IBPS RRB PO/Clerk Main Banking Awareness Quiz: 28th August 2019

 

With the increased competition in the field of banking examinations, it has now become very important to cover up all the sections efficiently. One subject that can help you bagging graceful marks in the minimum time in these examinations is Banking Awareness. Banking Awareness Quiz not only helps you deal with the General Awareness Section of Banking Exams but also, the Personal Interview round of Banking Recruitment.
 

(a) Bank Rate 

(b) CRR

(c) Repo Rate

(d) PLR

(e) Reverse Repo Rate

Sol. Bank Rate is the rate at which the Reserve Bank is ready to buy or rediscount bills of exchange or other commercial papers. The Bank Rate is published under Section 49 of the Reserve Bank of India Act, 1934. This rate has been aligned to the MSF rate and, therefore, changes automatically as and when the MSF rate changes alongside policy repo rate changes.

 

(a) Personal Private Power

(b) Primary Power Parity

(c) Personal Private Parity

(d) Purchasing Power Parity 

(e) Permanent Public Private

 

Sol. Purchasing Power Parity (PPP) is a theory that measures prices at different locations using a common basket of goods. While PPP can be used to measure between two places using the same currency, its most common usage is between two locations that use different currencies.

 

(a) Rs. 1 lakh

(b) Rs. 2 lakh 

(c) Rs. 5 lakh

(d) Rs. 50,000

(e) No Limits

 

Sol. The minimum amount of transfer required for RTGS is Rs. 2 lakh. There is no upper limit, though. The beneficiary bank has to credit the beneficiary’s account within two hours of receiving the funds transfer message. RTGS transaction timings for Monday – Friday is 9 A.M to 4.30 P.M and for Saturday it is 9 A.M to 2 P.M.

 

(a) State Bank of India

(b) Government of India

(c) Reserve Bank of India 

(d) Finance Ministry

(e) None of the given options is true

 

Sol. The Reserve Bank has the sole right to issue currency notes, except one rupee notes which are issued by the Ministry of Finance. ADVERTISEMENTS: The RBI follows a minimum reserve system in the note issue.

 

(a) Cash 

(b) Company

(c) Core

(d) Currency

(e) Common

 

Sol. Cash Reserve Ratio (CRR) is the share of a bank’s total deposit that is mandated by the Reserve Bank of India (RBI) to be maintained with the latter in the form of liquid cash.

 

(a) For Code Banking Solution

(b) For Electronic Funds Transfer

(c) For Electronic Clearance of Cheques 

(d) For Cheque Truncation Services

(e) None of the given options is true

 

Sol. MICR code is a code printed on cheques using MICR (Magnetic Ink Character Recognition technology). This enables identification of the cheques and which in turns means faster processing. An MICR code is a 9-digit code that uniquely identifies the bank and branch participating in an Electronic Clearing System (ECS).

 

(a) RBI

(b) Individual banks 

(c) SBI

(d) Finance Ministry

(e) None of the given options is true

 

Sol. SLR is the ratio of deposit that the bank needs to maintain with them. CRR maintain in form of cash. SLR is maintained in form of gold, cash and other securities approved by RBI.

 

(a) 6 months

(b) 3 months

(c) 2 months

(d) 1 month 

(e) 1 year

 

Sol. One can file a complaint before the Banking Ombudsman if the reply is not received from the bank within a period of one month after the bank concerned has received one’s complaint, or the bank rejects the complaint, or if the complainant is not satisfied with the reply given by the bank.

 

(a) Notice Money 

(b) Call Money

(c) Term Money

(d) Week Money

(e) None of the given options is true

 

Sol. The money that is lent for one day in this market is known as “Call Money”, and if it exceeds one day (but less than 15 days) it is referred to as “Notice Money”. Term Money refers to Money lent for 15 days or more in the Inter-Bank Market.

 

(a) Internet Banking

(b) Credit Card 

(c) Mobile Apps

(d) Demand Drafts of Banks

(e) None of the given options is true

 

Sol. Smart Money‘ is a term used for the credit card, debit card etc.

 

(a) 10

(b) 11 

(c) 9

(d) 12

(e) 8

 

Sol. IFSC, expanded as Indian Financial System Code, is a unique 11-digit alphanumeric code that is used for online fund transfer transactions done via NEFT, RTGS and IMPS. Bank IFSC code can be usually found on the cheque leaf issued by the bank.

 

(a) Dr. Nachiket Mor 

(b) Deepak Mohanty

(c) AC Shan

(d) BD Thakur

(e) None of the given options is true

 

Sol. Usha Thorat, former deputy governor of the Reserve Bank of India chaired the External Advisory Committee (EAC) to evaluate applications received for small finance banks, while Dr. Nachiket Mor, Director, Central Board of the Reserve Bank chaired the EAC for payment banks. More than 100 entities have applied for small finance and payment banks.

 

(a) Acquisition of small banks

(b) Fixation of interest rates

(c) Recovery of bad loans 

(d) Regulation of foreign exchange

(e) None of the given options is true

 

Sol. The Securitisation and Reconstruction of Financial Assets and Enforcement of Securities Interest Act, 2002 (also known as the SARFAESI Act) is an Indian law. It allows banks and other financial institution to auction residential or commercial properties (of Defaulter) to recover loans.

 

(a) Net Demand and Term Liability

(b) Net Demand and Time Liquidity

(c) Net Demand and Trade Liquidity

(d) Net Demand and Time Liability 

(e) None of the given options is true

 

Sol. NDTL is sum of demand and time liabilities (deposits) of banks with public and other banks wherein assets with other banks is subtracted to get net liability of other banks. 

 

(a) Bank

(b) City 

(c) State

(d) Branch

(e) None of the given options is true

 

Sol. The Full form of MICR is Magnetic Ink Character Recognition. Magnetic Ink Character Recognition Code (MICR Code) is a character-recognition technology that is used mainly by the banking industry to recognise the originality of the document and to ease the processing and clearance of cheques and other documents. It is a technology used with the help of special ink and characters. MICR is printed on the bottom of cheques of the banks consisting of nine digits. First three-digit denotes the city code, next three represent the bank code and last three tells about the branch code. This is called MICR code.