activity.
Branch has no discretion in this regard, it has to obtain at least two documents or
proprietary firm.
None of the options is correct.

Item 13
As per RBI Guidelines on dealing in Virtual Currencies (VC) in India, which of the
following statement is correct as per Customer Acceptance Policy (CAP)?
As per RBI Guidelines, Banks are allowed to deal in few selective Virtual Currencies
(VC) or provide services for facilitating any person or entity in dealing with or
settling VCs.
After liberalisation Banks are allowed to deal in any currency including Virtual
Currencies (VC).
As per RBI Guidelines, Bank shall not deal in Virtual Currencies (VC) or provide
services for facilitating any person or entity in dealing with or settling VCs.
As per RBI Guidelines, Bank shall not deal in Virtual Currencies (VC) but can provide
services for facilitating any person or entity in dealing with or settling VCs.
Item 14
Branch AB Park has received a request for opening an account in the name of a
Partnership firm, the officer in the branch has identified that all the three partners
are beneficial owners. How many CIFs are required to be created while opening the
account in the name of that Partnership firm?
Three
Two
One
Four
Item 15
The Customer Acceptance Policy (CAP) section of the Bank’s KYC Policy, lays down
the criteria for acceptance of a person as a customer of the bank. Which of the
following statement is not correct in respect of CAP?
It should be ensured that identity of customer does not match with any person or
entity whose name appears in the sanction’s lists circulated by Reserve Bank of
India.
No account is opened in anonymous or fictitious/ benami name.
An account may be opened in anonymous or fictitious/ benami name but it must be

ensured that identity of customer does not match with any person or entity whose
name appears in the sanction’s lists circulated by RBI.
No account is opened where the Branch/ Business unit is unable to apply

appropriate CDD measures, either due to non-cooperation of the customer or non-
reliability of the documents/ information furnished by the customer.
Item 16
Which of the following statements is NOT correct regarding Unique Customer

Identification Code (UCIC) ?
A CIF is the Unique Identification Code and a customer should not be allotted more
than one CIF.
All the accounts of the same customer are tagged to one CIF.
While entering into a new relationship with individual customers and the existing
customers in our Bank, Customer Identification File (CIF) shall be allotted.
It is also required to create UCIC for all walk-in/occasional customers.

Item 17
Which of the following categories of accounts are NOT exempted from obtention of
Public Sector Undertakings (State/Central Govt.)
Accounts of Banks
Partnership firms or LLPs
Company listed on a stock exchange,

Item 18
What is Partial Freezing of an account that has become KYC Non-Compliant/ KYC
discrepant?
Partial Freeze means restricting all transactions (debits and credits) in the account
through all channels but allowing debits raised by revenue departments.
Partial Freeze means restricting credits in the account through all channels but
allowing debits.
Partial Freeze means restricting debits in the account through all channels but
allowing credits.
Partial Freeze means restricting transactions in the account through all channels.
Item 19
Customer risk categorization (CRC) is carried out by AML-CFT Department at pre-

defined periodicity. Which of the following option regarding periodicity is not
correct?
Review of customer risk categorization (CRC) of customers should be carried out at

a periodicity of not less than once in six months.
CRC is done weekly for the incremental accounts/customers.

CRC is done, daily for the incremental accounts/customers.
CRC is done at half-yearly intervals typically as on 31st March and 30th September
every year or in between if the need arises.
Item 20
Which of the following is NOT one of the key elements of the KYC/AML/CFT Policy of
the Bank?
Risk Management
Customer Identification Procedures
Customer Maintenance
Customer Acceptance Policy

Item 21
If the branch has doubt about authenticity / veracity or the adequacy of the
previously obtained customer identification data, what is the periodicity for review
of profile of Customer?
Every 8 years for Low Risk customers
Every 5 years for Medium Risk customers
Whenever the branch has doubt about authenticity / veracity or the adequacy of
the previously obtained customer identification data.
Every 2 years for High Risk customers

Item 22
If a customer, who has submitted Aadhar number voluntarily, wants to provide
current address different from the address contained in Aadhaar records, which of
the following document will be obtained as proof of current address?
Letter from employer confirming his current address.
Identity card issued by the employer which is a listed company.
Simply a self-declaration regarding current address may be obtained.
Rent deed/ agreement duly executed with the landlord.

Item 25
Item 22
Bank shall take steps to make KYC non-compliant accounts KYC Compliant first.
However, if the customer is not forthcoming to provide the necessary documents
and/or information, Bank will take the steps towards phased imposition of partial /
full freeze and eventual closure of the account. Who is the authority to permit
closure of such accounts?
The competent authority to permit closure of such accounts shall be the Branch
Head, not below the rank of Chief Manager in Senior Management Grade. In all
other cases, any Chief Manager of the R.B.O shall be the competent authority to
permit closure of such accounts.
The competent authority to permit closure of such accounts shall be the General
Manager (Network), to permit closure of such accounts.
Head of any scale.
Head, not below the rank of Assistant General Manager. In all other cases, Regional
Manager of the R.B.O shall be the competent authority to permit closure of such
accounts.
Item 26
The KYC policy includes four key elements. Which of the following is the correct set
of these four elements?
Customer Acceptance Policy, Risk Categorisation, Customer Identification

Procedures (CIP), Monitoring of Transactions.
Customer Acceptance Policy, Risk Management, Customer Due Diligence,

Monitoring of Transactions.
Customer Acceptance Policy, Risk Categorisation, Customer Due Diligence,

Customer Acceptance Policy, Risk Management, Customer Identification Procedures

(CIP), Monitoring of Transactions.
Item 28
Branches shall undertake Customer Identification while carrying out any

international money transfer operations. Which of the following statement is most
appropriate in this regard?

international money transfer operations for a person who is not an account holder
and remittance amount is of the value of INR 20,000.00 and above.

international money transfer operations for a person who is not an account holder,
irrespective of amount.

and remittance amount is of the value of INR 50,000.00 and above.

and remittance amount is of the value of above INR 20,000.00.
Item 29
What is the major risk of non-compliance with the KYC Policy?
Customer Risk
Supervisory Risk
Compliance and Legal Risk.
None of the above

Item 30
In which of the following circumstances an account becomes KYC Non-Compliant/ KYC

discrepant?
All of the above
Permanent Account Number (PAN)
Driving Licence
Passport
Proof of possession of Aadhaar number

Who is a “Non face to face” customer for bank?
When a customer is a legal person.
A customer who executes all his transactions through Net-Banking and rarely visits his
home branch.
A customer entering branch premises with face covered with mask.
A small account which has been opened without obtaining OVD when it will become
The account shall remain operational initially for a period of six months which can be
extended for a further period of six months, provided the account holder applies and
furnishes evidence of having applied for any of the OVDs during the first six months of
the opening of the said account.
The account shall remain operational initially for a period of nine months which can be
extended for a further period of nine months, provided the account holder applies and
furnishes evidence of having applied for any of the OVDs during the first nine months of
the opening of the said account.
The account shall remain operational initially for a period of three months which can be
extended for a further period of three months, provided the account holder applies and
furnishes evidence of having applied for any of the OVDs during the first three months
of the opening of the said account.
The account shall remain operational initially for a period of twelve months which can be
extended for a further period of twelve months, provided the account holder applies and
furnishes evidence of having applied for any of the OVDs during the first twelve months
of the opening of the said account.
correct?


For opening an account in the name of a sole proprietary firm, CDD of the individual
proprietary firm. Which of the following documents will NOT be accepted for the
purpose, in the name of the firm?
CST/VAT/ GST certificate (provisional/final) in the name of the firm.
IEC (Importer Exporter Code) issued to the proprietary concern by the office of DGFT or
Licence/certificate of practice issued in the name of the proprietary concern by any
professional body incorporated under a statute.
Utility bills such as electricity, water, landline telephone bills, etc in the name of the firm.
Duly notarised, Lease or Rent agreement in the name of the firm.
Which of the following statement is correct regarding identification of beneficial owner

based on Controlling ownership interest in case of a company?
Controlling ownership interest means ownership of/entitlement to 51 per cent or more of

the shares or capital or profits of the company.
Controlling ownership interest means ownership of/entitlement to more than 51 per cent
of the shares or capital or profits of the company.
Controlling ownership interest means ownership of/ entitlement to more than 25 per
cent of the shares or capital or profits of the company.
Controlling ownership interest means ownership of/entitlement to 25 per cent or more of

the shares or capital or profits of the company.
If, during Name Screening process, the ID of the applicant/customer is different from the
ID of the corresponding person in the negative lists, then the name and other identifiers
of the applicant/ customer are matched with those of the corresponding person given in
the
negative lists. In case the name and at least ____________ other identifiers match, it is
considered a
positive match.
one
two
four
three
In which of the following situations Customer Identification Procedure (CIP) is not

required to be carried out, by the Branches/offices?
When the Branch/ Office doubts the authenticity or adequacy of the customer
identification data it has obtained.
While establishing an account-based relationship.

While effecting remittance for a non-customer who has approached for remitting INR
20000 through NEFT in cash.
Carrying out any international money transfer operations for a person who is not an
account holder.
Branches shall undertake Customer Identification while carrying out any international
money transfer operations. Which of the following statement is most appropriate in this
regard?
money transfer operations for a person who is not an account holder, irrespective of
amount.
money transfer operations for a person who is not an account holder and remittance
amount is of the value of INR 50,000.00 and above.
amount is of the value of INR 20,000.00 and above.
amount is of the value of above INR 20,000.00.
A well-designed KYC Policy complements the AML/ CFT systems deployed in a bank.
Which one of the of the following is not true/ correct?
It provides the AML/ CFT cell with an accurate profile of the customers enabling a
meaningful monitoring of transaction patterns and better decision-making regarding
reporting of a suspicious transaction.
It prevents the bank from lending to the persons with poor financials and saves the
precious capital of bank.
It prevents on-boarding of persons who carry a dubious background. and who may be a
potential threat to the institution from the perspective of money laundering and financing
of terrorism.
It helps in better understanding of customers and analysing the risk that they pose to
the Bank and society at large.
In case, during Name Screening process, particulars of any customer match beyond
doubt, with the particulars of designated individuals/ entities, the branch through its
controllers/ AML/ CFT Department shall immediately,___________ inform full
particulars to the Joint Secretary (CTCR), Ministry of Home Affairs, GOI.
not later than 36 hours
The Customer Acceptance Policy (CAP) section of the Bank’s Policy & Procedure
Guidelines on KYC/ AML/ CFT Measures lays down the criteria for acceptance of a
person as customer of the bank. Which of the following statement is not correct in
respect of CAP?
No transaction or opening of account is undertaken without following the CDD

procedure.
It should be ensured that identity of customer does not match with any person or entity
whose name appears in the sanction’s lists circulated by Reserve Bank of India.
Customer Due Diligence (CDD) Procedure is to be followed for borrowers as well as for
Guarantors in case of loan accounts.
It is sufficient to follow Customer Due Diligence (CDD) Procedure in respect of the first
account holder only in case of joint account holders, while opening a joint account.
MODULE 1
Sunshine Kids' an NPO, has been maintaining a savings bank account with your
branch. A foreign remittance received by NPO is not approved by FCRA. The
management of the NPO is requesting to credit the amount without insisting for
FCRA approval. The service manager brought this issue to the notice of the branch
head who in turn decided to report this instance as Suspicious Transactions /
Suspicious Activity through a Suspicious Transaction Report/Suspicious Activity
Report. What is the category of source of such an STR/SAR?
PC- Complaint received from public
Customer Verification (CV)-Detected during customer acceptance, identification or

verification
Employee Initiated (EI)-Employee raised alert- Unapproved inward remittance in

account of an NPO
Risk Management System (RM)

Item 2
In case a customer offers different identifications on different occasions with an

apparent attempt to avoid linkage of multiple transactions, and the frontline staff
reports this incident to you, in the capacity of a branch head. You should report this
incident through a Suspicious Transaction Report (STR)/ Suspicious Activity Report
(SAR) as a CDD measure. The source of this type of offline Red Flag Indicator (RFI)/
alert, will fall under ________ Category.
Media Reports (MR)-Adverse Media Reports about customer, being investigated for
criminal offences

verification
Business Associates (BA)- Information received from other institutions, subsidiaries
or business associates
Employee Initiated (EI)-Employee raised alert- Customer offers different

identifications on different occasions
Item 3
Which of the following is NOT a category of source of Subjective STR (Suspicious

Transaction Report)/ SAR (Suspicious Activity Report)?
Public complaint (PC)- Complaint received from public

verification
Employee Initiated (EI)-Employee raised alert- transaction has no economic

rationale
Watch List (WL) related: Matching the customer details by system, with the specified
negative lists such as UN list, OFAC etc.
Item 4
Who is the "Designated Director" as per the 'AML/CFT STRUCTURE in our BANK' ?
MD (AML-CFT)
G.M. (AML-CFT)
MD (R, IT & S)
MD (GB &S)
Item 5
Mr X opened an account but the letter of thanks as well as customised cheque book
got returned with the remark "Customer not staying at the provided address'. The
branch officials also confirmed the fact by visiting in person and decided to report
this through a Suspicious Transaction Report (STR)/ Suspicious Activity Report (SAR).
What is the category of source of such an offline Red Flag Indicator (RFI)/ alert ?
Media Reports (MR)-Adverse Media Reports about customer
Employee Initiated (EI)-Employee raised alert

verification
Public Complaint (PC)-Complaint received from public

Item 6
Which of the following is NOT a category of source of Subjective STR (Suspicious

Employee Initiated (EI)-Employee raised alert- Customer could not explain source of
funds
criminal offences

verification
Item 7
Mr S did not open account after being informed about KYC requirements, the
dealing officer has sufficient reasons to believe that this activity should be reported
as a suspected transaction and a Suspicious Transaction Report (STR)/ Suspicious
Activity Report (SAR) must be raised. The source of such an offline Red Flag
Indicator/ alert falls under______category?

verification

Item 8
How many types of STRs are there?
Fresh STRs and Stale STRs
System Generated STRs and Subjective STRs
Genuine STRs & False STRs
Confirmed STRs and Un-confirmed STRs

Item 9
Mr A has deposited Rupees forty nine thousand in cash in ten different accounts on
the same day and then transferred the so deposited amount from all the ten
accounts to his own personal account. Then he issued a cheque for effecting an
RTGS in favour of an educational institute. Mr A stated that he wanted to pay the
money to the institute for undertaking some course, while replying to query raised
by the service manager. The service manager is not convinced as the transactions
are unnecessarily complex for the stated purpose. He reported the incident to the
branch head. The branch head decides to report it as a Suspicious Transaction
/Suspicious Activity through a Suspicious Transaction Report/Suspicious Activity
Report. What is the category of source of such an STR/SAR?
TF offences

verification

Employee Initiated (EI)-Employee raised alert- transaction is unnecessarily complex

Item 10
A customer, owning a small tea shop near your branch, entered the branch to
deposit a cheque of large amount in his account. The cheque had been purportedly
drawn by Coal India Ltd. Customer is not able to provide sufficient clarification to
the queries of the front-line staff. The lady associate refers the case to service
manager. The customer frequently changes his statements, when more detailed
information is requested by the service manager. It is evident to the branch officials
that the information that the customer has been providing is minimal and possibly
false or inconsistent. The branch head has decided to report it as a Suspicious
Transaction /Suspicious Activity through a Suspicious Transaction
Report/Suspicious Activity Report. What is the category of source of such an offline
Red Flag Indicator (RFI)/ alert?

Law Enforcement Agency Query (LQ)- Query or letter received from Law
Enforcement Agency (LEA)
criminal offences
Employee Initiated (EI)-Employee raised alert- Customer provides inconsistent
information
Item 11
One customer approached a bank branch to open an account and deposit a cheque
of large amount in the newly opened account. The customer seemed to be in hurry
and was not able to explain why he had travelled unexplained distances from his
own place to open an account and conduct transactions in a far off situated branch.
This made the branch officials suspicious and the branch decided to report this
incident through a Suspicious Transaction Report (STR)/ Suspicious Activity Report
(SAR) as a CDD measure. What is the category of source of such an offline Red Flag
Indicator (RFI)/ alert?

Employee Initiated (EI)-Employee raised alert -Customer avoiding nearer branches
Media Reports (MR)-Adverse Media Reports about customer,

Item 12
What is the threshold limit of transactions to be reported under Cross-Border Wire

Transfer Report?
Transactions of the value of more than Ten lakh rupees or its equivalent in foreign
currency
Transactions of the value of more than USD one million or its equivalent in foreign
currency
Transactions of the value of more than USD five lac or its equivalent in foreign
currency
Transactions of the value of more than Rs Five lakh or its equivalent in foreign
currency
Item 13
Which of the following is NOT a category of source of system generated STR

(Suspicious Transaction Report) ?
Transaction Monitoring (TM) related: Transaction monitoring system- generated

alerts such as unusually large number of cash deposits, many to one transaction
etc.
Risk Management System (RM) related: Risk management system-based alert - high
risk customer, country, location, source of funds etc.
Media Report (MR) - Adverse media report about criminal activities of customer
Item 14
What is the act of 'Tipping Off' ?
The act of letting the customers know, that their transactions/accounts are under
suspicion and may be subject to reporting, is referred to as tipping off.
The act of giving money as tip/incentive to money mules.
The act of collecting information on suspected Transactions.
None of the Above

Item 15

etc.

verification
Item 16
Who are called “Money Mules”?
A person who allows his accounts to be used for money laundering purposes.
Mule is an animal, being used for carrying money on it's back in hilly areas.
A person who works hard like a ‘Mule’(an animal) to earn money
A person who uses other person's account/s for money laundering purposes.
Item 17
A customer of a branch in Hyderabad, was not able to answer the queries made by
the service manager, regarding the drawer of the cheque, which had been drawn
for a large amount. Customer was nervous and over cautious in explaining
genuineness of the transaction and frequently changing his statements. This made
the official as well as the branch head suspicious and they decided to report the
incidence as a Suspicious Activity through Suspicious Activity Report/ STR. Under
which category the source of the offline Red Flag Indicator (RFI)/ alert will fall?

verification
TF offences

Employee Initiated (EI)-Employee raised alert- customer is nervous or over cautious

Item 18
What is the periodicity of Customer Risk Categorisation (CRC) for Low risk
individuals and entities?
Every 5 years
Every 8 Years
Every 10 Years
Every 2 Years
Item 19
On one fine day a customer approached the frontline staff of a bank branch and
asked if he could deposit Rs 25 lac in cash in his account on five different dates
within a month and whether the branch will report these transactions in Cash
Transaction Report. When replied in affirmation he tried to convince the staff to
avoid reporting as each transaction is below the threshold level. He deposited Rs 5
lac in cash and asked the way outs, to avoid reporting further cash transactions in
his account. One of the associates reported this suspicious behaviour of the
customer to the branch head. The branch head decided to report it as a Suspicious
Transaction /Suspicious Activity through a Suspicious Transaction
Report/Suspicious Activity Report. What is the category of source of such an offline
Red Flag Indicator (RFI)/ alert?
Employee Initiated (EI)-Employee raised alert- Customer wants to avoid reporting
criminal offences

verification

Item 20
Mr X provided false identification/address documents that appeared to be

counterfeited, altered, and inaccurate at the time of onboarding, the dealing officer
and branch head decided to raise a Suspicious Transaction Report (STR)/ Suspicious
Activity Report (SAR). The source of such an offline Red Flag Indicator (RFI) / alert
falls under______category?

verification

Item 21
Address provided by the customer Mr F was found to be non existent and an STR
(Suspicious Transaction Report) was raised by the branch. What is the source of
such an offline Red Flag Indicator (RFI)/ alert ?

verification

Item 22
A Branch received queries from state police regarding Mr X, who is a customer of

the branch. It was evident from the query that the customer was under
investigation in regards to various criminal offences. Should the branch file a
Suspicious Transaction Report (STR)/ Suspicious Activity Report (SAR) in this case ?
Yes branch should report it as a Suspicious Transaction Report (STR)/ Suspicious

Activity Report (SAR) but the reporting to FIU-IND will be through the Principal
officer i.e. GM (AML-CFT) only.

Activity Report (SAR) directly to FIU-IND.

Activity Report (SAR) to its controller, who will file it with FIU-IND on consolidated
basis for the entire region.
Branch need not report such matters of routine, further merely receiving queries
from a legal enforcement agency does not mean that the customer is a declared
culprit.
Item 23
A customer, namely, Mr T entered your branch. He tendered three cheques of Rs
500000, Rs 400000 and Rs 350000 for transferring funds from his personal account
to the account of Mr U. Three cheques of the same amount drawn by Mr U were
tendered along with pay-in-slips for transferring the funds to the account of Ms V.
Through a single cheque of Rs 1250000 from the account of Ms V the funds were
transferred again to the Home Loan account of Mr T. The service manager asked
Mr T the rational and purpose of these transactions but Mr T replied rudely to avoid
further queries. The branch head decides to report these transactions as Suspicious
Transactions through a Suspicious Transaction Report. What is the category of
source of such an STR/SAR?

verification
Typology (TY) related- Routing of funds through multiple accounts -transactions of

value of greater than INR 10 lacs between more than 3 accounts aggregating to
more than INR 30 lacs on the same day.

Watch List (WL) related- name of the customer appearing in negative list
Item 24
Through which set up Suspicious Transaction Reports are sent to Financial

Intelligence Unit-India (FIU- IND)?
STRs can be sent by LHO on consolidated basis for the circle, to FIU-IND.
STRs are to be reported through Principal Officer, AML-CFT cell, to FIU-IND.
Subjective STR can be sent immediately by Branch directly to FIU-IND under

information to the controller of branch.
STRs can be sent by RBO on consolidated basis for the respective region, to FIU-
IND.
Item 25
Which of the following reports, Bank is not obliged to submit to Financial

Intelligence Unit-India (FIU- IND) under PMLA-2002?
Cash Transactions Reports (CTRs)
Action Taken Reports (ATRs)
Non Profit Organisations Transactions Report (NTRs)
Counterfeit Currency Reports (CCRs)

Item 26


etc.
Item 27
What is full form of FATF?
Front Action Task Force
Financial Action Task Force
Full Action Task Force
Fair Action Task Force

Item 28
Suspicious Transactions Reports (STRs) can be classified into two following broad
categories that is_______________, based on the source of the alert which resulted in
escalating such STRs
Employee Initiated STRs & Customer initiated STRs
System Generated STRs & Subjective STRs
Internal STRs & External STRs
Customer related STRs & Non-customer related STRs

Item 29



etc.
Item 30
At what stages Transaction monitoring is conducted?
The transaction monitoring may be conducted at Pre-Transaction Stage & Post-Transaction

Stage
MODULE 4
‘…no banking company shall employ or continue to employ any person convicted of
an offence involving moral turpitude…’ The above stipulations are contained in
Banking Regulations Act
RBI Act
Indian Penal Code
None of these
Item 10
According to Bank’s guidelines on fraud prevention in High Value Banking Frauds,

which of the following statement is/are incorrect :
I) Genuineness of the buyers should be verified to ascertain their capability of huge
buying
II) Meaningful analysis of stock statements should be carried out
III) Past track record and status of the customers may be ignored
IV) Financial statements and other documents should be thoroughly checked for
their genuineness through various online sources e.g. ROC website, UDIN, GSTN
network etc. End use of the funds to be ensured.
Only I
Only III
Only IV
Only II
Item 13
1. According to Bank’s guidelines on fraud prevention in SRTO which of the following statement is/are
correct :
I) Registration of vehicle and noting of Bank’s hypothecation charge in the books of RTO to be
done and verified from “vahan.nic.in” site.
II) Physical verification of assets created should not be insisted.
III) Assets/security created out of Bank’s finance to be verified immediately after disbursement.
IV) Inspection of the vehicles and borrower to be done immediately after default of one instalment
and procedure for Seizure to be initiated so that fraud if any, get unearthed immediately Ans: Only I,
III and IV
2. According to Bank’s guidelines on fraud prevention in WHR which of the following statement is/are
correct :
I) Meaningful pre-sanction survey to be carried out to ascertain identity, address, credit

worthiness and integrity of the Proprietor of the firm. II) Adequate Insurance Cover for the commodity
/ stock to be ensured, due date of insurance to be diarized.
III) Market Price advised by Collateral Manager to be cross-checked with local Mandi/ MCX.
IV) Any adverse report on Collateral Manager to be shared immediately with Corporate Centre.
Ans: Only I, II, III and IV
3. Fraud Mitigation Measures include surprise verification of Agri gold loans. In surprise verification of
gold loans the identified official should ensure that the number of gold loan bags tally with the
number of accounts reported in the:
Ans: Loan Balance File/CCOD file (generated at EoD of previous working day)
4. Which option is incorrect in respect of following statement? Vigilance as a tool ensures:
Ans: Work life balance
5. According to Bank’s guidelines on fraud prevention in E-DFS, which of the following statement is/are
correct :
I) Bank wise segregation of stock be ensured. Diversion of funds to entities engaged in unrelated
activities be examined properly
II) Depletion of stock to be converted into reduction in liability
III) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the key fields
provided by the certifying Chartered Accountants.
IV) Pre/Post sanction surveys to be carried out in a meaningful manner.
6. In COVID-19 Pandemic environment fraudsters may try to open new accounts containing terms such
as COVID / CORONA. According to Bank’s guidelines on fraud prevention which of the following
statement is/are correct:
I) Customers should be made aware of the increasing risk of online frauds through phishing emails,
SMS, fraudulent loan and moratorium offers, fake COVID-19 sites and apps, fake banking and
insurance websites etc.
II) Branches should be more vigilant while opening accounts in the name of charitable institutions/
NGOs.
III) Sudden increase of Government credit observed in accounts of the person who may not be entitled
for such grants, should be discreetly enquired into, before allowing withdrawal.
IV) A list of such accounts opened since February 2020 may be extracted and verified
7. The process of investigation will be completed within ___days of receipt of complaint under Whistle
Blower Policy.
Ans: 45 Days
8. The Reviewing Authority, under Whistle Blower Policy shall submit quarterly status report with Action
Taken Report to the :
Ans: Audit Committee of the Board (ACB)
9. Preventive Vigilance Committee (PVC) is one of the tools for exercising preventive vigilance. Which of
the following statement is/are correct:
I) The Preventive Vigilance Committee is neither a ‘power centre’ nor the sole means for
exercising preventive vigilance.
II) It is akin to the ‘Knowledge Circle’, aimed at prevention of loss and enhancement of
performance III)The meetings of PVCs be held at least once in 6 months.
IV) The PVC submits status report and Action Taken Report to the Audit Committee of the Board on
annual basis.
Ans: Only I and II
10. PIDPI means

Ans: Public Interest Disclosure & Protection of informer
11. Bank’s guidelines are in place for Fraud prevention and mitigation measures in SME loans. which of
the following statement is/are correct in respect of frauds owing to fabricated financial and forged title
deed:I) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the key
fields provided by the certifying Chartered Accountants.
II) Reporting of Third-Party Entity (TPE) to IBA/ ICAI for black listing.
III) Justification of limits for the group concerns, proper assessment, satisfying about business
model is essential to avoid accommodation loans.
IV) Obtention of CIBIL report only on borrowers and not on guarantors.
Ans: Only I, II and III
12. If Whistle Blower is aggrieved by any action on the ground that he is being victimized due to the fact
that he had filed a complaint or disclosure, he may file an application before the
Ans: Reviewing Authority
13. According to Bank’s guidelines on fraud prevention in GSS/ Stand Up India/ MUDRA which of the
following statement is/are correct :
I) Loan proposal to be processed and accounts to be opened through LOS only.
II) Sanctioning officer to visit the unit, meet promoters and carry out proper due diligence
before sanctioning the loan.
III) Due diligence on supplier- supplier may be a related party.
IV) Charge on Collateral securities (mortgaged properties) to be recorded in revenue record. Periodic
Encumbrance Certificate to be obtained.
Ans: Only I, II and IV
14. Which of the following is not among protection available to a whistle blower?
Ans: Protection from adverse penal action even when disclosure is frivolous
15. According to Bank’s guidelines on fraud prevention in High Value Banking Frauds, which of the
following statement is/are incorrect :I) Genuineness of the buyers should be verified to ascertain their
capability of huge buying
IV) Financial statements and other documents should be thoroughly checked for their genuineness
through various online sources e.g. ROC website, UDIN, GSTN network etc. End use of the funds to be
ensured.
Ans: Only III
16. Which of the following statement is/are correct about activities under the purview of the Whistle
Blower Policy
I) Corruption, frauds, misuse/abuse of official position
II) Decision taken by the committees established by the Bank
III) Manipulation of data/ documents
IV) Accusation with non verifiable contents
Ans: Should be Only I and III (but two options with Only I, II and III) Choose the 3rd option (
17. As per Whistle Blower Policy of our Bank, the whistle blower is a/an ___
Ans: Employee of the Bank making a disclosure
I) A proper scrutiny of debtors should be carried out.
II) Financial statements should be scrutinised by field staff.
III) Genuineness of various documents should be ascertained.
IV) Effective exchange of information between banks should be strengthened.
19. Which of the following is not a security feature in Cheque Truncation System (CTS-2010) for Fraud
Mitigation Measures?
Ans: Telephone number field
20. The Whistle Blower Policy has been modified as per

Ans: All the above
21. According to Bank’s guidelines on fraud prevention in SME loans relating to disposal of collateral
security which of the following statement is/are correct : I) Bank should file application for urgent
hearing before DRAT to vacate the stay to be complied/ ensured, and after vacating the stay, the
properties should be sold under SARFAESI Act, II) Details of property to be registered with CERSAI
and CERSAI ID certificate for mortgaged properties to be kept on record, III) Copies of title deeds must
be obtained at the time of creation of mortgage, IV) Independent verification of mortgaged properties
to be carried out only once
Ans: Only I and II
22. As a part of pre-sanction Survey for Home loans and Home Related Loans seven digit certificate
number on form 16 is to be verified form :
Ans: https://contents.tdscpc.gov.in
23. Who is the Reviewing Authority under whistle blower policy of the Bank?
Ans: CGM (Fraud Monitoring Department)
24. As a part of pre-sanction Survey for Home loans and Home Related Loans TAN of borrower and
employer as per Form 16 is to be verified form :
Ans: https://incometaxindiaefiling.gov.in
25. According to Bank’s guidelines on fraud prevention in collateral security which of the following
statement is/are correct :
I) TIR to be obtained after every 2 years or at the time of enhancement.
II) Display of Bank’s board at prominent place in the unit.
III) Proper scrutiny of the lawyer’s report and valuation report.
IV) Charge on Collateral securities (mortgaged properties) to be recorded in revenue record. Periodic
Encumbrance Certificate to be obtained.
Ans: Only II, III and IV
26. Which of the following is NOT among different mechanisms of vigilance?
Ans: Coercive Vigillance
27. According to Bank’s guidelines on fraud prevention in Forex, which of the following statement is/are
correct :
I) Goods meant for export to be segregated from stocks meant for domestic sale.
II) Cheque facility is to be provided for EPC account
III) Export Packing Credit (EPC) to be released on request.
IV) Credit officials handling forex/ EPC to be given adequate training.
Ans: Only I and IV
28. According to Bank’s guidelines on fraud prevention in Forex, which of the following statement is/are
incorrect :
II) No Cheque facility is to be provided for EPC account
Ans: Only III
29. According to Bank’s guidelines on fraud prevention in Cash Credit Limits which of the following
I) Transfer of funds among the family concerns to be permitted without any limit.
II) TIR to be obtained after every 3 years or at the time of enhancement.
III) Noting of charge with revenue authority on mortgaged property to be ensured immediately
after creation of EM.
IV) CIBIL report to be periodically generated and scrutinized to ascertain borrowing from other
banks/ FIs
30. Cost on Preventive Vigilance vis a vis Corrective maintenance and failure cost follow a ratio Ans:
1:10:100
1. Fraud Mitigation Measures include surprise verification of gold loans. What is the stipulated
periodicity for surprise verification in Agri gold loans?
Ans: Quarterly
2. Which of the following is NOT among Mandatory Standard Cheque Security Features as per CTS
2010 Guidelines:
I) Standardized Field Placements

II) RBI’s Logo in UV Ink
III) Account Number Printed in Reverse in a Black Box IV) UV Band in variable fields
Ans: Only II
3. The Reviewing Authority, under Whistle Blower Policy shall submit quarterly status report
with Action Taken Report to the :
Ans: Audit committee of the Board (ACB)
4. Preventive Vigilance covers which areas of banking activities?
Ans: All of the above
5. Which of the following statement is/are incorrect about formation of Preventive Vigilance
Committees at branches / operating units of the Bank:
Ans: Branches having staff strength of 20 or more
I) The immovable security (Primary or Collateral) to be inspected at the time of

accepting the property for the first time and yearly thereafter. & Ownership &
Possession status of the property to be ascertained by making enquiries with the
neighbourhood and occupant of the property to be complied with.
II) High value transactions in CC account to be scrutinized to ensure against possible
diversion / siphoning.
III) Noting of charge with revenue authority on mortgaged property to be ensured within
3 years of creation of EM.
IV) CIBIL report to be periodically generated and scrutinized to ascertain borrowing from
other banks/ FIs
7. Which of the following statement is/are correct about activities under the purview of the
Whistle Blower Policy

Ans: Only I, II and III (Same two options)
8. As per Alertness Award Scheme of the Bank, a citation or certificate of merit may be given
under :
Ans: Category I
9. Fraud Mitigation Measures include surprise verification of Agri gold loans. In surprise
verification of gold loans the identified official should ensure that the number of gold loan
bags tally with the number of accounts reported in the:
Ans: Loan Balance file / CCOD file (generated at the EoD of the previous working day)
10. Which of the following statement is/ are correct about Identification / Reporting / Collation
and Analysis of Near Miss Event (NME):
I) The Bank shall treat events for which recovery has been made on the same business
day of the event as NME.
II) Capturing NMEs as many as possible, even though not all of them will have the same
importance.
Ans: Both I and II
following statement is/are incorrect :
I) Genuineness of the buyers should be verified to ascertain their capability of huge buying
IV) Financial statements and other documents should be thoroughly checked for their
genuineness through various online sources e.g. ROC website, UDIN, GSTN network etc.
End use of the funds to be ensured.
Ans: Only III
12. Bank’s guidelines are in place for Fraud prevention and mitigation measures in SME loans.
which of the following statement is/are correct in respect of frauds owing to fabricated
financial and forged title deed:
I) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the key
III) Justification of limits for the group concerns, proper assessment, satisfying about business
13. According to Bank’s guidelines on fraud prevention in Cash Credit Limits which of the
I) Business model/ need for all sister concerns and justification/ need for limits to be
established on approval. Transfer of funds among the family concerns to be probed with
extra due diligence.
III) Irregularity report to be submitted annually and comments thereon to be acted upon.
other banks/ FIs Ans: Only I and IV
15. Preventive Vigilance Committee (PVC) is one of the tools for exercising preventive vigilance.
Which of the following statement is/are incorrect :
I) 30% of staff members, minimum 3 officers / employees should be co-opted on the PVC of
each unit.
II)The head of the Branch / Unit and official dealing with operational risk would be permanent
members and other members to be rotated at quarterly intervals.
III)The meetings of PVCs be held at least once in 6 months.
IV)The controllers (any officer from controlling office-designated for the purpose) to guide the
staff in identifying the areas of vulnerability to frauds / malpractices, visit the branches / units
periodically and if possible, to attend meetings of PVCs, at least once in 6 months.
Ans: Only II and III
16. In case of payment of Non-Home cheque of ₹5 lakh and above and any suspicious transactions
irrespective of amount involved, the drawer is to be contacted over
Ans: Registered Mobile Number of the drawer
17. Which of the following is an apt description of a Near Miss Event (NME)
Ans: Near Miss Event is an event for which no financial loss has been incurred not because of effective
controls but due to fortuitous circumstances.
Ans: Employee of the bank making a disclosure
19. PIDPI means

Ans: Public Interest Disclosure & Protection of Informer
20. Which of the following is NOT among Mandatory Standard Cheque Security Features as per
CTS 2010 Guidelines:
II) Account Number Field
III) LCPC Name along with CTS 2010 IV) UV Band in variable fields
Ans: Only III
22. Which among the following is/are among roles and responsibilities of Reviewing Authority
under Whistle Blower Policy :
I) Functioning of the Policy will be reviewed by the Reviewing Authority on quarterly basis
II)Upon receiving the investigation report along with Designated Authority’s remark and
recommendation, Reviewing Authority may take a view on closure of the complaint or
forward the same to the concerned department for initiation of disciplinary proceedings. III)
The Reviewing Authority will be responsible to implement the Policy and ensure that the
Policy is known to all employees
IV) If any person (Whistle Blower) is aggrieved by any action on the ground that he is being
victimized due to the fact that he had filed a complaint or disclosure, he may file an
application before the Reviewing Authority, seeking redressal in the matter, wherein the
Reviewing Authority may give suitable directions to the concerned person or the authority.
23. Preventive Vigilance involves participation of -
Ans: Every employee
24. If Whistle Blower is aggrieved by any action on the ground that he is being victimized due to
the fact that he had filed a complaint or disclosure, he may file an application before the
25. Which among the following is/are among roles and responsibilities of Designated Authority
I) The Designated Authority will be responsible to implement the Policy and ensure that
the Policy is known to all employees
II) Appoint/authorise any official to conduct an investigation under this Policy and
submit the report to Designated Authority.
III) Ensure that the identity of Whistle Blower is not disclosed. It also provides necessary
safeguard and protection to the employees who disclose the instances of unethical practices/
behaviour observed in the Bank.
IV) The Designated Officer shall submit consolidated status report of the bank, to the
Audit committee of the Board (ACB) on quarterly basis, with Action Taken Report
26. According to Bank’s guidelines on fraud prevention in term loan, which of the following
statement is/are incorrect :
I) Disbursement to be made to the account of supplier
II) Immediate inspection after purchase of machinery to be done to ensure proper utilization
of funds.
III) Physical progress / status of project to be monitored on an ongoing basis
IV) Certificate from Chartered account and Architect to be submitted by the company on
annual basis for progress of construction of the said project in respect of amount incurred
on the project.
Ans: Only IV
27. Which of the following statement is/are correct about activities under the purview of
Alertness Award for Near Miss Events including Prevention/Detection/Foiling of Frauds I)
The contribution made by the staff members in prevention of frauds/ detection of frauds/
foiling attempts of fraud/Near Miss Events should be significant and exemplary. II) Detection
of income leakage by staff members will also fall under the purview of this scheme.
Ans: Only I
28. Which of the following is not a security feature in Cheque Truncation System (CTS-2010) for
Fraud Mitigation Measures?
29. While making payment of Non-Home cheque of ₹5 lakh and above and any suspicious
transactions irrespective of amount involved, if contacting customer is not possible/
successful, what should be the further course of action?
30. NME stands for Ans:
Near Miss Event
1. Which of the following is among Mandatory Standard Cheque Security Features as per CTS 2010
Guidelines:
I) VOID Pantograph
II) Printer Name along with CTS 2010
III) Fugitive Background with Secondary Fluorescent Ink
IV) Cheque Colors & Background Mandatory CTS Standards
I) Transfer of funds among the family concerns to be permitted without any limit. II)
TIR to be obtained after every 3 years or at the time of enhancement.
banks/ FIs
Guidelines:
I) VOID Pantograph
Ans: Only I ,III and IV
5. What is incorrect as per Whistle Blower Policy of the Bank
Ans: Whistle Blowers are investigators or finders of facts
6. Which of the following is the new feature in Cheque Truncation System (CTS-2010) for Fraud
Ans: New Rupee symbol
genuineness through various online sources e.g. ROC website, UDIN, GSTN network etc. End
use of the funds to be ensured.
8. In COVID-19 Pandemic environment fraudsters may try to open new accounts containing terms
such as COVID / CORONA. According to Bank’s guidelines on fraud prevention which of the
following statement is/are correct:
I) Extra Due Diligence should be applied while opening such accounts and KYC check must be
performed thoroughly
II) Vigilance should be exercised while dealing with FCRA / NPO / Charitable institutions / other
accounts in which donations in the name of COVID are being credited.
III) Due care should be taken to properly identify the persons claiming to be government officials
and seeking information which is normally not provided
9. The scheme for Alertness Award for Near Miss Events including Prevention/Detection/Foiling of
Frauds is applicable to _________
Ans: all staff members, including regular, part-time and contract employees in the service of
the Bank
10. What is the new name of Scheme for Recognition & Reward of alertness in Staff Members ?
Ans: Alertness Award for Near Miss Events including Prevention/Detection/Foiling of Frauds
11. Which of the following is NOT among Mandatory Standard Cheque Security Features as per CTS
2010 Guidelines:

III) LCPC Name along with CTS 2010
IV) UV Band in variable fields
Ans: Only III
1. According to Bank’s guidelines on fraud prevention in E-DFS, which of the following statement
is/are correct :
I) Bank wise segregation of stock be ensured. Diversion of funds to entities engaged in
unrelated activities be examined properly
II) Depletion of stock to be converted into increase in liability
III) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the key
Only I, III and IV
II) Vigilance should be exercised while dealing with FCRA / NPO / Charitable institutions / other
accounts in which donations in the name of COVID are being credited.
III) Due care should be taken to properly identify the persons claiming to be government officials
and seeking information which is normally not provided
Only I, II and III
III) Irregularity report to be submitted annually and comments thereon to be acted upon. IV)
CIBIL report to be periodically generated and scrutinized to ascertain borrowing from other
banks/ FIs
Only II and III
4. What is incorrect as per Whistle Blower Policy of the Bank ANS: Whistle Blowers are
investigators or finders of facts
ANS: Only I, II, III and IV

ANS: Employee of the bank making a disclosure
7. PIDPI means
ANS: Public Interest Disclosure & Protection of Informer
8. According to Bank’s guidelines on fraud prevention in WHR which of the following statement
is/are incorrect :
I) Warehouse/ Godowns to be visited and stocks to be verified periodically. II) Financing of

stocks held in borrowers godowns may be permitted.
III) Market Price advised by Collateral Manager to be cross-checked with local Mandi/ MCX. IV) It
is to be ensured that underlying stocks are segregated/ properly tagged with Bank’s name.
ANS: Only II
9. The action taken against each disclosure will be put up to the Reviewing Authority within ___days
of receipt of complaint under Whistle Blower Policy.
ANS: 7 DAYS
10. Which of the following is not among protection available to a whistle blower? ANS:
Protection from adverse penal action even when disclosure is frivolous
11. According to Bank’s guidelines on fraud prevention in WHR which of the following
worthiness and integrity of the Proprietor of the firm. II) Adequate Insurance Cover for the
commodity / stock to be ensured, due date of insurance to be diarized.
III) Market Price advised by Collateral Manager to be cross-checked with local Mandi/ MCX. IV)
Any adverse report on Collateral Manager to be shared immediately with Corporate Centre.
Which of the following statement is/are incorrect in respect of frauds owing to fabricated

I) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the
key fields provided by the certifying Chartered Accountants.
II) Reporting of Third-Party Entity (TPE) to Law Enforcement Agencies for black listing. III)
Justification of limits for the group concerns, proper assessment, satisfying about business
IV) Conduct of periodic stock audit to be ensured and due closure of Audit report.
ANS: Only II
ANS: https://contents.tdscpc.gov.in
14. Bank’s guidelines are in place for fraud prevention and mitigation measures in SME loans.
which of the following statement is/are incorrect in respect of frauds owing to overvaluation of
collateral and diversion of fund :
I) Value of the property offered as security to be independently verified by the Bank official
and to be duly recorded.
II) Due diligence on the supplier to be done and opinion report to be obtained. Funds to be
disbursed directly to borrower.
III) During post disbursement inspection, details of machineries purchased to be verified and
periodic inspection to be done at regular intervals.
IV) Account with other Bank to be closed as and when detected.
ANS: Only II and III
15. According to Bank’s guidelines on fraud prevention in Forex, which of the following statement
is/are correct :
I) Goods meant for export to be kept along with stocks meant for domestic sale.
II) Credit limit to be sanctioned after detailed appraisal / assessment duly supported by
documentary evidences.
III) Export Packing Credit (EPC) to be released after obtaining copies of confirmed orders and to
be liquidated out of export proceeds.
IV) ECGC guarantee cover to be obtained and guidelines to be ensured. ANS: Only II, III and IV
is/are correct :
I) Warehouse/ Godowns to be visited and stocks to be verified periodically. II) It is to be
ensured that underlying stocks are segregated/ properly tagged with Bank’s name.
Financing of stocks held in borrowers godowns may be permitted. ANS: Only I, II and III
IV) Charge on Collateral securities (mortgaged properties) to be recorded in revenue record.
Periodic Encumbrance Certificate to be obtained.
ANS: Only I, II and IV
18. As per confidentiality mechanism of whistle blower, the identity of the whistle blower remains
with the:
Ans: Designated Authority
Committees at branches / operating units of the Bank-
ANS: Branches having staff strength of 20 or more
I) Disbursement to be made to the account of borrower
II) Immediate inspection after purchase of machinery to be done to ensure proper utilization of
funds.
III) Transaction with related party to be allowed without restrictions
IV) Post sanction inspection to be done at periodic interval to ensure end use of funds ANS: Only
II and IV
21. According to Bank’s guidelines on fraud prevention in SRTO which of the following statement
is/are correct :
IV) Inspection of the vehicles and borrower to be done immediately after default of one
instalment and procedure for Seizure to be initiated so that fraud if any, get unearthed
immediately
ANS: Only I ,III and IV
ANS: Account Number Printed in a Black Box
23. Any employee (officer / award) willing to disclose information under Whistle Blower Policy, may
do so in which of the following manner?
ANS: All of these
I) TIR to be obtained after every 2 years or at the time of enhancement. II)
Display of Bank’s board at prominent place in the unit.

ANS: Only II, III and IV
I) Noting of charge with revenue authority on mortgaged property to be ensured within one
year of EM creation.
II) Issuance of Look out notice to be processed.
III) To make post-sanction inspection on appointment basis.
ANS: Only I and III
ANS: https://incometaxindiaefiling.gov.in
ANS: CGM (Fraud Monitoring Department)
28. In case of payment of Non-Home cheque of ₹5 lakh and above and any suspicious
transactions irrespective of amount involved, the drawer is to be contacted over ANS:
Registered Mobile Number of the drawer
29. Which of the following is incorrect statement about Preventive Vigilance Committee ANS: It
is the sole means for exercising preventive vigilance
each unit.
II)The head of the Branch / Unit and official dealing with operational risk would be
permanent members and other members to be rotated at quarterly intervals.
IV)The controllers (any officer from controlling office-designated for the purpose) to guide the
staff in identifying the areas of vulnerability to frauds / malpractices, visit the branches / units
periodically and if possible, to attend meetings of PVCs, at least once in 6 months. ANS: Only II and
III
I) Loan proposal to be processed and accounts to be opened through LOS only. II)
Physical verification of assets created should not be insisted.
III) Due diligence on supplier- supplier should not be a related party. IV)
OTMS alerts may be responded in routine manner
Ans: Only I and IV
I) The immovable security (Primary or Collateral) to be inspected at the time of accepting
the property for the first time and yearly thereafter. & Ownership & Possession status
of the property to be ascertained by making enquiries with the neighbourhood and occupant of
the property to be complied with.
III) Noting of charge with revenue authority on mortgaged property to be ensured within 3
years of creation of EM.
other banks/ FIs
genuineness through various online sources e.g. ROC website, UDIN, GSTN network etc. End use
of the funds to be ensured.
6. As a part of pre-sanction Survey for Home loans and Home Related Loans GST Registration
number of borrower and dealer is to be verified form :
Ans: https://cbec-easiest.gov.in
Ans: Every employee
transactions irrespective of amount involved, if contacting customer is not possible/ successful,
what should be the further course of action?
is/are correct :

Any adverse report on Collateral Manager to be shared immediately with Corporate Centre.
is/are correct :
III) Export Packing Credit (EPC) to be released after obtaining copies of confirmed orders and to
be liquidated out of export proceeds.
IV) ECGC guarantee cover to be obtained and guidelines to be ensured.

funds.
IV) Post sanction inspection to be done at periodic interval to ensure end use of funds
Ans: Only II and IV
12. Fraud Mitigation Measures include surprise verification of Agri gold loans. In surprise verification
of gold loans the random basis check involves:
Ans: Checking the ornaments for purity in respect of 30% or maximum of 100 gold loan accounts
whichever is less
Ans: Only III
established on approval. Transfer of funds among the family concerns to be probed with extra
due diligence.
other banks/ FIs
I) Customers should be made aware of the increasing risk of online frauds through
phishing emails, SMS, fraudulent loan and moratorium offers, fake COVID-19 sites and apps,
fake banking and insurance websites etc.
II) Branches should be more vigilant while opening accounts in the name of charitable
institutions/ NGOs.
III) Sudden increase of Government credit observed in accounts of the person who may not
be entitled for such grants, should be discreetly enquired into, before allowing withdrawal. IV) A
list of such accounts opened since February 2020 may be extracted and verified
17. The Reviewing Authority, under Whistle Blower Policy shall submit quarterly status report with
Action Taken Report to the :
I) Transfer of funds among the family concerns to be permitted without any limit. II)
TIR to be obtained after every 3 years or at the time of enhancement. III) Noting of
charge with revenue authority on mortgaged property to be ensured immediately
banks/ FIs
20. Which among the following is/are among roles and responsibilities of Reviewing Authority under
Whistle Blower Policy :
recommendation, Reviewing Authority may take a view on closure of the complaint or forward
the same to the concerned department for initiation of disciplinary proceedings.
III) The Reviewing Authority will be responsible to implement the Policy and ensure that the
Ans: Only I and III
is/are incorrect :
It is to be ensured that underlying stocks are segregated/ properly tagged with Bank’s name. Ans: Only
II
which of the following statement is/are incorrect in respect of frauds owing to overvaluation of
collateral and diversion of fund :
25. Any employee (officer / award) willing to disclose information under Whistle Blower Policy, may
do so in which of the following manner?
Ans: All of these
is/are correct :
I) Warehouse/ Godowns to be visited and stocks to be verified periodically. II) It is to be ensured

that underlying stocks are segregated/ properly tagged with Bank’s name.
Financing of stocks held in borrowers godowns may be permitted.

funds.
IV) Certificate from Chartered account and Architect to be submitted by the company on annual
basis for progress of construction of the said project in respect of amount incurred on the
project.
Ans: Only IV
I) The Designated Authority will be responsible to implement the Policy and ensure that the
II) Appoint/authorise any official to conduct an investigation under this Policy and submit
the report to Designated Authority.
safeguard and protection to the employees who disclose the instances of unethical practices/
behaviour observed in the Bank.
IV) The Designated Officer shall submit consolidated status report of the bank, to the Audit
committee of the Board (ACB) on quarterly basis, with Action Taken Report
30. As per confidentiality mechanism of whistle blower, the identity of the whistle blower remains
with the:
Ans: Designated authority
Ans: Quarterly
32. Who is the Designated Official under whistle blower policy of the Bank?
Ans: DGM & CFO for circles / GM (Fraud Monitoring Department) for CC establishments
34. Which of the following does not come under the purview of the Whistle Blower Policy Ans:
Complaint with non verifiable contents
35. According to Bank’s guidelines on fraud prevention in collateral security which of the
I) Obtaining certified copies of title deeds by Advocate and comparison with original title
deeds to be ensured.
II) Noting of charge with revenue authority on mortgaged property to be ensured within one
Ans: Only I and IV
of funds.
IV) Post sanction inspection to be done at periodic interval to ensure end use of funds Ans:
Only II and IV
37. As a part of pre-sanction Survey for Home loans and Home Related Loans TIN of borrower is to
be verified form :
Ans: https://www.tinxsys.com
38. As a part of pre-sanction Survey for Home loans and Home Related Loans TDS of borrower is
to be verified form :
is/are correct :
IV) Credit officials handling forex/ EPC to be given adequate training. Ans: Only I and IV
Which of the following statement is/are correct :
performance
IV) The PVC submits status report and Action Taken Report to the Audit Committee of the
Board on annual basis.
Ans: Only I and II

1
According to Bank’s guidelines on fraud prevention in Forex, which of the following
Only I, II and IV
Only I and IV
Only II, III and IV
Only I and III

Item 2
2
Which of the following is not among protection available to a whistle blower?
Protection from victimisation
Protection from adverse penal action for disclosure made in good faith
Protection against any adverse reporting in Annual Appraisal/Performance report
Protection from adverse penal action even when disclosure is frivolous

Item 3
3
According to Bank’s guidelines on fraud prevention in Forex, which of the following
Only I
Only II
Only III
Only IV
Item 4
Item 5
5
Item 6. Selected.
6
According to Bank’s guidelines on fraud prevention in Cash Credit Limits which of the
III) Noting of charge with revenue authority on mortgaged property to be ensured
immediately after creation of EM.
other banks/ FIs
Only I and IV
Only II, III and IV
Only I, II and IV
Only I and III

Item 7
7
Which of the following statement is/are correct about activities under the purview of the
Only I II and III
Only I, II and III
Only I, II and IV
Only I, II, III and IV

Item 8
8
The process of investigation will be completed within ___days of receipt of complaint
under Whistle Blower Policy.
14
21
45
30
Item 9
9
As per Whistle Blower Policy of our Bank, the whistle blower is a/an ___
Investigator
Employee of the bank making a disclosure
Social activist
Fact finder
Item 10
10
Which of the following is not a security feature in Cheque Truncation System (CTS-
2010) for Fraud Mitigation Measures?
Micro Lettering
Telephone number field
Account Number Field
CTS India Watermark paper

Item 11
11
Who is the Reviewing Authority under whistle blower policy of the Bank?
DGM & CFO for circles / GM (Fraud Monitoring Department) for CC establishments
CGM (Fraud Monitoring Department)
CVO
DGM (VIG)
Item 12
12
Which of the following is NOT among different mechanisms of vigilance?
Coercive Vigilance
Preventive Vigilance
Punitive Vigilance
Detective Vigilance
Item 13
13
The Whistle Blower Policy has been modified as per
Section 177 of Companies Act, 2013
Relevant Notifications of RBI,
SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
All of the above

Item 14
14
which of the following statement is/are correct :
Only I, II and III
Only I and III
Only I, II and IV

Item 15
15
Preventive Vigilance Committee (PVC) is one of the tools for exercising preventive
vigilance. Which of the following statement is/are correct :
performance
IV) The PVC submits status report and Action Taken Report to the Audit Committee of
the Board on annual basis.
Only I and II
Only II and IV
Only I, II and IV
Only I and IV
Item 16
16
In COVID-19 Pandemic environment fraudsters may try to open new accounts
containing terms such as COVID / CORONA. According to Bank’s guidelines on fraud
prevention which of the following statement is/are correct:
phishing emails, SMS, fraudulent loan and moratorium offers, fake COVID-19 sites and
apps, fake banking and insurance websites etc.
institutions/ NGOs.
III) Sudden increase of Government credit observed in accounts of the person who may
not be entitled for such grants, should be discreetly enquired into, before allowing
withdrawal.
Only I and III
Only I, II and IV
Only I, II and III

Item 17
17
According to Bank’s guidelines on fraud prevention in SME loans relating to disposal of
collateral security which of the following statement is/are correct : I) Bank should file
application for urgent hearing before DRAT to vacate the stay to be complied/ ensured,
and after vacating the stay, the properties should be sold under SARFAESI Act, II)
Details of property to be registered with CERSAI and CERSAI ID certificate for
mortgaged properties to be kept on record, III) Copies of title deeds must be obtained at
the time of creation of mortgage, IV) Independent verification of mortgaged properties to
be carried out only once
Only I, II and IV
Only I and IV
Only I and II
Only II and IV
Item 18
18
According to Bank’s guidelines on fraud prevention in WHR which of the following
worthiness and integrity of the Proprietor of the firm. II) Adequate Insurance Cover for
the commodity / stock to be ensured, due date of insurance to be diarized.
III) Market Price advised by Collateral Manager to be cross-checked with local Mandi/
MCX.
IV) Any adverse report on Collateral Manager to be shared immediately with Corporate
Centre.
Only I, II and IV
Only I, II and III
Only I and III

Item 19
19
The Reviewing Authority, under Whistle Blower Policy shall submit quarterly status
report with Action Taken Report to the :
Executive Committee of the Central Board (ECCB)
Audit committee of the Board (ACB)
Corporate Social Responsibility Committee (CSRC)
Risk Management Committee of the Board (RMCB)

Item 20. Selected.
20
According to Bank’s guidelines on fraud prevention in GSS/ Stand Up India/ MUDRA
II) Sanctioning officer to visit the unit, meet promoters and carry out proper due
diligence before sanctioning the loan.
IV) Charge on Collateral securities (mortgaged properties) to be recorded in revenue
record. Periodic Encumbrance Certificate to be obtained.
Only I and III
Only II and IV
Only I and IV
Only I, II and IV
Item 21
Item 22
Item 23
23
According to Bank’s guidelines on fraud prevention in SRTO which of the following
I) Registration of vehicle and noting of Bank’s hypothecation charge in the books of
RTO to be done and verified from “vahan.nic.in” site.
III) Assets/security created out of Bank’s finance to be verified immediately after
disbursement.
immediately
Only I ,III and IV
Only I and IV
Only I and III
Only I, II and IV
Item 24
Item 25
25
Which option is incorrect in respect of following statement? Vigilance as a tool ensures:
Ascertaining accountability
Disciplining the wrong doers
Work life balance
Protecting honest performers

Item 26
26
According to Bank’s guidelines on fraud prevention in collateral security which of the
Only I and III
Only I, II and IV
Only II, III and IV
Only I and IV
Item 27
27
I) Genuineness of the buyers should be verified to ascertain their capability of huge
buying
genuineness through various online sources e.g. ROC website, UDIN, GSTN network
etc. End use of the funds to be ensured.
Only IV
Only III
Only I
Only II
Item 28
Item 28
28
Cost on Preventive Vigilance vis a vis Corrective maintenance and failure cost follow a
ratio
1:10:100
10:1:100
10:100:1
100:10:01
Item 29
29
Bank’s guidelines are in place for Fraud prevention and mitigation measures in SME
loans. which of the following statement is/are correct in respect of frauds owing to
fabricated financial and forged title deed:
III) Justification of limits for the group concerns, proper assessment, satisfying about
business model is essential to avoid accommodation loans.
Only I, II and IV
Only II and III
Only I and IV
Only I, II and III

Item 30. Selected.
MODULE 3
The process of Name Screening is carried out to ensure ________
that the identity of the customer does not match with any other person or entity
whose name appears in the RBI wilful defaulter's list
that the identity of the customer does not match with any person or entity
maintaining similar type of account at any other bank.
that the identity of the customer does not match with any person or entity, whose
name appears in the sanctions lists circulated by the Reserve Bank of India
that the identity of the customer does not match with any other person or entity
maintaining account in the same bank.
Item 2
Which of the following additional information is not required for risk categorization
of customers?
Family details
reason for opening the account
anticipated level and nature of the activity that is to be undertaken
expected source of funds.

Item 3
As per the laid procedure for implementation of Section 51A of the Unlawful
Activities (Prevention) Act, 1967 in case an application is received from an
individual/ entity, having evidence to prove that it's funds are inadvertently frozen,
the application must be forwarded to the Central Designated Nodal Officer for
UAPA within _______ with full particulars.
2 working days
3 working days
7 working days
12 working days
Item 4
Feeding of erroneous data regarding ‘Date of Birth’ may lead to
denial of Senior Citizen benefits by the system even if they have become a senior
citizen
incorrect analysis to decide positive/ negative match in case of alert generated

during name screening against the negative lists.
erroneous conversion of accounts from minor to major.
All of the above

Item 5
Which of the following actions banks are required to take in case the match of any
of the customers with the particulars of designated individuals/entities is beyond
doubt as per laid procedure for implementation of Section 51A of the Unlawful
Activities (Prevention) Act, 1967?
The banks shall prevent such designated persons from conducting financial
transactions under intimation to the Central [designated] Nodal Officer for the
UAPA.
The banks shall close the account of such designated persons and transfer the fund
to the account of under intimation to the Central [designated] Nodal Officer for the
UAPA.
both of these
None of these
Item 6
Reporting Entities are NOT required to carry out ‘Money Laundering (ML) and
Terrorist Financing (TF) Risk Assessment’ exercise periodically in respect of_____
Services and products
Transactions or delivery channels
Auditors
Clients, countries or geographical areas

Item 7
Transaction monitoring is carried out for which of the following purposes?
ensuring that the value, nature and pattern of transaction is consistent with the
customer profile
to determine whether the transaction under consideration has an economic

rationale
Both of the above
None of the above

Item 8
Which of the following additional information need to be collected for risk
categorization ? a) Father / Mother's maiden name, b) anticipated level and nature
of the activity that is to be undertaken, c) Marital Status, d) details of occupation /
employment and sources of wealth or income.
Only a, b & d
Only b & d
Only a, c & d
All of the above

Item 9
Wrong filing of statutory returns at Bank level may result due to feeding of
erroneous data regarding _____
Marital Status
Gender- male/female/ transgender
Educational Qualification
All of the above

Item 10
which of the following may NOT impact proper reporting to FIU-India in Cross
Border Wire Transfer Reports- (CBWTR).
Feeding of erroneous data regarding ‘Country code of jurisdiction of residence’
Feeding of wrong information regarding marital status.
Feeding of erroneous data regarding ‘Citizenship’

All of the above
Item 11
It is very important to key in the correct details and codes regarding the Occupation
of the customer in the AOF as well as in CBS. Which of the following options are
correct in this regard?
It enables bank to analyse the transactions conducted by a customer, with a view to

ensuring that the value, nature and pattern of transaction is consistent with profile
and whether the transaction has an economic rationale.
It enable bank to know/understand their customers and their financial dealings

better and manage their risks prudently.
It helps Bank in analysing the transactions in the account of the customer, with the
view of filing Suspicious Transaction Report.
All of the above are correct.

Item 12
Feeding of erroneous data regarding ‘Gender- Male/Female/Transgender’ may not

lead to
non-compliance of Government guidelines in the extension of Gender-specific

subsidy benefits
wrong reporting to FIU-India
periodic updation of KYC
None of the above

Item 13
Enhanced due diligence is NOT required to be undertaken in respect of which type
of customers?
Accounts of non-face-to-face customers (other than Aadhaar OTP based on-

boarding):
Client accounts opened by professional intermediaries
Accounts of Politically Exposed Persons (PEPs)
Accounts of Persons, opened under Liberalised KYC.

Item 14
Which of the following statement is /are correct regarding RBI instructions on

Money Laundering and Terrorist Financing Risk Assessment by Banks & other REs?
The regulator will determine the exact level of ‘Money Laundering (ML) and
Terrorist Financing (TF) risk for Individual institution/ RE.
The regulator may provide guidelines, but it’s up to the individual institution/ RE to
determine the exact level of ‘Money Laundering (ML) and Terrorist Financing (TF)
risk.
Both the statements are correct.
Both the statements are false.

Item 15
It’s not enough to apply Customer Due Diligence (CDD) measures, once at the time
of onboarding, a reporting entity, should exercise due diligence _____________ in
respect of customers to monitor transactions to ensure that they are consistent
with the customer’s personal profile, business / risk profile and source of funds.
on daily basis
on monthly basis
on quarterly basis
on an ongoing basis
Item 16
In the process of Name screening, a positive match is said to occur when_____
the name and at least one other identifiers as given in negative list match.
the name and at least two other identifiers as given in negative list match.
the name and at least three other identifiers as given in negative list match.
the name and at least five other identifiers as given in negative list match.
Item 17
Reporting Entities are required to carry out ‘Money Laundering (ML) and Terrorist
Financing (TF) Risk Assessment’ exercise periodically in respect of______
Share holders
Auditors
All of the above
Item 18
Which of the following erroneous data will have NO impact on effective monitoring
of transactions?
Date of Birth
Threshold Limit
Occupation type
Monthly Income
Item 19
As per laid procedure for implementation of Section 51A of the Unlawful Activities
(Prevention) Act, 1967, in case of match of particulars of any of their customers
match with the particulars of designated individuals/entities, the banks shall inform
to the Central [designated] Nodal Officer for the UAPA. Which of the following
mode of communication have to be used for this?
Inform by Fax and over Telephone
Convey through Email
Inform by Post
All of the above modes are to be used.

Item 20
Which of the following is NOT a probable impact due to account opened with
misspelt name (Rahim/Raheem) ?
Impacts the quality and result of name screening against the negative lists.
Lack of exercising due diligence as per Customer Identification Procedure.
Wrong reporting to FIU-India.
Impacts monitoring as citizens of some specific countries are not permitted to open
accounts in India.
Item 21
Customer profiles must be reviewed ______.
whenever the branch has doubt about the veracity or the adequacy of the
previously obtained customer identification data.
once in 6 year
once in a year
once in 3 year
Item 22
As per the laid procedure for implementation of Section 51A of the Unlawful
Activities (Prevention) Act, 1967,in case, the results of the verification indicate that
the properties are owned by or are held for the benefit of the designated
individuals/entities, an orders to freeze these assets under Section 51A of the UAPA
would be issued. Which of the following statement is wrong regarding the order so
issued?
In case, the results of the verification indicate that the properties are owned by the
designated individuals/entities, an order to freeze these assets would by issued by
Central (Designated) Nodal Officer for UAPA.
designated individuals/entities, an order shall be issued under intimation to FIU-
IND respective regulators.
designated individuals/entities, an order shall be issued with prior notice to the
designated individual/ entity.
designated individuals/entities, an order will be conveyed electronically to the
concerned bank branch.
Item 23
Periodic updation of KYC is to be carried out at least once in every _____ years for
Accounts of Politically Exposed Persons (PEPs).
3
Item 24
All customers, individuals and nonindividuals, are to be categorised as High,

Medium and Low risk for the purpose of_____
proper transaction monitoring
proper regulatory reporting
Both of the above
None of the above

Item 25
Poor data entry implies____
data not entered correctly.
misspellings, typo errors, transpositions, and variations in spelling, naming or

formatting.
a single account, contact, etc. that occupies more than one record in the database.
data has been entered in the wrong field

Item 26
Which of the following data error will impact generation of alert by system in name
screening process?
PAN/ Form 60
Name of the constituent
Citizenship
Nationality
Item 27
RBI directions make it mandatory for Banks/REs to report details of accounts

resembling any of the individuals/entities in the negative lists to various authorities.
Which set of the institutions given in the following options is the correct one?
CBDT & Ministry of Home Affairs
RBI & Ministry of External Affairs
Ministry of External Affairs & FIU-IND

FIU -IND & Ministry of Home Affairs
Item 28
Which type of erroneous data may NOT have impact on FATCA/CRS compliance
related issues
Data regarding Country code of jurisdiction of residence.
Data regarding Educational qualification.
Data regarding ‘Nationality’.
Data regarding ‘Citizenship’.

Item 29
Which of the following parameters is NOT considered for Customer Risk

Categorisation-
social/ financial status of the customer
nature of business or profession of the customer
information about the clients’ business and their location
Assets & outstanding liabilities of the customer.

Item 30
Feeding of erroneous data regarding ‘Political exposed person (PEP) /Relative to PEP’ status
may not result in to ____
Deduction of tax at source at incorrect rate

If a Maker/Checker has selected 'Occupation Code' as 'Not Categorised" in CBS while
creating a CIF, what is further expected from the maker/checker as per extant Bank
instructions?
Once the 'Occupation Code' has been selected as 'Not Categorised, 'Maker/Checker
has no option to key in the exact details of occupation of the customer.
Maker/Checker has to mandatorily key in the occupation of the customer as mentioned

in the AOF in the description field
No 'Occupation Code' is available to Maker/Checker to be selected as 'Not Categorised"

in CBS while creating a CIF.
Maker/Checker has no option available in CBS to key in the occupation of the customer
once the 'Occupation Code' has been selected as 'Not Categorised.'
Item 10
Item 11
11
“Customer Profile” of individual account holders is compiled from ______
mandatory/ additional information provided on RBI site.
mandatory/ additional information provided by AML- CFT department.
mandatory/ additional information submitted by the customer in the account opening

form.
Information obtained through independent inquiry from other customers.

Item 12
Section 51A of the Unlawful Activities (Prevention) (UAPA) Act, 1967 requires
Banks/REs to ensure_____
filing of STRs in the accounts, where the transactions do not match with the customer
profile.
that they do not have any account in the name of individuals/ entities appearing in the
lists of individuals and entities, suspected of having terrorist links, which are approved
by UNSC.
Both of these
None of these
Item 14
14
Due diligence as per Customer Identification Procedure may not be exercised properly
due to feeding of erroneous data regarding _____ .
Father's Name
Name of the customer
Date of Birth
All of the above
Item 15. Selected.

Item 16
Item 17
17
Due diligence as per Customer Identification Procedure may not be exercised properly
due to feeding of erroneous data regarding ______ .
Politically exposed person status
Residential Status (RI/NRI)
PAN/Form 60
All of the above

Item 18
18
Enhanced due diligence is required to be undertaken in respect of which type of
customers?
Accounts of Persons, opened under Liberalised KYC.
Small Accounts opened without production of Aadhar number or any of the Official Valid
Documents (OVDs).
Accounts of Politically Exposed Persons (PEPs)
All of the above

Item 19
19
Enhanced due diligence is required to be undertaken in respect of which type of
customers?
Certain type of medium-risk customers & High risk customers
High-risk customers
RBI selected list of customers
Certain type of low-risk customers & High risk customers

Item 20
20
How many 'Occupation codes' are available in CBS?
25
27
21
33
Item 21
21
Which of the following is a probable impact due to account opened with wrong name?
On- boarding of a person whose name appears in the RBI Defaulter's list leading the
bank to Regulatory punitive action.
On- boarding of a person who is already a customer of another bank leading the bank to
Regulatory Punitive action.
On- boarding of a person whose name appears in various sanctions lists circulated by
RBI leading the bank to Regulatory punitive action
All of the above

Item 22
22
Poor data entry implies____
data has been entered in the wrong field
data not entered correctly.
a single account, contact, etc. that occupies more than one record in the database.
misspellings, typo errors, transpositions, and variations in spelling, naming or
formatting.
Item 23
23
As per the laid procedure for implementation of Section 51A of the Unlawful Activities
(Prevention) Act, 1967, if an individual or entity has evidence to prove that it's funds are
inadvertently frozen, it shall move an application giving the requisite evidence, in writing
to____
The State Nodal Officer for UAPA.
Central Designated Nodal Officer for UAPA.
The concerned Bank/ other RE.
all of these simultaneously.

Item 24
24
The procedure laid down in the UAPA Order dated February 2, 2021 requires the Banks
to run a check on given parameters on a _____basis to verify whether individuals or
entities listed are holding any funds, financial assets or economic resources or related
services held in the form of bank accounts
fortnightly
daily
weekly
monthly
Item 25
25
It’s not enough to apply Customer Due Diligence (CDD) measures, once at the time of
onboarding, a reporting entity, should exercise due diligence _____________ in respect
of customers to monitor transactions to ensure that they are consistent with the
customer’s personal profile, business / risk profile and source of funds.
on daily basis
on monthly basis
on quarterly basis
on an ongoing basis
Item 26
26
The procedure laid down in the UAPA Order dated February 2, 2021 requires the Banks
to maintain the updated list of designated individuals & entities, approved by UNSC, in
which form?
Electronic form
Physical form
Either of these
Both of these
Item 27
27
Reporting Entities are NOT required to carry out ‘Money Laundering (ML) and Terrorist
Financing (TF) Risk Assessment’ exercise periodically in respect of_____
Transactions or delivery channels
Services and products
Auditors
Item 28
28
Not categorising a PEP’s account properly may lead to non-compliance of guidelines of
_________.
PMLA Act 2002
Banking Regulation Act-1949
Foreign Exchange Management Act-1999
Information Technology Act-2005

Item 29
29
Feeding of erroneous data regarding ‘Residential Status- RI/NRI’ may lead to
_________
missing out Enhanced Due Diligence in respect of accounts of NRI customers who are
residents of High risk countries.
errors in alert generation for transaction monitoring.

errors/ effect on the periodicity for the obtention of KYC documents.
errors in name screening by AMLOCK software.

Module 1, Assessment 1
1) Deep Learning is subset of AI.

True
2) Access in Private Blockchain is of____________

Centralized to one entity
3) "Did the Car Loan campaign impact Car loan business?" is an example of _________
analytics.
Prescriptive
4) What is the feature of Advanced chatbot?

Works on rule based algorithm and replies to basic questions
5) How many Blockchain types are in use?

Four
6) Who is known as father of AI?

John mccarthy
7) Media logs, Word, Text and PDF can be classified as________ data.
Structured
8) Which of the following options is not from the five V’s of Big Data?
Verification
9) _______describes what has happened over a given period of time.

descriptive
10) _______is the process of examining large and varied data sets.
Big data analytics
11) _describes what is likely to happen in the near future.

Descriptive/ Predictive
12) What is true in case of implementation of Blockchain technology in AML/KYC?

Option 1 and 2
13) Big data is an evolving term that describes any voluminous amount of data that has the
potential to be mined for information. It can be ______
All of the above
14) Which of the following option is not from the five V’s of Big Data?
Item 16
Visibility
15) Pilot scheme for small value payments in offline mode is announced by________.
em 18
RBI
16) Which is not the business benefits for Banks in deploying AI software?
Reduction in number of branches
17) _________ is subset of Machine Learning and Machine Learning is subset of ___________.
Deep, AI
18) What is the impact of data/information leak for any organization?

All of the above
19) Pick the odd one out

Artificial learning is subset of ML
20) Who created Bitcoin?

Satoshi nakamoto
21) What is the full form of RPA?

Robotic process automation
22) What is a node in Blockchain Technology?

Computer on blockchain network
23) What is the role of senior management in a bank’s product & services sales process cycle
using analytics?
Monitoring and tracking numbers
24) Where can you buy cryptocurrency?

All of the above
25) ___________technologies are used to scan legal and regulatory documents for compliance
issues
RPA
26) Pick the odd one out.

Block Chain
27) The data available in CBS can be classified as________ data.

Structured
28) An effective chatbot can have three factors. Choose the wrong option.
Consultation
29) Which is not the business benefits for Banks in deploying AI software?
Reduction in number of branches
30) Which of the statement is wrong in case of Blockchain Cross Border Transaction?
Restriction between national and international transactions
31) As per RBI’s pilot scheme for small value payments in offline mode, one of the terms by
RBI, which states that payment transactions in offline mode with AFA shall be at the choice of
the
User /RBI
32) Why to use AI in finance?

All the above
33) As per RBI’s pilot scheme for small value payments in offline mode, the total limit for offline
transactions on an instrument shall be?
Rs. 2000
34) Which is not the key outcome of application of AI technologies in banking industry?
Skilled employees
35) Public blockchain allows

It is open network
36) Which of the following is not an application of Blockchain?

3D printing
37) Each block of a blockchain consists of which of the following?

All of the above
38) Artificial Intelligence is about

Making a machine intelligent
39) The data from the CCTV coverage and weather forecast report is…….. data
Unstructured
40) ………….Describes what has happened over a given period of time

Descriptive
41) Which of the following is not the role of marketing for implementing analytics?
Design new products and services
42) Which type of blockchain provide maximum speed?

Option 1 and 3/ Private blockchain
43) Which is not the component of general framework of IoT in banking?
Banks collect information from connected devices used by the customers./ customer give
information related to their transactions
44) What does P2P stand for in blockchain parlance?

Peer to Peer
45) Which of the process not involved in analytics?

Data mining
46) XML data can be classified as…… data

Semi- Structured
47) In blockchain, blocks are linked….?

Backward to the previous block
48)Which of the following is not the benefit of using Blockchain in Trade Finance for finance?
Visibility of all liabilities
49) Which of the following is not a feature of BIG DATA?

Deals with structured data only.
50) Which of the following is not the benefit of using Blockchain in Trade Finance for asset
production?
51)………. Is the process of examining large and varied data sets.

Big data analytics
52) Which of the following is not true about Internet of Things (IoT)
People connected to internet
53) ……..is used in credit card scanning functionality in payment apps or ID scanning in
banks.
Image processing
54) Which of the following is not relevant to Artificial Intelligence?
It can perform only with human intervention
55) Which of the following is NOT true about blockchain?
It is owned by a single entity, hence it is not decentralized.
56) Transaction process flow includes ___________steps in Blockchain.
57) Which is not the advantage of IoT in Banking?
Permissioned read and/or write
58) Which of the following is not the benefit of using Blockchain in Trade Finance for
Finance?
Unique digital identity
59) Which of the following is not an application of Blockchain?

3-D Printing
60) Which is not the component of general framework of IoT In Banking?

Customers give information related to their transactions to the bank
61) Blockchain is the same as Bitcoin.
False
62) Who has coined Machine Learning?

Arthur Samuel
63) is used in credit card scanning functionality in payment apps or ID scanning in

banks.
IMAGE PROCESSING
64) Which option is not correct for Smart Contract?
It uses a distributed ledger system to store data on private databases.
65) As per RBI’s pilot scheme for small value payments in offline mode, the total limit for offline
transactions on an instrument shall be
Rs. 2000/- at any point of time.
66)As per RBI’s pilot scheme for small value payments in offline mode, who shall incur all
liabilities arising out of technical or security issues at merchant’s end?
The acquirer
67) Where can you store your cryptocurrency?

Digital wallet
68) Which is not the advantage of IoT in Banking?

No impact on security
69) Which of the following is not the benefit of using Blockchain for Supply chain management?
Dynamic data source
70) Big data is used to uncover

All the above
71) Pick the odd one out.

Artificial intelligence/ Satoshi nakamoto
73) The primary benefit of immutability is…

Tamper proof
74) "How to optimize the decision based on economic and consumer trends?" is an example of
_________ analytics.
Prescriptive
75)
1) Which one of the following is not a charge recovered by the Acquiring Bank from the
Merchant under MAB?
Installation Charges
2) Which of the following statements is true about MMID?
Both remitter and beneficiary need to have MMIDs for P2P transactions
3) Which one of the following is the platform used to process the transactions done
through BHIM Aadhar SBI Merchant app?
AEPS
4) As per the new rule the transaction limit through BHIM SBI Pay for Collect request is set as
Both the options 1 & 2
5) A customer often comes to your branch and request to send money through NEFT. For this
he fills the NEFT form daily and requests staff to put through the transaction. One day the SWO
has erroneously entered Rs.4000000/- instead of Rs.400000. To avoid such a situation, which
app you will suggest the branch to promote, which helps the Teller to avert risk?
SBI DIGI voucher
6) Under NUUP which number need to be dialed by the customer?

*99#
7) In BHIM SBI Pay, user can view latest _____________ transactions of last _________days
20 & 45
8) Which one out of the following options is not the pre-requisite for BHIM SBI Pay?
All the customers having any account with the bank.
9) These days we often hear the term BHIM apps. What is the full form of BHIM
Bharat Interface for Money
10) Which one of the following is the BHIM UPI app of State Bank of India
BHIM SBIPay
11) In BHIM SBI Pay, in case of Mobile device change and/or SIM change, the revised limit per
day is reduced to?
Rs.5000/- for 1 day
12) From which of the following options a user can not initiate the collect request in BHIM SBI
App?
Using name of beneficiary alone
13) What is the maximum transaction limit through easy PIN login option through YONO Lite
App?
100000/-
14) What is mPassbook in YONO Lite App?

Option to maintain electronic passbook in mobile
15) Sujata wants send Rs.1000 to her friend using IMPS P2A option. What are the beneficiary
details she requires for doing the transaction?
Beneficiary account number and IFS code
16) Mr. Suraj who is having a SB account with XYZ Bank has used his Debit card at a Super
Market. In MAB Terminology, what is XYZ Bank called?
Issuer
17) We often hear the term MMID associated with IMPS. What is the full form of MMID?
Mobile money identifier
18) Mr. Gupta runs a fancy store . He wants to use Bharat QR for receiving payments from his
customers. He wants the QR code to include amount also so that customer need not enter the
amount in their app. What is the name for such QR code.
Dynamic QR Code
19) What is the maximum transaction limit per day on BHIM SBI Pay?
100000/-
20) What is VPA in BHIM SBI Pay?
It is a unique ID linked with the account number
21) Which one out of the following options is not the pre-requisite for BHIM SBI Pay?
The mode of operation in the linked account should be jointly operated
22) One of our customers is afraid that his debit card may be cloned and misused. He wants to
control the usage of the card. For which type(s) of transactions, switching ON/OFF facility is
available?
All the above
23) Suresh has two savings bank accounts in the same bank. His mobile number is same. How
many MMIDs can he have and why?
Two
24) Can we do foreign currency outward remittance using IMPS?

No.
25) Which option is not available under UPI menu in YONO Lite App?
Collect payment
26) Which option is not available in pre-login section under YONO Lite App?
Forget App pin

27) A customer wants to register for our BHIM SBI Pay. The customer was explained about the
pre-requisite for the registration. What is not compulsory in Registration process for BHIM SBI
Pay?
Aadhar linked A/c
28) How many Banks one can manage in any UPI platform?
No such limit
29) An ATM Cardholder cannot block his ATM Card through which of the following option?
SBI Samadhaan
30) Which option is not true for BHIM SBI Pay?

Creation of VPA is compulsory
31) How to raise the complaint in BHIM SBI Pay?

All the above
32) Mr. Sushil wants to offer Aadhar based payment system at his shop..
Real time basis
33) How many transactions a user can view in BHIM SBI Pay?
20
34) Which option is not available under SBI Quick?

Disable accounts for UPI transaction
35) Which of the following are enquiry apps?

All the above
36) What is true about Quick Transfer through YONO Lite App?
Per transaction limit is Rs. 10000/- AND Per DAY transaction limit is Rs. 25000/-
37)NPCI is an umbrella organization for various retail payments and settlement systems. Not
related to NPCI?
NEFT
38)What is true about Quick Transfer through YONO Lite app?

User can send money using A/C no. and IFSC of beneficiary
39)What is true about Quick Transfer through YONO Lite App?

None of the above
40) How to register for missed call banking facility?

SMS need to be sent as ‘REG<SPACE>Account number
41) Mr. Srinivas is one of the valuable customer of your branch. You have provided him a
international Debit card…..
All the above
42) What is SBI Quick app?

App version of missed call Banking
43) Which of the following functionality is not available in DIGI voucher app?
Cash deposit in CC A/c
44) What is true about Quick transfer through YONO Lite app?
User can send money using A/c No. and IFSC
45) From which of the following options a user can not send money to the beneficiary through
BHIM SBI pay App?
Through VPA
46) IMPS limit per transaction: Rs. 2 Lacs, per day: Rs. 10 Lacs
47) UPI transaction grievance platform: All are valid.
48) Which of the following is not required for creating or resetting UPI Pin in BHIM SBI Pay?
Enter the last 4 digits of your Debit Card and expiry date.
49) What is the maximum no. of transactions one can do through BHIM SBI Pay app?
No such limit
50) Your friend is an SBI customer. He wants to make payments using BHARAT QR Code. Bit
he is not able….
Payment through BHARAT QR is available in Pre-login stage of yono LITE SBI App
51) Raju is a beneficiary of the Direct Benefit Transfer of the State Government. Credit is….
Aadhar Payment Bridge System (APBS)
52)Rita is performing basic banking transactions on her Aadhar enabled account using her
Aadhar and fingerprint….
Aadhar enabled Payment System (AEPS)
53) Immediate Payment Service (IMPS) has revolutionized interbank transactions. Please
identify the incorrect statement.
IMPS service is provided by the Reserve Bank of India
54) For the purpose of RFIDs under FASTAG, NHAI has divided all vehicles into how many
categories?
7
55) Suman wants to send some remittances to her father through IMPS. She is using Retail
Internet Banking of SBI. She has already added him as beneficiary. What is the maximum
amount she can remit?
Rs. 2 Lacs per transaction.
56) Mr. Sahil has to travel to Allahabad from Delhi by road. Name the product that will
help Mr Sahil to pay Toll tax online?
FastTag
57) What is true about SBI Secure OTP App?

MPIN must be of 4 digits
58) UPI supports various Non-Financial transactions from any PSP app. Identify the
wrong one from the list
Apply for Credit/Debit Card
59) A customer is having 11 different accounts in different banks. What is the maximum
number of accounts that can be mapped in BHIM SBI Pay?
No such limit
60) Kishor wants to send some money to his father using IMPS service. What is the
maximum amount that he can send?
Rs. 2 lacs per transaction
61) What is true about SBI Secure OTP app?
MPIN must be of 4 digits
62) The participants in an IMPS transaction are the following
Remitter, Beneficiary, Banks and National Financial Switch-NPCI

63) Kumar wants send Rs.2000 to his friend using IMPS P2P option. What are the
beneficiary details he requires for doing the transaction?
MMID and mobile number of beneficiary
64) Which non-financial transaction is not available under YONO Lite App?
Update PAN No.
65) What is the maximum transaction limit that can be set under UPI menu in YONO Lite App?
Rs. 100000/-
66) Chitra wants to transfer funds to her sister using IMPS under the Quick Transfer feature of
Retail INB of SBI. What is the maximum amount she can remit ?
Rs. 25000/-
67) What is true about Quick Transfer through YONO Lite App?
None of the above (Cannot receive money)
1) Which of the following is not an eligibility criteria for assessing PAPL for the customer?
There should not be an existing overdraft against SB account or SBI Insta…..
2) Which one of the following is not true regarding YONO wearable banking?
Customer can have a maximum 4 wearables…..
3) Which among the following is a platform for onboarding customer to YONO Retail
through Branch Support?
YONO Branch Portal
4) Which of the following is incorrect regarding bill payment without OTP obligations under
YONO?
YONO App>Quick Links>Setting>Service Request> OTP Management> Set Limit> Confirm
5) Which of the following is not the correct navigation to restrict Debit card usage through
YONO?
YONO>Quick links>hamburger menu>service request>Manage debit card>Manage usage
6) In ‘Transaction’ option in ‘YONO Cash’, customer can view the details of the respective
previous transaction. Which among the following transactions the user cannot view?
Expired
7) Which one of the following options is not true regarding YONO Krishi Gold Loan?
Customer may visit any branch of his choice, with gold ornaments, proof of land records/ proof
of agri activity…….
8) What is the workflow for DAC?
e-DAC
9) Customer has been onboarded through YONO mobile App. for account opening. At the
end of the digital journey, he got a reference number. How can you support him?
Branch has to login through YONO Branch Portal through SSO….
10) Which of these products has been recently added under Khata in YONO Krishi?
KCC Review
11) I am a farmer customer of SBI and want to use YONO but I cannot read and understand
English. How can I use this?
YONO Krishi application can be used in any of 12 major regional languages.
12) Who are not the target customers of YONO?

Minor
13) In Insta Digital Saving Bank Account the aggregate of all credits in a financial year shall
not exceed
Rs. 200000/-
14) YONO Regular Account is opened with e-KYC process. Which of the following is not true
regarding Debit Freeze?
Yes, there will be debit freeze initially for the accounts opened.
15) Which of the following statements is not correct regarding NFS through YONO Branch
Portal?
These services are limited to non-per, agri segment and individual customers.
16) Which of the following statements regarding NFS request handled through YONO
Branch Portal is not correct?
The customer gets instant acknowledgment (by an SMS) on completion of data entry at maker
level.
17) Which category of YONO Krishi offers Insurance, investment products like Mutual
Funds, Demat accounts etc.?
Bachat
18) Which one of the options is not available in YONO under ‘Manage Debit Card’?
Limit to be set in multiples of 5000
19) How do we enable Biometric Access in YONO App?

Service Request>Settings>security>Enable biometric for YONO access
20) Can you manage your debit card limit through YONO?
User can manage card limit by login to YONO>Service request>Manage debit card>Manage
limits
21) Which of the following statements regarding YONO-Cash is correct?

Customer has to visit any YONO Cash enabled ATM/ Recyclers (YCP) within 240 minutes after
initiating YONO Cash request.
22) Which one of the following is not a Category-1 user of YONO Business?
Regulator
23) Which among the following is not a part of YONO Pay?

My Wearables
24) Which one of the following is not true regarding enabling Biometric Access for YONO
application by the user?
Branches are empowered to enable biometric access through SSO in CBS….
25) The customer may send email regarding any information, feedback, query, or complaint
on YONO to
Feedback.YONO@sbi.co.in
26) How many vernacular languages are available for changing the language settings in
YONO Krishi?
12
27) How can I download my account statement through YONO?

YONO App>Service Request>Hamburger Menu>Manage e-statement
YONO App- service request-account-manage e-statements
Yono app-hamburger menu-service request-account
28) Which one of the following is not the purpose of YONO Krishi?
For offering Simplified Lifestyle Banking services.
29) Find the odd one out from the following?

YONO Cash ATM- Minimum withdrawal limit is in multiples of 100
30) I have requested to stop my cheque payment through YONO. However, I want to cancel
the stop payment instruction. Is it possible in YONO?
User can revoke stop payment by login to YONO App>Service Request>Cheques>Revoke Stop
Cheque
31) Which one of the following option relates to PAPL?
YONO Global
32) Which one of the following statements regarding YONO Cash is false?
Partial withdrawals under single transaction number are allowed.

33) Where are the soft copies of Account Opening documents stored in YONO
platform?
e-DAC
34) How can the YONO user escalate a complaint in YONO App?
Get in Touch>Support>Raise a Complaint
35) Which one of the following is not true regarding YONO Merchant App?
YONO SBI Merchant app has been developed for payments by our TBU
36) Who are not permitted to open Digital Savings Account through YONO
App/Portal?
Non-Resident Indian
37) Which of the following is not the feature of Chatbot in YONO?
It is implemented for understanding human voice and respond.
38) Which of the following is not true regarding YONO account opening?
Customer need not be a major by age, should be a literate and able to sign uniformly
39) Which one of the following is not a part of YONO Business?
INB
40) Which one of the following is not a variant of YONO Business?
Multiple Regulator
41) Which one of the following options is not true regarding YONO Krishi Gold Loan?
The validity of the reference number is 15 days from the date of generation.
42) If a NFS request for mobile number change is received, which one of the
following options is correct?
For Mobile number change, customer should possess both the Mobile Numbers
(existing registered Mobile Number and the new Mobile Number)
43) Which type of the SB account does not exist in YONO platform?
Instant
44) I am an illiterate farmer and want to avail Agriculture Gol Loan. How can I do it
with YONO?
Sorry, YONO cannot support illiterate or semi-literate customers.
45) Which of the following options is not available to YBBI checker while onboarding
customer request generated by the YBBI maker?
Cancel
46) Which of the following options is not a part of integration with YONO Business?
RINB
1) Among the given options, which SUB MENU is available under Vendor Maintenance of
SBI VPS app?
Employee Creation
2) Is "Maker-Checker" method applicable for "Update Employee" details in VPS APP?

Single user as a “checker” can update the employee details directly, without “maker-
checker” method.
3) On the request of a customer, his MAGSTRIP SBI Debit Card was temporarily blocked
through DCMS app. Whether this card can be unblocked or not?
MAGSTRIP CARD once blocked cannot be unblocked
4) At the time of creation of Vendor ID in SBI VPS app, which information related to vendor
is required to be provided?
Nature of payment, estimated payment during current financial year and nature of TDS.
5) Is it possible to DELETE employee details in VPS APP"

It is possible to delete employee details WITHOUT maker checker method.
6) User can Enquire about Non-Home Branch Vendor Details through ‘Vendor Master List’
in VPS APP. Which information is required for searching the Vendor ID details in VPS
APP?
Any one of these
7) Registration of Investor of Sovereign Gold Bond Scheme (SGBS) menu under Service
Integration APP available in CBS APP requires one Valid ID proof. Which IDs are valid
for this?
Registration of investor requires ANY ONE from PAN PASSPORT AADHAAR VOTER
ID TAN.
8) In how many ways enquiry of the purchase of Sovereign Gold Bolds can be done
through SGBS Menu available in SI APP under CBS APPs?
Enquiry by TWO Ways: By Date, By Reference number
9) Which statement is correct regarding PMSBY-New Registration in PMSBY portal

available in SI APP under CBS APPs?
New registration of person who is BI account holder, minimum balance Rs. 12, Age
between 18-70
10) Which functionalities DO NOT follow Maker – Checker process in DCMS app?
Temporary blocking
11) Branch/Office has observed that one employee’s details are NOT correct in VPS APP.
Which option is most appropriate in this situation?
If the title and account number are not correct then the branch/office can modify these
details through “update employee” button……
12) What type of CIFs (Customers) can be opened through KIOSK BANKING?
Only biometrically verified Aadhar based e-kyc CIFs
13) Who are the users who can approve/reject "Request for Refund (Manual Refund
Request) in TAXCPC?
LHO Intermediator (Level 1)/ Designated DGM (Level 2)/ FRT Users (Level 3)
14) From which financial year, details relating to TDS records pertaining to all Streams are
available in TAXCPC APP?
FY 2017-18 onwards.
15) What activities can be performed by Bank Officer (BO) in Kiosk Banking APP?
Customer authorization or rejection, statement of account, balance enquiry, view BF
activity
16) What information is required to be entered for "Bill Enquiry" in VPS APP?
‘From’ date, ‘To’ date, File Status
17) For payment of bills to SBI employees, Employee Details needs to be created in VPS
application. Is it correct or not"
Yes, this is to be done to check whether employee details are correct or not in VPS app/
ALL ARE CORRECT
18) What activities can be performed through Sovereign Gold Bond Scheme (SGBS) menu
under Service Integration APP available in CBS APP?
Registration of investor, purchase of gold bond, enquiry
19) What payment modes are available to accept investment from Sovereign Gold Bond
Investors through SGBS menu available in SI APP under CBS APPs?
Cash, transfer from SBI, other Bank cheque
Nature of payment, nature of goods/ services, sub nature of services, DS

nature of services and section applicable for TDS.
21) Who will use ADMIN CARD related to particular Automated Teller Machine (ATM) or
Automated Deposit cum Withdrawal Machine (ADWM)?
ATM Channel Manager
22) Input Tax Credit (ITC) is available for the bills where invoice details entered in VPS
exactly match with invoice details uploaded by vendors.Before payment of bills, branch
VPS user can upload Invoice details as and when the same are received by them.
Through which menu VPS user can upload the invoice details in VPS Application?
Bill capture for GST
23) Among the below mentioned APPs, which apps are available under CBS APPs icon? (A)
FX-OUT (B)S-Core (C) LLMS (D) NPS (E) INB(F) TaxCPC
A,D,F—FXout, NPS, TaxCPC
24) Who can raise "Request for Refund (Manual Refund Request) in TAXCPC?
TaxCPC user at LHO or HO.
25) Among the given options, which SUB MENU is available under Vendor Maintenance of
SBI VPS app?
Vendor Master List
26) Among the given options, which option is correct?

For creation, PAN is mandatory if proposed bill is more than 20000/-
27) For creation of Employee Details, what information is required in VPS?

Even though information is already available in VPS, account number of the employee
has to be added.
28) Which third party applications can be accessed through Service Integration APP
available in CBS APP?
SGBS, PMSBY, PMJJBY, eKYC registered device, SBIePay, Suspicious transaction

reporting.
29) Which statement is most appropriate in respect to usage of SBI Debit Cards by
customers after card was temporarily blocked?
Once the card is blocked temporarily, the same cannot be used to perform any
transactions till the time it is unblocked.
30) Who can "APPROVE" the correction request raised in "Correction Module" of TAXCPC
for correction in TDS details originally provided by source team like HRMS, VPS etc.?
Designated DGM
31) Which statement is most appropriate with respect to accessing and working with CBS
APPs by the branch staff (both Officers & Clerical/award staff?
Working on various APPs available under CBS Apps depends on the capability level of
the user/ teller.
32) Which functionalities follow MAKER-CHECKER process in DCMS app?

Card unblocking
33) At the specific request of the customer, the maker at the home branch has changed
ATM channel usage as "No" (i.e. withdrawal of cash from ATM). Is it possible to change
Usage Type Setting (Channel Wise) in DCMS app?
Yes, because at the customer request branch can stop the ATM usage (Withdrawal of cash fro
ATM) through the DCMS App.
34) Who can "ACCEPT"(after APPROVAL of designated official) the correction request
raised in "Correction Module" of TAXCPC for correction in TDS details originally
provided by source team like HRMS, VPS etc.?
The request will be accepted by FRT at corporate center and sent to TRS Team for generation
of corrected results.
35) For what purpose is TAXCPC APP used?

To know the Branch TAN, to get TDS details, to download TDS certificate, to get reports related
to TDS.
36) In which menu of TAXCPC, Important message for the users will be displayed?
Dashboard
37) What actions can be performed with Debit Card Management System (DCMS) App?
Destroying of undelivered cards
38) What process has to be followed in Sovereign Gold Bond Scheme (SGBS) menu under
Service Integration APP available in CBS APP for multiple purchases or investment in
Sovereign Gold Bonds by same investor?
Investor need to be registered only once…
39) What type of limits settings can be done by using "Limit Setting (Channel Wise)"
functionality available in DCMS app?
Both Offline ATM limit AND online ATM limit can be set
40) Which screen is created in VPS for payment of invoices which are originated by
LHO/Branches for debit to charges by multiple branches and to avoid double payments
of GST amount?
Sharing of expenses screen
41) What is the purpose of "Credit Note" menu in VPS app?

To enter details of credit notes issued by the vendor when bank wants to pay lesser
amount against already submitted invoice amount due to various reasons like penalty.
42) What "Buttons' are NOT available under Employee Details in VPS APP?
Both “Modify” and “suspend” are NOT available.
Nature of payment, Estimated payment during current financial year & applicable TDS.
44) On the request of customer, his EMV Chip based SBI Debit Card was temporarily
blocked by call centre. Whether this card can unblocked or not through DCMS app?
Can be unblocked through “Card unblocking” menu, available in DCMS menu, but WITH
MAKER- CHECKER process.
45) Among the following what information is mandatory to "VIEW & DOWNLOAD TDS
RECORDS" from TAXCPC? (a) FY (Financial Year), (b) QTR (Quarter), (c) STREAM,
(d) PAN (e) CIF NUMBER / PFID / VENDOR ID (f) ACCOUNT NO.
A,b,c AND anyone of d,e,f
46) Undelivered ATM cards will be returned to the customer's branch after being temporarily
blocked by the vendor. What is the process to unblock these cards, if branch wants to
deliver the card to the customer in person?
Since the card is temporarily blocked by the vendor itself, it cannot be blocked through DCMS
app.
47) At the time of making various payments such as rent, commission, professional fees,
salary, interest etc., which system will deduct Tax Deduction at Source (TDS)?
TaxCPC App will debit the TDS
48) At the time of additional account linking to SBI Debit card through DCMS app, ATM
Account flag validation is applied. What should be the ATM Account flag number?
49) Among the given options, which SUB MENU is available under Vendor
Maintenance of SBI VPS app?
Vendor List
50) Among the given options, which SUB MENU is available under Vendor
Maintenance of SBI VPS app?
Employee Details
51) For temporary blocking of SBI Debit Card through DCMS, what information is
required to be entered in DCMS App?
Either Card Number or Account Number is required.
52) What activities can be performed by Teller in the branch in PMSBY portal
available in SI App under CBS apps?
New Policy Registration, Policy Enquiry, Policy Delete, Policy Print, Policy Claim
53) At the time of creation of Vendor ID in SBI VPS app, which information related to
vendor is required to be provided?
Nature of payment, Estimated payment during current financial year & applicable TDS
54) Is “maker-checker” method applicable for “update employee” details in VPS app?
Yes, “maker-checker” method is applicable for “update employee” details in VPS App
55) Once the maker creates “employee details” through menu available under vendor
maintenance, the “employee details” has to be approved/ rejected by checker.
What is the path to approve/ reject the “Employee Details”?
Checker can approve/ reject “employee details” through “maker-checker” menu
available under “authorization”
56) Who can raise “Request for refund (manual Refund Request) in TAXCPC?
Any TAXCPC user.
57) Which details are available in “Miscellaneous Data Details option” in TAXCPC
app?
Details relating to TDS records pertaining to Miscellaneous for the Financial years 2018-
19 and 2019-20 (up to 3rd Nov 2019) are available.
58) One senior citizen customer visited the SBI Branch and requested branch to
stop POS & PG channels on her SBI Debit card to avoid possible misuse or
frauds on her debit card. What action can be done by the branch staff to fulfill the
request of customer?
Branch can stop both POS & PG channels through DCMS application- Usage type
setting (Channel wise) functionality.
KNOW YOUR SBI- E LESSON CONSOLIDATES Q &A
KNOW YOUR SBI- MODULE 1
1. Nation's central bank Reserve Bank of India was established in the year
Ans: 1935
2. The earliest progenitor of State Bank of India was ___
Ans: Bank of Calcutta
3. As per our code of Ethics, we should avoid conducting Bank's business with a relative or an
entity in which a relative has _______
Ans: Significant role
4. SBI's first technology upgradation project for agro-pumpset industries was started in _____.
Ans: Coimbatore
5. Reserve Bank of India was nationalised in the year ___
Ans: 1949
6. If we are processing the transaction of another employee, we shall _____ as we would for
any other Bank customer.
Ans: exercise the same due diligence
7. Who protested against failure to Indianise the Imperial Bank of India?
Ans: JRD Tata
8. Select the correct statement regarding principles of our Bank’s code of ethics.
Statement 1 : We shall make sure that integrity permeates our workings and decisions every
day.
Statement 2 : We shall be responsible for avoiding situations, positions, activities or
relationships where our personal interest interferes with our professional duties. We shall
report immediately if we face or observe such a situation.
Ans: Both statements are correct
9. Which of the following action does not matches to principle of handling conflict of interest
with regards to engaging in political activities and contribution and subscription?
Ans: We shall not support the ideology of any of the association / union
10. The bank which was formed by the merger of Bank of Madras, Bank of Bengal and Bank of
Bombay was called ___
Ans: Imperial Bank of India
11. We shall ensure that our computers are always ------ when left unattended.
Ans: Locked for everyone
12. RBI gives 40% of weightage to which of the following indicators, while assessing D-SIB status
of the Banks.
Ans: Size
13. The Government of India appoints Chairman of State bank of India on recommendations of
________
Ans: Banks Board Bureau (BBB)
14. SBI's Quick Personal Loans are available on ___platform.
Ans: Contactless Lending Platform (CLP)
15. As per our code of Ethics, on which of the following occasions, gifts from friends , not having
official dealing with the Bank can not be accepted ?
Ans: Birthday
16. The banks having size as a percentage of ____ beyond, 2 % will be selected in the sample of
banks for categorizing as D-SIBs
Ans: Gross Domestic Product
17. Systemically Important Banks (SIBs) are perceived as ones that are _________
Ans: Too Big to Fail
18. RBI released the latest list of D-SIBs on 19th January,2021 and retained the following Banks
____ as Domestic Systemically Important Banks ( D-SIBs)
Ans: SBI, ICICI Bank, HDFC Bank
19. FSB stands for ___________
Ans: Financial Stability Board
20. The Chief Vigilance Officer in our Bank directly reports to ____
Ans: Chairman
21. Which of the following statement matches with the Principle of handling conflicts of
interests ?
Ans: All the above
22. The banks having size as a percentage of GDP beyond, ____% will be selected in the sample
of banks for categorizing as D-SIBs.
Ans: 2
23. As per our code of Ethics, on which of the following occasions, gifts from near relatives can
not be accepted ?
Ans: Birthday
24. Which of the following is not one of the factors considered by RBI for deciding systemic
importance of a Bank.
Ans: Operating Profit
25. Which of the following is not one of the principles of SBI’s code of ethics?
Ans: Accepting or offering gifts or entertainment.
26. When someone observes a conduct that is inconsistent with the principles set forth in the
code of ethics and wants advice , then the person should contact some officials. As per our
code of Ethics ,Which one of the following option is incorrect ?
Ans: contact local police
27. As per our code of Ethics, we shall disclose any confidential information about a customer,
supplier or any other third party only _____
Ans: for any legitimate business purpose only
28. Whose cheque was returned by Bank of Bengal as it was proved to be four annas beyond the
sum at his credit.
Ans: William Bentinck
29. Reserve Bank of India computes systemic importance scores of all banks in the sample
annually, based on
Ans: March end data
30. Select the incorrect statement regarding principles of our Bank's code of ethics
Ans: We can disclose any confidential information about a customer, supplier or any other
third party for our personal purposes.
31. As per SBI's code of Ethics, can we canvass for membership / collect dues or subscription /
carry any activity about any association, union or other organisation ?
Ans: Yes, but with prior authorisation.
32. If an employee receives more than one gift from the same or different persons/ entities with
in a period of ------- , the matter shall be reported to the competent authority if the
aggregate amount is beyond the specified limit prescribed under our code of Ethics.
Ans: 12 months
33. SBI’s Code of Ethics applies to _________
Ans: All regular, contractual, part-time staffs of the Bank including third party dealing with
Bank.
34. SBI's present logo was designed by ___
Ans: National Institute of Design
35. The first chartered bank in India conferred with the advantages of limited liability for its
shareholders was ___
Ans: Bank of Bengal
36. The first fully computerized branch of SBI was inaugurated at ______ with the Bankmaster
software
Ans: Backbay Reclamation in Mumbai
37. As per SBI's code of Ethics, can we ask for or accept contribution or associate ourselves with
the raising of funds or collection in cash or in kind?
Ans: Yes, but with prior authorisation.
38. The first logo of our Bank depicted a ____
Ans: Banyan tree
39. The first pilot branch of SBI where CBS was first rolled was
Ans: Personal banking branch, Hiranandani Gardens, Mumbai
40. Imperial Bank of India was formed in the year ___
Ans: 1921
41. RBI gives 20% of weightage to following indicators, while assessing D-SIB status of the Banks,
except
Ans: Size
42. Which of the following statement matches with the Principle of Conducting ourselves with
utmost integrity?
Ans: We shall be just and honest to all our stakeholders—customers, colleagues , investors,
communities, public and others we deal with.
43. As per our code of Ethics, we shall protect confidential information relating to our
customers. This confidential information may be -------------
Ans: All of the above related
44. The first Recurring Deposit in our Bank was opened in name of ___
Ans: Dilip Kumar
45. The first Indian to preside over Annual General Meetings of the shareholders of Imperial
Bank was ___
Ans: Sir Badridas Goenka
46. The establishment of SBI was one of the recommendations of the ______ .
Ans: All India Rural Credit Survey Committee

1. Customers gain confidence when organisations respond quickly and solve their problems. It
represents _ _ _ _ _
Ans: Timeliness
2. The _ _ _ _ _ customer is very motivated to buy but may overlook important details
regarding the product and services.
Ans: THE IMPULSIVE CUSTOMER
3. _ _ _ _ _ _ _ enhances customer relationship and also enables one to understand the

customer requirement exactly. (Choose the most appropriate option)
Ans: Listening
4. Dealing with impulsive customers requires to be _ _ _ _ _ _ _ _ _ _ _ _
Ans: Be brief but specific and offer clear incentives.
5. _ _ _ _ _ _ _ _ _ _ _ _ represents an organizational mindset that places customers, rather

than product or sales, at the centre of the business.
Ans: Customer Centricity
6. Read the below statements and answer appropriately

I. Happy customers do not consider competitor’s offers.
II. Happy customers make a purchase but do not recommend the product further.
Ans: Only I is true
7. Willing to go the extra mile means making more effort than is expected for _ _ _ _ _
customer issues. (Choose the most appropriate option)
Ans: Resolving
8. Which of the statement regarding Customer Centricity is NOT True?
Ans: It is situational and reactive.
9. Read the below statements regarding Aggressive Customers and answer appropriately
I. Such customers raise their voice and get angry quickly.
II. Respond with emotion and argue only if necessary
Ans: Only Statement I is TRUE

10. Which of the following statement is correct?
Ans: The aggressive customer wants his/her needs should be prioritised over others.
11. Raj has been using the telecom services of AirCom since the last 15 years as he believes the
services are unmatchable and the company is innovative. It represents which stage of
customer satisfaction levels?
Ans: Zone Of Loyalty

I. Respect for the customers is essential for organisation success
II. Courtesy is the act of showing politeness
Ans: Both statements are TRUE
13. Which option about customer service is true?
Ans: Businesses must provide excellent customer service or expect failure.
14. _ _ _ _ _ _ _ _ _ is defined as a measurement that determines how happy customers are with
a company’s products, services, and capabilities.
Ans: Customer Satisfaction
15. Dealing with _ _ _ _ _ customers requires listening to them carefully, asking closed questions
to get a specific answer.
Ans: THE TALKATIVE CUSTOMER
16. A positive customer _ _ _ _ _ _ _ promotes loyalty; helps retain customers, and encourages
word-of-mouth publicity. (Choose the most appropriate option)
Ans: Experience
17. In which zone of customer satisfaction, customers are actively looking for an alternative?
Ans: Zone Of Defection

I. Earlier customer were loyal based on price
II. Now the overall experience is important for the customer.
19. Check the statements and answer appropriately.

I. The Cautious Customer is budget conscious and constantly compares prices.
II. They are difficult to satisfy.
Ans: Both statements are FALSE

20. Ritu was all ready to go to Goa for a vacation, but her flight gets cancelled and she complains
about it. The airline apologises and offers her another flight of her choice on the same day,
and a discount voucher against future travel. She is now happier and more loyal to the
airlines company. The scenario represents _ _ _ _ _ _
Ans: Service Recovery Paradox
21. Choose the incorrect statement.
Ans: Customers like to wait for issues to be resolved
22. Read the below statements regarding Customer Service and answer appropriately
I. Customer service focuses on satisfying customer need and wants.
II. Productive solutions are developed in response to customer challenges.
23. The complaint lodged by a customer is first assigned to the _ _ _ _ _ for redressal.
Ans: The Branch
24. A customer approaches you and tells that there are several complaints that have not been
resolved. You should first:
Ans: Regard the complaints as accurate and take immediate steps to correct them.

I. Only relying on customer services does not make us customer-centric.
II. Customer Service is not the same as Customer Centricity
26. The actionables for Customer Centricity demands to _ _ _ _ _ the customer’s experience, _ _
_ _ _ about the expressed and unexpressed needs of the customer and_ _ _ _ _what is right,
and appropriate, for the customer.
Ans: OWN, CARE, DO
27. Eradicating repetitive issues and improve customer satisfaction is a way to provide excellent
customer service. This represents _ _ _ _ _
Ans: Process improvement
28. Read the below statements regarding Customer Service and answer appropriately
I. Customer service is mandatory because organisations like to spend money on it.
II. Customer service is mandatory because without it a company will lose customers.
Ans: Only Statement II is TRUE

29. Which of the following is a benefit of excellent customer service?
Ans: Profit goals are more likely to be reached/Once the customer is satisfied few aspects of
service may be ignored
30. Ravi is not satisfied with the current online grocery delivery service and is actively looking
out for an alternative online grocery company which can deliver groceries within 24 hours.
He represents which stage of the customer satisfaction levels?
Ans: Zone of defection
31. Preeti is happy with the health insurance services provided by LifeSure but is also constantly
approached by other insurance companies promising better services. She is planning to have
a discussion with the representatives of the other insurance companies. It represents which
stage of customer satisfaction levels?
Ans: Zone Of Indifference
32. Which of the following statements does NOT represent Customer Service?
Ans: Warning customers when they become irate or angry
33. A company's strategy to turn customers into repeat buyers and prevent them from switching
to a competitor is _ _ _ _ _ _
Ans: Customer Loyalty

I. Respect for the customers is essential for organisation success
II. Courtesy is the act of showing politeness
35. Customer satisfaction is significant for organisations because _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
Ans: Happy and satisfied customers ignore competitors
36. Rajiv is a 30 year old millennial and is very knowledgeable about digital banking processes
and highly critical of transaction failures and further resolutions. He represents a _ _ _ _ _
customer.
Ans: THE KNOW-IT-ALL CUSTOMER
37. _ _ _ _ _ _ represents a situation where a customer thinks more highly of a company after it
has corrected a problem with their service.
Ans: Service Recovery Paradox

38. A customer submits an application for opening a new savings account. When you give the
customer some more forms to complete, he complains about all this is not necessary and is
slowing down approval of his application. In which of the following ways should you respond
to the customer?
Ans: Simply be patient with him.

I. Customer focus is the foundation for customer loyalty.
II. Empathy cannot become a competitive advantage because all companies empathise with
customers.
40. In customer services, going the extra mile indicates_ _ _ _ _ _ _ _
Ans: Making a special effort to achieve something and delight customers
41. According to the escalation matrix, a customer can approach the Banking Ombudsman in
case the grievance is not redressed within_ _ _days of lodging the complaint.
Ans: 30
42. Vivek has been working as a Senior Sales Manager for a consumer durables company. He
meets different customers, daily. He thinks, for _ _ _ _ _ _ _ _ _ _ _ _ customers it is
essentials to set clear expectations and offer a list of options and highlight product at
customers price points.
Ans: THE DEAL MAKER CUSTOMER

I. Customer Centricity is outcome focused and intentional
II. Customer Service is Situational and reactive
44. Some customers cannot seem to make a decision, despite how many questions he/she asks
and gets the clarification. Such customers represents _ _ _ _ _ _ _?
Ans: THE INDECISIVE CUSTOMER

I. Customer Service is the general provision of a product or service and the first step in the
customer-centricity process.
II. Customer Centricity is transaction focused.

46. _ _ _ _ _ _ _ _ _ _ _ _ represents an organizational mindset that places customers, rather
than product or sales, at the centre of the business.
Ans: Customer Centricity
47. Rajiv is a customer service executive in a leading bank and always has a friendly but
professional approach during customer interactions. It appropriately indicates which factor
of being customer focussed?
Ans: Keep a positive attitude.
48. Which of the following statement is incorrect?
Ans: Repetitive customer issues improve customer satisfaction.

1. Customer expectations
Ans: Keep changing
2. The basic need of the customer is _______ that drives him to your product or service.
Ans: The primary factor
3. In today's market, customers have the power because ______
Ans: They have many options to choose from
4. Customer expectations are ______________
Ans: Both Tangible and Intangible
5. The action of frontline employee reflects directly on organisational ___________
Ans: All of these
6. The process customers go through when they are building a relationship with company,
from the point of initial contact is known as ________
Ans: Customer Life Cycle
7. Which of the following is INCORRECT? Feedback must be used to improve ________
Ans: Customer experience
8. Greater Customer Satisfaction increases _________
9. Basic needs of customers cannot be ___________.
Ans: Generated
10. Customer expectations depend on_______________
Ans: All of these
11. For an effective customer focus strategy we must focus on ___________
Ans: Both A & B
12. ___________of a company can impact the customer's purchasing decision.
Ans: All of these
13. If we are not able to fulfil the customer's basic need, ________________.
Ans: Our competitors will

14. _________ is a prediction of how much value a business will gain from the entire course of
their relationship with any given customer.
Ans: Customer Life Cycle Value
15. _______ is a measure of a customer’s likeliness to do repeat business with a company or

brand.
16. Customer Benefit - Customer Cost = ?
Ans: Customer Value
17. A _____ is defined as the customer’s desire for a product's or service's specific benefit for
him.
Ans: Need
18. Which of the following is a Want and not a Need?
Ans: Priority
19. Frontline employees are the _______ of the organisation.
Ans: Image Builders
20. Feedback provides insight into customers'________
Ans: All of these
21. If you meet the expectations of customer, the customer is likely to _____________
Ans: All of these
22. Customer satisfaction will directly reflect in ______
Ans: All of these
23. ________ is a measurement that determines how happy customers are with the
organisation’s products, services and capabilities.
24. Customer focus strategy must be changed regularly.
Ans: Yes, for improvement
25. The sum of all customer interactions and experiences is _____
Ans: Customer Relations

26. Ongoing interactions between company and customer, offered by the company, chosen by
the customer is known as ________
Ans: Customer Engagement
27. ______________________ are responsible for changing customer expectations.
Ans: All of these
28. What can help in holding back customers?
Ans: Enhanced customer satisfaction
29. A satisfied customer is more likely to ________
Ans: All of these
30. Which of the following is a Need and not a Want?
Ans: Reliability
Ans: Recognition
32. Customer's wants are based on __________
Ans: All of these
33. Needs lead to Wants and Wants lead to Demand.
Ans: Correct Statement
34. Which of the following is a Need and not a Want?
Ans: Performance
35. ________ is a measurement that determines how happy customers are with the
organisation’s products, services and capabilities.
36. Multi-channel delivery offers ____ to the customer.
Ans: All of these
37. ___________of a company can impact the customer's purchasing decision.
Ans: All of these
38. We must use _________ to know the insights and enhance customer intimacy.
Ans: Empathy
39. For creating a personalised experience to the customer we must show____________. Select
the most appropriate option.
Ans: Empathy
40. Customer satisfaction will directly reflect in ______
Ans: All of these
41. A _______ is defined as the customer’s desire for products or services that are not
necessary, but which he wishes for.
Ans: Demand
42. Customer expectations are formed ___________ their engagement with you.
Ans: Before and After
43. Customer focus strategy demands that we work as ______ to create a consistent experience.
Ans: A Team
44. Which of the following is NOT Customer Centricity?
Ans: None of these
45. Which of the following forms a part of Customer Centricity?
Ans: All of these
46. Certain set of ideas about a product or service or a brand in the mind of the customer before
and after availing any product or service are called ____________
Ans: Customer Expectations
47. Customer Benefit - Customer Cost = ?
Ans: Customer Value
48. A _____ is defined as the customer’s desire for a product's or service's specific benefit for
him.
Ans: Need
Ans: Priority
Ans: Recognition
1. Which of the following words is most commonly used in courteous communication?
Ans: Please
2. Which of the following is NOT a stage of listening process?
Ans: Manipulating
3. When you render customer service with empathy, the customer will __________
Ans: Value their relationship with you
4. Practical application of good manners so as not to offend others is _______
Ans: Politeness
5. Using the right skills in communication with a frustrated customer, can help the customer
feel _________
Ans: Both A & B
6. Listening process does not involve ________
Ans: Pitching products
7. Positive attitude means being __________
Ans: Proactive
8. Listening process involves _______
Ans: All of these
9. Apologising to the customer when he is upset displays _____ behaviour.
Ans: courtesy
10. Good communication leads to a feeling of ____________ among customers.
11. Good customer service requires, first and foremost, __________
Ans: Listening to the customer
12. Interrupting a customer while talking, reflects lack of
Ans: Respect
13. _________________ is a culturally defined phenomenon.
Ans: Politeness
14. Who has said this? "Attitude is a little thing that makes a big difference."
Ans: Winston Churchill
15. You must be ____________towards your customer to know their perspective.
Ans: Empathetic
16. Which of the following is a benefit derived from good communication?
Ans: All of these
17. Empathy is the best way for you to show your customers that you really _____
Ans: Care for them
18. Effective communication includes _________
Ans: All of these
19. Listening process includes which of the following steps?
Ans: All of these
20. Which of the following is a rule of Courtesy?
Ans: All of these
21. What are the two types of attitudes?
Ans: Positive/Negative
22. Observing non verbal cues, asking relevant questions, demonstrating that you are interested
are all a part of ____________.
Ans: Effective Communication
23. Use of positive language in communication with customers reflects __________
Ans: All of these
24. When you tell the customer that all his needs will be taken care of, you display_______
(Choose the best answer.)
Ans: Optimism
25. Customer ________refers to all the words and actions that are used to show
the customers recognition and respect.
Ans: Courtesy
26. Customers often seek __________ when contacting a brand as they want personalised
experience.
Ans: Human touch
27. Being polite implies being __________
Ans: Accommodating
28. Being positive and optimistic in dealing with customers, means
Ans: Both B & C
29. Being empathetic implies being__________
Ans: Interested
30. To create a personalised experience while communicating with the customer, the company
representative must _________
Ans: Both A and B
31. Empathy helps us communicate our ideas in a way that ___________
Ans: Makes sense to customers
32. Communication with the customers must be _______
Ans: All of these
33. Customer service is enhanced when you display_________
Ans: All of these
34. Which of the following expressions shows respect towards others?
Ans: All of these
34. We must apologise to the customer when he is ___________
Ans: Unsatisfied
35. Being courteous is being
Ans: Respectful
Ans: Convincing
37. While answering customer's technical questions ___________
Ans: Be sensitive and use simple language

38. Technical questions of customers are best answered _________
Ans: By explaining in simple terms
39. Courtesy consists of ___________. Which of the following is INCORRECT?
Ans: Authority
40. Empathy improves _______
Ans: Both A & B
41. In communication with customers we must never use ______ language. Which of the
following is INCORRECT?
Ans: Harmless
42. Observing non verbal cues, asking relevant questions, demonstrating that you are interested
are all a part of ____________.
Ans: Effective Communication
43. We have a choice every day about what __________ we are going to have for the rest of the
day.
Ans: Attitude
44. When a positive attitude in customer service exists, the service staff will appear more
Ans: All of these
Ans: Convincing
46. When companies focus on using _______ in customer service, even a simple interaction can
become more impactful and memorable.
Ans: Empathy
47. The means of sending or receiving information is known as ________
Ans: Communication
48. Positive language is ________
Ans: All of these

KYC AML MODULE 4- VIGILANCE MASTER KEY
1. According to Bank’s guidelines on fraud prevention in SRTO which of the following statement
is/are correct :
IV) Inspection of the vehicles and borrower to be done immediately after default of one instalment
and procedure for Seizure to be initiated so that fraud if any, get unearthed immediately
Ans: Only I, III and IV
is/are correct :

IV) Any adverse report on Collateral Manager to be shared immediately with Corporate Centre.
3. Fraud Mitigation Measures include surprise verification of Agri gold loans. In surprise verification
of gold loans the identified official should ensure that the number of gold loan bags tally with the
number of accounts reported in the:
Ans: Loan Balance File/CCOD file (generated at EoD of previous working day)
5. According to Bank’s guidelines on fraud prevention in E-DFS, which of the following statement
is/are correct :
I) Bank wise segregation of stock be ensured. Diversion of funds to entities engaged in unrelated
activities be examined properly
III) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the key fields
provided by the certifying Chartered Accountants.
such as COVID / CORONA. According to Bank’s guidelines on fraud prevention which of the following
I) Customers should be made aware of the increasing risk of online frauds through phishing emails,
SMS, fraudulent loan and moratorium offers, fake COVID-19 sites and apps, fake banking and
insurance websites etc.
II) Branches should be more vigilant while opening accounts in the name of charitable institutions/
NGOs.
III) Sudden increase of Government credit observed in accounts of the person who may not be
entitled for such grants, should be discreetly enquired into, before allowing withdrawal.
7. The process of investigation will be completed within ___days of receipt of complaint under
Whistle Blower Policy.
Ans: 45 Days
8. The Reviewing Authority, under Whistle Blower Policy shall submit quarterly status report with
Action Taken Report to the :
Ans: Audit Committee of the Board (ACB)
Which of the following statement is/are correct:
I) The Preventive Vigilance Committee is neither a ‘power centre’ nor the sole means for exercising
preventive vigilance.
II) It is akin to the ‘Knowledge Circle’, aimed at prevention of loss and enhancement of performance
IV) The PVC submits status report and Action Taken Report to the Audit Committee of the Board on
annual basis.
Ans: Only I and II
10. PIDPI means
Ans: Public Interest Disclosure & Protection of informer

11. Bank’s guidelines are in place for Fraud prevention and mitigation measures in SME loans. which
of the following statement is/are correct in respect of frauds owing to fabricated financial and
forged title deed:I) Check the authenticity of the documents/ reports/ certificates etc. with UDIN
and the key fields provided by the certifying Chartered Accountants.
12. If Whistle Blower is aggrieved by any action on the ground that he is being victimized due to the
fact that he had filed a complaint or disclosure, he may file an application before the
13. According to Bank’s guidelines on fraud prevention in GSS/ Stand Up India/ MUDRA which of
the following statement is/are correct :
II) Sanctioning officer to visit the unit, meet promoters and carry out proper due
diligence before sanctioning the loan.

following statement is/are incorrect :I) Genuineness of the buyers should be verified to ascertain
their capability of huge buying
IV) Financial statements and other documents should be thoroughly checked for their genuineness
through various online sources e.g. ROC website, UDIN, GSTN network etc. End use of the funds to
be ensured.
Ans: Only III
16. Which of the following statement is/are correct about activities under the purview of the Whistle
Blower Policy
Ans: Should be Only I and III (but two options with Only I, II and III) Choose the 3rd option (
Ans: Employee of the Bank making a disclosure
20. The Whistle Blower Policy has been modified as per
Ans: All the above
21. According to Bank’s guidelines on fraud prevention in SME loans relating to disposal of collateral
security which of the following statement is/are correct : I) Bank should file application for urgent
hearing before DRAT to vacate the stay to be complied/ ensured, and after vacating the stay, the
properties should be sold under SARFAESI Act, II) Details of property to be registered with CERSAI
and CERSAI ID certificate for mortgaged properties to be kept on record, III) Copies of title deeds
must be obtained at the time of creation of mortgage, IV) Independent verification of mortgaged
properties to be carried out only once
Ans: Only I and II
Ans: CGM (Fraud Monitoring Department)

26. Which of the following is NOT among different mechanisms of vigilance?
Ans: Coercive Vigillance
is/are correct :
Ans: Only I and IV

is/are incorrect :
Ans: Only III
banks/ FIs
30. Cost on Preventive Vigilance vis a vis Corrective maintenance and failure cost follow a ratio
Ans: 1:10:100
1. Fraud Mitigation Measures include surprise verification of gold loans. What is the
stipulated periodicity for surprise verification in Agri gold loans?
Ans: Quarterly
2. Which of the following is NOT among Mandatory Standard Cheque Security Features as
per CTS 2010 Guidelines:
III) Account Number Printed in Reverse in a Black Box
Ans: Only II

4. Preventive Vigilance covers which areas of banking activities?
Committees at branches / operating units of the Bank:
I) The immovable security (Primary or Collateral) to be inspected at the time of accepting
the property for the first time and yearly thereafter. & Ownership & Possession
status of the property to be ascertained by making enquiries with the neighbourhood and
occupant of the property to be complied with.
other banks/ FIs
7. Which of the following statement is/are correct about activities under the purview of the
Ans: Only I, II and III (Same two options)
8. As per Alertness Award Scheme of the Bank, a citation or certificate of merit may be given
under :
Ans: Category I
Ans: Loan Balance file / CCOD file (generated at the EoD of the previous working day)
10. Which of the following statement is/ are correct about Identification / Reporting /
Collation and Analysis of Near Miss Event (NME):
I) The Bank shall treat events for which recovery has been made on the same business day
of the event as NME.
II) Capturing NMEs as many as possible, even though not all of them will have the same
importance.
Ans: Both I and II
11. According to Bank’s guidelines on fraud prevention in High Value Banking Frauds, which of
the following statement is/are incorrect :
Ans: Only III
which of the following statement is/are correct in respect of frauds owing to fabricated
other banks/ FIs
Ans: Only I and IV
15. Preventive Vigilance Committee (PVC) is one of the tools for exercising preventive
vigilance. Which of the following statement is/are incorrect :
I) 30% of staff members, minimum 3 officers / employees should be co-opted on the PVC
of each unit.
IV)The controllers (any officer from controlling office-designated for the purpose) to guide
the staff in identifying the areas of vulnerability to frauds / malpractices, visit the branches
/ units periodically and if possible, to attend meetings of PVCs, at least once in 6 months.
transactions irrespective of amount involved, the drawer is to be contacted over
17. Which of the following is an apt description of a Near Miss Event (NME)
Ans: Near Miss Event is an event for which no financial loss has been incurred not because of
effective controls but due to fortuitous circumstances.
19. PIDPI means
Ans: Public Interest Disclosure & Protection of Informer
20. Which of the following is NOT among Mandatory Standard Cheque Security Features as
per CTS 2010 Guidelines:
Ans: Only III
forward the same to the concerned department for initiation of disciplinary proceedings.
III) The Reviewing Authority will be responsible to implement the Policy and ensure that
Reviewing Authority may give suitable directions to the concerned person or the
authority.
Ans: Every employee
24. If Whistle Blower is aggrieved by any action on the ground that he is being victimized due
to the fact that he had filed a complaint or disclosure, he may file an application before
the
25. Which among the following is/are among roles and responsibilities of Designated
Authority under Whistle Blower Policy :
I) The Designated Authority will be responsible to implement the Policy and ensure that
safeguard and protection to the employees who disclose the instances of unethical
practices/ behaviour observed in the Bank.
II) Immediate inspection after purchase of machinery to be done to ensure proper
utilization of funds.
on the project.
Ans: Only IV
27. Which of the following statement is/are correct about activities under the purview of
Alertness Award for Near Miss Events including Prevention/Detection/Foiling of Frauds
I) The contribution made by the staff members in prevention of frauds/ detection of
frauds/ foiling attempts of fraud/Near Miss Events should be significant and exemplary.
II) Detection of income leakage by staff members will also fall under the purview of this
scheme.
Ans: Only I
28. Which of the following is not a security feature in Cheque Truncation System (CTS-2010)
for Fraud Mitigation Measures?
30. NME stands for
Ans: Near Miss Event
Guidelines:
I) VOID Pantograph
II) Printer Name along with CTS 2010
banks/ FIs
4. Which of the following is among Mandatory Standard Cheque Security Features as per CTS
2010 Guidelines:
I) VOID Pantograph
Ans: Only I ,III and IV

6. Which of the following is the new feature in Cheque Truncation System (CTS-2010) for Fraud
Ans: New Rupee symbol
8. In COVID-19 Pandemic environment fraudsters may try to open new accounts containing
terms such as COVID / CORONA. According to Bank’s guidelines on fraud prevention which
of the following statement is/are correct:
II) Vigilance should be exercised while dealing with FCRA / NPO / Charitable institutions /
other accounts in which donations in the name of COVID are being credited.
III) Due care should be taken to properly identify the persons claiming to be government
officials and seeking information which is normally not provided
9. The scheme for Alertness Award for Near Miss Events including
Prevention/Detection/Foiling of Frauds is applicable to _________
Ans: all staff members, including regular, part-time and contract employees in the service
of the Bank
10. What is the new name of Scheme for Recognition & Reward of alertness in Staff Members ?
Ans: Alertness Award for Near Miss Events including Prevention/Detection/Foiling of

Frauds
11. Which of the following is NOT among Mandatory Standard Cheque Security Features as per
CTS 2010 Guidelines:
Ans: Only III
1. According to Bank’s guidelines on fraud prevention in E-DFS, which of the following
II) Depletion of stock to be converted into increase in liability
III) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the key
Only I, III and IV
II) Vigilance should be exercised while dealing with FCRA / NPO / Charitable institutions /
other accounts in which donations in the name of COVID are being credited.
III) Due care should be taken to properly identify the persons claiming to be government
officials and seeking information which is normally not provided
Only I, II and III
other banks/ FIs
Only II and III

ANS: Whistle Blowers are investigators or finders of facts
ANS: Employee of the bank making a disclosure
7. PIDPI means
ANS: Public Interest Disclosure & Protection of Informer
is/are incorrect :
IV) It is to be ensured that underlying stocks are segregated/ properly tagged with Bank’s
name.
ANS: Only II
9. The action taken against each disclosure will be put up to the Reviewing Authority within
___days of receipt of complaint under Whistle Blower Policy.
ANS: 7 DAYS
ANS: Protection from adverse penal action even when disclosure is frivolous
is/are correct :
Centre.
Which of the following statement is/are incorrect in respect of frauds owing to fabricated
I) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the key
II) Reporting of Third-Party Entity (TPE) to Law Enforcement Agencies for black listing.
ANS: Only II
13. As a part of pre-sanction Survey for Home loans and Home Related Loans seven digit
certificate number on form 16 is to be verified form :
ANS: https://contents.tdscpc.gov.in
which of the following statement is/are incorrect in respect of frauds owing to overvaluation
of collateral and diversion of fund :
15. According to Bank’s guidelines on fraud prevention in Forex, which of the following
III) Export Packing Credit (EPC) to be released after obtaining copies of confirmed orders and
to be liquidated out of export proceeds.
is/are correct :
IV) Financing of stocks held in borrowers godowns may be permitted.
ANS: Only I, II and III
17. According to Bank’s guidelines on fraud prevention in GSS/ Stand Up India/ MUDRA which
of the following statement is/are correct :
ANS: Only I, II and IV
18. As per confidentiality mechanism of whistle blower, the identity of the whistle blower
remains with the:
Ans: Designated Authority
Committees at branches / operating units of the Bank-
ANS: Branches having staff strength of 20 or more
of funds.
ANS: Only II and IV
21. According to Bank’s guidelines on fraud prevention in SRTO which of the following
I) Registration of vehicle and noting of Bank’s hypothecation charge in the books of RTO to
be done and verified from “vahan.nic.in” site.
disbursement.
immediately
ANS: Only I ,III and IV
ANS: Account Number Printed in a Black Box
23. Any employee (officer / award) willing to disclose information under Whistle Blower Policy,
may do so in which of the following manner?
ANS: All of these
ANS: Only I and III
26. As a part of pre-sanction Survey for Home loans and Home Related Loans TAN of borrower
and employer as per Form 16 is to be verified form :
ANS: https://incometaxindiaefiling.gov.in
ANS: CGM (Fraud Monitoring Department)
ANS: Registered Mobile Number of the drawer
29. Which of the following is incorrect statement about Preventive Vigilance Committee
ANS: It is the sole means for exercising preventive vigilance
each unit.
the staff in identifying the areas of vulnerability to frauds / malpractices, visit the branches /
units periodically and if possible, to attend meetings of PVCs, at least once in 6 months.
1. According to Bank’s guidelines on fraud prevention in GSS/ Stand Up India/ MUDRA which of
III) Due diligence on supplier- supplier should not be a related party.
IV) OTMS alerts may be responded in routine manner
Ans: Only I and IV
I) The immovable security (Primary or Collateral) to be inspected at the time of accepting the
property for the first time and yearly thereafter. & Ownership & Possession status
of the property to be ascertained by making enquiries with the neighbourhood and occupant
of the property to be complied with.
other banks/ FIs
6. As a part of pre-sanction Survey for Home loans and Home Related Loans GST Registration
number of borrower and dealer is to be verified form :
Ans: Every employee
is/are correct :
Centre.
III) Export Packing Credit (EPC) to be released after obtaining copies of confirmed orders and
to be liquidated out of export proceeds.
of funds.
Ans: Only II and IV
verification of gold loans the random basis check involves:
Ans: Checking the ornaments for purity in respect of 30% or maximum of 100 gold loan accounts
whichever is less
Ans: Only III
other banks/ FIs
I) Customers should be made aware of the increasing risk of online frauds through phishing
emails, SMS, fraudulent loan and moratorium offers, fake COVID-19 sites and apps, fake
banking and insurance websites etc.
institutions/ NGOs.
III) Sudden increase of Government credit observed in accounts of the person who may not
be entitled for such grants, should be discreetly enquired into, before allowing withdrawal.
other banks/ FIs
forward the same to the concerned department for initiation of disciplinary proceedings.
III) The Reviewing Authority will be responsible to implement the Policy and ensure that the
Ans: Only I and III
is/are incorrect :
IV) It is to be ensured that underlying stocks are segregated/ properly tagged with Bank’s
name.
Ans: Only II
which of the following statement is/are incorrect in respect of frauds owing to overvaluation
of collateral and diversion of fund :
25. Any employee (officer / award) willing to disclose information under Whistle Blower Policy,
may do so in which of the following manner?
Ans: All of these
is/are correct :
IV) Financing of stocks held in borrowers godowns may be permitted.
of funds.
on the project.
Ans: Only IV
I) The Designated Authority will be responsible to implement the Policy and ensure that the
safeguard and protection to the employees who disclose the instances of unethical
practices/ behaviour observed in the Bank.
29. As a part of pre-sanction Survey for Home loans and Home Related Loans seven digit
30. As per confidentiality mechanism of whistle blower, the identity of the whistle blower
remains with the:
Ans: Designated authority
Ans: Quarterly
32. Who is the Designated Official under whistle blower policy of the Bank?
Ans: DGM & CFO for circles / GM (Fraud Monitoring Department) for CC establishments
34. Which of the following does not come under the purview of the Whistle Blower Policy
Ans: Complaint with non verifiable contents
II) Noting of charge with revenue authority on mortgaged property to be ensured within
one year of EM creation.
Ans: Only I and IV
Ans: Only II and IV
37. As a part of pre-sanction Survey for Home loans and Home Related Loans TIN of borrower
is to be verified form :
38. As a part of pre-sanction Survey for Home loans and Home Related Loans TDS of borrower
is to be verified form :
Ans: Only I and IV
40. Preventive Vigilance Committee (PVC) is one of the tools for exercising preventive
performance
Ans: Only I and II
KYC E-Lessons for Officers
KYC Module 1 – Anti-Money Laundering & Combating the Financing of Terrorism
Q. Who is the "Designated Director" as per the 'AML/CFT STRUCTURE in our BANK' ?
Ans: MD (R, C & SARG)
Q. What is the threshold limit of transactions to be reported under Cross-Border Wire

Transfer Report?
Ans: Transactions of value of more than Rs Five lacs or its equivalent in Foreign
currency.
Q. What is Trade Based Money Laundering or TBML?
Ans: TMBL is the process of disguising the proceeds of crime and moving value
using trade transactions to legitimize their ilicit origins.
Q. What is the periodicity of Customer Risk Categorisation (CRC) for Low risk individuals
and entities?
Ans: Every 10 years
Q. What is True about 'System generated STRs'?
Ans: System Generated STRs are esclaed based on alerts triggered by AML
software system.
Q. A customer, owning a small tea shop near your branch, entered the branch to deposit a
cheque of large amount in his account. The cheque had been purportedly drawn by Coal
India Ltd. Customer is not able to provide sufficient clarification to the queries of the front-
line staff. The lady associate refers the case to service manager. The customer frequently
changes his statements, when more detailed information is requested by the service
manager. It is evident to the branch officials that the information that the customer has
been providing is minimal and possibly false or inconsistent. The branch head has
decided to report it as a Suspicious Transaction /Suspicious Activity through a Suspicious
Transaction Report/Suspicious Activity Report. What is the category of source of such an
offline Red Flag Indicator (RFI)/ alert?
Ans: Employee initiated (EI) – Employee raised alert – customer provides

inconsistent information.
Q. Mr S is a student studying in AMU and having an account with your branch. One fine
day you received a letter from nearby branch of another nationalised bank, regarding
unusual pattern of transactions noticed in the account of Mr S, held with them. Some of the
transactions had originated through your branch. When you verified the transactions in the
account with your branch, you also found transactions, which were inconsistent with the
profile of the account holder. You immediately decided to report these transactions as
Suspicious Transactions through a Suspicious Transaction Report. What is the category
of source of such an STR?
Ans: Business Associates (BA)- Information received from other institutions,

subsidiaries and business associates.
Q. Who is designated as PRINCIPAL OFFICER as per the 'AML/CFT STRUCTURE in

our BANK' for the purpose of Section 12 of PMLA, 2002?
Ans: GM (AML-CFT)
Q. You being the Beneficiary Bank, have received a wire-transfer from Ordering Bank in
favour of Al Faraz & Co. The detailed information on the fund remitter is missing with the
message. Despite repeated requests the ordering bank has failed to furnish information
on the remitter, Being a beneficiary Bank what will be your action and view regarding the
ordering Bank?
Ans: The Beneficiary Bank should hold the credit on the risk and responsibiltiy of
the ordering bank.
Q. Mr A has deposited Rupees forty nine thousand in cash in ten different accounts on the
same day and then transferred the so deposited amount from all the ten accounts to his
own personal account. Then he issued a cheque for effecting an RTGS in favour of an
educational institute. Mr A stated that he wanted to pay the money to the institute for
undertaking some course, while replying to query raised by the service manager. The
service manager is not convinced as the transactions are unnecessarily complex for the
stated purpose. He reported the incident to the branch head. The branch head decides to
report it as a Suspicious Transaction /Suspicious Activity through a Suspicious Transaction
Report/Suspicious Activity Report. What is the category of source of such an STR/SAR?
Ans: Employee Initiated (EI) – Employee raised alert – transaction is unnecessarily

complex.
Q. What is full form of FATF?
Ans: Financial Action Task Force
Q. Which of the following is NOT a category of source of system generated STR

Ans: Business Associates (BA) or Customer Verification (CA) or Public Complaint

(PC) or Law Enforcement Agency Query (LQ) or Media Reports (MR)
Q. A Branch received queries from state police regarding Mr X, who is a customer of the
branch. It was evident from the query that the customer was under investigation in regards
to various criminal offences. Should the branch file a Suspicious Transaction Report (STR
)/ Suspicious Activity Report (SAR) in this case ?
Ans: Yes Branch should report it as a STR /SAR but the reporting to FIU-IND will be
through the Principal Officer GM (AML-CFT).
Q. What is the third Stage of Money Laundering after first two stages of Placement and
Layering?
Ans: Integration
Q. Mr X opened an account but the letter of thanks as well as customised cheque book
got returned with the remark "Customer not staying at the provided address'. The branch
officials also confirmed the fact by visiting in person and decided to report this through a
Suspicious Transaction Report (STR)/ Suspicious Activity Report (SAR). What is the
category of source of such an offline Red Flag Indicator (RFI)/ alert ?
Ans: Customer Verification (CV) – Detected during customer acceptance,

identification or verification.
Q. A Branch received queries from NSA regarding Mr Z, who is a customer of the branch.
It was evident from the query that the customer was under investigation in regards to terror
financing offences/ terrorist activities. The branch decided to report this incident through a
Suspicious Transaction Report (STR)/ Suspicious Activity Report (SAR). What is the
category of source of such an offline Red Flag Indicator (RFI)/ alert ?
Ans: Law Enforcement Agency Query (LQ)- Query or letter received from Law
Enforcement Agency.
Q. What is the periodicity of Customer Risk Categorisation (CRC) for Medium risk
Ans: 8 years
Q. Each Business Group/Circle/SBU designates an official to ensures proper

implementation of KYC/AML/CFT Policy in the Group/Circle/SBU and to report to the
Principal Officer (AML-CFT). What is the designation of such designated official?
Ans: Money Laundering Reporting Officers (MLROs)
Q. A customer of a branch in Hyderabad, was not able to answer the queries made by the
service manager, regarding the drawer of the cheque, which had been drawn for a large
amount. Customer was nervous and over cautious in explaining genuineness of the
transaction and frequently changing his statements. This made the official as well as the
branch head suspicious and they decided to report the incidence as a Suspicious Activity
through Suspicious Activity Report/ STR. Under which category the source of the offline
Red Flag Indicator (RFI)/ alert will fall?
Ans: Employee Initiated (EI) : Employee raised alert – customer is nervous or over
cautious.
Q. A customer of a branch in Secunderabad, did not complete transaction after queries
were made by the dealing staff, regarding source of the funds and left the branch in
feigned anger, the branch diligently decided to report it as a Suspicious Activity through
Suspicious Activity Report/ STR. Under which category the source of the offline Red Flag
Indicator (RFI)/ alert will fall?
Ans: Employee Initiated (EI) – Employee raised alert
Q. How many types of STRs are there?
Ans: System Generated STRs and Subjective STRs
Q. What is the act of 'Tipping Off' ?
Ans: The act of letting customers know that their transactions/ accounts are udner
suspicion and may be subject to reporting, is refered to as tipping off.
Q. Suspicious Transactions Reports (STRs) can be classified into two following broad
categories that is_______________, based on the source of the alert which resulted in
escalating such STRs.
Ans: System generated and Subjective STR
Q. As per Prevention of Money Laundering (Maintenance of Records) Rules-2005 what

does a “Suspicious Transaction” mean ?
Ans: Any transaction in whether cash or not which gives rise to a reasonable
ground of suspicion.
Q. Mr Y visited a bank branch to open account of a Pvt Ltd company. It was difficult to
identify beneficial owner due to complex legal structure and complex holdings in the
company as well as non cooperation by the directors. The branch got suspicious and
decided to file a Suspicious Transaction Report (STR)/ Suspicious Activity Report (SAR) in
this case. What is the source of such an offline Red Flag Indicator (RFI)/ alert ?
Ans: Customer Verification (CV): Detected during customer acceptance,

identification or verification.
Q. In one of our branches an FDR was created of a large amount through the, so called
investment advisor, of an institution. Fraudsters handed over counterfeit FDR to the real
investor and subsequently within a span of few days approached the branch to avail a
loan/OD facility against original FDR and other forged documents. Due to the due
diligence on the part of the branch officials the fraud was averted and the attempt to
defraud was reported as attempted Suspicious Transaction/ Suspicious Activity through a
Suspicious Transaction Report. What is the category of source of such an STR?
Ans: Employee Initiated (EI) : Employee raised alert
Q. AGM Regions/Branch Heads / Heads of the CPCs- are responsible for reporting of
suspicious transactions passing through their units. What is the designated role of AGM
Regions/Branch Heads / Heads of the CPCs as per the 'AML/CFT STRUCTURE in our
BANK'?
Ans: Assistant MLRO
Q. A customer entered the main branch of a bank in Agra city. The behaviour of the
customer made the service manager suspicious when the customer failed to answer few
questions asked by the service manager as part of customer due diligence.
Customer had vague knowledge about amount of money involved in the transaction.
Customer was nervously calling someone else and taking instructions for conducting
transactions and answering queries of branch officials. His behavioural pattern put the
branch officials on alert, and it was decided by branch to report the incidence as a
Suspicious Transaction /Suspicious Activity through a Suspicious Transaction
Report/Suspicious Activity Report. What is the category of source of such an offline Red
Flag Indicator (RFI)/ alert?

inconsistent information and nervous.
Q. At what stages Transaction monitoring is conducted?
Ans: Pre-Transaction Stage and Post Transaction stage.

Q. The service manager of a branch has brought to the notice of the branch head that Sh
Blacky has been visiting branch quite often with frequent requests to access his locker. He
has already operated the locker for 18 times during past 30 days. When contacted he
could not provide satisfactory reply and rather abused the staff for not cooperating. As a
branch head, you decided to report this incident as Suspicious Transactions / Suspicious
Activity through a Suspicious Transaction Report/Suspicious Activity Report. What is the
category of source of such an STR/SAR?

satisfactory reply / information.
Q. You as a branch head received complaint from public in general for abuse of account
for committing fraud by Sh Haughty. This you verified by going through the transactions in
the account. Sh Haughty is non cooperative and does not enjoy good reputation. You
decided to report this matter as Suspicious Transactions / Suspicious Activity through a
Suspicious Transaction Report/Suspicious Activity Report. What is the category of source
of such an STR/SAR?
Ans: Public complaint (PC) -Complaint received from public
Q. What is meant by 'Integration' process in Money Laundering Process?
Ans: It is the final stage of money laundering in which the laundered funds are
accumulated and re-introduced in the legitimate economy. The money launderer
might choose to invest the funds into real estate, luxury assets, or business
ventures etc.
Q. In case a customer offers different identifications on different occasions with an

apparent attempt to avoid linkage of multiple transactions, and the frontline staff reports
this incident to you, in the capacity of a branch head. You should report this incident
through a Suspicious Transaction Report (STR)/ Suspicious Activity Report (SAR) as a
CDD measure. The source of this type of offline Red Flag Indicator (RFI)/ alert, will fall
under ________ Category.
Ans: Employee Initiated (EI) Employee raised alert- Customer offers different
identifications on different occasions.
Q. Who are called “Money Mules”?
Ans: A person who allows his accoutns to be used for money laundering purposes.
Q. A Branch received queries from state police regarding Mr X, who is a customer of the
branch. It was evident from the query that the customer was under investigation related to
money laundering offence. The branch decided to report this incident through a Suspicious
Transaction Report (STR)/ Suspicious Activity Report (SAR). What is the category of
source of such an offline Red Flag Indicator (RFI)/ alert ?
Ans: Law Enforcement Agency Query (LQ)- Query or letter received from Law
Enforcement Agency.
Q. Which of the following is NOT a category of source of Subjective STR (Suspicious

Ans: Watch List (WL) related: Matching the customer details by system, with the
specified negative lists such as UN list, OFAC etc.
Q. The dedicated AML-CFT department of our Bank is situated in ______city?
Ans: Jaipur
Q. Mr S runs a sweet shop in the city market. He is also having a current deposit account
with our city branch. The service manager has noticed that during past few days large
sums are being received in the account through NEFT/RTGS from various centres across
neighbouring states, which is inconsistent with the past pattern of transactions in the
account, as well as , inconsistent with the customer’s business. Mr S , whenever contacted
for explanation, has been avoiding the interaction. Looking to the gravity of situation it was
decided by the branch to these transactions as Suspicious Transactions through a
Suspicious Transaction Report/Suspicious Activity Report. What is the category of source
of such an STR/SAR?
Ans: Employee Initiated (EI) : Employee raised alert – transaction inconsistent with
business.
Q. Why account of a shell company should not be opened/maintained by a Bank?
Ans: Shell company may be used by criminals for laundering of ill-gotten money ,
evading taxes and perpetuating fraud.
Q. Sunshine Kids' an NPO, has been maintaining a savings bank account with your
branch. A foreign remittance received by NPO is not approved by FCRA. The
management of the NPO is requesting to credit the amount without insisting for FCRA
approval. The service manager brought this issue to the notice of the branch head who in
turn decided to report this instance as Suspicious Transactions / Suspicious Activity
through a Suspicious Transaction Report/Suspicious Activity Report. What is the category
of source of such an STR/SAR?
Ans: Employee Initiated (EI) – Employee raised alert – Unapproved inward

remittance in the account of NPO
Q. What is full form of FIU-IND?
Ans: Financial Intelligence Unit- India
Q. On one fine day a customer approached the frontline staff of a bank branch and asked
if he could deposit Rs 25 lac in cash in his account on five different dates within a month
and whether the branch will report these transactions in Cash Transaction Report. When
replied in affirmation he tried to convince the staff to avoid reporting as each transaction is
below the threshold level. He deposited Rs 5 lac in cash and asked the way outs, to avoid
reporting further cash transactions in his account. One of the associates reported this
suspicious behaviour of the customer to the branch head. The branch head decided to
report it as a Suspicious Transaction /Suspicious Activity through a Suspicious Transaction
Report/Suspicious Activity Report. What is the category of source of such an offline Red
Flag Indicator (RFI)/ alert?
Ans: Employee intitated (EI) – Employee raised alert – customer wants to avoid
reporting
Q. Mr S did not open account after being informed about KYC requirements, the dealing
officer has sufficient reasons to believe that this activity should be reported as a suspected
transaction and a Suspicious Transaction Report (STR)/ Suspicious Activity Report (SAR)
must be raised. The source of such an offline Red Flag Indicator/ alert falls
under______category?
Ans: Customer Verification (CV) -Detected during customer acceptance,

identification or verification
Q. To facilitate proper monitoring of transactions by Money Laundering Reporting Officers

(MLROs), as per reporting structure that has been put in place, who is designated as
Assistant MLRO?
Ans: All Branch Heads, Region Heads and CPC Heads
Q. Who are nominated as MLROs at Circle level as per the 'AML/CFT STRUCTURE in
our BANK' ?
Ans: DGM & CFOs

KYC Module 2 – Know Your Customer Policy- Customer on-boarding
Q. Enhanced Due Diligence (EDD) is required to be exercised in respect of what type of

customers-
Ans: All of the above (PEP, Relative of PEPs and High Risk Customers)
Q. Ms C has instructed to transfer her account from branch 'A' to branch 'B'. The account
is fully KYC compliant account. The officer at branch 'B' has asked her to submit the
identity documents afresh, which she resisted.
What are the instructions regarding this?
Ans: If KYC verification has already been done for the concerned account and the
same is not due for periodic updation, the KYC verification done by 'A' branch will
be valid for transfer of account to 'B' Branch.
Q. The KYC policy includes four key elements. Which of the following is the correct set of
these four elements?
Ans: Customer Acceptance Policy, Risk Management, Customer Due Diligence,

Q. In case, during Name Screening process, particulars of any customer match beyond
doubt, with the particulars of designated individuals/ entities, the branch through its
controllers/ AML/ CFT Department shall immediately,___________ inform full particulars to
the Joint Secretary (CTCR), Ministry of Home Affairs, GOI.
Ans: Not later than 24 hours
Q. Which of the following statements regarding Customer Identification Procedures (CIP)

is correct?
Ans: Customer identification means undertaking client due diligence measures

while commencing an account-based relationship including identifying and
verifying the customer and the beneficial owner.

is correct?
Ans: Branches shall undertake Customer Identification while carrying out

transacions for a non-account-based customer, that is a walk-in customer, where
the amount involved is equal to or exceeds rupees fifty thousand, whether
conducted as a single transaction or several transactions that appear to be
connected.
Q. Which of the following is NOT true in respect of the Periodic Updation of KYC, in the
case of individuals?
Ans: Branches/ Business units shall ensure physical presence of the customer in
alal cases of KYC updation, for submission of copy of OVD/ consent letter.
Q. The Bank has put in place a suitable _____________ process to ensure that no person
or entity opens an account with the Bank/Branch whose identity matches with any person
or entity in the banned list circulated by RBI.
Ans: Name Screening
Q. If the branch has doubt about authenticity / veracity or the adequacy of the previously
obtained customer identification data, what is the periodicity for review of profile of
Customer?
Ans: Whenever the branch has doubt about authenticity / veracity or the adequacy
of the previously obtained customer identification data.
Q. While opening an account in the name of a sole proprietary firm in addition to CDD of
the individual (proprietor) two documents or the equivalent documents thereof as a proof of
business/ activity in the name of the proprietary firm shall also be obtained. In cases where
it is not possible for the firm to furnish two such documents, can branch open the account
with obtaining one document only?
Ans: Branch may at their discretion, accept only one document in the name of the
firm as proof of business/ activity subject to 'Contact Point Verification'.
Q. In which of the following situations Customer Identification Procedure (CIP) is not

required to be carried out, by the Branches/offices?
Ans: While effecting remittance for a non-customer who has approached for
remitting INR 20000 through NEFT in cash.
Q. An account which has been opened using Deemed OVD, for the limited purpose of
current address, within what period the customer will provide the OVD updated with
current address?
Ans: The customer shall submit OVD updated with current adress within a period of
three months of submitting the deemed OVD.
Q. If a customer, who has submitted Aadhar number voluntarily, wants to provide current
address different from the address contained in Aadhaar records, which of the following
document will be obtained as proof of current address?
Ans: Simply a self-declaration regarding current address may be obtained.
Q. Which statement is NOT correct in respect of obtention of Aadhar number for CDD of
an Individual?
Ans: Banks must obtain the Aadhar number/ card from a customer whenever he is
desirous of opening an account with a Bank.
Q. An account becomes KYC Non-Compliant/ KYC discrepant, and the bank takes steps
to make such accounts KYC Compliant. However, if the customer is not forthcoming to
provide the necessary documents and/or information. What steps bank will take?
Ans: Bank will take the steps towards phased imposition of partial/ full freeze and
eventual closure of the account.
Q. Which of the following documents are required to be obtained as Customer Due

Diligence measures for opening an account in the name of a sole proprietary firm?
Ans: Prescribed documents for undertaking
Q. A small account which has been opened without obtaining OVD when it will become
Ans: The account shall remain operational initially for a period of twelve months
which can be extended for a further period of twelve months, provided the account
holder applies and furnishes evidence of having applied for any of the OVDs during
the first twelve months of openinf of the said account.
Q. Which of the following statements is NOT correct regarding Unique Customer

Identification Code (UCIC) ?
Ans: It is also required to create UCIC for all walk in / occasional customers.
Q. Which one of the following is not an Officially Valid Document” (OVD)?
Ans: Permanent Account Number (PAN)
Q. In which of the following instances, Customer Due Diligence (CDD) Procedure in the
case of an Individuals is required?
Ans: All the statements are correct.
Q. Which of the following statements is correct regarding the requirement of the

undertaking of customer due diligence (CDD) by the financial institutions?
Q. What is V-CIP in respect of KYC?
Ans: Video Based Customer Identification Procedure
Q. Branches/offices shall undertake Customer Identification while selling third-party

products as agents, selling our own products, payment of dues of credit cards/ sale, and
reloading of prepaid/ travel cards and any other product. Which of the following statement
is correct in this regard?
Ans: Branches/ offices shall undertake Customer Identification while selling of

third-party products as agents, selling our own products, payment of dues of credit
cards/ sale and reloading of prepaid/ travel cards and any other product for more
than Rs 50,000/-
Q. What is the periodicity of Customer Risk Categorisation (CRC) for High risk individuals
and entities?
Ans: Every 2 Years
Q. Branches shall undertake Customer Identification while carrying out any international
money transfer operations. Which of the following statement is most appropriate in this
regard?
Ans: Branches shall undertake Customer Identification while carrying out any
irrespective of amount.
Q. Which of the following statement is correct regarding identification of beneficial owner in

case of a company?
Q. For opening an account in the name of a sole proprietary firm, CDD of the individual
(proprietor) is carried out. In addition to this, the bank should obtain two documents or the
equivalent documents thereof as proof of business/ activity in the name of the proprietary
firm. Which of the following documents, in the name of the firm, will serve the purpose?
Ans: All the above.
Q. Which of the following is not true regarding the Video-based Customer Identification
Process (V-CIP)?
Ans: Video based CIP will be treated as Non face-to-face CIP.
Q. If, during Name Screening process, the ID of the applicant/customer is different from
the ID of the corresponding person in the negative lists, then the name and other
identifiers of the applicant/ customer are matched with those of the corresponding person
given in the negative lists. In case the name and at least ____________ other identifiers
match, it is considered a positive match.
Ans: two
Q. Which of the following documents are not required by the bank for opening an account
of a Partnership Firm?
Ans: Certificate of incorporation, Memorandum and Articles of Association
Q. “Where no natural person is identified in case the client is a Company / Partnership firm
/ Unincorporated Association or Body of Individuals, Who will be treated as ‘Beneficial
Owner’ as per PML Amendment Rules 2013 ?
Ans: The relevant natural person who holds the position of senior managing official.
Q. Which one of the following is not an Officially Valid Document” (OVD)?
Ans: Landline Telephone Bill
Q. Which one of the following options is not the purpose of name screening?
Ans: To avoid the risk of financing an entity which is having a dubious reputation of
non-repayments to its creditors.
Q. A well-designed KYC Policy complements the AML/ CFT systems deployed in a bank.
Which one of the of the following is not true/ correct?
Ans: It prevents the bank from the lending to the persons with poor financials and
saves the precious capital of bank.
Q. Ms. Zia a Non-account holder has approached your branch to remit USD 200/- to a
foreign country as a fee for some application. The service Manager asks for identity
documents from him, which he resists stating that he is simply sending a fee, and he is not
opening an account. Which of the following statements is correct?
Ans: It is necessary to verify the identity of the walk-in customers for all
international money transfer operations, irrespective of amount.
Q. Where the OVD furnished by the customer does not have an updated address, the
bank can accept a utility bill, as deemed OVD, for the limited purpose of proof of address.
Which of the following option is correct in respect of a Utility Bill?
Ans: Utility bill which is not more than three months old of any service provider
( electricity, telephone, post paid mobile phone, piped gas , water bill) can be
accepted.
Q. Which of the following statement is correct regarding the identification of a beneficial

owner, where the customer is a trust?
Ans: Where the customer is a trust, the identification of beneficial owner(s) shall
include identification fo the author of the trust, the trustee, the beneficiaries with
15% or more interest in the trust and any other natural person exercising ultimate
Q. Branch AB Park has received a request for opening an account in the name of a
Partnership firm, the officer in the branch has identified that all the three partners are
beneficial owners. How many CIFs are required to be created while opening the account
in the name of that Partnership firm?
Ans: Four
Q. What is the periodicity of Customer Risk Categorisation (CRC) for Medium risk
Ans: Every 8 years
Q. Customer risk categorization (CRC) is carried out by AML-CFT Department at pre-

defined periodicity. Which of the following option regarding periodicity is not correct?
Ans: CRC is done weekly for the incremental accounts/ customers.
of an unincorporated association or a body of individuals?
Ans: Registration certification and Trust Deed.
Q. For Risk management, Bank has adopted a _____________as per RBI Guidelines?
Ans: Risk Based Approach
Q. What is the major risk of non-compliance with the KYC Policy?
Ans: Compliance and Legal Risk.
Q. The Customer Acceptance Policy (CAP) section of the Bank’s KYC Policy, lays down
the criteria for acceptance of a person as a customer of the bank. Which of the following
statement is not correct in respect of CAP?
Ans: An account may be oopened in anonymous or fictious / benami name but it

must be ensured that identity of customer does not match with any person or entitiy
whose name appears in the sanction's lists circulated by RBI.
Q. Which of the following categories of accounts are NOT exempted from obtention of
Ans: Partnership firms or LLPs
of a Trust?
Ans: Memorandum and Articles of Association
Q. Some of the Customer categories may carry more than the ordinary risk of money
laundering and terrorist financing and therefore warrant a better understanding and closer
scrutiny by the operating staff at all levels. Out of the list given below, which Customer
category does not fall under this category?
Ans: Account of NGOs prooted by UNO or its agencies.
Q. The Customer Acceptance Policy (CAP) section of the Bank’s Policy & Procedure
Guidelines on KYC/ AML/ CFT Measures lays down the criteria for acceptance of a person
as customer of the bank. Which of the following statement is not correct in respect of
CAP?
Ans: If an existing KYC compliant customer of our Bank desires to open another
account with another Branch, fresh Customer Due Diligence (CDD) exercise has to
be undertaken.
Ans: It is sufficient to follow Customer Due Diligence (CDD) Procedure in respect of

the first account holder only in case of joint account holders, while opening a joint
account.
is NOT correct?
Ans: Branches shall undertake Customer Identification while selling of third-party

products as agents, selling our own products, payment of dues of credit cards/ sale
and reloading of prepaid/ travel cards and any other product for more than Rs
500,000/-
Q. Some of the Customer categories may carry more than the ordinary risk of money
laundering and terrorist financing and therefore warrant a better understanding and closer
scrutiny by the operating staff at all levels. Out of the list given below, which does not fall
under this category?
Ans: Customers identified through V-CIP (Video Customer Identification Procedure),

who did not approach branch/ branch officials while onboarding.
Q. As per the RBI guidelines, what is the Periodicity of review of Customer Risk
Categorisation (CRC)?
Ans: Review of risk categorization of cutomers should be carried out a periodicity of

not less than once in six months.
of a company?
Ans: Utility bills such as electricity , water, landline telephone bills, etc. as a proof of
address.
Q. What is NOT true regarding KYC/AML/CFT guidelines issued by RBI?
Ans: It prevents banks/ Fis from lending, funds to borrowers who can not provide
proper KYC documents.
Q. As per RBI Guidelines on dealing in Virtual Currencies (VC) in India, which of the
following statement is correct as per Customer Acceptance Policy (CAP)?
Ans: As per RBI Guidelines, Bank sall not deal in Virtual Currencies (VC) or provide
services for facilitating any person or entity in dealing with or settling Vcs.
Q. Which of the following categories of accounts are NOT exempted from obtention of
Ans: Private limited company

KYC Module 3 – Impact of Feeding Erroneous data while On-boarding of Customers
Q. Enhanced due diligence is required to be undertaken in respect of which type of

customers?
Ans: High-risk customers
Q. Which of the following is NOT a probable impact due to account opened with misspelt
name (Rahim/Raheem) ?
Ans: Impacts monitioring as citizens of some specific countries are not permitted to
open accounts in India.
Q. Which of the following statement is /are correct regarding RBI instructions on Money
Laundering and Terrorist Financing Risk Assessment by Banks & other Res?
Ans: The regulator may provide guidelines, but it's up to the individual institution/
RE to determine the exact level of 'Money Laundering (ML) and Terrrorist Financing
(TF) risk.
Q. As per laid procedure for implementation of Section 51A of the Unlawful Activities
(Prevention) Act, 1967, in case of match of particulars of any of their customers match with
the particulars of designated individuals/entities, the banks shall inform to the Central
[designated] Nodal Officer for the UAPA. Which of the following mode of communication
have to be used for this?
Ans: All of the above modes are to be used.
Q. RBI directions make it mandatory for Banks/REs to report details of accounts

resembling any of the individuals/entities in the negative lists to various authorities. Which
set of the institutions given in the following options is the correct one?
Ans: FIU-IND & Ministry of Home Affairs
Q. As per laid procedure for implementation of Section 51A of the Unlawful Activities
(Prevention) Act, 1967, in case of which type of transaction(s), banks shall file Suspicious
Transaction Report (STR) with FIU IND in case, the particulars of any customers match
with the particulars of designated individuals/entities?
Ans: All transaction carried through or attempted
Q. Which of the following data error will impact generation of alert by system in name
screening process?
Ans: Name of the constituent
Q. Feeding of erroneous data regarding ‘Date of Birth’ may lead to
Q. Feeding of erroneous data regarding ‘Gender- Male/Female/Transgender’ may not lead

to
Ans: periodic updation of KYC
Q. Periodic updation of KYC is to be carried out at least once in every _____ years for
Ans: 2
Q. Transaction monitoring is carried out for which of the following purposes?
Ans: Both of the above
Q. Which of the following problems would be caused by erroneous feeding of Address

proof details of Resident Indians?
Ans: Errors in name screeing by AMLOCK software.
Q. Which of the following parameters is NOT considered for Customer Risk

Categorisation-
Ans: Assets and outstanding liabilities of the customer
Q. Which of the following is not the objective of Customer Risk Categorisation?
Ans: To ensure proper classification of loan accounts.
Q. Which of the following statement is NOT correct?
Ans: A financial institutions (FI) would not face any fines, sanctions, and
reputational damage, if it deals with a money launderer or a terrorist in the absence
of correct data.
Q. Feeding of erroneous data regarding ‘Gender- Male/Female/Transgender’ may lead to-
Ans: non-compliance of Government guidelines in the extension of Gender-specific

subsidy benefits.
Q. Which of the following data error will impact result of name screening by AMLOCK
software?
Ans: Name of the customer
Q. In the process of Name screening, a positive match is said to occur when_____
Ans: the name and at least two other identifiers as given in negative list.
Q.As per the laid procedure for implementation of Section 51A of the Unlawful Activities
(Prevention) Act, 1967,in case, the results of the verification indicate that the properties are
owned by or are held for the benefit of the designated individuals/entities, an orders to
freeze these assets under Section 51A of the UAPA would be issued. Which of the
following statement is wrong regarding the order so issued?
Ans: In case, the results of the verification indicate that the properties are owned by
the designated individual/ entities, an order shall be issued with prior notice to the
designated individual/ entity.
Q. It is very important to key in the correct details and codes regarding the Occupation of
the customer in the AOF as well as in CBS. Which of the following options are correct in
this regard?
Ans: All of the above are correct
Q.As per laid procedure for implementation of Section 51A of the Unlawful Activities
(Prevention) Act, 1967, in case, the results of the verification indicate that the properties
are owned by or are held for the benefit of the designated individuals/entities, an order to
freeze these assets would by issued by Central (Designated) Nodal Officer under
Section____.
Ans: Section 51 A of UAPA
Q. The procedure laid down in the UAPA Order dated February 2, 2021 requires the Banks
to maintain the updated list of designated individuals & entities, approved by UNSC, in
which form?
Ans: Electronic form
Q. Due diligence as per Customer Identification Procedure may not be exercised properly
due to feeding of erroneous data regarding _____ .
Q. Please select the wrong statement regarding unfreezing of assets inadvertently frozen
of an individual/ entity, as per the laid procedure for implementation of Section 51A of the
Unlawful Activities (Prevention) Act, 1967.
Ans: The concerned Bank/RE should forward the application received from the
individual/ entity, to respective State Nodal Officer for UAPA who will foraward it to
the Central (Designated) Nodal Officer for UAPA.
Q. How many 'Occupation codes' are available in CBS?
Ans: 27
Q. Which of the following statement is not true regarding obtention of Permanent Account
Number (PAN)/ Form No. 60.
Ans: In case original PAN card is produced for verification, the same is not required
to be verified from the online verification facility of the issuing authority.
Q. Periodic updation of KYC is to be carried out at least once in every _____ years for
Ans: 2
Q. “Customer Profile” of individual account holders is compiled from ______ .

Ans: mandatory/ additional information submitted by the customer in the account
opening form.
Q. Enhanced due diligence is required to be undertaken in respect of which type of

customers?
Ans: Politically Exposed Persons (PEPs)
Ans: High-risk customers
Q. Due diligence as per Customer Identification Procedure may not be exercised properly
due to feeding of erroneous data regarding ______ .
Ans: Politically Exposed Person Status
Q. Section 51A of the Unlawful Activities (Prevention) (UAPA) Act, 1967 requires
Banks/REs to ensure_____.
Ans: that they do not have any account in the name of individuals/ entities
appearing in the lists of individuals and entities, suspected of having terrorist links,
which are approved by UNSC.
Q. Which of the following is a probable impact due to account opened with wrong name?
Ans: On-boarding of a person whose name appears in various sanctions lists

circulated by RBI leading the bank to Regulatory punitive action.
Q. As per the laid procedure for implementation of Section 51A of the Unlawful Activities
(Prevention) Act, 1967 in case an application is received from an individual/ entity, having
evidence to prove that it's funds are inadvertently frozen, the application must be
forwarded to the Central Designated Nodal Officer for UAPA within _______ with full
particulars.
Ans: 2 working days
Q. Poor data entry implies____
Ans: data not entered correctly.
Q. As per the laid procedure for implementation of Section 51A of the Unlawful Activities
(Prevention) Act, 1967, if an individual or entity has evidence to prove that it's funds are
inadvertently frozen, it shall move an application giving the requisite evidence, in writing
to____
Ans: The concerned Bank/ other RE
Q. which of the following may NOT impact proper reporting to FIU-India in Cross Border
Wire Transfer Reports- (CBWTR).
Ans: Feeding wrong information regarding marital status.

Q. Feeding of erroneous data regarding ‘Residential Status- RI/NRI’ may lead to
_________
Ans: missing out Enhanced Due Diligence in respect of accounts of NRI customers
who are residents of High risk countries.
Q. Feeding of erroneous data regarding ‘Political exposed person (PEP) /Relative to PEP’
status may not result in to ____
Ans: wrong reporting to FIU-India in ground of suspicion while filing STR.
Q. If a Maker/Checker has selected 'Occupation Code' as 'Not Categorised" in CBS while

creating a CIF, what is further expected from the maker/checker as per extant Bank
instructions?
Ans: Maker/ Checker has to mandatorily key in the occupation of the customer as
mentioned in the AOF in the description field.
Q. Which of the following fields are very important For Monitoring of Transaction?
Ans: Occupation type, Monthly Income & Threshold Limit
Q. It’s not enough to apply Customer Due Diligence (CDD) measures, once at the time of
onboarding, a reporting entity, should exercise due diligence _____________ in respect of
customers to monitor transactions to ensure that they are consistent with the customer’s
personal profile, business / risk profile and source of funds.
Ans: On an ongoing basis
Q. Feeding of erroneous data regarding ‘Customer Type’ may result into ______ .
Ans: denial of some benefits that accrue to some category of customers
Q. Which of the following additional information need to be collected for risk

categorization ? a) Father / Mother's maiden name, b) anticipated level and nature of the
activity that is to be undertaken, c) Marital Status, d) details of occupation / employment
and sources of wealth or income.
Ans: Only b & d
Q. Not categorising a PEP’s account properly may lead to non-compliance of guidelines of

_________.
Ans: PMLA Act 2002
Q. The process of Name Screening is carried out to ensure ________.
Ans: that the identity of the customer does not match with any person or entity ,
whose name appears in the sanctions lists circulated by the Reserve Bank of India.
Q. The procedure laid down in the UAPA Order dated February 2, 2021 requires the Banks
to run a check on given parameters on a _____basis to verify whether individuals or
entities listed are holding any funds, financial assets or economic resources or related
services held in the form of bank accounts
Ans: daily
Q. All customers, individuals and nonindividuals, are to be categorised as High, Medium

and Low risk for the purpose of_____.
Ans: Both of the above
Q. Reporting Entities are NOT required to carry out ‘Money Laundering (ML) and Terrorist
Financing (TF) Risk Assessment’ exercise periodically in respect of_____
Ans: Services and products
KYC Module 4 - Preventive Vigilance
Q. Preventive Vigilance Committee (PVC) is one of the tools for exercising preventive
vigilance. Which of the following statement is/are incorrect :
I) 30% of staff members, minimum 3 officers / employees should be co-opted on the PVC
of each unit.
the staff in identifying the areas of vulnerability to frauds / malpractices, visit the branches /
units periodically and if possible, to attend meetings of PVCs, at least once in 6 months.
Q. According to Bank’s guidelines on fraud prevention in WHR which of the following

I) Warehouse/ Godowns to be visited and stocks to be verified periodically. II) Financing
of stocks held in borrowers godowns may be permitted.
MCX.
IV) It is to be ensured that underlying stocks are segregated/ properly tagged with
Bank’s name.
Ans: Only II

I) Meaningful pre-sanction survey to be carried out to ascertain identity,
address, credit worthiness and integrity of the Proprietor of the firm. II) Adequate
Insurance Cover for the commodity / stock to be ensured, due date of insurance to be
diarized.
MCX.
Centre.
Q. Bank’s guidelines are in place for fraud prevention and mitigation measures in SME
loans. which of the following statement is/are incorrect in respect of frauds owing to
overvaluation of collateral and diversion of fund :
I) Value of the property offered as security to be independently verified by
the Bank official and to be duly recorded.
II) Due diligence on the supplier to be done and opinion report to be obtained.
Funds to be disbursed directly to borrower.
III) During post disbursement inspection, details of machineries purchased to be
verified and periodic inspection to be done at regular intervals.
Q. According to Bank’s guidelines on fraud prevention in Cash Credit Limits which of the
III) Irregularity report to be submitted annually and comments thereon to
be acted upon.
IV) CIBIL report to be periodically generated and scrutinized to ascertain borrowing
from other banks/ FIs
Q. According to Bank’s guidelines on fraud prevention in term loan, which of the following
on the project.
Ans: Only IV
Q. According to Bank’s guidelines on fraud prevention in SME loans relating to disposal of

collateral security which of the following statement is/are correct : I) Bank should file
and after vacating the stay, the properties should be sold under SARFAESI Act, II)
mortgaged properties to be kept on record, III) Copies of title deeds must be obtained
at the time of creation of mortgage, IV) Independent verification of mortgaged properties to
be carried out only once
Ans: Only I and II
Q. If Whistle Blower is aggrieved by any action on the ground that he is being victimized
due to the fact that he had filed a complaint or disclosure, he may file an application before
the
Q. Which of the following statement is/are correct about activities under the purview of the
Q. Fraud Mitigation Measures include surprise verification of Agri gold loans. Surprise
verification of gold loans is done by?
Ans: An officer other than the joint custodians
Q. Which option is incorrect in respect of following statement? Vigilance as a tool ensures:
Q. According to Bank’s guidelines on fraud prevention in E-DFS, which of the following

III) Check the authenticity of the documents/ reports/ certificates etc. with UDIN and the
Ans: Only I,II,III and IV
Q. Whistle Blower portal of our bank may be accessed using
Ans: https://whistleblower.sbi.co.in
Q. According to Bank’s guidelines on fraud prevention in Asset Backed loans which of the
following statement is/are correct : I) Physical verification of the property must be done
personally by the concerned officials. Submission/ uploading of security inspection
report along with snapshots through eLLMS App to be carried out as per extant
guidelines, II) Abnormal increase or decrease in valuation to be adjusted liberally, III) Black
listing of empanelled valuer who had done the wrong valuation to be done, IV) Search
report encumbrance certificate for the intervening period, i.e. from the date of TIR to
the date of deposit of original Title deeds / creation of EM should be obtained and held
on record, as part of equitable mortgage documents.
Q. According to Bank’s guidelines on fraud prevention in SRTO which of the following

I) Registration of vehicle and noting of Bank’s hypothecation charge in the books of
RTO to be done and verified from “vahan.nic.in” site.
disbursement.
immediately
Q. Preventive Vigilance involves participation of-
Ans: Every employee
Q. Which of the following is not a security feature in Cheque Truncation System (CTS-
2010) for Fraud Mitigation Measures?
Ans: Telephone nmber field
Q. Which of the following statement is/are incorrect about formation of Preventive

Vigilance Committees at branches / operating units of the Bank-
Q. Cost on Preventive Vigilance vis a vis Corrective maintenance and failure cost follow a
ratio
Ans: 1:10:100
Q. Which of the following is incorrect statement about Preventive Vigilance Committee
Ans: It identifiesthe 'weak spots' to plug the loopholes, if any , in the functioning of
the operating unit.
Q. Bank’s guidelines are in place for Fraud prevention and mitigation measures in SME
loans. Which of the following statement is/are incorrect in respect of frauds owing to
II) Reporting of Third-Party Entity (TPE) to Law Enforcement Agencies for black listing.
III) Justification of limits for the group concerns, proper assessment, satisfying
about business model is essential to avoid accommodation loans.
Ans: Only II
Q. Bank’s guidelines are in place for Fraud prevention and mitigation measures in SME
III) Justification of limits for the group concerns, proper assessment, satisfying
about business model is essential to avoid accommodation loans.
Q. According to Bank’s guidelines on fraud prevention in Forex, which of the following

I) Goods meant for export to be segregated from stocks meant for domestic
sale.
Ans: Only III

Q. Fraud Mitigation Measures include surprise verification of Agri gold loans. In surprise
Ans: Loan Balance file/ CCOD file (generated at the EoD of the previous working day
Q. Preventive Vigilance Committee (PVC) is one of the tools for exercising preventive
performance
Ans: Only I and IV
Q. According to Bank’s guidelines on disposal of collateral security in SME loans and

preventive measures which of the following statement is/are correct :I) Bank should file
and after vacating the stay, the properties should be sold under SARFAESI Act. II)
mortgaged properties to be kept on record, III) Copies of title deeds must be obtained
at the time of creation of mortgage, IV) Independent verification of mortgaged properties to
be carried out only once.
Ans: Only I and II
Q. In COVID-19 Pandemic environment fraudsters may try to open new accounts

containing terms such as COVID / CORONA. According to Bank’s guidelines on fraud
prevention which of the following statement is/are correct:
phishing emails, SMS, fraudulent loan and moratorium offers, fake COVID-19 sites and
apps, fake banking and insurance websites etc.
institutions/ NGOs.
III) Sudden increase of Government credit observed in accounts of the person who may
not be entitled for such grants, should be discreetly enquired into, before allowing
withdrawal.
Ans: Only I , II, III and IV
Q. As a part of pre-sanction Survey for Home loans and Home Related Loans TDS of
borrower is to be verified form :
Q. According to Bank’s guidelines on fraud prevention in collateral security which of the

Ans: Only II, II and IV
Q. As a part of pre-sanction Survey for Home loans and Home Related Loans GST
Registration number of borrower and dealer is to be verified form :
I) The immovable security (Primary or Collateral) to be inspected at the time of
accepting the property for the first time and yearly thereafter. & Ownership &
Possession status of the property to be ascertained by making enquiries with the
neighbourhood and occupant of the property to be complied with.
within 3 years of creation of EM.
from other banks/ Fis
Ans: Only I , II and IV
According to Bank’s guidelines on fraud prevention in collateral security which of the

II) Noting of charge with revenue authority on mortgaged property to be ensured
within one year of EM creation.
Ans: Only I and IV
Q. Bank’s guidelines are in place for fraud prevention and mitigation measures in SME
overvaluation of collateral and diversion of fund :
I) Value of the property offered as security to be independently verified by
the Bank official and to be duly recorded.
II) Due diligence on the supplier to be done and opinion report to be obtained.
Funds to be disbursed directly to borrower.
III) Deficiencies pointed out in various audit reports to be promptly attended and
rectified.
Q. In case of payment of Non-Home cheque of ₹5 lakh and above and any suspicious
Q. According to Bank’s guidelines on fraud prevention in collateral security which of the

II) Noting of charge with revenue authority on mortgaged property to be ensured
within one year of EM creation.
Ans: Only I and IV
Q. According to Bank’s guidelines on fraud prevention in GSS/ Stand Up India/ MUDRA

II) Sanctioning officer to visit the unit, meet promoters and carry out proper
due diligence before sanctioning the loan.

I) Meaningful pre-sanction survey to be carried out to ascertain identity,
address, credit worthiness and integrity of the Proprietor of the firm. II) Adequate
Insurance Cover for the commodity / stock to be ensured, due date of insurance to be
diarized.
MCX.
Centre.
Ans: Only I, II , III and IV
Q. According to Bank’s guidelines on fraud prevention in GSS/ Stand Up India/ MUDRA

III) Due diligence on supplier- supplier should not be a related party.
IV) OTMS alerts may be responded in routine manner
Ans: Only II and IV

Q. According to Bank’s guidelines on fraud prevention in Forex, which of the following
I) Goods meant for export to be kept along with stocks meant for domestic
sale.
II) Credit limit to be sanctioned after detailed appraisal / assessment duly
supported by documentary evidences.
III) Export Packing Credit (EPC) to be released after obtaining copies of confirmed
orders and to be liquidated out of export proceeds.
Q. Fraud Mitigation Measures include surprise verification of gold loans. What is the
stipulated periodicity for surprise verification in Agri gold loans?
Ans: Quarterly
Q. ‘…no banking company shall employ or continue to employ any person convicted of an
offence involving moral turpitude…’ The above stipulations are contained in
Ans: Banking Regulations Act

Q. Which option is incorrect in respect of following statement? Vigilance as a tool ensures:
Q. Preventive Vigilance covers which areas of banking activities?
Q. As a part of pre-sanction Survey for Home loans and Home Related Loans TIN of
borrower is to be verified form :
Q. Which of the following is the new feature in Cheque Truncation System (CTS-2010) for
Ans: UV Band in variable fields
Q. According to Bank’s guidelines on fraud prevention in High Value Banking Frauds,

Q. Any employee (officer / award) willing to disclose information under Whistle Blower
Policy, may do so in which of the following manner?
Ans: All of these
Q. What is incorrect as per Whistle Blower Policy of the Bank
from other banks/ Fis

Q. As a part of pre-sanction Survey for Home loans and Home Related Loans seven digit
Q. Who is the Designated Official under whistle blower policy of the Bank?
Ans: DGM & CFO for circles/ GM (Fraud Monitoring Department) for CC
establishments
Q. Fraud Mitigation Measures include surprise verification of Agri gold loans. In surprise
verification of gold loans the random basis check involves:
Ans: Checking the ornaments for purity in respect of 30% or maximum of 100 gold
loan accounts whichever is less.

Non-Face to Face Customer KYC Guidelines

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MODULE 2

A customer entering branch premises with face covered with mask.

When a customer is a legal person.

Registration certificate and Trust deed

Documents relating to beneficial owner, managers, officers or employees, as the case

Permanent Account Number or Form No. 60 of the unincorporated association or a

Resolution of the managing body of such association or body of individuals. Power of

An account becomes KYC Non-Compliant/ KYC discrepant accounts in certain

Accounts where KYC Updation is overdue.

Branches/ offices will undertake CDD while establishing business relationship.

There is no need of undertaking CDD measures while carrying out occasional

Bank will immediately close the account.

Bank will convert the account to Small Account.

Review of risk categorization of customers should be carried out only if there is a

Review of risk categorization of customers should be carried out at a periodicity of not

Review of risk categorization of customers should be carried out at a periodicity of not

Review of risk categorization of customers should be carried out at a periodicity of not

Registration certificate in the name of the firm.

All the above

Video based CIP will be treated as Non face-to-face CIP.

All the above statements are correct.

No account is opened in anonymous or fictitious/ benami name.

An account may be opened in anonymous or fictitious/ benami name but it must be

Customer identification means undertaking client due diligence measures while

All statements are correct.

Which of the following statements regarding Customer Identification Procedures (CIP) is

The first requirement of Customer Identification Procedures (CIP) to be satisfied is that

Customer identification means undertaking client due diligence measures while

All statements are correct.

Customer risk categorization (CRC) is carried out by AML-CFT Department at pre-

CRC is done, daily for the incremental accounts/customers.

CRC is done weekly for the incremental accounts/customers.

Though such information collected from the customer is to be treated as confidential

Though such information collected from the customer is to be treated as confidential

Though such information collected from the customer is to be treated as confidential

Aadhaar number/ card

Proof of possession of Aadhaar number

Accounts of persons having relationships with banned entities such as individual

Registration certificate and Trust deed

Memorandum and Articles of Association

Documents relating to beneficial owner, managers, officers or employees, as the case

Permanent Account Number or Form No.60 of the trust

Enhanced Due Diligence (EDD) is required to be exercised in respect of what type of

Politically exposed Persons (PEPs)

Relatives and associates of PEPs

All customers categorized under high risk

All of the Above

What is NOT true regarding KYC/AML/CFT guidelines issued by RBI?

It prevents banks/FIs from being used, intentionally or unintentionally, by criminal

The KYC policy should have four key elements.

While establishing account-based relationship with an individual.

While establishing account-based relationship with a beneficial owner/ authorized

While establishing account-based relationship with an authorized signatory or the power

All the statements are correct.

Which of the following statements regarding Customer Identification Procedures (CIP) is

Branches shall undertake Customer Identification while selling of third-party products as

Branches shall undertake Customer Identification while selling of third-party products as

All are correct

Any one of the signatories to the account.

All of the signatories to the account.

None of the Above.

Video based Customer Identification procedure