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1. What is the full form of 'PCA'?

- Prompt Corrective Action. 'PCA'. PCA is a

mechanism that will be forced by Reserve

Bank of India upon banks that shows signs of

stress which means the banks which have low

capital adequacy or high Non-performing

Assets.

2. What is the full form of 'GDR'?

- Global Depositary Receipt. A global

depositary receipt (GDR) is a bank certificate

issued in more than one country for shares in

a foreign company. The shares are held by a

foreign branch of an international bank. The

shares trade as domestic shares but are

offered for sale globally through the various

bank branches.

3. Interest -Risk is a type of? -

- Market risk. Interest Risk is a type of Market

risk which is the potential for changes in

interest rates to reduce a bank's earnings and

lower its net worth.

4. What is Credit risk?

- Credit risk is the associated with an

investment where the borrower is not able to

repay the amount to the lender. This can

occur on account of poor financial condition of

the borrower, and it represents a risk for the

lender.

5. Bharatiya Reserve Bank Note Mudran

Private Limited (BRBNMPL), subsidiary of

Reserve Bank of India manages 2

Presses. The presses located at

- one at Mysore in Karnataka and the other at

Salboni in West Bengal.

6. An accounting term that refers to the

process of allocating the cost of an

intangible asset over a period of time is

known as -

- Amortization.

7. CASA stands for-

- Current and Savings account. A current

account savings account (CASA) is aimed at

combining the features of savings and

checking accounts to entice customers to

keep their money in the bank by paying very

low or no interest on the current account and

an above-average return on the savings

portion

8. ‘LAF’ in banking stands for -

-Liquidity adjustment facility (LAF). Liquidity

adjustment facility (LAF) is a monetary policy

tool which allows banks to borrow money

through repurchase agreements. LAF is used

to aid banks in adjusting the day to day

mismatches in liquidity. LAF consists of repo

and reverse repo operations.

9. What is Investment banking?

- Investment banking is a specific division of

banking related to the creation of capital for

other companies, governments and other

entities. Investment banks underwrite new

debt and equity securities for all types

of corporations, aid in the sale of securities,

and help to facilitate mergers and

acquisitions, reorganizations and broker

trades for both institutions and private

investors.

10. Which organization is the lender of last

resort in a country?

- Central Bank (for Example- RBI in India)

11. What is the full form of 'FATF' -

- Financial Action Task Force (FATF). FATF is

an intergovernmental organization founded in

1989 on the initiative of the G7 to develop

policies to combat money laundering. In 2001

its mandate expanded to include terrorism

financing.

12. Under call money market, funds are

transacted on--

- an overnight basis. Call Money market is

open only for scheduled commercial banks

and primary dealers.

13. What is the full form of CAGR?

- Compound Annual Growth Rate. It is a rate

for the geometric progression ratio that

provides a constant rate of return over the

time period. In this market one day

(overnight) loans can be availed by banks to

meet their short term liquidity requirements.

14. The state-owned UCO Bank

headquartered in

- Kolkata

15. What does 'NACH' stands for -

- National Automated Clearing House

(NACH).

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16. What does 'SFMS' stands for -

- Structured Financial Messaging

System. Structured Financial Messaging

System. SFMS is a secure messaging standard

developed to serve as a platform for intra-bank

and inter-bank applications. It is an Indian

standard similar to SWIFT (Society for World-Wide

Interbank Financial Telecommunications).

17. As per RBI, ARCs must have the

minimum net corpus of how much

amount crore by 2019 ?

- Rs 100 crore

18. What does 'ICO' stands for -

- Initial Coin Offering (ICO). It is an

unregulated means by which funds are raised

for a new cryptocurrency venture. An Initial

Coin Offering (ICO) is used by startups to

bypass the rigorous and regulated capital-

raising process required by venture capitalists

or banks.

19. Non-Banking Financial Company-Micro

Finance Institutions (NBFC-MFIs) is

regulated by –

- Reserve Bank of India

20. ELSS stands for -

- Equity Linked Saving Schemes. Equity-

linked savings scheme popularly known are

open-ended, diversified equity schemes

offered by mutual funds in India. They offer

tax benefits under the new Section 80C of

Income Tax Act 1961

21. The National Institute of Securities

Markets (NISM) is a public trust

established in 2006 by which of the

following organizations?

- Securities and Exchange Board of India

(SEBI)

22. What does 'SWIFT' stands for?

- Society for Worldwide Interbank Financial

Telecommunication. It is a Global

communication network that facilitates a

24-hour secure international exchange of

payment instructions between banks, central

banks, multinational corporations, and major

securities firms.

23. Bandhan Bank Limited, which is an

Indian banking and financial services

company, deals prominently in which

type of loans?

- Micro-Finance

24. What is the maximum deposit limit of

IPPB Savings Account? -

- Rs 1 Lakh

25. What do you understand by 'LTV'?

- The loan-to-value (LTV) ratio is a financial

term used by lenders to express the ratio of

a loan to the value of an asset purchased. The

term is commonly used by banks and building

societies to represent the ratio of the first

mortgage line as a percentage of the total

appraised value of real property.

26. Who is the head of the cabinet-level

committee related to the merger of

public sector banks?

- Arun Jaitley

27. Which organisation publishes the World

Economic Outlook (WEO) report?

- International Monetary Fund (IMF)

28. 'Ease of doing business' report is

published by which organisation?

- World Bank

29. Pradhan Mantri mudra yojana scheme

available in which types of banks?

- All Banks

30. What does 'UPI' stands for -

- Unified Payment Interface. A UPI is a single

window mobile payment system launched by

the National Payments Corporation of India

(NPCI).

31. What does 'RERA' stands for -

- Real Estate Regulatory Agency.

32. What is the term for the Note which has

become dirty and limp due to excessive

use is called -

- Soiled Note

33. The concern for environmental

sustainability by the banks has given rise

to the concept of

- Green Banking

34. Which type of account is interest-free

account?

- Current Account

35. What does 'WMA' Stands for?

- Ways and Means Advances. The Reserve

Bank of India gives temporary loan facilities

to the centre and state governments as a

banker to the government. This temporary

loan facility is called Ways and Means

Advances (WMA).

36. What is a type of short-term loan,

typically taken out for a period of

2 weeks to 3 years pending the

arrangement of larger or longer-term

financing

- Bridge Loan

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37. What is a type of home loan for older

homeowners that requires no monthly

mortgage payments

- Reverse mortgage

38. What is the meaning of "S" in CERSAI?

- Securitisation (Central Registry of

Securitisation Asset Reconstruction and

Security Interest of India)

39. What is the maximum compensation

offered under the banking ombudsman

scheme

- Rs 20 Lakh

40. What is the meaning of "F" in IFSC?

- Financial (Indian Financial System

Code). IFSC Code refers to Indian Financial

System Code, which is an eleven-character

code assigned by RBI to identify every bank

branches uniquely, that are participating in

NEFT system in India. This code is used by

electronic payment system applications such

as RTGS, NEFT and CFMS.

41. MMID is used for -

- Mobile Banking

42. Which bank does not issue credit cards?

- Payment Bank

43. What does SEBI stand for?

- Board (Securities and Exchange Board of

India). The Securities and Exchange Board of

India is the regulator for the securities market

in India

44. What does IFC stand for?

- Finance (International Finance

Corporation). The International Finance

Corporation is an international financial

institution that offers investment, advisory,

and asset-management services to encourage

private-sector development in developing

countries.

45. What is the full form of 'MUDRA' in

MUDRA Bank?

- Micro Units Development Refinance

Agency. MUDRA Bank is a public sector

financial institution in India. It provides loans

at low rates to micro-finance institutions and

non-banking financial institutions which then

provide credit to MSMEs.

46. What does 'SHG' stands for?

- Self-help group (SHG).

47. Which is the first payment Bank in India?

- Airtel Payments Bank Ltd

48. What is the minimum capital required for

small finance bank?

- 100 Cr

49. Cheque and DD come under which act -

- Negotiable Instrument Act 1881.

50. What is the full form of 'UPI'?

- Unified Payment Interface. Unified

Payments Interface (UPI) is a system that

powers multiple bank accounts into a single

mobile application (of any participating bank),

merging several banking features, seamless

fund routing & merchant payments into one

hood.

51. Cheque truncation system introduced in

which year?

- 2010. Cheque Truncation System (CTS) is

a cheque clearing system undertaken by the

Reserve Bank of India (RBI) for faster clearing

of cheques. As the name suggests,

truncation is the process of stopping the flow

of the physical cheque in its way of clearing.

52. The Banking Codes and Standards Board

of India was registered as a society

under which act -

- Societies Registration Act, 1860

53. National Financial Switch (NFS) is run by

- National Payments Corporation of

India (NPCI)

54. What is the meaning of "S" in MSF?

- Marginal Standing Facility. MSF is the rate at

which the banks are able to borrow overnight

funds from RBI against the approved

government securities.

55. What is the meaning of "P" in APBS?

- Aadhaar Payment Bridge System. APBS is

the new payment service offered by the

National Payments Corporation of India

(NPCI) using the “Aadhaar” number, issued by

the Unique Identification Authority of India

(UIDAI).

56. Risk of collapse of the entire financial

system on the market is called-

- Systemic risk

57. RBI was nationalized in which year?

- 1st January 1949.

58. Cheque written by drawer and dated at

some point in past is called -

- Ante-dated cheque

59. As per RBI norms on small banks, initial

promoter stake for first 5 years should

not be less than -

- 40 percent

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60. The NBFCs are allowed to accept/renew

public deposits for a minimum period of

12 months and the maximum period of

how many months?

- 60 months

61. The government of India has changed

CII base year from 1981 to-

- 2001

62. Payment Banks are not permitted to-

- Payment banks cannot issue loans and

credit cards.

63. What is the meaning of "D" in MDR?

- Discount (Merchant Discount Rate). MDR is

a fee charged from a merchant by a bank for

accepting payments from customers through

credit and debit cards in their establishments.

64. Metric which defines operating liquidity

available to business is known as?

- Working capital

65. Institute for Development & Research in

Banking Technology (IDRBT) is located

in?

- Hyderabad

66. What does 'CRR' stands for?

- Cash (Cash Reserve Ratio). It is the

percentage of cash deposits that banks need

to keep with the Reserve Bank of India on a

fortnightly basis.

67. Marginal Standing Facility (MSF) started

in which year?

- 2011-12.

68. DICGC is a government body responsible

for -

- providing insurance of deposits. Deposit

Insurance and Credit Guarantee Corporation

is a subsidiary of Reserve Bank of India. It

was established on 15 July 1978 under

Deposit Insurance and Credit Guarantee

Corporation Act, 1961 for the purpose of

providing insurance of deposits and

guaranteeing of credit facilities.

69. Where is the Headquarter of SIDBI?

- Lucknow

70. RuPay a new card payment scheme

launched by which organization?

- National Payments Corporation of India

(NPCI). RuPay is an Indian domestic card

scheme conceived and launched by the

National Payments Corporation of India

(NPCI). It was created to fulfil the Reserve

Bank of India's desire to have a domestic,

open loop, and multilateral system of

payments in India.

71. Where is the Head Office of Standard

Chartered Bank?

- London, UK

72. What does "I" stand for in LEI?

- Identifier (Legal Entity Identifier). Legal

Entity Identifier India Limited is A Wholly

Owned Subsidiary of The Clearing Corporation

of India Ltd. acts as a Local Operating Unit

(LOU) for issuing globally compatible Legal

Entity Identifiers (LEIs) in India

73. What does "E" stand for in AEPS?

- Aadhaar Enabled Payment System. AEPS is

a bank led model which allows online

interoperable financial transaction at PoS

(Point of Sale / Micro ATM) through the

Business Correspondent (BC)/Bank Mitra of

any bank using the Aadhaar authentication.

74. Class of derivative whose value is at least

partly derived from one or more

underlying stock exchange securities?

(Trade, Commodity, Credit, Interest Rate,

Equity) -

- Equity Derivative

75. The framework of Joint Lenders’ Forum

(JLF) by RBI is to strengthen the system

for revitalising the -

- stressed assets in the economy

76. Using SBI Mingle, the bank’s customers can

do a host of banking services on which

accounts at their own convenience?

- Facebook or Twitter

77. What does "M" stand for in MIBOR?

- Mumbai (Mumbai Interbank Offered Rate)

78. Where is the headquarter of Central

Registry of Securitisation Asset

Reconstruction and Security Interest of

India (CERSAI)?

- New Delhi

79. What does 'EFTPOS' stand for?

- Electronic funds transfer at point of

sale. EFTPOS is used as a method of payment

for goods and services. An EFTPOS machine is

an electronic device that assists in the

transfer of funds from a customers bank

account to a merchant(business) bank

account

80. Which bank has launched YONO (You

Need Only One) app?

- SBI

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81. Where is the headquarter of IDFC Bank?

- Mumbai

82. Bharatiya Reserve Bank Note Mudran

Private Limited (BRBNMPL) was

established by which organization?

- Reserve Bank of India.

83. Where is the headquarter of NABARD?

- Mumbai

84. What does "B" for in CBLO?

- Borrowing (Collateralized Borrowing and

Lending Obligations). A collateralized

borrowing and lending obligation (CBLO) is a

money market instrument that represents an

obligation between a borrower and a lender as

to the terms and conditions of a loan.

85. Teaser Loans are related to which type of

loans?

- Home Loans

86. What does 'SARFAESI' Act stand for?

- Securitisation and Reconstruction of

Financial Assets and Enforcement of Securities

Interest Act. This act allows banks and other

financial institution to auction residential or

commercial properties to recover loans.

87. What do you understand by Repo Rate?

- Repo rate is the rate at which the central

bank of a country (Reserve Bank of India in

case of India) lends money to commercial

banks in the event of any shortfall of

funds. Repo rate is used by monetary

authorities to control inflation.

88. What do you understand for 'Reverse

Repo Rate'?

- Reverse repo rate is the rate at which the

central bank of a country (Reserve Bank of

India in case of India) borrows money from

commercial banks within the country. It is a

monetary policy instrument which can be

used to control the money supply in the

country.

89. In a DEMAT account, actual money is

replaced by -

- Shares. A Demat Account is an account that

allows investors to hold their shares in an

electronic form. Stocks inDemat

account remain in dematerialized form.

Dematerialization is the process of converting

physical shares into electronic format.

90. What is the function of 'NACH'?

- National Payments Corporation of India

(NPCI) has implemented “National Automated

Clearing House (NACH)” for Banks, Financial

Institutions, Corporates and Government a

web-based solution to facilitate interbank,

high volume, electronic transactions which are

repetitive and periodic in nature.

91. How many digits are there in 'MICR'

code?

- The MICR code has nine digits in it. The first

three digits in the MICR code represent the

city code that is the city in which the bank

branch is located. The next three digits stand

for the bank code while the last three digits

represent the bank branch code.

92. Commercial Paper can be issued for

a period of

- Commercial Paper can be issued for

maturities between a minimum of 7 days and

a maximum of up to one year from the date

of issue.

93. What is Bankassurance?

- The selling of life assurance and other

insurance products and services by banking

institutions is known as Bankassurance.

94. Who is the appellate authority in Banking

Ombudsman?

- Deputy Governor of Reserve Bank of India.

95. Where is the headquarter of Bank of

International Settlement (BIS)?

- Basel, Switzerland

96. Bank Holidays are declared as per -

- Negotiable Instrument Act

97. MUDRA Bank is wholly owned subsidiary

of which organization?

- SIDBI

98. The headquarter of New Development

Bank (BRICKS Bank) is located in which

country?

- Shanghai, China.

99. What does 'CDR' stand for -

- Corporate Debt Restructuring. It is a

voluntary non-statutory mechanism under

which financial institutions and banks come

together to restructure the debt of companies

facing financial difficulties due to internal or

external factors, in order to provide timely

support to such companies.

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100. Very small loan given to impoverished

people to help them become self-

employed is known as –

- Micro Credit

101. What is the upper limit to buy mutual

funds through digital wallets by SEBI?

- The limit of Rs 50,000 would be an umbrella

limit for investment by an investor through e-

wallet and/or cash, per mutual fund. For

providing such facility AMCs would not be

allowed to borrow.

102. Under which section of insurance

regulatory act 1938, the merger of an

insurance company and a financial entity

is not allowed?

- Section 35 of the Insurance Act, 1938 does

not allow merger of an insurance firm with a

non—insurance firm.

103. What does ‘ANBC’ stands for ?

- ‘ANBC’ stands for Adjusted Net Bank Credit.

It is the net bank credit and investments

made by banks in non-SLR bonds held in the

held-to-maturity category or credit equivalent

amount of off-balance-sheet exposure,

whichever is higher.

104. The ‘Project Sashakt is the strategy to

deal with –

- NPA. Project Sashakt is the five-pronged

strategy to deal with non-performing assets

(NPAs) recommended by the Sunil Mehta-led

committee.

105. Which is India’s first bank to open a

branch outside India?

- Bank of India was the first Indian bank to

open a branch outside India in London in

1946 and the first to open a branch

in continental Europe at Paris in 1974.

106. In 1993, The New Bank of India was

merged with which bank?

- Punjab National Bank. The Government of

India nationalized New Bank of India in

1980. Punjab National Bank acquired New

Bank of India in 1993.

107. What is the tenor of Sovereign Gold

Bond?

- The tenor of the Sovereign Gold Bond is for

a period of 8 years with exit option in 5th, 6th

and 7th year.

108. What does ‘CFMS’ stands for?

- Centralised Funds Management System.

The Centralised Funds Management System

(CFMS), is a system set up, operated and

maintained by the Reserve Bank of India

(hereinafter referred to as the 'Bank') to

enable operations on current accounts

maintained at various offices of the Bank,

through standard message formats in a

secure manner.

109. Bandhan Bank was launched in which

Year?

- Bandhan Bank Limited was incorporated on

23rd December 2014 as a wholly-owned

subsidiary ofBandhan Financial Holdings

Limited.

110. Credit rating agencies are managed by

which organization?

- SEBI. A credit rating agency is an entity

which assesses the ability and willingnes s of

the issuer company for timely payment of

interest and princ ipal on a debt instrument.

111. A banknote, of which aportion is missing

or which is composed of more than two

pieces. In a note, if a portion is missing,

torn or composed of two or more pieces

- Mutilated Notes

112. What does ‘SIP’ stands for ?

- Systematic Investment Plan. A Systematic

Investment Plan (SIP) is an investment

vehicle offered by mutual funds to investors,

allowing them to invest small amounts

periodically instead of lump sums.

113. What does ‘LRS’ stands for ?

- Liberalised Remittance Scheme. The

Liberalized Remittance Scheme (LRS) is a

facility provided by the RBI for all resident

individuals including minors to freely remit

upto a certain amount in terms of US Dollar

for current and capital account purposes or a

combination of both.

114. What is the maximum limit under ‘NEFT’?

- There is no limit – either minimum or

maximum – on the amount of funds that

could be transferred using NEFT. However,

maximum amount per transaction is limited to

₹ 50,000/- for cash-based remittances within

India and also for remittances to Nepal under

the Indo-Nepal Remittance Facility Scheme.

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115. New banknote of Rs.50 denomination in

the Mahatma Gandhi (New) Series has a

motif of -

- Motif of Hampi with Chariot on the reverse.

The base colour of the note is fluorescent

blue.

116. Social pay app launched by which

bank? –

- ICICI Bank.

117. Where is the Headquarter of AIIB?

- Beijing, China

118. Where is the headquarter of SAARC

Development Fund

- Thimphu, Bhutan

119. Where is the Headquarters of Asian

Development Bank (ADB)

- Manila, Philippines

120. The contract between the bond issuer

and the bondholder is known as-

- Bond Indenture. The bond indenture is

created during the bond issuing process when

bond issuers are receiving approval from state

and federal governments to issue bonds to

the public.

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