Banking Awareness Quiz

1. SEBI was established in
(1) 1993
(2) 1992
(3) 1988
(4) 1990
(5) 1994
Ans- 3

2. Kisan Credit Cards are an effective way of reaching out to the farmers by the banks. What assistance does the farmer receive in this way?
(1) Credit facility for crops etc against an approved limit
(2) Short term credit facility against value of his crops
(3) Long term credit is provided against his land holdings
(4) Loan is permissible against crops sold but payment yet to be received by the farmer
(5) None of the above
Ans-1

3. Why are interest rates charged by Micro Finance Institutions higher than lending rates of banks?
(1) MFIs are not allowed co source deposits from public
(2) Banks have the benefit of cheaper funds
(3) MFIs borrow bulk of their funds from banks
(4) MFIs borrow funds from banks at high cost and also their administrative expenses are more
(5) None of the above
Ans-4

4. Which nationalized bank was the first to sponsor a regional rural bank in India?
(1) syndicate Bank
(2) Bank of India
(3) Union Bank of India
(4) Central Bank of India
(5) None of the above
Ans-1

5. Which of the following is the most important component of the liabilities of Commercial Bank?
(1) Time deposits
(2) Demand deposits
(3) Inter-bank liabilities
(4) Other borrowings
(5) All of the above
Ans-1

6. The Regulatory Authority for Regional Rural Banks is
(1) Sponsor Bank
(2) Central Government
(3) State Government
(4) RBI and NABARD
(5) All of the above
Ans-4

7. Which of the following is/are the right(s) of customer towards his banker?
(1) To receive a statement of his account from a banker
(2) To sue the bank for any loss damages
(3) To sue the banker for not maintaining the secrecy of his account
(4) All of the above
(5) None of the above
Ans-4

8. What does EBT stands for?
(1) Electronic Belated Transfer
(2) Electric Beginners Transaction
(3) Electronic Benefit Transfer
(4) Electronic Beginning Transaction
(5) None of the above
Ans-3

9. Banks are authorized to sell third party products. Which are these products?
(1) Mutual funds
(2) Term deposits
(3) Debit cards
(4) Gift cheques
(5) None of the above
Ans-1

10. Which of the following instruments cannot be presented for payment in a clearing house?
(1) Demand draft
(2) Dividends
(3) Fixed deposit receipt
(4) All of the above
(5) None of the above
Ans- 3