SBLC Hyderabad

KEY TO SUCCESS
PROMOTIONS
STATE BANK LEARNING CENTRE
HYDERABAD
PREPARED BY
TEAM SBLC, HYDERABAD
PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 1
Dear Colleagues,
I am very happy to present the KEY TO SUCCESS PROMOTIONS
brought out by Team State Bank Learning Centre, Hyderabad.
2. The book presents various model test papers which have been
thoroughly vetted and also tested in class room environment. I am sure
this will be of great use to all the aspirants in the current promotion
exercise.
R. RADHAKRISHNA
DGM & Circle Development Officer
Local Head Office
Hyderabad

Dear colleagues,
I am happy to bring out the KEY TO SUCCESS

PROMOTIONS edition for the promotion year 2016-17.
The model papers have been tested in limited but live

class room test environment, thereby enabling my
faculty to incorporate changes required for the final
output.
I take this opportunity to place on record, the excellent

and untiring work put in by all members of faculty at
State Bank Learning Centre, Hyderabad in bringing
out this edition.
Wishing you all great success in your career.
ASST GENERAL MANAGER

SBLC, HYDERABAD

INDEX
SR NO TOPICS
I. EXAMINATION PATTERN
II. GENERAL BANKING
III. GOVERNEMENT BUSINESS
IV. CBS & TECHNOLOGY
V. ALTERNATE CHANNELS AND TECHNOLOGY PRODUCTS
VI. INTERNATIONAL BANKING
VII. PRACTICAL PROBLEMS (MCQ)
VIII. ORGANISATION STRUCTURE & EFFICIANCY RATIOS
IX. GENERAL AWARENESS
X. PER SEG ASSET PRODUCTS
XI. AGRI ASSET PRODUCTS
XII. SME ASSET PRODUCTS
XIII. LIABILITY PRODUCTS
XIV. NPA MANAGEMENT
XV. HR AND SUPERVISORY RESPONSIBILITIES
XVI. LETTER WRITING TIPS & MODELS
XVII. COMPREHENSION
XVIII. FOR AND AGAINST
XIX. RATIONALES
XX. MOCK TESTS

STAFF:: AWARD
WRITTEN TESTS FOR PROMOTION FROM CLERICAL CADRE
TO JMGS-I UNDER TRAINEE OFFICER/ MERIT/NORMAL CUM SENIORITY CHANNEL::
TEST PATTERN (e-Circular: P&HRD. Sl. No. : 1119/2011 - 12Circular No. : CDO/P&HRD-
IR/111/2011 12, March 19,2012.

STAFF: OFFICERS
WRITTEN TESTS FOR PROMOTION TO MMGS-II/MMGS-III
TEST PATTERN ( e-Circular P&HRD. Sl. No. : 20/2012 13 Circular No. : CDO/P&HRD-
CM/1/2012 13, April 04,2012.

MCQ ON GENERAL BANKING- I &SYSTEMS &PROCEDURES:
1 The counterfeit bank notes can be impounded by
a) All branches of public sector b) All branches of foreign bans

banks
c) All branches of private banks d) All of the above
2 A currency note, suspected to be counterfeit shall be branded with a stamped

COUNTERFEIT BANKNOT IMPOUNDED and impounded by the SWO / Asst (cash).
The size of the stamp should be
a) 6cm X 6cm b) 4cm X 4cm
c) 5 cm X 5cm d) No stipulated measurements
3 Small coin depot is the property of
a) Bank b) RBI
c) Govt. of India d) None of the above
4 Small coin depot contains coins of denomination of ___ paise & below.
a) 100 b) 50
c) 25 d) 10
5 The minimum transactions from / to small coin depot will be Rs. ____ and in multiples
of Rs. ___ .
a) 50, 50 b) 100, 50
c) 100, 100 d) 50, 25
6 Cash held by our non currency chest branches in their safe room is the property of
a) RBI b) SBI
c) Govt. of India d) None
7 Cash held at non currency chest branches has a carrying cost, so branches have to
pay interest on cash balance to _____ under transfer pricing mechanism
a) RBI b) Govt. of India
c) Corporate Centre d) None

8 Review note in case of retention limit is put up to ____ for approval
a) DGM (B&O) b) GM network
c) CGM d) RM
9 Who arranges for obtention of insurance of cash & other valuables of branch
a) RBO b) Audit department
c) BPMM department d) Respective branch
10 Fidelity insurance cover for single window operator is Rs.
a) 10 lac b) 5 lac
c) 1 lac d) 7.5 lac
11 When excess cash is found in the cash department, it is credited to
a) Commission account b) Sundry deposit
c) Charges (others) d) Separate BGL account created for the

purpose
12 The employee preparing the note packets for denomination upto Rs. ____ is
responsible for both quality and quantity.
a) 500 b) 100
c) 1000 d) No employee is responsible for both quality

and quantity
13 In respect of the note packets for denominations of Rs.____ and above, cash in
charge recounting the note packet will be responsible for the quantity of pieces.
a) 100 b) 500
c) 1000 d) none
14 Recounting is not required for denominations upto Rs._____
a) 50 b) 100
c) 500 d) 1000

15 Cash shortage when not made good by the employee concerned on the day of
shortage is debited to
a) Employee's salary A/c. b) Will be written off
c) Recalled Assets A/c. d) None
16 Ceiling for petty cash expense is Rs.
a) 50 b) 100
c) none d) Done away with
17 In respect of IBCH procedure, the size of aluminium box should be
a) 14X11X4 b) 12X10X4
c) None d) 15X13X4
18 Security thread is found in all genuine notes of Rs.
a) All denominations b) 2 and above
c) 5 and above d) 10 and above
19 The CO's hand balance is verified by the accountant completely
a) daily b) Not verified
c) Every Friday d) Weekly once
20 While paying an instrument the paying cashier / SWO cancels the signature of
a) Drawer of the instrument b) Passing officer
c) Payee / person receiving d) none

payment
21 Entries in vault register are to be made by
a) Cash officer b) Joint custodian of cash other than CO
c) Either of joint custodians d) Any employee in branch
22 The vault register must always remain in the custody of
a) BM b) CO
c) Strong room d) Any where

23 RBI has prohibited stapling of currency notes by a directive issued under
a) S35 of BR act b) S 35A of RBI act
c) S 35A of NI act d) None
24 The balance of each currency chest should be verified at least once in ___ months by
an officer not connected with the chest
a) 1 b) 2
c) 3 d) 4
25 Inter-loaning of cash among cashiers / CO is recorded in
a) Vault register b) Currency chest book
c) Cash receipt / delivery book d) none
26 Close monitoring of all cash transactions of ___ and above in one instance is essential
through transaction monitoring register as per the KYC norms
a) 50000/- b) 1 lac
c) 5 lac d) 10 lac
27 Passing powers of assistant for cash & transfer transactions
a) 15,000, 20,000 b) 35,000, 70,000
c) 10,000, 20,000 d) none
28. Passing powers for special assistant for cash, transfer transactions
a) 50000, 100000 b) 1 lac, 2 lac
c) 1 lac, 4 lac d) 2 lac, 5 lac
29 Chest branches report the transactions to FSLO through ICCOMS which stands for
a) Integrity and computerised b) Integrated computerised currency

currency operations and operations and management system
management scheme
c) Integrated computerised d) None

currency operations and
managing system

30 Frauds of Rs. 3 cr and above to be reported to
a) Local police b) CBI
c) RBI d) Finance ministry
31 Frauds of Rs. 25 cr above to be reported to
a) RBI b) CBI (ACB)
c) CBI (Economic Offences d) Banking security and fraud cell of CBI

Wing)
32 Minimum amount of withdrawal from / deposit into the currency chest is Rs. ____ and
inmultiples of Rs. _____
a) 1 lac, 1 lac b) 2 lac, 1 lac

1 lac, 0.50 lac None
c) d)
33 A chest branch has to report its transactions to FSLO by
a) 08:00:00 PM b) 09:00:00 PM
c) 10:00:00 PM d) 11:00:00 PM
34 Penal interest is levied in case of
a) Delay in reporting of b) Wrong reporting

transactions
c) Both a) & b) d) none
35 Insurance for balances in currency chest is required to be obtained by the
a) RBI b) Our Bank
c) Govt. of India d) No need
36 Transit insurance for cash remittances between branches / CA and branches is

obtained by
a) The respective branch b) BPMM dept
c) Respective LHO d) No need

37 In case, counterfeit bank notes are found in remittances sent from currency chests,
a) Can be made good later b) Entire amount equal to the value of

counterfeit bank notes will be debited to the
Bank's CA
c) Either a) or b) d) none
38 If re-issuable bank notes are found to be in excess of ___% in any soiled note
remittance, the entire remittance will be returned to the Bank at its cost
a) 5 b) 10
c) 15 d) 20
39 The currency chest branch should submit its indent for notes to RBI __ times a year.
a) 1 b) 2
d) 4 d) No restriction
40 Repository's figures are shown
a) As part of main chest b) individually
c) Hand balance d) none
41 The chest branches are authorised to give immediate credit to commercial banks
against bulk credits effected by them into their account. This is called
a) Guarantee bond system b) Repository system
c) IBCH d) Small coin depot
42 Guarantee bond system is applicable to notes / coins of all dnominations less than
a) 100/- b) 50/-
c) 1/- d) 500/-
43 Unexamined remittances are remittances which are not examined within __ days of
receipt
a) 7 b) 10
c) 14 d) 15

44 Which of the following details the procedure to be followed in case of sudden
incapacitation of the BM / Joint custodians
a) Protective arrangement b) Locking up arrangement
c) Emergency arrangement d) None
45 An officer MMGS II and above has to verify petty cash balance ___times in a month.
a) 1 b) 2
c) 3 d) 4
46 Uncurrent coins are
a) defaced b) Light weight
c) defective d) All the above
47 Duplicate keys of SWO's cash box kept with
a) Cash officer b) Joint custodian other than co
c) Joint custodians d) BM
48 Half-yearly verifications to be done in case of ___% currency chest branches in each

circle to be inspected by officials deputed from LHO.
a) 5 b) 10
c) 15 d) 20
49 One rupee coin forms part of
a) Currency chest b) Small coin depot
c) Branch cash balance d) none
50 The upper limit for a currency transfer is
a 1 cr b 10 cr
c 50 lac d No limit

KEY TO
MCQ ON GENERAL BANKING- I &SYSTEMS &PROCEDURES:
1 d 2 c 3 c 4 b 5 b 6 b 7 c 8 b 9 c 10 b
11 b 12 b 13 b 14 b 15 c 16 a 17 a 18 c 19 d 20 a
21 b 22 c 23 a 24 b 25 c 26 d 27 a 28 c 29 b 30 b
31 d 32 c 33 b 34 c 35 d 36 c 37 b 38 a 39 b 40 a
41 a 42 a 43 b 44 c 45 a 46 d 47 c 48 b 49 a 50 d

GOVERNAMENT BUISINESSS:
1 State Govt. challans are enfaced by
a) MRO b) Treasury Officer
c) Bank Officer d) Any of the above
2 In case of loss of challan,
a) Duplicate can be issued b) A certificate of credit issued
c) Nothing will be issued d) none
3 A SWO can accept a Govt. receipts up to Rs.
a) 1000/- b) 5000/-
c) 3000/- d) 10000/-
4 Instruments, drawn by drawing officer and thereafter passed by treasury officer

for payment at the Bank are called
a) challan b) Pay order
c) Govt. Bill d) None
5 Validity of pay order is up to ___ days or till the end of the month which ever is
earlier.
a) 10 b) 15
c) 7 d) 30
6 OLTAS introduced for collection of
a) Corporation tax b) Income tax
c) Wealth tax & gift tax d) All the above
7 New challan format
a) GAR 5 b) GAR 6
c) GAR 7 d) GAR 8

8 EASIEST stands for
a) Electronic Accounting b) Electrical accounting system in

System in Excise and excise and service tax
Service Tax
c) Electronically accepting d) None

system for excise and
service tax
9 Electronic accounting system for e-receipts (EASeR) introduced to enable the

_____ of central excise / service tax by assesses
a) e-receipt b) e-payment
c) Both a) & b) d) none
10 FSLO at respective LHO is responsible for settlement of _____ with regional

office of RBI
a) State Govt. transactions b) Currency chest transactions
c) Small coin depot transactions d) All of the above
11 GBSS (Govt. Business Software Solution) launched w e f 01.02.2009 for
a) State Govt. transactions b) Central Govt. transactions
c) Both a) & b) d) None
12 Settlement of central / state Govt. transactions other than CBDT should take
place with RBI within T+__ days, where the dealing and focal point branchare
located at the same centre
a) 1 b) 2
c) 3 d) 5
13 Govt. commission for Govt. receipts Rs.___ per transaction
a) 50 b) 55
c) 60 d) 65
14 Govt. commission for e-receipt Rs. ____ per transactions

a) 10 b) 12
c) 13 d) 15
15 Govt. commission for payments- __paise per Rs. 100/-
a) 5 b) 5.5
c) 6 d) 6.5
16 Govt. commission for pension paymentRs. ___- fpr transaction .
a) 55 b) 60
c) 65 d) 50
17 Sharing of Govt. commission received between dealing branches and link

branch
a) 50:50:00 c 75:25:00
c) 80:20:00 d None
18 ____ is an Aadhar based digital life certificate
a) Jeeven Pramanam b) Jeevita Pramanam
c) Jeevan Pramaan d) None
19 Validity period of ITRO
a) 1M b) 3 M
c) 4M d) 6 M
20 Which bank was appointed as refund banker for CBDT
a) SBI b) ICICI
c) BOB d) HDFC
21 Minimum deposit into PPF account
a) 100/- b) 500/-
c) 750/- d) 1000/-
22 Maximum deposit in PPF

a) 100000/- b) 125000/-
c) 150000/- d) 75000/-
23 Maximum period of deposit
a) 15 years b) 12 years
c) 20 years d) No maximum
24 To conduct Govt. Business the approval of _________________required
a) Govt. of India b) RBI
c) SEBI d) Finance Ministry
25 SBI conduct Govt. Business under Section
a) S- 45 of RBI and 32 of SBI b) S- 35 of RBI and 36 of SBI
c) S-51 of RBI and 20 of SBI d) None
26 After Expiry Date the Govt. Pay Order can be revalidated by
a) Drawing officer b) Treasury officer
c) BM d) Magistrate
27 PPF Account can not be maintained by
a) HUF b) Residential individual
c) Minor with guardian d) NOne
28. The interest on PPF account credited on
a) 1st April b) 31st March
c) 31st Oct d) 30th September
29 Maximum number of Nominees allowed on a PPF account
a) one b) One or more persons
c) Nomination facility not available d) All are correct
30 Transfer of account permitted at the request of the subscriber free of charge from

a) Any branch of SBI b) Associate banks
c) Post office d) Any of the above
31 Discontinued account can be revived on payment of Rs. ___ per year.
a) 50 b) 100
c) 250 d) 500
32 Maximum deposit in Senior Citizen Savings Scheme is allowed
a) 10 lac b) 15 lac
c) 25 lac d) No maximum
33 For retired personnel of defence services to be covered under SCSS, minimum

age
c) 60 years d) No such criteria
34 No. of accounts which can be opened under SCSS per individual
a) 1 b) 2
c) 3 d) Any number of accounts subject to

the aggregate of all deposits not
exceeding Rs. 15.0 lac
35 Deposit period for SCSS
a) 5 years b) 10 Y
c) 1Y d) None
36 CIN (Challan Identification Number) consist of
a) BSR code only b) BSR Code and Date of Challan
c) BSR Code, Date of Challan d) None

and Serial Number of
Challan
37 BSR Code and Challan Serial Number have

a) 7 and 5 digits respectively b) 11 and 9 digits respectively
c) 10 and 7 digits respectively d) 9 and 5 digits respectively
38 e- Focal Point Branch for CBDT
a) CDC Belapur b) Mumbai Main Branch
c) Banglore Main Branch d) New Delhi Main Branch
39 e- Focal Point Branch for Central Excise is
a) World University Service b) Navi Mumbai, Belapur

Centre Branch Chennai
d) Mumbai Main Branch d) Banglore Main Branch
40 e- Focal Point Branch for Service Tax is
a) World University Service b) Navi Mumbai, Belapur

Centre Branch Chennai
c) Fort Market Branch, Mumbai d) Banglore Main Branch

Branch
41 Frequency of interest payment under SCSS is
a) monthly b) quarterly
c) half-yearly d) yearly
42 Interest on PPF account is paid on the minimum balance standing to the credit
of the account holder from ___ of the month to last day of the month
a) 1st b) 5th
c) 7th d) 10th
43 For how many years, a PPF account can further be extended at a time?
a) 5 b) 10
c) 15 d) 20
44 For how many times, a PPF account can be extended after the completion of

maturity for a further block of 5 years ?
a) 1 b) 2
c) 3 d) No limit
45 How many times, can loan be granted against PPF deposit in a year ?
a) 1 b) 2
c) 3 d) No limit
46 Whether credit of pension to a joint account is permitted?
a) No b) yes
c) Yes, A/c. With spouse only d) Joint account with any one
47 Loan granted against PPF deposit, will be repaid within a maximum of

__monthly installments
a) 12 b) 24
c) 36 d) 48
48 PPF commission to agents will be paid @ ___% of amount deposited
a) 1 b) 2
c) 1.5 d) 3
49 Branches paying PPF commission to agents have to deduct ____ from the
amount of commission
a) TDS b) Service tax
c) Sales tax d) Both a) & b)
50 Daily transaction of PPF are reported by receiving branches to focal point

branches through
a) GAD-2 b) GAD 5
c) GAD 12 d) GAD 13

KEY TO GOVERNEMENT BUSINESS
1 b 2 b 3 c 4 b 5 a 6 d 7 c 8 a 9 b 10 d
11 b 12 c 13 b 14 b 15 b 16 c 17 c 18 c 19 b 20 a
21 b 22 c 23 a 24 b 25 a 26 b 27 a 28 b 29 b 30 d
31 a 32 b 33 d 34 d 35 a 36 c 37 a 38 c 39 a 40 c
41 b 42 b 43 a 44 d 45 a 46 c 47 c 48 a 49 d 50 b

MCQ ON CBS & TECHNOLOGY
1 Centralized Data Base/Main Server for Core Banking Branches has been situated at: -
A Central Data Centre at Belapur, B SBIICM, Hyderabad
Mumbai
C FD, Kolkata D All LHO Headquarters
2 Which of the following company that has been entrusted with the work relating to
customization, integration and pilot implementation of CBS is: -
A TCS Ltd., India. B FNS, Australia
C China Systems, Dubai D HP Systems, USA
3 Core Banking Solution-Hardware installed at CDC has been acquired from:
A TCS Ltd. B PCS Ltd.
C Wipro D HP Systems, USA
4 In CBS branches, after permanent transfer of a user, his/her ID will be transferred to his/her
new branch by :-
A The branch from where he/she is B The branch to which he/she is
transferred transferred
C CDC, Belapur, Navi Mumbai D Any of the above
5 Minimum alpha-numeric required for user's password in CBS is:
A Five digits B Six digits
C Seven digits D Eight digits
6 After How many unsuccessful attempts a teller locked out.
A 5 B 6
C 4 D 3
7 Finance-one' software is available at CBS branches:-
A On all the nodes B On one or two nodes- preferably
BM/Acc.
C On the node of officer entrusted with D None of the above
UCO's powers
8 In Core Banking Solution, a 'Vault Teller' means: -
A Cash Officer B Accountant/Joint Custodian
C Branch Manager D All of the above
9 In case of failure of connectivity, the CBS branch: -
A Cannot perform any function B Can perform limited functions
available on OFFLINE Mode
C Can perform functions only from a D ) None of the above
separate node provided at the branch
for the purpose

10 The first branch of State Bank of India where Core Banking was started is:
A PBB-Chandigarh B PBB-Hyderabad
C Hirannandani, Mumbai D PBB-Chennai
11 In CBS system, to move from one field to another, the user has to use undernoted
options:
A <ENTER> Key B <TAB> Key
C Mouse D (b) &/or (c)
12 In CBS, management of security forms has also been made a part of the
software/system through menu- VPIS. The term VPIS stands for:-
A Valuable Paper Industry Sector B Valuable Paper Inventory
System
C Valuable Paper Instrument System D Valuable Paper Instrument
Sector
13 In CBS, every Customer Number/CIF is of ______digits :-
A Nine B Ten
C Eleven D Twelve
14 CMP stands for:-
A Cash Management Product B Collection Management Product
C Clearing Management Product D Classified Management Product
15 Software used for reporting of CMP transactions is:
A CBS will B SBI will
C Cash at will D CMP at will
16 All the internal (non-customer) accounts have been referred in the CBS as
A CGL B BGL
C Branch Clearing Accounts D Inter Branch Accounts
17 In CBS, there is a concept called 'NPA Tracking' which means:-
A The system will help the user to know B The system will automatically
the existing as well as probable NPA change the asset category of all
status of all the outstanding loan the loan accounts on the
accounts specified date
C The system will put through INC entries D All of the above
on its own
18 The Term used in CBS, corresponding to Job Stream in Bank Master, through
which a number of transactions can be put through in CBS is
A CBS Feed B Trickle Feed
C Auto Feed D None of the above
19 Default password of Service Desk of CBS is:

A Your P.F. Index B Your branch code
C SERVIDESK D servicedesk
20 Number of IRAC status codes for Loan Accounts in B@NCS24 is

A 5 B 9
C 11 D 8
21 In CBS branch calendar WW is defined as a working day. Holidays are defined as
A HL B HH
C HO D HY
22 Penal interest is applied on the CC account for the following four reasons: 1) The
stock expires. 2) The limit expires. 3) The account is overdrawn. 4) Account not
renewed. which statement is/are correct
A Only 1 B 2&4
C 1&3 D All are correct

23 Internal Rating can be entered for the accounts, enjoying credit limits of Rs.
______ and above. The rating also be entered at________ level in the CBS
A 25 & Account B 25 & CIF
C 50 & Account D 50 & CIF
24 An enquiry screen has been developed for displaying the status of alternate
channels like ATM, Internet Banking and SMS alert. ________is to be used for
invoking this screen.
A Ctrl+Shift+A B Ctrl+Shift+S
C F5 D None of these
25 Online CIF creation is available in CBS for domestic regular SB account. Now the
facility is being extended to______________.
A CSP customers B Corporate
C SHGs D All of these

26 Transfer of loan accounts by the Home Branch in CBS since restricted. Provision
made for transfer of such accounts. Home branch change is to be done only by the
_________.
A Respective LHO B Respective RBO
C Service desk D None of these

27 A new User Type _____ has been created to be used exclusively for branch level

external/ statutory auditors
A 27 B 72
C 33 D 53
28 Cheque debit transactions of Rs._______ lacs and above will now be subjected to
compulsory maker-checker process.
A Rs. 5.00 B Rs.10.00
C Rs.3.00 lacs D None of these

29 A new mandatory field in CIF Creation /Amendment screen named as Current
Country of Residence with a drop down values of all countries. The newly created
field in CIF creation/amendment screen made available/visible only for the
_____Customers.
A Corporate B Non personal
C NRI D All of the above

30 Full form of the term GLIF is :-
A General Ledger Information File B General Ledger Interface File
C General Ledger Internal Accounts File D None of the above
31 Data Entry is reduced from present ___ fields to ___ fields in the new look
Roopantar
A 8,6 B 7,5
C 4,2 D 6,4
32 In Roopantar branch search can be performed with search criteria of : Search
Branch 1. by name, 2. branch code, 3. IFSC Code, 4. Pin Code
A 2&4 B 1&3
C 1&4 D All of these
33 Loan - EMI/Term/ Amount Calculator will be available to the teller with capability of
A User type 40/45/50/60 and any B User type 01/45/50/60 and any
capability capability
C User type 01/ 40/50/60 and any D User type 01/ 40/45/50/60 and
capability any
capability
34 A facility is provided to set the priority of a transaction that has been posted in the
queue. Maker can mark the QUEUE as a
A PRIORITY QUEUE B URGENT QUEUE
C IMPORTANT QUEUE D None of the above

35 All High Priority queues are highlighted with _________color, however only when
High priority queues are viewed (View high priority txn checked
A Light Pink B Light green
C Light red D Light blue
36 All latest promotions takes place in CBS available at
A Service desk B Core banking dept
C Circle alternate channel site D A&B
37 Al the user nodes in the branches needs to be upgraded with
A IE.11 & Dot Net 4.5 Set up B IE.10 & Dot Net 4.0 Set up
C IE.11 & Dot Net 4.0 Set up D IE.10 & Dot Net 4.5 Set up
38 An amount of Rs.______ will be debited to the loan account towards charges for
late/non payment of EMI/Instalment on monthly basis on last day of the month
A Rs. 500/- B Rs.1000/-
C Rs.1250/- D No such charges
39 If account has insufficient balance to recover the SC return charges, system would
debit the account with whatever the balance available in the account and for the
remaining amount, it would be parked separately and as and when account gets
balance. The recovery of the charges to be_____
A Recovered manually B system will recover the
remaining amount at EOD
C SC not accepted in CBS D None of these
40 Passing Officer/ Field Officer/ Divisional Manager/ Branch Head with User
management rights will have the user type of____
A 40 B 45
C 50 D 60
41 All Tellers can create CIF, which requires authorization by a Checker with a
minimum Capability Level of____
A 3 B 5
C 7 D 9
42 Under account segment code 0806 refers to
A Per Dom Staff B Per Dom Public
C Per NRI D C&I
43 Resultant balance to be selected in CBS for savings plus account will be
Rs._______ (for sweep)
A 10000 B 15000
C 20000 D 25000

44 A facility provided to remit foreign remittance introduced in CBS name the product:
A Fxout B Forexout
C Foreign exchange out D No such facility in CBS
45 At the End of the Day (EOD), CGL Cash Balance (1204505001) should be equal to
Branch BGL Cash Balance at Branches.
A (98908+98912) B (98903+98902)
C (98903+98912) D (98908+98902)
46 What is IBCH ?
A In Bank Cash Handling B In Branch Cash Handling
C In cash Dept Box Handling D In Branch Box of cash
47 Every day, the Cash Officer will generate Teller by_______________ for verification
of his/her Cash from the following CBS :
A Random Report B As per BM instructions
C As per the Acct Choice D Any of these
4848 In fxout facility which of the following statement is/are correct?
1. Available for retail remittances only
2. Available to SBI account holders only
3. Max remittance limited to amount equivalent to INR 10 lacs
4. Centralized Processing at GMU-K
5. Available across all the branches
A 1&5 B 2&4
C 1&4 D All of the above
49 In CBS, ___________ has been provided for initiating the de-duplication process
A Screen No. 60466 B Screen No. 61460
C Screen No. 61466 D Screen No. 61406
50 CCOD and Loan Balance files of the branch are available under___folder
A Transaction Reports B Adhoc Reports
C Exception Reports D Other Reports
51 Name SBI deployed private cloud in _________2012
A SBI clout B Blue cloud
C Meghdoot D Rajdoot
52 System Integrators for SBI aspirations
A IBM B TCS
C INFOSYS D TECH MAHINDRA

53 Online SMS alerts will triggered in respect of the following activities.
I. SMS on LPG Subsidy,II.TDS Deduction ,III.Credit Threshold Alert
IV. SI Failure Alert V.Set Hold Alert
A I&V B II&IV
C I&III D All of the above
54 Can we Reopen erroneously closed deposit/ loan accounts? Who will provide the
authorisaton in this regard?
A No B Yes
C With permission from RBO. D With permission from DGM B&O
55 Sever busy. Please try after some time error occurs when___
A Server is not started B server password is changed &
the same is not set in
FNSBANCS Link component
services
C Data connection lost D Any of the above
56 To enable the account statement , necessary changes along with email updation
needs to be done in______
A Deposit CCOD Accts B Amend Deposit Tab
C Amend cust details>Misc details D All of these
57 Repayment options available in CBS are:
1. EMI 2. Prin Eq Distrib
3. Negotiated repayment 4. Negotiated repayment with Intt
A 1&4 B 2&4
C 1&3 D All of the above
58 EOD in CBS is done by --------
A Central Office, Mumbai B GITC, Belapur
C Concerned Branch D Concerned LHO
59 Trace Number in CBS refers to?
A Refers to CIF number rejected by CBS B committed transactions that are
accepted in Database at CDC
C Refers to clearing system of transactions D None of these
that are rejected by CBS
60 ______ is a tablet based application to conduct Pre and post sanction
Inspection of SME Advances.
A DIYA-SME C DIA-SME
B DIVA-SME D None of the above

KEY TO MCQ ON CBS & TECHNOLOGY
Q 1 2 3 4 5 6 7 8 9 10
A A A D A D D B B B C
Q 11 12 13 14 15 16 17 18 19 20
A D B C C C B D B D D
Q 21 22 23 24 25 26 27 28 29 30
A B D B A A C A A C B
Q 31 32 33 34 35 36 37 38 3.9 40
A C D D A A D C A B B
Q 41 42 43 44 45 46 47 48 49 50
A B C D A C B A D C A
Q 51 52 53 54 55 56 57 58 59 60
A C A D D B C D B B B

MCQ ON ALTERNATE CHANNELS AND TECHNOLOGY
1 The Government campaign 'Give it Up' is associated with

A Giving up subsidy on petrol B Giving up subsidy on LPG
C Giving up consumption of tobacco D Giving up excess land to
landless poor
2 CVV stands for
A Card verified vendor B Customer verification value
C Card verification value D Customer value verified
3 For which type of cards cash withdrawals and enquiry is restricted to SBI Group
ATMs only?
A Combo Card B e-z Pay Card
C Smart Card D None of these
4 E-filing of income tax returns is mandatory for individuals with annual taxable
income of __
A Above Rs.5 lacs B Above Rs.6 lacs
C Above Rs.7.5 lacs D Above Rs.10 lacs
5 What is the maximum number of transactions covered in mini statement issued at
ATMs?
A 5 B 8
C 10 D None of these
6 As per Bank's customer Grievance Redressal policy, all complaints should be
resolved within a maximum period of ___days
A 7 B 14
C 15 D 21
7 What percentage of commission distributed to the branches on WU Money
Transfer transactions?
A 25 % B 50%
C 75 % D 100%
8 Which is the Trade Finance software and it is obtained from whom?
A CS IMPEX Microsoft B CS Exim Bills China Systems,
Taiwan
C Exim Solutions from HCL D None of these
9 Corporate General Ledger (CGL) is maintained by software
A Finance One Commlink USA B Finance One TCS
C Finance One Infosys D None of these

10 Maximum no of accounts that can be enabled from Mobile Banking services?
A 10 B 5
C 3 D Only 1
11 Minimum/ Maximum Amount that can be remitted through RTGS
A No Minimum & No Maximum B Minimum Rs 1 Lac & No
Maximum
C Minimum Rs 50,000/- & Maximum Rs D Minimum Rs 2 lac & No
100 Lac Maximum
12 Which of the followings is incorrect regarding Custody of Undelivered ATM Cards
& PIN?
A Undelivered ATM Card & PIN should be B All Cards which cannot be
kept in separate Custody delivered within 45 days should
be recorded in a register and
hot listed
C The PIN Mailers, not delivered within 45 D None of these
days should be recorded in a register
and destroyed effectively and cards may
not be hot listed
13 Who provides connectivity among ATMs of various banks?
A Central ATM centre B Central ATM switch
C National ATM centre D National Financial switch
14 Nodal Branch for Western Union Money Transfer Payments is
A Mumbai Main Branch B Overseas Branch Chennai
C NRI, Kochi Branch D Overseas Branch Mumbai
15 Error code 62 in ATM means
A Invalid PIN B Expired Card
C PIN Tries Exceeded D Ineligible Account
16 Which of the following is true in respect of availability of transaction rights in Retail
INB?
A Only View rights available B View or View and transaction
rights or Limited transactions
rights available
C View or View & Transaction Rights D None of these are true
available
17 Quick transfer is available under which facility
A ATM B Mobile Banking
C Internet banking D None of these

18 There are ___number of Apex Training Institutions in SBI
A 4 B 5
C 6 D 3
19 m-cash facility available under
A ATM B Mobile Banking
C Internet banking D None of these
20 Recently which of the following feature added in the internet banking facility
A Online nomination B ATM PIN regeneration
C OTP secure password D Online application for ATM

21 In RINB, when customer requests for re PIN generation, where will he get the PIN
A Home branch B Any branch
C Customers registered address D Online setup

22 In RINB ATM card services, which of the following is not available
A Blocking of ATM card B ATM
C D
23 Under SBI quick missed call banking , the customer can get
A Balance enquiry B Mini statement
C Blocking of ATM card, product D All the above

information
24 State Bank Buddy is available for
A SBI customers B Any bank customers
C Any persons D All of these

25 Slogan of State Bank Buddy is
A Anyone, Anytime, Anywhere B Any SBI customer any time
C 24x7 D Pure banking nothing else

26 What is the monthly fund transfer limit in state bank buddy
A 10000 B 20000
C 50000 D No limit
27 Required hand set for downloading state bank buddy is

A Any android mobile handset B A Smartphone with Android
Operating System (Version 3.0
or above)
C Any mobile hand set D Any of these
28 C-Edge Technologies is a joint venture between SBI and __-

A TCS B INFOSYS
C COGNIZANT TECHNOLOGY D WIPROA

SOLUTIONS
29 Out of the following, which has not been the slogan of SBI so far?
A The Nation Banks on us B Banks that runs the economy
C With you all the way D The Banker to every Indian

30 Under ATM card to card transfer, what is the transaction and day limit
A No limit B Both Rs. 40000/-
C No such facility in ATM D Transaction limit Rs.40000, no

day limit
31 In the light of changing trends in the International Banking scenario, due to
globalization, who has introduced Risk Based Supervision in Indian Banks?
A Government of India B Reserve Bank of India
C Indian Banks Association D World Bank
32 USSD stands for
A Unstructured Supplementary Source B Unstructured Supplementary
Data Service Data
C Under Supplementary Service Data D None of these
33 MMID has ____digits
A 7 B 9
C 11 D 15
34 For registering mobile banking SMS needs to be sent to__
A 18001801290 B 1800112211
C 9223440000 D 9443220000
35 First Bank in India to introduce the concept of Digital Banking
A ICICI Bank B Corporation Bank
C Yes Bank D SBI
36 PIN stands for

A Personal Identification number B Permanent identification
number
C Personalized index number D Personal important number
37 Under VISA money transfer the amount up to _____can be remitted
A 25000 B 50000
C 75000 D No limit
38 Under achievers card , minimum and maximum amount can be issued is?
A 500, 50000 B 500, 100000
C 100, 50000 D 100, 100000
39 PPK has unique _____digit number
A 3 B 6
C 10 D 12
40 IRATA stands for
A Internet Banking Request Approval B Immediate banking through
through ATM ATM
C Inter bank request for transfer D None of these
41 The online opening / closure facility through e-RD available between __ HRS IST and __
HRS IST.
A 24 hours B 8.00 am to 8.00 pm
C 10 am to 4.00 pm D 10 am to 8.00 pm
42 Resetting of profile password in RINB can be done by
A Home branch only B Any branch
C CBS D Online by submission at home
branch
43 For transactions done through m-cash are valid for a period of
A 3 days B 5 days
C 7 days D Same day
44 What is Online Forex Outward Remittance?
A Internet-based Forex Outward B Available in CBS
Remittance facility available
on www.onlinesbi.com to the individual
Personal Banking Segment customers
of the Bank
C Available in only at NRI branches D None of these
45 What is home page ?

A First page of the book B First page of the website
C Last page of the website D None of these
46 Expand SMS
A Short mail service B Short message server
C Short message service D Short mail server
47 Anti virus used in our bank is
A Symantec B Mcafee
C Foxpro D Trend Micro
48 Multi administrator facility is available in which of our CINB variants
A Saral & Khata B Khata Plus & Vistaar
C Khata Plus & Vyapaar D Vyapaar & Vistaar
49 Green Remit Card per transaction limits is _______subject to a monthly cap of
____per remitter
A Rs. 5000/- & Rs.25000/- B Rs.25000/- & Rs. 1 lac
C Rs.5000/- & Rs. 50000/- D Rs.25000/- & Rs. 50000/-
50 CDM allows the customers to make an envelope-free cash deposit of up to _____
notes with a maximum limit of Rs ________/- at any instance
A 100 and Rs.49900/- B 200 and Rs.49900/-
C 100 and Rs 100000/- D 200 and Rs 100000/-
51 The e-Card(Virtual Card) will expire as soon as the transaction is
completed. What is/are the other situation when card will expire
A By blocking the card over toll free B If the Card is cancelled
number.
C The Card is not used for 48 hours after D B or C
creation
52 Cooling period in respect of third partys added in RINB is___ days and limit___
A 5 days & Rs. 50000/- B 4 days & Rs.1,00,000/-
C 3 days & Rs.100000/- D None of these
53 Max Number of Self Acs, Payees, Billers that can be registered
for Application/WAP based State Bank Mobile Banking at any
given point?
A 3 Each B Unlimited
C 10 Each D 5 Each
54 SBI ATM Cards are Processed & Issued By

A VISA Division B Visa/MasterCard
C Venture Infotek Global Private Ltd, DEI D Mastro Division
Cards & Fulfillment Division, Global IT
Centre, CBD Belapur
55 . Failure of Banks computer system as per Basel II norms is attributable to which
type of risk
A A. System Risk B. Computer Risk
C C. Operational Risk D. Technology Risk
56 First Public Sector Bank in India to use Cheque Truncation System
A A. Bank of Baroda B. State bank of India
C C.Bank of India D. ICICI BANK
57 RAM stands for
A Random Access memory B Random available memory
C Readable access memory D Readable available memory
58 The following is established to provide connectivity among net
worked ATMs
A NFS(National Financial Switch) B IFS(Indian Financial Switch
C Banknet D IMPS
59 As a measure to protect the gullible customers from the miscreants, who are
cheating them through various social engineering tactics adopted on the ATMs
,Bank has reduced the PIN entry time to ______
A 10 Seconds B 20 Seconds
C 30 Seconds D 40 Seconds
60 The Daily POS limit for new Business card State Bank Premium
(Platinum) is
A Rs 1 Lac B Rs 2 lacs
C Rs 3 lacs D Rs 5 Lacs
61 Hotlisting of Card refers to
A Mutilated Card B Revalidation of Card after
expiry
C Deactivation of lost ATM Card at ASC D None of these
62 The First 6 Digits of the ATM Card number represent the
A Bank Number B Bank's Institutional
Identification number (BIN)
C Branch Number D Pin Number

63 As per present instructions, in case of loss/stolen ATM card, the customer can
block his ATM card in the following ways:
a) By lodging online request in 'Block ATM card' under 'e-Services' tab in post
Login section of OnlineSBI.
b) By calling up the contact centre.
c) By giving a written request at the branch, which in turn either calls up the
contact centre or lodges a service desk request for blocking of the ATM card
d) By sending an SMS to 567676
A A only B B & c only
C All the above D None of these
64 As per our Banks IS Security Policy, which of the following is treated as Security
violation?
A Connections modems to computers B Introducing Virus
without approval
C Bypassing Access control Mechanism D All of the above
65 Expand TLC
A Tech Leading center B Tech Learning Centre
C Tech Lending Center D Tech Learning Cell
66 A customer can avail INB facility by
A Home Branch B Any branch of choice
C Online registration without branch visit D Any of these
67 Number of variants introduced by the bank through State Bank Anywhere platform
A 1 B 2
C 3 d 4
68 NRI customer while performing INB transactions can get OTP through E-mail
as well in PDF format duly protected. Password to open the mail is____
A Mobile Number B Account Number
C PAN number D None of these
69 To get e-mail statement through statebank samadhan application, the customer
should have __________________ and password to open the mail id
is_________________
A e-mail & four digit PIN B Account number & PAN
number
C Android Mobile & mobile number D Correct address & date of birth
70 INB user can transfer funds within the same CIF; min and max amount would be
A Rs. 1/- & Rs.2,00,00,000/- B Rs.1/- & Rs.20,00,000/-
C Rs. 1/- & Rs.2,00,000/- D Rs.1/- & Rs.20,000/-

71 Expand IMPS
A Immediate Payment Service B Immediate Payment Solutions
C Immediate Payment Section D Immediate payment Service
Solutions
72 (ADS) Active Directory Services developed by -
A Infosys B GITC Belapur
C Microsoft D TCS
73 What is Metagrid?
A It is a computer security grid B it is related to service charges for
forex related services
C It is a CBS server maintained New D Metagrid is web based software
Delhi as a back-up application for retail sale of gold
coin
74 What is the name of the software used by the bank used for online forex rates
A CBS Roopantar B Mercury FX
C SFMS D Exim Bills
75 All apps of state bank group are available at one platform called _______
A 1 market B Mobile store
C State bank app kart D Google play store
76 What is the transaction limit in RINB under IMPS

A Upto a cumulative of Rs.2.00 lacs per B Upto a cumulative of Rs.1.00 lacs
user per user
C Upto a cumulative of Rs.0.50 lacs per D No such limit
user
77 Roopantar is a modified version of
A Mobile banking application B CBS application
C Internet banking application D Core banking solutions
78 Role of Administrator is mandatory in respect of following CINB variants.
A Khata Plus, and B Vyapaar
C Vistaar. D All of these
79 For sole proprietorship account, which CINB facility can be provided for enquiry
rights
A Khata B Saral
C Vyapaar D Vistaar

80 State Bank Secure OTP" is an application can be used for __
A OTP generation App for mobile B OTP generation App for Internet
Banking Banking transactions (INB),
C OTP generation App for online D None of these
transactions
81 Under m-cash transactions, the uniform service charges of ____ per transactions will
be recovered from the customer
A Rs. 5/- B Rs.4/-
C Rs.2.50 D Free of cost
82 Under RINB facility Loan against shares what is the minimum and maximum limit.
A Rs.1,00,000/- & Rs.10,00,000/- B Rs.50,000/- & Rs.10,00,000/-
C Rs.50,000/- & Rs. 20,00,000/- D Rs.50,000/- & Rs.10,00,000/-
83 EMV chip security enabled cards introduced by SBI - EMV stands for
A Electronic Master Card & Visa B Euro Pay, Master Card& Visa
C Electronic Monitoring Vehicle D Electronic Master Value
84 HTTP stands for
A Hyper text Transfer protocol B High Text Transfer protocol
C Hyper Test Transfer protocol D High Test Transfer protocol
85 Bank Disaster recovery centre is located at
A Hyderabad B Delhi
C Mumbai D Chennai
86 The following services are not available in RINB
A Mutual fund details B Sbi life details
C ATM card issue D Home loan intt certificate
87 Minimum Overdraft can be availed under RINB
A 25000 B 50000
C 75000 D 100000

KEY TO MCQ ON ALTERNATE CHANNEL AND TECHNOLOGY
Q 1 2 3 4 5 6 7 8 9 10
A B C B A C D C B A B
Q 11 12 13 14 15 16 17 18 19 20
A D C D C C B C B C C
Q 21 22 23 24 25 26 27 28 29 30
A D B D D A B B A B D
Q 31 32 33 34 35 36 37 38 39 40
A B B A C D A B B C A
Q 41 42 43 44 45 46 47 48 49 50
A B B B A B C D B B B
Q 51 52 53 54 55 56 57 58 59 60
A D B D C C A A A B D
Q 61 62 63 64 65 66 67 68 69 70
A C B C D B D C A A A
Q 71 72 73 74 75 76 77 78 79 80
A A C D B C A D D A B
Q 81 82 83 84 85 86 87 88 89 90
A C C B A D C A

MCQ ON INTERNATIONAL BANKING
1 FCNR(B) ACCOUNT cannot be opened in which of the following currencies w.e.f 01.04.2014 ?
A USD B GBP
C EURO D CHF
2 Simple Form A2 (Application cum declaration) can be obtained from applicant in respect of
remittance for miscellaneous non-trade Current Account transactions upto :
A USD 10000 B USD 100000

C USD 25000 D USD 200000
3 Under UCPDC 600 directives, time available for scrutiny of documents received under the LC is
A 3 working days B 5 working days

C 7 working days D 10 working days
4 Import bill with sight bill of exchange has to be crystallized on :
A 7th day B 10th day
C 15th day D 30th day
5 ECGC takes care of the risks of :
A Exporter B Importer
C Bank D Exporter & Bank
6 An individual can bring into the country Indian currency from any place outside India
(except Nepal & Bhutan) up to Rs........ person.
A Rs.5000 B Rs.10000
C Rs.7500 D Rs.3000
7 As per FEMA guidelines, ADs can release to an individual forex up to USD .. per
annum for one or more private visits abroad (except for travel to Nepal and Bhutan)
A USD 50000 B USD 5000
C USD 10000 D USD 25000
8 Foreign Currency Non-Resident Deposits (FCNB) can now be maintained in
____currencies.
A 4 B 5
C 6 D 10
9 Under NRI Housing Loan, the criteria of employment abroad is for a period of
A 2 years B 3 years
C 4 years D 5 years

10 In all cases of imports, where value of forex remitted exceeds USD 100000 or
equivalent, evidence for import has to be submitted by the importer within :
A 15 days B 1 month
C 3 months D 6 months
11 Export Packing Credit is liquidated out of :
A Export proceeds B Domestic sales proceeds
C Bill proceeds out of D None of the above
neg/purchase/discount
12 Exporters with good track record are made available export credit on best terms under :
A Export Packing Credit facility B PCFC
C EBR D Exporters Gold Card Scheme
13 Periodicity of R-Returns is :
A 15 days B 1 month
C 3 months D 6 months
14 Exports where the goods supplied do not leave the country and the payment for such
supplies is received in INR/free foreign exchange :
A Merchant Export B Deemed Export
C Re-Export D Normal Export
15 In case of negotiation of export bills, which of the following rates would be applied ?
A Bill Selling Rate B TT Selling rate
C Bill buying Rate D None of the above
16 Vishwa Yatra Foreign Travel Card can be issued in ... number of currencies .
A 8 B 6
C 7 D 9
17 Who regulates the forex dealings by Authorised dealers?
A RBI B Govt of India
C FEDAI D DGFT
18 Which of the following cannot be included under 'Net invisibles' for calculating BOP on
Current Account ?
A Software Exports B Workers remittances from abroad
C Other private transfers D Trade Surplus

19 Non residents are eligible to receive remittances from India, upto USD ...... per year,
under Liberalized Remittance Scheme.
A USD 1 Million B USD 100000
C USD 75000 D USD 500000
20 Unspent foreign exchange brought back to India by a resident individual should be
surrendered to an Authorised Dealer within a maximum period of . days from the date
of return of traveller.
A 60 days B 180 days
C 120 days D 360 days
21 NRI/PIO may remit an amount upto USD .. per financial year out of balances held in
his NRO Account.
A USD 25000 B USD 50000
C USD 100000 D USD 1 Million
22 A returning traveler is permitted to retain with him foreign currency, TCs and Currency
Notes up to a maximum amount of USD ....... and foreign coins without any ceiling
beyond 180 days.
A USD 500 B USD 1000
C USD 1500 D USD 2000
23 Exchange Earners Foreign Currency Account(EEFC) can be opened in the form of :
A Savings Bank Account B Current Account
C TDR/STDR Account D None of the above
24 In the case of ______________ the import leg and the export leg of the transaction are
completed without the goods actually entering the border of the importer's country.
A Re-Export Trade B Merchanting Trade
C Deemed Export D None of the above
25 AD s may provide facility for reconversion of Indian Rupees to the extent of Rs......... to
foreign tourists against ATM Receipts(on the basis of ATM Slips & original debit/credit
card).
A Rs.25000 B Rs.50000
C Rs.100000 D Rs.200000
26 An NRE account can be opened jointly with Resident Indian with the following mode of
mandate
A E or S B F or S
C L or S D NRE account cannot be opened jointly with
Resident

27 DTAA means
A Double Taxation Avoidance B Direct Taxes Applicable to all non residents
Agreement
C Domestic Trade Allowing Authority D None of these
28 RFC (Domestic) account can be opened in the form of
A SB a/c B Current a/c noninterest bearing
C TDR a/c D None of these
29 Which of the following is not a permissible credit in to NRE account
A Remittances from abroad through B Proceeds of Foreign Currency Notes /
banking channel Travelers cheques tendered by NRI, while
visiting India.
C Income earned in India D Interest / dividend / maturity proceeds of
investments made in India on repatriable basis.
30 For NRE account opening by the customers who are not visiting to a Branch in India, the
Signature in the account opening form, duly verified/attested by any one of the following
persons / entities is not acceptable.
A SBI Foreign Office (With SS No), B Indian Embassy or High Commission
wherever it is permitted
C Notary Public D Existing NRE account customer
KEY TO MCQ ON INTERNATIONAL BANKING
1 D 2 C 3 B 4 B 5 D 6 B 7 C 8 C 9 A 10 C
11 C 12 D 13 A 14 B 15 C 16 A 17 A 18 D 19 C 20 B
21 D 22 D 23 B 24 B 25 B 26 B 27 A 28 B 29 C 30 D
MCQ ON PRACTICAL PROBLEMS IN BANKING

01 A cheque drawn by Mr. Prabu a power of attorney holder of Mr. Manohar is received for
payment after the bank has received the confirmed information about the death of Mr.
Prabu. How will you handle the cheque?
a) As the agent had signed the cheque on behalf of the principal, payment of this
cheque will not discharge the liability of the paying banker towards the drawer.
b) The principal Mr. Manohar will be asked to sign the cheque and thereafter the
payment will be made.
c) Cheque will be paid In the usual course because with the death of the attorney
(agent), the mandate of the drawer is not affected
d) Confirmation of the principal will be obtained and thereafter the payment will
be made.
e) None of the above.
02 M/s Venkatramana & Co availing a Term Loan of Rs 25 Lac defaulted in repayment of
loan. Since the borrower became willful defaulter bank decided to file the suit. On 14th Aug
2015 on scrutiny of documents, bank found that the documents were expiring on 15th Aug
2015 and on 16th Aug 2015 the bank was closed. What advice will you give to the FO to
safeguard banks interest?
a) As per the Limitation Act, suit can be filed on the next opening date of the court on
the next date, the bank is closed but the court is opened, bank will have to ensure
that the suit is filed on 16th August.
b) As per the Limitation Act, suit cannot be filed on the next opening date of the court.
The bank will approach Chief Judicial officer at his residence and seek extension for
two days.
c) The bank will seek the opinion from legal counsel head office.
d) The dealing loan officer should be made personally liable.
03 Santa & Banta is maintaining a Current account with the mandate 'either or survivor'. The
account is showing a credit balance of Rs 185000. You receive a Income Tax attachment
order from the Income Tax authorities that Banta is liable to the extent of Rs.250000.00
and as such Instruct to attach the balance outstanding. Santa approaches your branch and
argues that the amount belongs to him and as such the account should not be attached.
Do you agree?
a) Either or survivor is a not a joint account and for the purpose of attachment order,
Bank is not concerned as whom the money belongs to and as such entire amount will
be attached.
b) On receipt of income tax attachment, order, the bank is bound to attach 50% of the
outstanding amount, and the same will be remitted to attachment authorities.
c) Either or survivor is a joint account and for the purpose of attachment order, Bank has
to see as to whom the money belongs. Since in the account with 'either or survivor'
mandate, the money belongs to the former as such the amount will not be attached.
d) Banta will be referred to the legal counsel/head office for guidance.
04 A STDR is opened at your branch for Rs.12000/- payable to A or B. The mode of operation
is E or S. They have nominated C as a Nominee to the account. Both A and B died in a

road accident. Legal heirs of A and also C have approached your branch for payment of
the proceeds. What the Branch should do?
a) The amount can be paid to the nominee who in turn is responsible to legal heirs of
A & B.
b) Amount must be paid to the legal heirs of A and B who in turn are responsible to C.
c) Amount must be paid to the legal heirs of A & B and C jointly.
d) Hold must be put and Controllers advice and/or Branch Advocate must be taken in
the matter.
05 Ram and his wife Seeta is having a saving bank account with the mandate 'either or
survivor'. The account is showing credit balance of Rs 2 00000. Legal heirs of Ram
inform you, that he has expired and no payment should be made till the court order is
received. In the mean time you receive the cheque in clearing for 145000. How will you
handle the cheque?
a) On the death of an individual the bank will not take note of request of legal heirs to
avoid the application of Rule of Clayton case.
b) The bank will not get the valid discharge, as it will not be payment in due course.
c) In accounts with the mandate 'either or survivor', the bank on the notice of death of
anyone can make the payment to the survivor.
d) The bank will make the payment to the .survivor and the legal heirs jointly.
06 X&Y is maintaining a Savings Account with the mandate 'former or survivor'. One day Y
approaches the bank and informs the bank that due to the age factor, X is behaving in
abnormal manner and has issued a cheque for Rs 1000000 in favour of a charitable
institution. He requests you to stop the payment of the cheque, which has been presented
in the clearing. The counter clerk seeks your guidance on the letter as to whether the
payment of the cheque should be stopped?
a) Accounts with the mandate former or survivor' indicates that during the lifetime of
former, he has the authority to operate the account and the survivor cannot stop the
payment of the cheque.
b) Accounts with the mandate 'former or survivor', the survivor can stop the payment of
the cheque.
c) Accounts with the mandate 'former or survivor', for stopping the payment of the
cheque, consent of both
the parties is required.
d) They should be asked to sort out the matter mutually.
e) The matter should be referred to the legal counsel.
07 Ganga Acqua Pvt. Ltd. was disbursed a term loan of Rs.25 lac on 20th Jan 2015 by SBH.
The charge on the assets were got registered by the bank on 25th Feb, 2015. Meanwhile,

the Company got CC (Hyp.) limit of Rs.50 lac on 25th Aug, 2015, from Central Bank of
India and the plant and machinery, land and building was charged as collateral security.
Central Bank of India got the charge registered with Registrar of Companies on 1st Sept,
2015. Discuss which bank has priority of charge.
a) The priority of charge is decided on the basis of the date of registration of charge with
ROC, and not on the date of documents.
b) The priority of charge is decided on the basis of the nature of charge i.e., equitable or
legal mortgage.
c) The bank will have pari-passu charge.
d) The priority of charge is decided on the basis of the date of document and not on the
date of registration of charge with ROC.
08 A partnership has three partners A, B & C and a minor D, son of A. The Account opening
form should be signed by:
a) All the partners including minor b) All the partners with minor's natural guardian
c) Only the partners other than minor d) None of the above
09 Mr. S keeps National Saving Certificates in the name of his minor son 'T' in safe custody
with the Bank. T on attaining majority approaches the bank with the request that the
certificates kept in safe custody be delivered to him as he has become major now.
a) The minor after becoming the major has no right to get back anything lying with the
bank in his name without the consent of the Guardian.
b) The minor after becoming the major has every right to get back anything lying with
the bank in his name after getting permission from the concerned court.
c) The minor after becoming the major has every right to get back anything lying with
the bank in his name. Guardian loses' the authority over minor's property after
the minor attains the age of majority.
d) None of the above
10 Ram and Syam are partners in M/S Ram & Syam. Syam approaches the bank and
informs the bank about the dispute with Ram and instructs the bank in writing to honour
the cheques signed by him only and not the cheque signed by Ram. How will you act
on these instructions?
a) The bank will stop the operations to avoid application of Rule of Clayton case.
b) The bank will write to both the partners about 'the instructions of Syam and the
earlier operational mandate will stand cancelled and bank will allow further
operations jointly.
c) The Bank will inform Syam to sort out the matter mutually.
d) The bank will write to both the partners about' the instructions of Syam and
request them to close the old account and open two separate accounts to avoid
dispute in future.
11 Mohandas is having a Current OD with overdraft of Rs. 25,000/-. He deposits Rs. 40,000/-
in cash in the bank for issuing the draft in favour of his suppliers. The bank wants to set off

Rs. 25OOO/- towards adjustment of the Current OD. Mohandas has written a letter and
has threatened the bank with legal action, if Rs. 25,000/- are utilized for adjustment of the
Current overdraft account.
a) As per the Contract Act, the bank has the right of set-off when the individual has
liability outstanding and it has been recalled.
b) As per the Contract Act, when the amount is deposited for specific purpose like issuing
of draft, then the right of set-off is not available to the bank.
c) As per the Contract Act, the bank has the right of set-off when the individual has
liability outstanding and it has become due and has been recalled through proper
recall notice.
d) Right of set-off is not available as it has not been credited in the overdraft account.
12 M/S M&M, have been sanctioned credit facilities against the guarantee of Mr.N. The
guarantor Mr.N gives notice for withdrawal of the guarantee. Bank informs him that as per
guarantee bond, one month notice is essential for withdrawal of the guarantee. Discuss
Bank's position.
a) On receipt of notice of withdrawal of guarantee, the bank will stop the operations and
recall the account, till the letter from the guarantor is not witt1drawn.
b) On receipt of notice of withdrawal of guarantee, bank will rule-off the account and any
further operations will have to be discharged jointly by all the partners, to crystallize the
liability of the guarantor. Mr.N will be advised of the outstanding liability and that he
continues to be liable till the expiry of the notice period.
c) On receipt of notice of withdrawal of guarantee, bank will rule-off the account to

crystallize the liability of the guarantor. The firm will be informed of the withdrawal of
guarantee by the guarantor, and Mr.N will be advised of the outstanding liability, and that
he continues to be liable.
d) On service of the notice by the guarantor, he is automatically discharged and one

month's notice is only a formality.
13 Mr Raj approaches your branch at 6.20 p.m. after the banking hours with a cheque of Rs
13000 issued in his favour by one of your account holder. He informs you of the urgency of
getting the cheque enchased and conveys regrets for the inconvenience and for coming
after the banking hours. How will you handle?
a) If the bank makes the payment it will not be considered as payment in due course.
b) Bank is exposed to the risk of countermanding of the payment by the drawer or
receives of garnishee order.
c) The drawer's death or insolvency can also cause problems.
d) The cheque is of small amount and it can be paid as a part of customer service.
e) a, b and c.
14 Mr. X maintaining, a satisfactory Current account issues a cheque for Rs 10,000/- in favour

of his supplier Mr. Y who endorsed it In favour of Mr. Z who takes it for value. Mr.Z
deposits the cheque in his bank for collection. The cheque is presented in clearing at your
branch but due to oversight the cheque is wrongfully dishonored. Your branch receives a
notice from Mr. Z for wrongful dishonour and demands payment and also claims damages.
How will you handle the notice?
a) In case of wrongful dishonor of a cheque, the drawee banker is liable for damages to
the drawer only
b) Since Mr. Z is the holder in-due course, he has the right of claim against the bank due
to wrongful dishonour.
c) The bank should enter into settlement with Mr. Z and sort out the matter.
d) Opinion of the legal counsel is obtained.
15 Mr. H maintaining a Current account with your branch issues a cheque in favour of his
supplier. The cheque is presented in the clearing and since the cheque was in order and
there was sufficient balance the same was passed by your branch. He now requests you
to return the instrument to him. How will you act on his request?
a. As per Banking Regulation Act, bank is not permitted to part with cheque, as after making
the payment, the instrument is the property of the bank:
b. As per Banking Regulation Act, paid instruments are customer's property and he has every
right to get the same.
c. The bank may give true copy of the cheque to Mr. H.
d. d) None of the above.
16 A stranger as a payee present for cash payment over the counter of a bearer Cheque:
a) Identity is a must to get protection under NI act.

b) Identity is not necessary
c) Payment of any cheque without identification will not give any lawful discharge to
the bank.
d) If accompanied by pass Book honour the cheque
e) None of the above
17 Mr. X one of your customer is maintaining a saving bank account with your branch. He
used to keep the cheque book unlocked and therefore, one blank cheque from cheque
book was stolen by his clerk, who forged the drawers signature and obtained the
payment. Banks rules provide that cheque book should be kept under lock and key by the
customer. In this case:
a) Since the customer was negligent in not keeping the cheque book under lock and
key, the Bank can debit the customer's account; or
b) The customer's account can be debited if the forgery was undetectable and due
care and diligence was exercised by the bank.
c) The bank cannot debit the customer's account as a forged signature does not
give any mandate.
d) The protection is available to the bank if the payment is made in good faith and
without negligence.
e) Bank will get the protection as forgery has happened due to contributory negligence
of the customer.
18 Who can stop payment of a cheque on behalf of a partnership firm?

a) Only the partners who have signed the cheque.
b) All the partners jointly who are authorized to operate the account.
c) Only the managing partner
d) Any partner whether authorized to operate the account or not.
19 Ramesh and Rajani have a joint account with the mandate 'former or survivor'. Both of
them die in an accident simultaneously. There is no nominee in the account. The balance
is payable to the legal heirs of:
a) Legal heirs of Ramesh and Rajani after taking joint discharge
b) Rajani
c) Ramesh& Rajani on pro-rata basis
20 The firm has Current Assets of Rs.100 and Current Liabilities of Rs 50. The Quick Ratio is
1.50:1. What is the amount of inventories?a) 20 b) 25 c) 30 d) 35
21 To get a loan document executed when partners are at different stations:
a) All the partners are required to come to the different branches near the place of their
residence for execution of the documents.
b) Documents can be executed at different stations. No date needs to be mentioned on the
top of the documents.
c) Each partner will sign the documents, will put date and name of place under his
signature.
d) Both a and c.
22 A Trust account, which is to be jointly operated by all the three trustees in terms of the
trust deed, is maintained with a Bank. A resolution passed at a meeting of the trustees is
received at the bank to the effect that as one of the trustees was proceeding abroad for'
two months. The account would be operated jointly by other trustees. What can the bank
do in such a case?
a) Can act on the resolution provided all the three trustees had authenticated
the resolution
b) Cannot act on the resolution unless the Trust Deed specifically provides for
such delegation of power
c) Can permit operation by the two e trustees in terms of the resolution so long
as it is ensured that the funds a withdrawn from the trust account during the
absence of the third trustee are strictly utilised for the purposes of trust as
mentioned in the trust deed.
d) The bank should insist on the third trustee giving a Power of Attorney to his
nominated representative so that the cheques drawn on the trust account
bear three signatures in accordance with the trust deed.
e) None of these
The Balance Sheet of RS Brothers reveals that the capital and free reserves are Rs.20 lac,
term loans from banks for Rs. 30 lac, CC (Hyp) limit from bank showing balance outstanding of
Rs. 15 lac, sundry creditors of Rs. 10 lac. On the assets side, fixed assets are Rs 30 lac, non-
Current assets are 5 lac, and Current assets Rs. 40 lac ( cash Rs. 5 lac, sundry debtors Rs. 10
lac, stocks Rs. 25 lac).

23 In the above balance sheet, the Current Ratio is:
a) 1.26:1 b) 1.60:1 c) 1.78:1 d) 2.05:1
24 The Quick Ratio is:
a) 0.48:1 b)0.60:1 c) 0.68: 1 d)0.78: 1
25 The tangible Net Worth of RS Brothers is :
a) Rs. 20 lac c) Rs. 30 lac b) Rs. 50 lac d) None of these
26 In a joint account of X and Y where the mandate is for joint operation, X presents a
cheque with his signature only, as Y is out of station. The cheque should be:
a) Honoured if the amount is small b) Honour if otherwise in order
c) Can be honoured and other signatures can be obtained after payment
d) Returned e) None of the above
27 Devi Sons a partnership consists of 3 partners A, B & C. The a/c is operated by A and
B singly and C is a sleeping partner. C instructs the bank to stop the payment of a
cheque issued by A.
a) Cannot be stopped since he is sleeping partner
b) Can be stopped if other partners A & B are not available
c) Can be stopped
28 Bahu and Balla are having joint savings bank account with survivorship clause and
they have nominated Kalakeya S/o Bahu as nominee. After the death of Bahu, Balla
wants to change the nomination as he wants to nominate Devasena his own daughter
for that the bank will:
a) Allow to change nomination b) All nomination with the consent of Devasena.
c) Will not allowed. d) All the above
29 Mr. Kamal has opened a saving bank account and made the nomination in the name of
Goutamy. After his death she did not approach the bank for payment and in the
meanwhile legal heirs of Mr. Kamal produce the probate as well as succession
certificate and claimed the payment.
a) Bank will make the payment to legal heirs as per legal certificates
b) Payment can be made to nominee only
c) Bank will have to act upon succession certificates as it is a court order

d) Denial of payment to legal heirs will amount to contempt of court.
30 A SSI unit had been sanctioned CC (Hyp) limit of Rs 1.60 lac with 20% margin. What
should be the value of stock to be so that the borrower is allowed to utilize the limit
fully? a) Rs 1.50 lac b) Rs 2 lac c) Rs 2.5 lac d) Rs 3 lac
31 A & B opened a joint account to be operated jointly by both. After the death of A, B
approaches the bank and requests to release the amount lying to the credit of the
account on the basis of indemnity only. The Bank refused to make the payment to B.
What Is the legal position of the Bank?
a) The bank should have paid the balance of the account after obtaining letter of
indemnity duly stamped and signed by Birbal along with two acceptable sureties.
b) The Bank has lawfully denied the payment to Birbal, because in the jointly
operated account, payment cannot be made to the survivor without taking the
consent of the legal heirs of the deceased account holder.
c) The balance in the account is payable to the legal heirs of Akbar. The
arrangement for operation of account by both Akbar & Birbal (jointly) terminates
on the death of either Akbar or Birbal.
d) Birbal will be asked to obtain succession certificate from a competent Court of
Law for claiming the balance in the joint account.
32 Nomination facility can be allowed in which of the following cases:
a) In deposit account of individuals b) Articles kept in safe custody.
c) Lockers d) All the above
33 Karta has issued one cheque and coparcener has given the stop payment instruction.
What the bank will do?
a) Bank will not accept the instructions
b) Coparcener has no authority to give stop payment instructions
c) Coparcener can give stop payment instructions only if karta has delegated his
authority to operate the account
d) All the above
34 What is the approximate Break Even Point in terms of Sales Value of a project with
following details:
Projected Sales Rs 100 Fixed Costs Rs 40
Variable Costs Rs 50 Profits Rs 10
a) 67 b) 50 c) 80 d) 90 d) None
35 If Current assets are Rs.2.5 lac and Current liabilities Rs.2.75 lac, the net working
capital will be: a) Rs.25,OOO b) Rs.50,000 c) RS.75,OOO
d) None of these

The Balance Sheet of SRINIVASA & Co reveals that the capital and free reserves are Rs 12
lac, term loans from banks for Rs 22 lac, CC (Hyp) limit from 'bank showing balance
outstanding of Rs 10 lac, sundry creditors of Rs 10 lac and provisions of Rs 6 lac. On the
assets side, fixed assets are Rs 15 lac, non-Current assets are 3 lac, preliminary and pre-
operative expenses Rs 2 lacs and Current assets Rs 40 lac ( cash Rs 2 lac, sundry debtors Rs
13 lac, stocks Rs 25 lac). The Profit & Loss statement shows following important operational
results:
-Sales : Rs 100 lac, -Purchases : Rs 80 lac,
-Net profit : Rs 5 lac. -Number of units sold : 1 lac units
-Total Fixed cost : Rs 4.5 lac. -Total Variable cost : Rs.90.5Iac

36 The Debt Equity ratio is :
a) 1.83:1 b) 2.2:1 c) 3:1 d) 5:1
37 The Stock Turnover ratio is:
a) 2months b) 3 months c) 3.5 months d) 4 months
38 The Debtors Velocity ratio is:
a) 1 month b) 1.5 months c) 2 months d) 2.5 months
39 The Return on Equity (ROE) Is:
a) 20% b) 30 % c) 40% d) 50%
40 The current ratio of the unit is:
a) 1.26:1 b) 1.54:1 c) 1.78:1 d) 2.05:1
41 What is the contribution?

a) Rs 4.5 lac b) Rs 9.5 lac c) Rs 12.5 lac d) Rs 14.5 lac
42 What is the Break Even Point in terms of sales?
a) Rs. 47.36 lac b) Rs. 48.35. lac c) Rs. 45.30 lac d) Rs. 50.25 lac
43 What Is the Break Even Point in terms of units?

a) 47,360 b) 48,270 c) 43,460 d) 42,550
44 A low Current ratio may imply:

a) Shortage of working capital b) Surplus working capital.
c) A red signal as regards solvency of the company. d) None of these
45 As, per Nayak committee, the margin contribution of the SSI unit is % of annual
projected turnover
a) 5% b) 10% c) Rs 20% d) 25% e) None of the above
46 On the death of a partner, the firm having credit balance:
a) Stands dissolved and to wind up the affairs of the firm the surviving partners are
allowed to jointly operated the a/c
b) If it decides to continue after registering the Municipal Death certificates recording
fresh mandate for operation, the existing account can be continued and operation
allowed.
c) a + b
47 To open an Executor Account the Bank should insist on:
a) Probate b) Certificate of Registration

c) Will of the deceased d) None of the above
48 The minimum number of share holders in Public Ltd. Company is:
a)2 b)7 c)5 d)10
49 A banker can set-off the amount held in the time deposit account of customer against
the debit balance of the same customer in overdraft account:
a) Only after maturity of the F.D.R.
b) Even before the maturity of F.D.R.
c) When' notice of withdrawal has been given by the customer
d) Cannot do so.
50 In case borrower signs in a vernacular language, a banker must obtain:
a) Duly witnessed certificate that the contents have been read out and explained.
b) A certificate by the borrower in vernacular language that the document have been
explained and understood.
c) Both a and b
d) None of these.
KEY TO :MCQ ON PRACTICAL PROBLEMS IN BANKING
1 C 2 A 3 b 4 A 5 C 6 A 7 D 8 C 9 C 10 B
11 B 12 C 13 E 14 A 15 B 16 B 17 C 18 D 19 A 20 B
21 D 22 B 23 B 24 B 25 A 26 D 27 C 28 A 29 B 30 B
31 B 32 D 33 D 34 C 35 D 36 B 37 B 38 B 39 D 40 B
41 B 42 A 43 A 44 A 45 A 46 C 47 A 48 B 49 A 50 C

MCQ ON HISTORY OF SBI & ORGANISATION STRUCTURE
1 Imperial Bank of India, when formed in 1921, had ____ branches.

a) 7 b) 70
c) 700 d) 1000
2 Imperial Bank of India was renamed as State Bank of India on the recommendations of
___________ through an enactment in the Parliament
a) All India Rural Credit Survey b) Ratnakar Committee
Committee (Lonawala Committee)
c) All India Rural Credit Survey d) All of the above
Committee (Gorawala Committee)
3 SBI holds 100% shares in ___________________
a) SBBJ & SBT b) SBM & SBH
c) SBBJ & SBM d) SBH & SBP
4 RBI was established on the recommendations of ____________ Mission
a) Hilton Young b) Mc Calay
c) Giffrith d) None of the above
5 National Banking Group comprises of:
a) All branches of 4 Circles b) Metro & Urban branches of 4 Circles
c) All branches of 14 Circles d) Metro & Urban branches of 14 Circles
6 How many Foreign Banking Subsidiaries do we have?
a) 5 b) 6
c) 7 d) 8
7 International Banking Group (IBG) has ____ foreign offices.
a) 132 b) 194
c) 158 d) 137
8 Which are the countries where we have a Foreign Banking Subsidiary with the name
'State Bank of India'
a) Canada & California b) USA & Russia
c) Japan & France d) UK & USA
9 Which of the following business groups is led by a Managing Director?
a) Corporate Banking Group b) National Banking Group
c) Rural Business Group d) Group Associates & Subsidiaries
10 Supply Chain Finance aims at:
a) to provide real time MIS to both b) to provide automated payment and
Industrial Majors and vendors. settlement of transactions as well as
real time MIS to both Industrial Majors
and vendors.
c) to provide finance for supply of d) All of the above
chains freely.
11 Strategic Training Unit has been created. The unit is headed by a:
a) GM b) CGM
c) DMD d) MD

12 SIGCB STANDS FOR
a) Singapore Commercial Bank b) Small Industries Group Committee of
Bangladesh
c) Shareholder/investors Grievance d) None of the above
Committee of the Board
13 C-Edge Technologies is a joint venture between SBI and _____
a) TCS b) INFOSYS
c) COGNIZANT TECHNOLOGY d) WIPRO
SOLUTIONS
14 MIS compilation has been centralised under the office of:
a) AGM (MIS) b) AGM (CONTROLLERS)
c) AGM (BPMM) d) CDC, BELAPUR
15 Passing of State Bank of India (Subsidiary Banks) Act, 1959 enabled SBI to take over
___ former state-associated banks.
a) 5 b) 6
c) 7 d) 8
16 The three presidency Banks received rights to issue paper currency under:
a) Indian Currency Act,1806 b) Indian Currency Act,1861
c) Paper Currency Act, 1861 d) Paper Currency Act, 1806
17 Out of the following, which has not been the slogan of SBI so far?
a) The Nation Banks on us b) Banks that runs the economy
c) With you all the way d) The Banker to every Indian
18 Banking Regulation Act was earlier known as ___________
a) Banking Control Act b) Banking Administration Act
c) Banking Companies Act d) Banking Management Act
19 RBI's subsidiary producing currency notes is __________ (est. in 1995)
a) Rashtriya Note Mudran Limited b) Reserve Bank Note Mudran Limited
c) Bharatiya Reserve Bank Mudran d) Bharatiya Reserve Bank Note Mudran
Limited Limited
20 ________ was the first Indian to be the Chairman of Imperial Bank of India.
a) Rabindranath Tagore b) Sir Badridas Goenka
c) John Mathai d) Bipin Chandra Das
21 SBIs registered office is situated at__________
a) Mumbai b) Kolkata
c) New Delhi d) Chennai
22 CCRO stands for_______-
a) Corporate Centre Recovery Officer b) Circle Credit & Recovery Officer
c) Circle Credit & Risk Officer d) Chief Credit & Risk Officer
23 Operating profit as at end of H1FY16 stood at Rs._____ crores
a) 19648 b) 19864
c) 19684 d) 19468
24 Transaction Banking Unit handles ______

a) CMP/Trade Finance/Supply Chain b) CMP/Trade Finance
Finance
c) Total transactions in the Bank d) None of the above
25 Inspection and Management Audit in corporate centre headed by_________
a) MD b) DMD
c) CGM d) GM
International Banking Group (IBG) is spread across how many countries?
26 a) 36 b) 46
c) 49 d) 50
27 Associate Banks and Subsidiaries comes under___________
a) MD&GE(IB) b) MD&GE(NB)
c) DMD d) MD & GE (A&S)
28 How many Apex Training Institutes (ATI) available in our bank?
a) 4 b) 5
c) 6 d) 7
29 Who among the following is not in the list of directors on the Central Board of State
Bank of India as on 01.11.2015?
a) Smt. Arundhati Bhattacharya b) Shri.Sanjiv Malhotra
c) Shri Urjit R Patel d) Shri Mahapatra Mrutyunjay
30 How many Managing Directors (MD) under Chairman?
a) 4 b) 5
c) 6 d) 7
31 Circle Management Committee (Cir MAC) presided by_______
a) CGM b) GM
c) DGM&CDO d) DGM(CFO)
32 SBIs share in SBI Cards & Payments Services Private Limited(SBICPSL) is ___
a) 50% b) 60%
c) 80% d) 100%
33 SBIs share in SBI Life Insurance Company Limited(SBILIFE) is ____
a) 54% b) 64%
c) 74% d) 94%
34 SBIGIC(SBI General Insurance Company Limited) is a joint venture between
a) SBI & ICICI Prudential b) SBI & General Insurance Corporation
of India
c) SBI & IAG Australia d) Wholly owned by SBI
35 Capital Adequacy Ratio (Under BASEL III) of State Bank of India stood at _______at
the end of March 2015.
a) 10% b) 11%
c) 12.79% d) 12%
36 Expenses Ratio for FY 2015 was
a) 46.85% b) 48.65%
c) 49.85% d) 59.85%

37 SBIs Gross NPA level as at the end of 31.03.2015
a) 4.25% b) 4.75%
c) 4.95% d) 5.05%
38 Net profit for the year ended 31.03.2015 is
a) Rs17517.37 cr b) Rs14489.47 cr
c) Rs10891.17 cr d) Rs13101.57 cr
Total deposits as at the end of financial year 31.03.2015 stands at___
39 a) Rs 1202740 crores b) Rs1045617 crores
c) Rs1576793 crores crores d) RS1300026 crores
40 Total advances as at the end of financial year 31.03.2015 stands at___
a) Rs1202740 crores b) Rs1394409 crores
c) Rs1209829 d) RS1300026 crores
41 Amount of gross non-performing assets as at the end of financial year ended
31.03.2015 satnds at_____
a) Rs 61605.35 crores b) Rs 56725.34 crores
c) Rs 61991.45 crores d) Rs65601.45 crores
42 Percentage of shares held by Government of India in SBI is _____
a) 56.80% b) 58.60%
c) 50.60% d) 50.80%
43 SBIs total assets as at the end of FY 2015 stands at
a) Rs 2700110.02 crores b) Rs 1904062.48 crores
c) Rs 2048079.80 crores d) Rs 2529394.90 crores
44 SBI Acquired 51 percent of stake in which of the following banks during February 2005?
a) Indian Ocean International b) Kenyas Giro Commercial Bank
Bank Ltd.
c) Nal Bank of Nigeria d) Rupali Bank of Bangladesh.
45 How is PT IndoMonex of Indonesia connected with SBI?
a) SBI has acquired 51% stake b) SBI has acquired 25% stake
c) SBI has acquired 76% stake d) SBI has acquired 75% stake
46 Customer Service Committee of Board was constituted on -------

a) 26 January, 2004 b) 26 August, 2004
c) 26 March, 2004 d) 26 July, 2004
47 How many DMDs are posted under MD(National Banking Group)?
a) 1 b) 2
c) 3 d) 4
48 __________are the Consultants for BPR in SBI
a) Deloit consultancy b) Tata consultant services
c) Mc Kinsey d) Bostan consultancy Group
49 How many number of Rural Self Employment Training Institutes (RSETIs) has set up
by SBI for self employment training of rural youth?
a) 100 b) 111
c) 117 d) 120

50 Each Business Group is headed by
a) Deputy Managing Director b) Managing Director
c) Chief General Manager d) Chairman
51 Asset Liability Management Committee (ALCO) is headed by
a) MD & CCRO b) Chairman
c) MD & GE A&S d) DMD & CFO
52 Strategic Training Unit has been created headed by a ________to cater to ever increasing
training needs of the Bank. There are 5 ATIs (Apex Training Institutes) and 47 SBLCs
State Bank Learning Centres) across the country.
a) DGM (L&D) b) CGM (L&D)
c) DMD (L&D) d) AGM (L&D)
53 The following is not a Central Processing Centre
a) Retail Asset Central Processing b) Currency Administration Cell (CAC)
Centre (RACPC)
c) Small and Medium Enterprise City d) Centralised Clearing Processing Centre
Credit Centre or SMECCC (CCPC)
54 FIBU stand for
a) Financial Institutions Business Unit b) Foreign Institutions Business Unit
c) First Institution Business unit d) Financial Inclusion Business Unit
55 Grievance Redressal Committee was reconstituted at Corporate Centre to redress the
appeals/representations of willful defaulters is headed by
a) Chairman b) MD & GE NBG / CBG
c) DMD & GE (SAMG) d) Any DMD
56 Who was the first Chairman of State Bank of India
a) A O Mathai b) R K Talwar
c) John Mathai d) A K Sinha
57 How many Regional Rural Banks are sponsored by SBI?
a) 10 b) 12
c) 13 d) 14
58 In which city SBI installed its first ATM in India in 1993?
a) New Delhi b) Bombay
c) Chennai d) Jamshedpur
59 SBI Intouch was launched on____
a) 01.07.2013 b) 01.07.2014
c) 15.08.2013 d) 15.08.2015
60 Which bank was tied up with SBI Life for insuring its loan products?
a) PNB b) Indian Bank
c) Dena Bank d) OBC
61 SBIs Registered Office and Central Accounts Office is situated at____
a) Kolkata b) Mumbai
c) Delhi d) Chennai
62 Banks Domestic Operational area is divided how many circles ?
a) 10 b) 11
c) 13 d) 14

63 Corporate Accounting Group (CAG)Headed By .
a) CGM b) GM
c) DGM d) AGM
64 In SBI FAST what is full form of FAST?
a) Funds Available in Short Term b) Financial Availability in System Term
c) Funds Availability in Short Time d) Financial Availability of Short Time
65 Who is Chief Executive Officer of the Bank?

a) Chairman b) DMD
c) MD d) CGM
66 Who is the chairman of Executive Committee of Central Board (ECCB) ?
a) Chairman b) DMD
c) CGM d) MD
67 Who is presiding Executive of Central Management Committee (CENMAC)?
a) MD b) DMD
c) Chairman d) CGM
68 CEO of which bank was not adjudged as one among the most influential CEOs in the
recent The economic Times-IMRB survey of Indias most influential CEOs?
a) SBI b) ICICI Bank
c) HDFC d) AXIS Bank
69 SBI ka Apna Gaon Scheme is monitored and guided by:
a) Rural Business Group b) Government Business Group
c) National Banking Group d) By the Circle Heads
70 Mid-Corporate Group (MCG) Branches are allowed to handle proposals for limit of
a) Above Rs10 crores a upto Rs.100 b) Above Rs50 crores a upto Rs.100
crores crores
c) Above Rs50 crores a upto Rs.100 d) Above Rs50 crores a upto Rs.500
crores crores

KEY TO ORGANISATIONAL STRUCTURE
1 2 3 4 5 6
b c d a d c
7 8 9 10 11 12
B a b b b C
13 14 15 16 17 18
a c d c b C
19 20 21 22 23 24
d c b d c A
25 26 27 28 29 30
b a d b d a
31 32 33 34 35 36
a b c c d c
37 38 39 40 41 42
a d c d b b
43 44 45 46 47 48
c a c b b c
49 50 51 52 53 54
c a d b b a
55 56 57 58 59 60
b A b c d d
61 62 63 64 65 66
b c a d b a
67 68 69 70
a a c a

MCQ ON GENERAL AWARENESS
1 Banks can create money

a only by illegally printing b by paying interest to their depositors.
additional dollar bills.
c by making loans that result d by offering financial services, such as stick
in additional deposits. market brokerage.
2 A bank has excess reserves to lend but is unable to find anyone to borrow the
money. This will __________ the size of the money multiplier.
a Reduce b Increase
c Have no effect d double

3 If the quantity of money demanded is less than the quantity of money supplied, then
the interest rate will
a either increase or decrease, b Increase
depending on the amount of
excess demand.
c Decrease d No change
4 An increase in total production (real GDP) causes the demand for money to
___________ and the interest rate to _________.
a increase; increase b increase; decrease
c decrease; decrease d decrease; increase

5 Which of the following actions is an example of expansionary fiscal policy?
a a decrease in welfare b a purchase of government securities in the
payments open market
c a decrease in the Bank rate d a decrease in the corporate profits tax rates
6 Which Indian city is known as its trade and financial capital?

a Mumbai b Delhi
c Benguluru d Gurgaon
7 Which among the following is considered to be the most liquid asset?
a Gold b Money
c Land d Treasury Bonds

8 Historically, the Indian rupee was a ____ coin:
a Copper b Gold
c Silver d Bronze

9 What is the currency deposit ratio (CDR)?
a ratio of money held by the b ratio of money held by public in bank deposits
public in currency to that of to that of money held by public in currency
money held in bank deposits
c ratio of money held in d none of the above
demand drafts to that of
money held in treasury bonds
10 What is the Cash Reserve Ratio (CRR)?

a the fraction of the deposits b the fraction of the deposits that RBI must
that commercial banks lend keep with commercial banks
to the customers
c the fraction of the deposits d none of the above
that commercial banks must
keep with RBI
11 The RBI can increase the money supply in the market by:
a selling government b buying government securities
securities
c borrowing money from d none of the above
commercial banks
12 Loans raised by the government from the public are known as:
a Corporate borrowings b Common borrowings
c Market borrowings d Private borrowings
13 Exchange rates for one currency against another currency, are known as:
a Real exchange rate b Nominal exchange rate
c Superfluous exchange rate d None of the above
14 The most appropriate measure of a country's economic growth is
a GDP b NDP
c Per capita real income d GNP
15 Army carried out which operation to flush out six fedayeen at Pathankot airbase?
a Operation Vijay b Operation Bhaag
c Operation Jaag d Operation Dhangu
16 Which BJP leader has just released his biography Anything but Khamosh?
a Shatrughan Sinha b Yashwant Sinha
c Kirti Azad d LK Advani
17 Expand CGFMU.
a Credit Guarantee fund for b Credit Guarantee fund for MADRA
MIDRA
c Credit Guarantee Fund for d None of the above
MUDRA

18 Who has been appointed Indias high commissioner to Pakistan on 24th December
2015?
a Abhishekh Singhvi b Gautam Bambawale
c Amartya Sen d TCA Raghavan
19 Which state has been selected as the best performer for digitalising services during
Digital India Week 2015?
a Himachal Pradesh b Meghalaya
c Chhattishgarh d Uttar Pradesh
20 Which day was observed on 24th December 2015?
a 30th National Consumer b 35th National Consumer Protection Day
Right Day
c 20th National Customer d None of the above
Right Day
21 Two mobile apps have been launched for farmers. These are:
a Crop Insurance b AgriMarket Mobile
c Krishi Vigyan d Both a and b
22 Which country has announced the plan to adopt Chinese yuan as legal tender?
a Ethiopia b Liberia
c Nigeria d Zimbabwe
23 Which former cricketer has been suspended by BJP?
a Mohammad Azharuddin b Sachin Tendulkar
c Kirti Azad d Navjot Singh Siddhu
24 Urijit Patel, Deputy Governor of RBI has been reappointed for 3 years. How many
deputy governors of RBI are there?
a 3 b 4
c 5 d 6
25 Finance Ministry has ordered a forensic probe into which scam on 2nd December
2015?
a INR 6000 crore Bank of b INR 5000 crore Oriental Bank of Commerce
Baroda forex scam forex scam
c INR 4500 crore State d None of the above
Bank of India forex scam
26 RBI has issued uniform guidelines on what form of banking for all licensed
cooperative banks on 5th November 2015?
a Internet banking b Mobile banking
c Phone banking d None of the above
27 Which form of tax was in news after being included under the proposed GST?
a Sin Tax b Tobin Tax
c Indirect Tax d None of the above
28 Which country will host the FIFA Womens World Cup 2019?
a England b France
c South Africa d New Zealand
29 Service tax has become more expensive from November 15 as the government has
imposed a ____ Swachh Bharat cess.
a 0.4% b 0.5%
c 0.6% d 0.7%
30 NSDL stands for_____
41 NITI stands for_____
a National Stock Depository b National Securities Documentary Limited
Limited
c National Share Depository d National Securities Depository Limited
Limited
31 Bank of Rajasthan was merged with
a Axis b HDFC
c IDBI d ICICI
32 Who among the following were appointed as vice chairman of the Basel Based
Bank for International Settlements ?
a Kaushik Basu b Raghuram Rajan
c Jens Weidmann d Subir Gokam
33 Which country won the Rugby World Cup oragnised in October 2015 in England?
a New Zealand b South Africa
c Australia d Wales
34 Who decided the interest rate on gold deposits?
a RBI b Finance Ministry
c Indian Banks Association d Individual Bamks
35 Who among the following was named the most powerful woman in Indian Business
Sector by Fortune India in November 2015?
a Shikha Sharma b Arundhati Bhattacharya
c Chanda Kochhar d Naina Lal Kidwai
36 The Bank for International Settlements serves as a Bank for Central Banks. It is
based in____.
a Zurich b Tokyo
c Beijing d Basel
37 India born Hariji Sajjan became the Defence Minsiter of which of the following
countries?
a Fiji b Canada
c Kenya d UK
38 Who was named the Most Powerful Person in the world by Forbes magazine in
November 2015?
a Barack Obama b Angela Merker
c Pope Francis d Vladamir Putin
39 White Label ATM means
a White in color b Owned & Managed by NBFCs
c Managed by RBI d None of the above
40 Head Quarters of World Bank is situated at_____
a Washington Dc b Manila
c Geneva d None of the above

a National Institute for b National Institution for Training India
transportation India
c Nationwide Integrating d National Institute for Transforming India
Total Immunity
42 Which bank launched a new debit card Secure +that can be switched off for
specific period of time using a phone application or internet banking gateway?
a ICICI Bank b SBI
c Axis bank d State Bank of Patiala
43 RBI named which two banks as Domestic systematically Important Banks (D-SIBs)
on 31st August 2015 due to their size and significant presence across the financial
sector ?
a HDFC and SBI b Axis Bank and Bank of Baroda
c SBI and ICICI d Union Bank of India and YES Bank
44 Project Tatkal is launched by which bank to provide doorstep services and expedite
home loan application process?
a SBI b HDFC
c Bank of Baroda d ICICI
45 Banking Industry has been declared as public utility service under___

a Negotiable Instrument b Reserve Bank of India Act, 1934
Act,1881
c Bank Regulation Act,1949 d Industrial Disputes Act
46 Mutual Fund Scheme that operates continuously without any limit entry for
subscriptions and redemptions is:
a Fixed income b Specific Fund
c Close ended d Open ended
47 Which of the following banks launched Smart Vault, the first of its kind fully
automated digital locker?
a SBI b ICICI Bank
c Axis Bank d HDFC Bank
48 RBI was established in the year 1935 on the recommendations of _____
a Hilton Young Commission b Gorawala Committee
c Vyas Committee d Jalan Committee
49 IDBI Bank is a _____
a Public Sector bank b Private Sector bank
c Foreign Bank d Cooperative Bank
50 Ashu Suyas is the MD and CEO of which of the following?
a NSE b CRISIL
c Indus Ind Bank d CARE
KEY TO MCQ ON GENERAL AWARENESS

1 2 3 4 5 6 7 8 9 10
C A C a d a b C a C
11 12 13 14 15 16 17 18 19 20
b C b c d A c d c A
21 22 23 24 25 26 27 28 29 30
d D c B a a a b b d
31 32 33 34 35 36 37 38 39 40
d b a d b d b d b a
41 42 43 44 45 46 47 48 49 50
d c c a d d b b a b
MCQs ON PER SEG ASSETS
1 In case of Education loans, wherever land & building is offered as security,

what is the recommended margin for the property ?
a) 10.00% b) Nil
c) 15.00% d) 5.00%
2 Under SBI Scholar Loan Scheme, the maximum loan for a student having
secured admission in IIM Ahmedabad, ISB Hyderabad, ISB Mohali, without any
collateral security and only parent/guardian are co-borrower is ........?
a) Rs.10.00 lacs b) Rs. 15.00 lacs
c) Rs.20.00 lacs d) Rs. 30.00 lacs
3 Under SBI Student Loan, margin required for loan amount below Rs. 7.50 lac
for studies in India and abroad respectively ?
a) Nil & Nil b) 5 % & 15%
c) 5% & 5% d) 15% & 5%
4 Which is the card, Bank has designed specifically for Education Loan
Borrowers?
a) Student Card b) Advantage Plus Card
c) Student Plus Advantage d) d None of the above
Card
5 What is the maximum Limit stipulated for Interest Subsidy under Education
Loan scheme?
a) Rs. 4 Lacs b) Rs. 10.0 lac
c) Rs.10 Lacs in India only d) Rs. 15 lacs
6 Annual fee of Rs.____ from 2nd year onwards will be charged only if
customers yearly spend is less than Rs. 75,000, in case SBI advantage plus
card is issued to a customer.
a) 100/- b) No charges
c) 500/- d) 200/-
7 What is the loan amount upto which no third party guarantee or tangible
collateral security is required in case of education loans ?
a) 7.50 lac b) 4.0 lac
c) 10.0 lac d) No such restriction
8 How much concession is to be provided in the Rate of Interest, if the interest is
served during the moratorium period.
a) 0.25% b) 1.0% during the moratorium period
c) 0.75% d) 1.0% for entire loan tenure
9 Under SBI Student Loan scheme, up to Rs._____lac for studies in India and
Rs.____lac for studies in abroad are reckoned under Priority Sector advances
a) 5, 15 b) 10, 10
c) 10, 30 d) 10, 15
10 What is the total loan repayment period after the course period and
moratorium, in case of SBI Student loan scheme and SBI Scholar ?
a) 10 & 12 years respectively b) 15 years for both
c) 12 years for both d) 10 years for both.

11 What is the limit, in case of education loan, up to which thrid party guarantee
can be obtained as collateral security ?
a) 7.50 lac b) 4.0 lac
c) Not applicable d) 10.0 lac

12 Expand CGFSEL
a) Credit guarantee financing b) Credit Guarantee Fund
scheme for education loans Scheme for Education loans
c) No such institution d) None of these
13 In case the property holder i.e. (wife / husband) is not having independent
Source of income, the income earning spouse may join as .
for the loan and his or her income can be taken for arriving at loan eligibility.
a) Co-borrower b) co-borrower/ guarantor
c) Guarantor d) Loan cannot be sanctioned
14 What is the loan limit which can be covered CGFSEL without any security ?
a) 7.50 lac b) 20.0 lac
c) 10.0 lac d) 30.0 lac
15 How much loan can be sanctioned For furnishings / consumer durables
under Home loan scheme?
a) 10% of the project cost or Rs. 25 b b 10% of the project cost or Rs.
lacs whichever is less 5 lacs whichever is less
c) 10% of the project cost or Rs. 10 d 5% of the project cost or Rs. 3
lacs whichever is less lacs whichever is less
16 What is the minimum loan amount that can be sanctioned under SBI
Maxgain ?
a) Rs. 5.00 lacs b) Rs. 10.00 lacs
c) Rs. 15.00 lacs d) Rs. 20.00 lacs
17 Home loan may be sanctioned for reimbursement of investment made by the
Borrower in housing from own resources during the preceding .. Months.
a) 6 b) 9
c) 12 d) 24
18 Who acts as the trustee of CGFSEL to operate on behalf ?
a) CBDT b) RBI
c) SBI & RBI d) National Credit Guarantee
Trustee Company
19 For education loans covered under CGFSEL, rate of interest can be
maximum upto ____ above base rate.
a) 4 b) 2
c) 1 d) zero
20 CGFSEL shall provide cover to the extent of ____of the amount in default.
a) 75 b) 50
c) 100 d) 60

21 How much is the AGF, in respect of loans covered under CGFSEL ?
a) 0.75 b) 0.5
c) 1 d) 0.85
22 For Home Loan Borrowers falling under Commercial Real Estate (CRE) and
Individuals engaged in business maximum loan tenor will be __ years.
c) 30 years d) None of these
23 Expected rent accruals should not be considered in case of Home Loans
under following variants
a) SBI-Realty b) SBI Yuva
c) None d) A&B
24 The EMI / NMI ration for borrowers whose net annual income range between
Rs. 5 lac to Rs. 8 lac
a) 50.00% b) 60.00%
c) 65.00% d) 70.00%
25 Regarding publication of photographs of willful defaulters, in case of
education loans having turned out to be NPAs, what are the Bank's
instructions ?
a) Can be published b) If the loan amount is more than
25 lac, then it can be published
c) Right now, can't be published, d) No instructions
earlier instructions kept in
abeyance.
26 SBI HOME EQUITY Scheme renamed as ?
a) SBI home top up loan scheme b) SBI Realty
c) Sahyog Niwas d) SBI Saral
27 Who is the competent authority to approve institutions/tie-ups with
educational institutions and the specific courses for which loans may be
granted, for their area of operations, depending on future prospects /
recognition by user institutions
a) CGM of the circle b) DGM (B&O)
c) GM (Network) d) No such discretion
28 Verification / pre-sanction survey of work place, job is waived in respect of
. existing customers maintaining salary account for the last 1 year under
a) Defence / para military salary b) All state / central Govt
package employees
c) All state / central / public sector / d) None
defence / para military
29 What is the minimum & Maximum loan amount of SBI HOME TOP UP LOAN
SCHEME.?
a) 5 lacs & 1 Crore b) 4 lacs & 1 Crore
c) 3 lacs & 5 Crore d) 2 lacs & 5 Crore

30 In case of NRI / defence / para military personnel, for execution of home loan
documents, granting of POA is restricted to
a) Close relatives only b) All persons having sound mind
c) Close relatives & neighbors d) No POA is grante
The minimum age requirement for house loan to be sanctioned is
31 a) 21 Y b) 20 Y
c) 18 Y d) 25 Y
32 What is the restriction for HLC/MCs for SBI HOME TOP UP LOAN
SCHEME.?
a) HLCs/MCs will not be permitted b) HLCs/MCs will not be permitted
to source Top-up loan proposals to source Top-up loan
proposals from our existing
Home Loan borrowers.
c) HLCs/MCs will be permitted to d) HLCs/MCs will not be permitted
source Top-up loan proposals to source Top-up loan
from our existing Home Loan proposals from our new Home
borrowers. Loan borrowers.
33 In case of education loans of Rs. 20.0 lac and above for studies abroad,
security which can be provided is
a) Any security including TPG b) Only SARFAESI-compliant
c) Any security excluding TPG d) None of these
34 SBI Collateralised Car Loan Scheme renamed as?
a) SBI Nano Youth Car Loan b) SBI combo loan scheme
scheme
c) SBI loyalty car loan scheme d) certified pre owned car loan
35 What is the maximum amount that can be sanctioned under SBI LOYALTY
Car Loan Scheme?
a) upto 75% of on-road price of the b) upto 85% of on-road price of the
vehicle subject to maximum vehicle subject to maximum loan
loan eligibility based on eligibility based on
EMI/NMI ratio and Net Annual EMI/NMI ratio and Net Annual
Income. Income.
c) upto 80% of on-road price of the d) upto 100% of on-road price of the
vehicle subject to maximum vehicle subject to maximum loan
loan eligibility based on EMI / eligibility based on EMI/NMI ratio
NMI ratio and Net Annual and Net Annual Income.
Income.
36 In case of education loans where bonds issued by PSUs or Bank deposits or
NSCs are offered as security, what is the value of the security to be
reckoned as value of security ?
a) Face value of the security only b) Face value and interest accrued
so far of the security
c) None of these d) Such securities can't be obtained
for education loans

37 Extension of mortgage on house is required SBI Loyalty Car Loan Scheme?
a) Extension of mortgage is not b) Extension of mortgage is required
required for car loan upto Rs for car loan upto Rs 2.00 Lacs
2.00 Lacs
c) Extension of mortgage is not d) Extension of mortgage is not
required for car loan upto Rs required for car loan upto Rs 3.00
10.00 Lacs Lacs
38 What is the minimum & maximum loan amount of SBI NANO YOUTH CAR
LOAN SCHEME?
a) Minimum Rs.1.00 Lac, b) Minimum Rs.2.00 Lac, Maximum
Maximum Rs.2.75 Lac Rs.5.75 Lac
c) Minimum Rs.0.50 Lac, d) Minimum Rs.1.00 Lac, Maximum
Maximum Rs.2.75 Lac Rs.4.00 Lac
39 Which of the following is not to be considered for the project cost under
Home Loan scheme?
a) Township corpus fund b) VAT & Service Tax
c) Stamp duty & Registration d) None of these

charges when the project cost
exceeds 10.0 lac
40 State Bank has migrated to Base Rate System with effect from
a) 01st July 2010 b) 01st Jan, 2010
c) 01st April 2010 d) 01st Aug 2010
41 In terms of RBI instructions, Risk Weight and Standard Asset provisioning on
Home Loans Above Rs. 20 lacs and up to Rs. 75 lacs
a) 10 & 0.40 b) 25 & 0.40
c) 10 & 1.00 d) 50 & 0.40
42 The sanction of a home loan will be valid for _________ months from the
date of Sanction.
a) 6 b) 12
c) 18 d) No such instructions
43 What is the prepayment charge in case of Rent- plus under PER Seg ?
a) 1% of the loan amount prepaid b) 2% of the loan amount prepaid
c) 0.5% of the loan amount d) NIL
prepaid
44 CIBIL Score of higher than 700 indicates
a) High Risk b) Medium Risk
c) Low Risk d) No risk
45 TAT for a Housing Loan proposal sanction under builder tie-up (same
centre) is
a) 6 days b) 12 days
c) 16 days d) 26 days

46 Validity of In-Principle approval given to prospective Home Loan borrowers:
47 Maximum Permissible Moratorium for loans >7 floors and <=14 floors
a) 18 months b) 24 months
c) 30 months d) 36 months
48 Pre- EMI interest should be recovered as and when applied for a loans
sanctioned with a moratorium period beyond____ months
a) 18 b) 24
c) 30 d) 36
49 What are the provisions available for the operating units to take legal recourse
on dishonor of ECS or S.I.
a) Section 138, of the NI Act b) Section 139 of the NI Act
c) Sections 140 & 146 of the NI Act d) Section 25 of the Payment and
Settlement System Act, 2007
50 For Standard Assets, Post Sanction Inspection to be carried out for
a) Randomly selected 5% of the b) No inspection required for STD
accounts every month. accts
c) All accounts d) None of these
51 To be eligiible under Xpress credit loan facility the minimum length of service
and minimum Net monthly income should be.
a) 2 years & Rs.7500/- b) 1 year & Rs. 7500/-
c) 2 years & Rs.10000/- d) 1 year & Rs. 10000/-
52 What is the minimum and maximum loan under X press credit loan
a) Min. Rs.24000/- Max 24 times b) Min. Rs.24000/- Max 24 times NMI
NMI subject to maximum of Rs subject to maximum of Rs 2.50 lacs.
5.00 lacs.
c) Min. Rs.24000/- Max 24 times d) Min. Rs.24000/- Max 24 times NMI
NMI subject to maximum of Rs subject to maximum of Rs 1.50 lacs.
15.00 lacs.
53 Maximum loan amount for School Teachers under Xpress credit facility is.
a) capped at 48 months of Gross b) capped at 36 months of Gross
Salary Salary
c) capped at 24 months of Gross d) capped at 12 months of Gross
Salary Salary
54 In case of Xpress Credit, state which of the following statement is incorrect.
i. Second Loan can be sanctioned after 1 year of disbursement of the 1st loan
ii 1st Loan has been satisfactorily conducted and is regular at the time of
sanction of 2nd Loan.
iii. There can be any number of Xpress Credit Loans standing in the name of a
borrower
iv. overall EMI/NMI ratio should be 50%
a) i b) ii & iv
c) Iii d) None of these

55 The maximum amount under Festival loan is
a) Rs. 60,000/- b) 50000/-
c) 25000/- d) 100000/-
56 Which of the following Proof of income document is to be obtained for
processing the xpress credit loan proposal
a) Latest 12 months salary slips b) Latest 9 months salary slips
showing all deductions or Latest showing all deductions or Latest
Form 16 (in the case of income Form 16 (in the case of income tax
tax payers) payers)
c) Latest 6 months salary slips d) Latest 3 months salary slips
showing all deductions or Latest showing all deductions or Latest
Form 16 (in the case of income Form 16 (in the case of income tax
tax payers) payers)
57 In case of family pensions, EMI & NMI ratio not to exceed
a) 50.00% b) 33
c) 60 d) 25
58 What is total repayment period and rate of interest respectively, in case of
education loan sanctioned to the wards of staff members ?
a) 120 M & 8% b) 180 M & base rate
c) As public d) 144 M & 8%
59 The minimum amount for NRI Home loan is. & the loan to be fully repaid by
the age of
a) 5 lacs & 70 years b) 3 lacs & 60 years
c) 3 lacs & 70 years d) 5 lacs & 60 years
60 For staff members to avail of housing loan under staff, the property can be in the
name of
a) Self only b) Self or close relatives
c) Self & spouse only d) anybody
61 What is the maximum limit For Family Pensioners who are above 72 years and
upto 74 years of age?
a 18 months Pension with a ceiling b 18 months Pension with a ceiling of
of Rs. 5.00 lacs Rs.4.50 lacs
c 18 months Pension with a ceiling d Rs.4.50 lacs
of Rs. 2.50 lacs
62 Which of the following website will help in verification of registration details for
car loan?
a) vahan.nic.in b) Carewale.com
c) rta.gov.in d) Cengov.nic.in
63 In case of SBI Home Top Up loan, LTV ratio for properties worth up to 75.0 lac
a) 75.00% b) 80.00%
c) 90.00% d) 60.00%
64 Track record of the Builder in conveyance of title should be ascertained on the
basis of last______ completed projects
a) 2 b) 3
c) 4 d) 5

65 Updating Security Interest over the property created is done in Central
Electronic Registry under ____________ Act.
a) RBI Act b) SARFAESI Act
c) PMLA Act d) SBI Act
66 In case of car loan, for the Agriculturist, the minimum Net Annual income of
applicant and/or co-applicant together to be Rs_____
a) 6 lacs b) 4 lacs
c) 3 lacs d) 10 lacs
67 In case of car loans, computation of income for Self-employed, professionals,
proprietary & partnership firms and businessmen.
a) NAI will be Net Profit or Gross b) NAI will be Net Profit or Gross taxable
taxable income of Rs 8,00,000/ as income of Rs 6,00,000/ as per ITR
per ITR after adding back after adding back
depreciation and deducting depreciation and deducting
repayment of all existing loans repayment of all existing loans
c) NAI will be Net Profit or Gross d) NAI will be Net Profit or Gross taxable
taxable income of Rs 4,00,000/ as income of Rs 6,00,000/ as per ITR
per ITR after adding back after adding back depreciation
Depreciation
68 What is the range of the cost of 4-wheelers to be classified as High Value Cars
and Super Luxury cars respectively ?
a) 50 lac to 1 Cr & 1.0 Cr above b) 20 lac to 1 Cr & above 1.0 Cr
c) 25.0 lac to 50.0 lac & above 50.0 d) 25 lac to 1 Cr and above 1 Cr
lac
69 Maximum Loan amount for Agriculturists under Car Loan scheme
a) 48 times NMI b) 2 times of NAI
c) 3 times of NAI d) 36 times NMI
70 Maximum permissible loan amount in SBI Yuva Home Loan is _____.
a) As per the EMI/NMI ratio b) 1.2 times of the loan quantum as per the
EMI/NMI ratio
c) 36 times the NMI d) 60 times the NMI
71 SBI loan scheme for for Vocational Education and Training has been replaced by
a) SBI Vocational loan b) Not replaced so far

c) SBI Professional Loan d) SBI Skill Loan scheme
72 Maximum loan amount under SBI reality
a) 1 Cr b) 10 Cr
c) 25 Cr d) 50 Cr
73 What is the maximum period for construction of house from the date of
availment of the loan under SBI Reality ?
a) 1 year b) 2 Year
c) 5 Year d) 4 Year
74 For loans above Rs. ____ lac under SBI Reality, administrative clearance is
required.
a) 50 lac b) 1 Cr
c) 5 Cr d) 10 Cr

75 What is the name of the home loan product which can be given in the form of
overdraft ?
a) Reality b) Maxgain
c) NRI home loan d) SBI Home top-up loan
76 What is the maximum loan amount under Maxgain ?
a) 3 cr b) 5 cr
c) 10 cr d) No limit
77 Which of the facilities can't be provided in case of SBI Maxgain ?
a) ATM b) INB
c) Cheque book d) b) & c)
78 What is the minimum NAI of a home loan borrower to be eligible under SBI
Home top-up loan ?
a) 2 lac b) 3 lac
c) 5 lac d) No such restriction
79 What are the minimum and maximum loan amounts under SBI Skill Loan
scheme ?
a) 5000/- & 1.50 lac b) 50,000/- & 1.50 lac
c) 25000/- & 2.0 lac d) 50,000/- & 2.0 lac
80 At any time, how many number of home top-up loans can be existing ?
a) 1 b) 2
c) 3 d) No restriction
81 What is the name of the electronic platform launched by Ministry of HRD and
Department of Financial Service, GOI for students to apply for education loans
?
a) Vidya Lakshmi b) Saraswathi
c) Education d) Indian Education
82 In case of SBI Home top-up loan, processing charges ___ subject to minimum
of Rs. 1500/- and maximum of Rs. 10000/-.
a) 0.51% b) 1.00%
c) 0.35% d) 0.50%
83 The maximum loan amount under SBI Tribal Plus.
a) 50 lac b) No upper ceiling
c) 10 lac d) 1 Cr
84 What is the maximum loan amounts that can be given for construction of
house, repairs/renovation and purchase of plot respectively under Gram Niwas
?
a) 10lac, 5 lac, 2 lac b) 20 lac, 10 lac, 5 lac
c) 7 lac, 4 lac, 1 lac d) 5 lac, 2 lac, 1 lac
85 Name the housing loan product to finance SHGs for on lending to members for
housing in rural areas ?
a) Gram niwas b) Tribal plus
c) Sahayog niwas d) None
86 What are the maximum amounts per member, under Sahayog Niwas, for
construction / purchase of house and repairs/renovation.
a) 1 lac, 0.50 lac b) 2 lac, 1.0 lac
c) 1 lac, 0.25 lac d) 0.50 lac, 0.25 lac

87 What are the minimum and maximum amounts under SBI reverse mortgage
loan ?
a) 3 lac, 1 Cr b) 1 lac, 1 Cr
c) 5 lac, 1 Cr d) No such ceilings
88 If a person owns ____houses and above, he will be treated as a CRE home loan
borrower
a) 2 b) 3
c) 4 d) 5
89 In case of car loans, where the NAI of the applicant exceeds 10.0 lac, what is the
is the margin ?
a) 85% of On-road price b) 20% of on-road price
c) 85% of ex-show room price d) b) or c) whichever is less
90 In case of car loans, regarding insurance, which of the following is false ?
a) A copy of insurance policy for 1st b) Copy of insurance policy may not be
year to be obtained obtained after 1st year
c) Non-obtention of insurance d) All are true
policy is not applicable for auto
loans of 20.0 lac and above
91 Under car loan, what is the EMI/NMI ratio for NAI exceeding 10 lac
a) 50.00% b) 55.00%
c) 60.00% d) 70.00%
92 Under car loan, within how many days from the date of disbursement of the loan,
inspection of vehicle should be conducted ?
a) Immediately b) 1 week
c) 15days d) 30 days
93 What is the margin, in case of car loans scheme, for salary package account
holders ?
a) 10% of ex-show room price b) 10% of on-road price
c) 15% of ex-show room price d) 15% of on-road price
94 What is the name of the product wherein both 4-wheeler and 2-wheeler are
financed ?
a) Loayalty loan b) combo
c) NRI car loan d) None
95 In case of car loans scheme, if the hypothecation charge in favour of the Bank is
not registered within 120 days from the date of disbursement, charges to be
collected from the customer every month till it gets registered after sending due
notice to the borrower, are
a) 1000/- + ST b) 2500/- + ST
c) 5000/- + ST d) No such charges, instead, loan
should be called up.
96 In case of NRI car loan scheme, the loan amount which can be sanctioned is
a) 18 times of NMI of guarantor b) 18 times of NMI of borrower
c) 24 times of NMI of guarantor d) 24 times of NMI of borrower

97 Which is the nodal bank for implementing of interest subsidy scheme on
education loan for economically weaker sections ?
a) SBI b) BOB
c) RBI d) Canara Bank
98 Maximum loan amount under Xpress Credit ?
a) 10 lac b) 15 lac
c) 20 lac d) 25 lac
99 Under SBI gold loan, the maximum loan amount ?
a) 10 lac b) 15 lac
c) 20 lac d) No ceiling
100 Minimum loan under SBI pension loan ?
a) 10000/- b) 25000/-
c) 20000/- d) 24000/-
101 For the website-vahan.nic.in, charge for vehicle search is
a 100/- b 50/-
c 200/- d free
102 In case of car loan, number of applicants is restricted to
a 1 b 2
c 3 d 5
103 In case of car loans, the maximum cost of accessories, extended warranty and
total maintenance should not exceed ________o f the vehicle or Rs. 50,000/
whichever is lower.
a 5% of ex-show room price b 5% of on-road price

c 10% of ex-show room price d 10% of on-road price
104 In case of car loans, what is concession being offered over existing rate of
interest to Member of Parliament ?
a 0.1 b 0.25
c 0.05 d 0.5
105 Auto Loan Counsellors will be paid an incentive of ____% of loan amount for
sourcing the car loan.
a 0.25 b 0.2
c 0.5 d 1
106 We may also reimburse finance for the cars purchased out of own funds which
are not more than ___ month old
a 3 b 2
c 6 d Reimbursement not allowed
107 To login the site vahan.nic.in, the ID and password of every branch are
a sbibbbbb & bbbbb b Carsbibbbbb & bbbbb
c No such things d None of these
108 In case of NPA accounts of car loans, inspection to be conducted
a Every month b Twice a year
c Every quarter d Eve year

109 In case of car loans, what are the processing charges to be collected from the
customer if the proposal is rejected after pre-sanction inspection is done?
a 50.00% b 25% subject to minimum-510/- &
maximum - 2550/-
c 25% of applicable charges d Can't be recovered
110 In case of salaried people coming to the branch for car loans, what is the CIBIL
cut off score ?
a 600 b 700
c 500 d No cutoff score stipulated
111 In case of Housing Loans. no deviation will be permitted as far as non-credit card
issues are concerned, in cases where the default/write-off/settled amount
exceeds Rs.
a 10000/- b 50000/-
c 25000/- d Nil
112 It has been decided to run a Special Take-over drive for Home Loans from 15th
December, 2015 to 31st March, 2016. During the Special Drive, Home Top-up
Loan (Term Loan) upto Rs. 50 lacs will be offered at
a 0.20 above HL card rate b HL card rate

c 0.50 above HL card rate d 0.25 above HL card rate
113 During Home Loan Festival offer valid upto 31.03.2016, processing fee is waived
for new loans as well as take-overs provided the first instalment is disbursed by
a 31.03.2016 b 30.04.2016
c 15.04.2016 d 20.04.2016
114 What is the maximum permissible LTV ratio for home loans upto 30.0 lac ?
a 90.00% b 80.00%
c 75.00% d For loans upto 20 lac, it is 90%
115 Regarding Home Loans, which of the following is / are true ?
I. Investment made in purchase of vacant site can't be reimbursed even though
the borrower approaches us within12 months from the date of purchase
II. To qualify Her Ghar Housing Loanm a woman must be an owner / co-
owner of the property, which is going to be financed
III. Premium for insurance of mortgage property can be included in the project
cost for calculation of home loan eligibility.
a I & ii b All of the above
c Ii & iii d I & iii
116 In case of home loans of 10.0 lac and above, CIRs should be obtained from 2
CICs. They are
a CIBIL & EQUIFAX b CIBIL & CRIF HIGH MARK CREDIT
INFORMATION
c CIBIL & EXPERIAN CREDIT d Any two
COMPANY
117 Marking of lien noting with sub registrar offices has been made mandatory
wherever provision is available in case of home loans where EM is created on

a Gift deed b GPA
c All title deeds d All title deeds other than sale deed
118 which type of customers have been allowed to avail of pension loans at non-
home branches also
a All pensioners b Defence salary and paramilitary
personnel
c No such provision d None of these
119 In case of unsecured education loans, CIR should be obtained from two CICs
when the limit is above _____
a 4.0 lac b 5.0 lac
c 10.0 lac d 20.0 lac
120 In case of secured education loans, CIR should be obtained from two CICs when
the limit is above _____
a 4.0 lac b 10.0 lac
c 5.0 lac d 20.0 lac
KEY TO PER SEG ASSET PRODUCTS
1 a 2 d 3 a 4 c 5 c 6 c 7 a 8 d 9 b 10 b
11 c 12 b 13 b 14 a 15 a 16 d 17 c 18 d 19 b 20 a
21 b 22 b 23 d 24 b 25 c 26 a 27 c 28 a 29 d 30 a
31 c 32 b 33 b 34 c 35 d 36 a 37 c 38 a 39 c 40 a
41 d 42 a 43 b 44 c 45 a 46 b 47 b 48 a 49 d 50 a
51 b 52 c 53 d 54 b 55 b 56 c 57 b 58 a 59 b 60 c
61 b 62 a 63 b 64 a 65 b 66 b 67 c 68 b 69 c 70 b
71 d 72 b 73 b 74 a 75 b 76 d 77 a 78 b 79 a 80 b
81 a 82 c 83 c 84 d 85 c 86 d 87 a 88 b 89 a 90 b
91 c 92 c 93 b 94 b 95 c 96 b 97 d 98 b 99 c 100 b
101 b 102 b 103 a 104 c 105 b 106 a 107 a 108 b 109 b 110 d
111 b 112 b 113 b 114 a 115 b 116 b 117 a 118 b 119 a 120 c

MCQ ON AGR SEG:
1 UNDER DAIRY ENTERPRENEURSHIP DEVELOPMENT SCHEME (DEDS), FOR

ESTABLISHING SMALL DAIRY UNITS WHAT IS MINIMUM AND MAXIMUM SIZE
OF ANIMALS CAN BE FINANCED.
a) 1, 5 b) 2, 8
c) 3, 15 d) 2, 10
2 NCIP (NATIONAL CROP INSURANCE PROGRAMME) OFFERING HOW MANY
SCHEMES
a) 2 b) 3
c) 4 d) 5
3 AS PER REVISED CIRCULAR INSTRUCTIONS, IF THE CROP (KHARIF ,MONO)
CULTIVATION PERIOD (LOAN DISBURSEMENT PERIOD) IS 1st APRIL TO 30th
SEPTEMBER , REPAYMENT/RENEWAL DATE WILL BE
a) Date fixed by SLBC/DLTC or b) 31st MARCH
31st JANUARY
c) 30th APRIL d) 31st OCTOBER
4 AS PER REVISED CIRCULAR INSTRUCTIONS ,IF THE CROP(RABI, Mono)
CULTIVATION PERIOD (LOAN DISBURSEMENT PERIOD) IS 1st OCTOBER TO
31th MARCH , REPAYMENT DUE DATE WILL BE
a) 31st JANUARY b) 31st MARCH
c) 30th APRIL d) Date fixed by SLBC/DLTC or 31st
JULY
5 White block means, exploitation of ground water is less than ____ of the available
water
a) 60 % b) 70 %
c) 80 % d) 90%
6 AS PER REVISED CIRCULAR INSTRUCTIONS, IF THE CROPS(long duration )
CULTIVATION PERIOD (LOAN DISBURSEMENT PERIOD) IS ALL ROUND THE
YEAR , REPAYMENT DUE DATE WILL BE
a) 31st JANUARY b) 31st MARCH
c) 30th APRIL d) Date fixed by SLBC/DLTC or 12
months from the date of sanction
7 UNDER REVISED KCC SCHEME COLLATERAL SECURITY IS WAIVED FOR
a) KCC LIMIT UPTO TO b) b)KCC LIMIT UPTO TO Rs.2
Rs.1 LAC LACs
c) KCC LIMIT UPTO TO d) d)KCC LIMIT UPTO TO Rs.0.50
Rs.3 LACs LAC
8 As per the extant instructions each KCC withdrawal should be liquidated in
9 Credit balance in the KCC account if any will fetch
a) SB INT RATE b) TDR INT RATE
c) SB+ 2% INT RATE d) SB+ 1% INT RATE

10 Validity period of KCC limit upto
a) 1Yrs b) 2Yrs
c) 3Yrs d) 5Yrs
11 PROCESSING CHARGES WAIVED FOR KCC LIMIT UP TO ----
a) 1 Lacs b) 2 Lacs
c) 3 Lacs d) 4 Lacs
12 Type atm card issued to KCC Borrowers is
a) KRISHY CARD b) FARMERS CARD
c) KISAN CARD d) JI KISAN CARD
13 Withdrawals in KCC will be allowed upto
a) Maximum permissible limit b) Maximum drawal limit
c) Maximum DP LIMIT d) NONE
14 KCC LIMIT WILL BE REVIEWED AFTER -------MONTHS AND REVISED LIMIT
STEPPED UP BY-----% IF NO CHANGE IN THE ACREAGE
a) 6, 5% b) 12, 10%
c) 9, 20% d) 10, 10%
15 Collateral Security waived Rs. 3 Lacs for loans ___________
a) Without any tie-up arrangement b) With tie-up up arrangement for recovery
c) With 50% partial security d) none
16 SJSY is replaced by
a) NRLM b) MRLM
c) RRLM d) PRLM
17 Swarna Jayanthi Shahari Rozgar Yozana (SJSRY) renamed as
a) NULM b) NILM
c) NIIM d) NPJM
18 Krishi kalyan (FEEL )is the combined loan of
a) KCC & PML b) KCC & POULTRY
c) KCC & FISHERY d) KCC & TRACTOR
19 DCB Register to be compiled as on
a) 31st MARCH b) 30th JUNE
c) 30th SEPTEMBER d) 31st DECEMBER
20 REVISION IN LIMITS OF PML TO RS 50 LACS AND AGRI INPUT DEALER LOANS
TO RS----- (e-cir-119-08.05.2013)
a) 1cr b) 2cr
c) 4cr d) 5r
21 UNDER Stree Shakti Tractor Loan (SSTL), Minimum agriculture land holding of ----
acres in the name of borrower(s).
a) 1 b) 2
c) 3 d) 4
22 UNDER Stree Shakti Tractor Loan (SSTL),Minimum net annual income of the
borrower(s) is Rs.-----lacs from farm activity /custom hiring / other sources
a) 1 lac b) 1.50 lac
c) 2 lac d) 2.50 lac
23 UNDER Stree Shakti Tractor Loan (SSTL),EMI / NMI shall not exceed _____%
a) 40 b) 50

c) 60 d) 65
24 Under Stree Shakti Tractor Loan (SSTL) , Margin Without Collateral security: Min. of
____% & With Collateral security Min. margin ____%,
a) 50, 10 b) 20, 30
c) 40, 10 d) 10, 40
25 UNDER Stree Shakti Tractor Loan (SSTL) , The tractor and accessories purchased
with banks finance have to be comprehensively insured for the ____value.
a) HALF b) FULL
c) 25.00% d) 75.00%
26 For giving Tractor Loan up to 35 HP: min land holding is ___ acres, above 35 HP
_____ acres.
a) 4, 6 b) 4, 4
c) 4, 8 d) 4.1
27 The maximum repayment period is 9 yrs as the usual life of a tractor is _____ hrs
a) 5000 b) 8000
c) 6000 d) 10000
28. Small farmer is Land holding up to ___ acre of wet land or ____ acres of dry land.
a) 2.5, 5.00 b) 3.50, 7.00
c) 4.50, 9.00 d) 3.00, 6.00
29 Marginal farmer is Land holding up to---- acre of wet land or ----acres of dry land
a) 1.75, 3.50 b) 2.75, 5.00
c) 0.75, 1.50 d) 1.25, 2.50
30 What is the document to be obtained for Hypothecation Agreement for KCC
(Invariably for Rs 1 lac and above)
a) AB 1 b) AB 2
c) AB 3 d) AB 7
31 Minimum and Maximum number of Members in SHG is___
a) 5 &20 b) 10 & 15
c) 10 & 20 d) None of these
32 On what document we can issue notice to borrower if loan is not paid on due
date.(agri loans)
a) AB-2 (Simplified): b) AB-4 (Simplified):
c) AB-6 (Simplified): d) AB-8 (Simplified):
33 What is the document to be obtained for conversion of crop loan into term loan on
account of crop failure? It is obtained as an unstamped document signed by both
borrower and guarantor.
a) AB-2 (Simplified): b) AB-7 (Simplified):
c) AB-5 (Simplified): d) AB-3 (Simplified):
34 Personal Accident Insurance is cover available upto____years
a) 60 b) 65
c) 70 d) 75
35 If a domestic Bank does not achieve the target of 18 % under Agriculture , 40 %
priority sector the short fall has to be invested in_________fund managed by
NABARD
a) RIDF b) DIRF
c) IRDF d) No such investment

36 Credit rating needs to be done only for advances exceeding Rs ____ Lacs
a) 15 b) 20
c) 30 d) 25
37 Inspection charges for KCC loans: Up to Rs 25000 (and for SGSY/DIR)
a) Rs.500 b) Rs.1000
c) NIL d) NONE
38 Pisciculture- Means
a) Shrimp/Prawn farming b) Bee keeping
c) Plant propagation d) Fish farming
39 Scheme for Debit swapping of borrowers: Quantum of loan: The loan granted shall
be 100% if the debt is on account of cultivation or agri activity or Rs._____ whichever
is lower.
a) 50000 b) 100000
d) 200000 d) 300000
40 SETTING UP OF AGRI-CLINIC & AGRI BUSINESS CENTRES SCHEME (ACABC
Scheme): Project cost: Individual Activity Rs.____Lacs, Group Activity Rs._____
Lacs
a) 20, 100 b) 10, 100
c) 10, 50 d) 20, 50
41 Under Land purchase scheme the maximum loan amount(excluding development
charges) will be ______lacs
a) 5 b) 10
c) 2 d) 8
42 Name the scheme which provides timely and adequate credit to farmers to meet
production and also to avoid distressed sale of produce
a) Produce Marketing Loan b) Farmers Easy Empowerment Loan
c) Kisan Gold Card d) Kisan Credit Card
43 As Per revised instructions, Where Tractor is being financed UNDER SSTL
(VARIANT 1)and implements are also being financed, the margin for Tractor
component _% and for accessories ___%
a) 10, 20 b) 15, 30
c) 20, 30 d) 25, 50
44 which annual report is submitted to the lead Bank about the annual targets of
Priority sector by the branches
a) LBR-1 b) LBR-2
c) LBR-3 d) LBR-4
45 No Dues Certificate up to Rs._____need not be insisted from small/marginal farmers
a) 25000 b) 30000
c) 35000 d) 50000
46 Under Agri Gold Loan scheme, repayment of investment credit should be repaid with
in
a) Max 12 m with repayment b) Maximum 24 m with repayment frequency of
frequency of crop season crop season
c) Maximum 36 m with d) Maximum 48 m with repayment frequency of
repayment frequency of crop crop season
season

47 Maximum Repayment period for loans given under SSTL ___months without
collateral & without ____months
a) 18, 48 b) 36, 48
c) 12, 36 d) 24, 36
48 Under Stree Shakti Tractor Loan (SSTL), what is the __% interest p.a (above base
rate) for loans given without collateral and with collateral.
a) 1.75, 1.50 b) 1.25, 1.50
c) 1.75, 1.75 d) 1.75, 2.00
49 Under Stree Shakti Tractor Loan (SSTL), what is the __% penal interest rate for
period of irregularity
a) 0.25 b) 0.5
c) 1 d) 2
50 Standard Operating Procedure (SOP) for seizure and auction of vehicles under Auto
Loan issued vide e-Cir No.170/2015-16 dated 11th May, 2015 is applicable to tractor
loans under Agri segment as well. State whether the above statement is correct or
not
a. Correct b.incorrect
51 What are the USPs of SSTL?
a) High interest rate b) Men as co- borrowers
c) Women as borrowers / co- d) Non acceptance of gold as collateral
borrower(s)
52 Government guaranteed advances become NPA, when _____
a) when interest is not serviced on due b) b. The Government repudiates its guarantee
date when invoked
c) When repayment of principal and d) d. None of these
interest is overdue for more than 90
days
53 What is the minimum income level for availing SSTL?
a) 1.00 lac b) 1.50 lacs
c) 2.00 lac d) NONE
54 Is it in order to include other than farm-income for arriving at the income level? to finance
under SSTL
a) YES b) NO
55 In case of joint borrowers, whether the income of co borrowers can be considered for
income criteria purposes? to finance under SSTL.
a) YES b) NO
56 Whether the projected farm income on account of the tractor proposed to be financed
under SSTL can also be taken in to account for arriving at the income level?
a) yes b) no
57 In case of SSTL (with collateral), whether mortgage of agri land can be taken additionally?
a) YES b) NO
58 What is the procedure for creation of collateral security for SSTL?
a) Pledge or lien(as the case may be) b) mortgage
c) hypothecation d) none

59 For financing under SSTL, Whether the security can be obtained partly in the form of gold
ornaments and partly by NSC / TD with the Bank?
a) YES b) NO
60 For loans under SSTL, Whether security belonging to 3rd party can be taken?
a) Yes B) No
c) Yes, but as Guarantor D) Yes , as co borrower
61 Whether insurance of the tractor financed under SSTL can be waived?
a) yes b) no
62 The applications sourced by the Dealers and their Sales Executives under SSTL should be
disposed of, immediately. Turn-Around-Time is ___days.
a) 2 b) 3
c) 4 d) 5
63 For monitoring Agri loan NPA'S for CC/OD for incorporating the correct crop season under
holiday period facility what is report number available for branches .
a) BR 6646 b) BR 6645
c) BR 6644 d) BR 6643
64 For monitoring Agri loan NPA'S for DL/TL for incorporating the correct crop season under holiday
period facility what is report number available for brs
a) BR 6646 b) BR 6645
c) BR 6644 d) BR 6643
65 For monitoring Agri loan NPA'S for DL/TL & CC/OD, for incorporating the correct crop season under
holiday period facility, TWO CBS reports are available for branches on------&------ dates of every
month.
a) 5&10 b) 10&25
c) 10&20 d) 15&30
66 Under DAIRY PLUS scheme the maximum loan amount is Rs.
a) 1 lac b) 5 lac
c) 10 lac d) 20 lac
67 Ceiling on maximum subsidy under Gramin Bhandaran Yojana capital investment subsidy scheme
(25%) for construction / renovation of rural godowns in area of other than NE states, Sikkim and hilly
areas.
a) 1 crore b) 1.5 core
c) 1.75 crore d) 2.25 crore
68 RSETI stand for
a) Rural Self Employment Training b) Regional Self Employment Training Institute
Institute
c) Rural Self Employment Trainers d) None of the above
Institute
69 Who is fixing the unit cost for agricultural Term Loans?
a) RBI b) NABRAD
c) SLBC d) DTC
70 In case of PML, repayment period is____months

a) 48 b) 36

c) 24 d) 12
71 Produce Marketing Loans sanctioned to farmers, group of farmers including SHGs and JLGs against
pledge/hypothecation of agricultural produce (including warehouse receipts) for a period not
exceeding 12 months were classified as direct-agri advances This limit has now been enhanced to
a) 20 lacs b) 25 lacs
c) 50 lacs d) 100 lacs
72 For Agriculture loans, Interest subvention receivable entry has to be passed on the last working day
of each ______________ without fail. These entries should not to be reversed on the next working
day.
a) Month b) Quarter
c) Half year d) year
73 For agri term loans post disbursement inspection should be conducted within month for __ ensuring
recording of creation of asset.
a) 1 b) 2
c) 3 d) 4
74 Gold Loan safe keeping charges to recovered beyond 30 days of expiry of prescribed
tenure of gold loan in Per/Agr segment is
a) Rs.501 b) Rs.753
c) Rs.843 d) Rs.901
75 For irregular crop loans the periodicity of inspection by FO for recovery will be done once in
____MONTHS
a) 1 b) 2
c) 3 d) 4

KEY TO AGR SEG PRODUCTS:
Q.NO 1 2 3 4 5 6 7 8 9 10
ANS d b a d c d a b a d
Q.NO 11 12 13 14 15 16 17 18 19 20
ANS a c b b b a a a b d
Q.NO 21 22 23 24 25 26 27 28 29 30
ANS b b c a b d a d a
Q.NO 31 32 33 34 35 36 37 38 39 40
ANS c c b c a d c d b a
Q.NO 41 42 43 44 45 46 47 48 49 50
ANS a b d a d c b a c A
Q.NO 51 52 53 54 55 56 57 58 59 60
ANS c b b a a a b a a c
A.NO 61 62 63 64 65 66 67 68 69 70
ANS a b a b b b d a b d
Q.NO 71 72 73 74 75
ANS c a a c a

IMPORTANT INFORMATION ON AGRI
DOCUMENTATION Ground Water Availability:
AB-1: Hypothecation Agreement a) White Blocks- exploitation of ground water is
AB-2: Guarantee Deed less than 70% of the available water.
AB-3: Mortgage Deed b) Grey Blocks - 70% to 90% of the available
AB-4: Revival letter (Borrower) water has already been exploited.
AB-5: Revival letter (guarantor) c) Dark Blocks More than 90% of the available
AB-6: Notice to borrower if loan is not paid Water is already over-exploited.
on due date.
AB-7: Conversion of crop loan into term loan Small farmer- Land holding up to 2.5 acre of
on account of crop failure. It is obtained as wet land or 5 acres of dry land.
an unstamped document signed by both Marginal farmer- Land holding up to 1.25 acre
borrower and guarantor. of wet land or 2.5 acres of dry land.
Agricultural labourer- Land holding up to 0.5
Simplified and uniform documents are acre of land or having a home-stead; should
obtained now as recommended by RV Gupta have income of more than 50% by way of
Committee (1999) agricultural wages.
INSPECTION CHARGES: Important Culture:
a)Up to Rs 25000 (and for 1)Aquaculture- Shrimp/Prawn farming
SGSY/DIR): Nil 2)Apriculture- Mushroom cultivation
b) Above Rs 25000 and Rs 200000: Rs 3)Apiculture- Bee keeping
500 p.a. 4)Floriculture- Flower production
c)Over Rs 200000 and up to Rs 5 cr: 5)Horticulture- vegetable,fruits,flowers
Rs 500 per lac p.a within same 6)Olericulture- Vegetable production
municipal limits with a maximum of Rs 7)Moriculture- Mulberry cultivation
10000. 8)Pisciculture- Fish farming
For outstation inspection, actual 9)Sylviculture- Forest tree cultivation
charge + 25% subject to minimum of 10)Vermiculture- Rearing of Earthworm
Rs 10000 p.a. 11)Sericulture- Silk Production
d) Over Rs 5 cr: Actual charge + 25% 12)Tissue Culture- Plant propagation
subject to minimum of Rs 10000 p.a.
Credit rating need be done only for
advances exceeding Rs 25 lakhs.
Service Area Approach had been recommended by the Ojha committee in 1989. Now it
is applicable to Government sponsored schemes only. The operational area of the
branches for financing under schemes other than GSS, should be i) ADBs/DBDs
Within a radius of 50 km. ii) Other br.- within a radius of 20 km.
The concept of weaker sections was evolved by Ghosh Committee

MCQ ON SME ASSET PRODUCTS:
1 What is the maximum loan amount under SME Credit Card?
a) Rs. 10.0 lac b) Rs. 20.0 lac
c) Rs. 25.0 lac d) Rs. 1.0 Cr
2 What is the minimum score in SME credit card?
a) 50.00% b) 65.00%
c) 60.00% d) 70.00%
3 The limits under SME Credit Card are valid for
a) 1 year b) 2 year
c) 3 year d) 5 year
4 If the credit summations in loan account of credit card are less than 50% of the
projected turnover, the outstanding as on the due date of review to be repaid in
suitable installments within a maximum period of
a) 1 year b) 2 year
c) 3 year d) 5 years
5 In SME Credit card, periodicity for stock statement
a) monthly b) quarterly
c) half-yearly d) yearly
6 In SME smart score, age of the chief promoter / chief executive should not be
more than
c) 70 years d) 75 years
7 In smart score, what is the maximum amount for manufacturing units?
a) 25 lac b) 50 lac
c) 75 lac d) 100 lac

8 In smart score, what is the maximum amount for trade & services' units?
a) 25 lac b) 25 lac
c) 75 lac d) 75 lac
9 In smart score, what is the margin in case of term loans
a) 20.00% b) 25.00%
c) 30.00% d) 33.33%
10 The limits under smart score are valid for
a) 1y b) 2 y
c) 3y d) 5y
11 What is the minimum score in SME smart score?
a) 50.00% b) 65.00%
c) 60.00% d) 70.00%
12 CGTMSE set up by
a) NABARD b) SIDBI
c) RBI d) SIDI & Govt. of India
13 The maximum amount which can be sanctioned under CGTMSE
a) 50 lac b) 1 Cr
c) 25 lac d) 2 Cr
14 For loans covered under CGTMSE, collateral security cover should be available
to the extent of
a) 25% of the limit b) 100% of limit
c) 50 % of limit d) Nil
15 In case of loans sanctioned to Pvt./public limited company, covered under

CGTMSE, personal guarantee of directors other than promoter director
a) To be obtained b) Not to be obtained
c) Either of the above d) None of the above

16 In respect of CGTMSE loans, rate of interest should not be more than __ % over
base rate
a) 1 b) 3
c) 2 d) 4
17 Which of the following entities are not eligible to be covered under CGTMSE?
a) Retail / wholesale trade b) Educational institutions
c) SHGs d) All of the above
18 What is the maximum available guarantee cover for loans to micro enterprises
upto 5 lac
a) 75 % of amount in default b) 85 % of amount in default
c) 80 % of amount in default d) 90 % of amount in default
19 What is maximum guarantee cover for women entrepreneurs / units in North East
region for loans upto 50 lac
a) 75 % of amount in default b) 85 % of amount in default
c) 80 % of amount in default d) 90 % of amount in default
20 What is the maximum guarantee cover available for loans upto 50 lac
a) 80% of amount in default b) 75% of amount in default max Rs

max Rs 40.0 lacs 37.50 lacs
c) 90% of amount in default d) 95% of amount in default max Rs

max Rs 45.0 lacs 47.50 lacs
21 What is the maximum guarantee cover available for loans above 50 lac and
below 1 Cr.
a) 75 % of the amount in default b) 80 % of the amount in default subject

subject to 75 lac to 50 lac
c) 50 % of the amount in default d) 60 % of the amount in default subject

subject to 50 lac to 60 lac

22 In case of working capital advances covered under CGTMSE, what is the
maximum period for which guarantee cover is available ?
a) 1y b) 3 y
c) 5y d) As long as the advance is maintained

with branch
23 Application for guarantee cover for credit proposals sanctioned in Apr-June

quarter should be lodged before expiry of _______ quarter.
a) July-Sept b) Apr-June
c) By the next month d) By the end of the financial year end.
24 Expand CGDAN
a) Credit guarantee demand b) Credit guarantee demand assessed

advice number number
c) Credit guarantee demand d) Credit guarantee demand assessed

advised notification notification
25 For limits upto 5 lac, what is the guarantee fee for women / micro / units in NE
region ?
a) 0.75% b) 0.80%
c) 0.85% d) 0.90%
26 For limits above 5 lac upto 1 Cr, what is the guarantee fee for women / micro /
units in NE region ?
a) 0.75% b) 0.80%
c) 0.85% d) 0.90%
27 If the date of NPA is within the lock-in period, when should the guarantee be
invoked ?
a) Within 2 years of expiry of b) Within the expiry of lock-in period

lock-in period
c) Within 3 years of expiry of d) Any time

lock-in period
28. If the date of NPA is after the lock-in period, when should the guarantee be

invoked ?
a) Within 2 years from the date b) Within 2 years of expiry of lock-in

of NPA period
c) Any time it may be invoked d) Within 1 year from the date of NPA
29 For claim settlement, CGTMSE shall pay__ % of guaranteed portion or amount in

default whichever is less within 30 days of lodgement of claim.
a) 50 b) 75
c) 60 d) 80
30 If the trust is unable to pay the first installment within 30 days of lodgement of
claim, then it has to pay interest on the eligible claim amount for the period of the
delay beyond 30 days at prevailing
a) SB rate b) CRR
c) Bank rate d) Need not pay
31 Under Doctor Plus, what is the maximum loan amount for non-allopathic doctors
?
a) 10.0 lac b) 20 lac
c) 5.0 lac d) 25 lac
32 Under Doctor Plus scheme, what is the maximum loan amount for individuals ?
a) 1 Cr b) 2 Cr
5 Cr 10 Cr
c) d)
33 Under Doctor Plus scheme, up to what amount, is tangible security not required ?
a) 10 lac b) 15 lac
c) 20 lac d) 25 lac
34 Under SME car loan, for used cars to be financed, what is the maximum age?
a) 3y b) 4y
c) 2y d) 5y
35 Under SME car loan, in case the loan is availed of in single name, what is the
minimum gross annual income as per the latest annual return?

a) 3 lac and above b) 4 lac and above
c) 2 lac and above d) 5 lac and above
36 The calculation of eligible loan amount
a) 30 times of NAI b) 2.5 times of NAI
c) 2 times of NAI d) 3 times of NAI
37 What is the maximum loan amount for used vehicles ?
a) No ceiling b) 10 lac
c) 15 lac d) 20 lac
38 What is the maximum loan amount for new vehicles ?
a) No ceiling b) 10 lac
c) 15 lac d) 20 lac
39 In any case, EMI/NMI should not exceed
a) 40.00% b) 45.00%
d) 60.00% d) 50.00%
40 What is maximum repayment periodt for used cars ?
a) 7 years b) 7 years from the date of original sale
c) 10 years d) 10 years from the date of original sale
41 What is the margin for SME car loan ?
a) 15.00% b) 20.00%
c) 25.00% d) 10.00%
42 How much is the prepayment penalty when the borrower wishes to close the
existing loan and go for a new / used car loan?
a) 0.51 % of the loan amount b) 1.01 % of the loan amount
c) Nil d) None of these
43 Under SME car loan scheme, when loan is rejected after pre-sanction survey is
done, how much is the processing charge?

a) 50% of processing fee subject b) 25% of processing fee subject to
to minimum 500/- & maximum minimum 500/- & maximum of 2500/-
of 2500/-
c) 0.51% of loan amount d) Nil
44 How much are the processing charges for a new car loan under SME car loan
scheme?
a) 0.51% of the loan amount b) 0.51% of the loan amount

subject to minimum of 1020/-
and maximum of 10200/-
c) 1.01% of the loan amount d) Nil
45 Which of the schemes was launched in place of equity fund scheme ?
a) Asset backed loan b) SMILE
c) Fleet finance d) nil
46 Under SMILE, wjhat is the maximum project cost ?
a) 10lac b) 25 lac
c) 50 lac d) 1 Cr
47 Under SMILE, for Micro and Small Scale industries and units under Project
Uptech- Min ___ lac & Max Rs Lacs
a) 1, 10 b) 0.50, 5 lac
c) 2 lac, 10 lac d) NIL
48 Under SMILE, for professionals & self-employed, min ___lac & max __lac
a) 0.50, 1 b) 0.50, 5.0
c) 0.25, 7.5 d) 0.50, 7.5

49 Under SMILE, minimum equity contribution by entrepreneur
a) 10% of project cost b) 7.5% of project cost
c) 20% of project cost d) 25% of project cost
50 Under SMILE, what is the maximum repayment period ?
a) 5y b) 7y
c) 10y d) 6y
KEY TO MCQs ON SME ASSETS
1 A 2 C 3 C 4 D 5 D 6 B 7 B 8 A 9 D 10 B
11 C 12 D 13 B 14 D 15 B 16 D 17 D 18 B 19 C 20 B
21 C 22 C 23 A 24 A 25 A 26 A 27 A 28 A 29 B 30 C
31 A 32 C 33 D 34 D 35 B 36 B 37 C 38 A 39 D 40 B
41 A 42 C 43 B 44 A 45 B 46 A 47 A 48 B 49 B 50 B

MCQ ON LIABILITY PRODUCTS -I
1 As per Section ____ of the Income Tax Act, Tax is deducted at source whenever
interest on time deposits credited or paid or likely to be credited or paid to the
account of a customer, exceeds Rs 10000/- in a financial year
a) 194A b) 194
c) 191A d) 192
2 15H should be deposited by depositors with age of ____ so that branch does not
deduct TDS on interest accrued on time deposits.
a) Below 60 years b) Above 60 years
c) 60 years and above d) anybody
3 The rate of TDS when rental payments made in a financial year for plant, machinery
and equipment when such rental payments exceed Rs. 180000/- per annum
a) 10.00% b) 20.00%
c) 1.00% d) 2.00%
4 Screen Nos for refunding of TDS deducted erroneously are
a) 20040/20050 b) 20045/21051
c) 21050/21051 d) 20050/21051
5 Due date for quarterly TDS statements for Jan-Mar quarter is
a 15th April b 15th May
c 30th April d 31st May
6 What is the minimum threshold limit in case of SB plus ?
a) 35000/- b) 25000/-
c) 50000/- d) Nil
7 U/s 269 of the Income Tax Act, time deposits with interest thereon amounting to Rs.
and above have to be paid by way of credit to account/Bank Draft/crossed cheque
only
a) 20000 b) 50000
c) 25000 d) None

8 An SB account can be converted into SB plus either at branch or through INB. But,
an SB plus account can be converted in to SB at
a) Branch only b) INB only
c) Either branch or through INB d) It can't be done at all
9 What is the penalty to be levied on premature payment of an unfixed deposit?
a) 1.00% b) 0.50%
c) The product is withdrawn. d) No penalty
10 Claim will be settled in case of an accidental death of a customer who has been
issued State Bank YUVA international debit card by
a) SBI General Insurance b) SBI Life Insurance
c) National Insurance Company d) LIC

Ltd.
11 In case of Premium Savings Bank account, No. of debits are restricted to
a) 30 per half year b) 60 per half year
c) Unlimited d) None
12 Any girl child born on or after _____ is covered under Sukanya Samrudhi Scheme.
a) 01/10/13 b) 01/12/03
c) 01/11/14 d) No such restriction
13 Maturity period in case of SSA-
a) 14 years from the date of b) 21 y from the date of opening

opening
c) When the girl child attains 18 d) When the girl child attains 21 years
years
14 ROI for SSA, right now, is
a) 9.20% b) 8.70%
c) 8.20% d) 9.70%

15 Under SB plus scheme, for Auto-sweep facility, the minimum and subsequent
amount will be
a) 10000 & no maximum b) 10000 & 500000
c) 500 & 500000 d) 10000 & 10000
16 In case of SSA, minimum and maximum deposits are___ &___ during a financial
year-
a) 500/-, 50,000/- b) 1000/-, 100000/-
c) 1000/-, 150000/- d) 500, 150000/-
17 In case of SURABHI deposit scheme, CLTDs are linked to
a) SB only b) CA only
c) Either SB or CA d) No link at all
18 In case of URABHI, minimum threshold limit is for sweep to take place
a) 50000/- b) 10000/-
c) 25000/- d) 35000/-
19 Under CAPGAINS Plus, when a residential house is sold, specific time period for
investment, when the sale proceeds are to be invested for purchase of a residential
house-
c) 2 to 3 years d) Either 2 or 3 years
20 Under CAPGAINS plus scheme, which of the following is true ?
a) No additional ROI in case of b) No additional ROI for staff

senior citizens
c) Additional ROI is available for d) Additional ROI is available both for

staff but not for senior citizens staff and senior citizens.
21 Under Saving Plus Scheme the Account holder has the flexibility to choose the

period of deposit from
a) 1 to 3 years b) 1 to 5 years
c) 3 to 5 years d) 1 to 10 years
22 The maximum amount of loan that can be granted against Term Deposits is:
a) 85% of principal amount b) 85% of principal amount + accrued

interest
c) 90% of principal amount d) 90% of principal amount + accrued

interest
23 CAPGAINS plus scheme is available at ____ branches
a) all b) Only urban
c) Only PBB d) All except rural branches.
24 Under CAPGAINS plus, withdrawal form is
a) Form A b) Form B
c) Form C d) Form D
25 In case of more than one person nominated for a CAPSGAIN Plus account and in
the event of death of the customer, amount will be paid to
a) Total amount will be distributed b) Amount will be distributed in the ratio

equally chosen by the deceased customer
c) The person named first is d) More than one person not allowed as
entitled to receive the total amt. nominee.
26 In Saving plus Scheme the Auto Sweep is operative on _______________and

MODs are issued for eligible amount.
a) 5th and 20th of every month b) 10th and 20th of every month
c) Once a week (any day) or once d) 15th and 30th of every month
a month (any date) as opted by
the depositor.

27 What are the minimum & Maximum deposits under SBI Tax Savings Scheme,
2006
a) 1000 & 100000 b) 1000 &150000
c) 1000 & 70000 d) 10000/-, 150000/-
28 What is the maximum period cap put for any Term Deposit as stipulated by IBA
c) 120 months d) No such cap
29 In case of SBI TAX SAVINGS SCHEME, premature payment is available ?
a) Yes b) No
c) After lock-in-period d) Depending on the BM
30 Under SBI TAX SAVINGS SCHEME, 2006, lock -in period is ___
a) 1 year b) 3 years
c) 5 years d) No lock in period
31 In case of SBI Annuity deposit, deposit periods are
a) 5 years only b) 36 M, 60M, 84 M, 120 M

Either 5 Y or 10 Y
c) Either3 Y or 5 Y d)
32 In case of accidental death of our salary package account holders, insurance

cover is available with
a) SBI General Insurance b) Reliance General Insurance
c) SBI Life Insurance d) LIC
33 Which of the following products is suitable to petty traders ?
a) Power Gain b) Power Base
c) Power Jyothi d) SME Sahaj
34 An account should be treated as Unclaimed if there are no customer induced

transactions in the account for over a period of _____ years. For the purpose of
classifying an account as unclaimed both the type of transactions i.e. _______
transactions, induced at the instance of customers as well as third party should be
considered.
a) 5 years & debit as well as credit b) 10 years & debit
c) 5 years & debit d) 10 years debit as well as credit
35 What is the BANK DEAF CODE for SBI-
a) 1 b) 2
c) 3 d) 5
36 In case of remitting of funds to DEAF account, the services are available under
________ portal
a) E-Kuber b) E-RBI
c) E-DEAF d) E-portal
37 In case of SME SAHAJ, minimum QAB is ___ and penalty for non-maintenance of
QAB is ____
a) 1000/-, 300/- b) 5000/-, 500/-
c) 1000/- Nil d) 2500/-, 500/-
38 Which Banks are allowed to accept deposits under Capital Gain Scheme
a) Only Public Sector b) All Public & private sector
d) Public Sector and d) All Public ,private sector & Foreign Banks
selected private sector
banks
39 In case of Power Jyothi account, minimum QAB is
a) 50000/- b) 25000/-
c) 100000/- d) 500000/-
40 How may number of nominees can be allowed under SBI Capgains plus
a) Only one nominee b) Only 2 nominees
c) More than 5 d) Maximum 3 nominees

41 Under Power Jyothi scheme, transaction charges are 60/- per transaction.
Discretion is vested with _____ to reduce the charges to Rs. ____
a) CGM, 20/- b) CGM, 35/-
c) No such discretion d) CGM, 0
42 Cash handling charges are not applicable to which of these account?
a) No such charges for b) E -DFS

SME
c) Sahaj d) Surabhi
43 Minimum QAB in case of Power Pack is
a) 1.0 lac b) 2.50 lac
c) 5.0 lac d) 0.50 lac
44 For which of the following variants, issue of duplicate statement is free ?
a) Power pack b) Power Pack & Gain
c) Power pack, gain & base d) Not available for any variant
45 For issuing of State Bank Pride, eligibility criteria
a) CA balances b) Loan limits >=1.0 lac < 25.0 lac

>=25000<5.0 L
c) Both a) & b) d) Either a) or b)
46 For issuing of State Bank premium, eligibility criteria
a) CA balances >=5.0 lac b) Loan limits >=25.0 lac
Personal accidental insurance is available on State Bank premium is

47
a) 2.0 lac b) 5.0 lac
c) 10.0 lac d) 7.5 lac

48 Corporate Salary Package Account will be available to the employees of a
Corporate or Institution, only when the organization has:
a) A min number of 25 emp b) A minimum number of 20 employees with a

with a minimum payout of minimum payout of Rs.1.00 lacs p.m.,
Rs.1.25 lacs p.m.,
c) A min number of 50 emp d) None of these

with a minimum payout of
Rs.2.5 lacs p.m.,
49 ASBA stands for
a) Amount supported by b) Applications supported by blocked amount

blocking application
c) Application supported by d) None of these

blocking amount
50 Which of the following is not a variant of SME Power ?
a Pack b Gain
c Base d Premium
ANSWERS FOR MCQs ON LIABILITY PRODUCTS -I
1 A 2 C 3 D 4 B 5 B 6 A 7 A 8 A 9 C 10 C
11 C 12 B 13 B 14 A 15 A 16 C 17 C 18 A 19 A 20 C
21 B 22 D 23 D 24 C 25 C 26 C 27 B 28 C 29 C 30 C
31 B 32 B 33 D 34 D 35 A 36 A 37 A 38 A 39 A 40 D
41 A 42 B 43 C 44 B 45 D 46 D 47 B 48 A 49 B 50 D

MCQs ON LIABILITY PRODUCTS - II
1 In case of Bachat Tara campaign intended for sourcing of SB accounts,
An average monthly balance of Rs. _____ should be maintained for ___
months
a) 5000/-, 3 months i.e., month in b) 25000/-, 3 months i.e., in

which it is opened and next 2 which it is opened and next 2
months months
c) 25000/-, 3 months i.e. month d) 5000/-, 3 months i.e., month in

in which it is opened and next which it is opened and next 3
3 months months
2 The declaration in Form 15G is not applicable if the amount of the income
(individually or in aggregate) credited or paid or likely to be credited or
paid during the concerned financial year in which such income is to be
included exceeds the maximum amount which is not chargeable to tax
(Rs. 2,50,000/- for F.Y. 2015-16). Then what is such limit in case of 15 H ?
a) No such limit b) 3.0 lac in case of assesses

between 60 y to 80 Y
c) 5.0 lac in case of assesses d) b) & c)

above 80 years
3 In case of failure to deliver TDS statement within time or furnishing

incorrect information in the TDS statement, the assessing officer may
direct such person shall pay by way of penalty for
a) 200/- per day subject to TDS b) Ranging between 10000/- to

amount deductible 1.0 lac
c) 100/- per day d) Nil
4 In case of capital gain account, upto which limit is cash withdrawal

allowed?
a) 20000 b) 25000
c) 50000 d) Not allowed.
5 In case of capital gain scheme, which of the below can be issued?
a) ATM card b) a) & c)
c) Cheque book facility d) None of these

6 Capgain plus can be opened as
a) SB b) Both a) & c)
c) STDR d) RD
7 What is the POS linked overdraft limit which can be sanctioned to new
new merchants ab initio ?
a) 50000/- b) 25000/-
c) 10,000/- d) Can't be sanctioned at all

initially. Three months should
be awaited
8 Minimum amounts under capgain plus in SB and TDR are
a) Rs. 1000.00 & 5000/- b Rs. 1000/- & 10000/-
c) Not stipulated d) None of the above
9 How many number of cash deposits, irrespective of amount, are accepted

in an SB account across the counter free of cost beyond which charges
are ___
a) No such restrictions b) 5, 50/- + ST
c) Depends on average monthly d) 10, 50/- + ST.

balance that is maintained
during the particular month.
10 What is the rate of interest for a loan against time deposit offered as
security
a) 1.0 % above the ROI paid on b) 0.50 % above the ROI paid on
the relative time deposit the relative time deposit
c) 0.25 % above the ROI paid on d) None

the relative time deposit
11 Whether loan facility against deposit held in capgain plus is available?
a) Not available b) Available subject to

submission of certificate from
IT Dept.
c) Available d) None of the above

12 How much TDS is applicable on deposits held in Capgains Plus?
a) 20.00% b) Not applicable at all
c) As applicable to normal TDR / d) None of the above

STDR
13 Who are eligible to open accounts under Capgains Plus scheme
a) Resident individual b) HUF
c) NRIs d) All of the above
14 Annual maintenance charges for Silver / Global / YUVA / Gold debit cards-
a) 100/- + ST b) 150/- + ST
c) 200/- + ST d) 300/- + ST
15 What are the minimum and maximum loan amounts which can be
sanctioned as POS linked overdraft ?
a) 25000/-, 5.0 lac b) 10000/, 1.0 lac
c) 50000/-, 10.0 lac d) 25000/-, 10.0 lac
16 Charges for non-maintenance of minimum balances in SB accounts

(SME)-
a) 500/- + ST b) Nil
c) 100/- + ST d) 200/- + ST
17 For Silver corporate salary package, gross monthly ranges between
a) 5000-20000 b) 20001-50000
c) 50001-100000 d) Above 1 lac
18 For Gold corporate salary package, gross monthly ranges between
a) 5000-20000 b) 20001-50000
c) 50001-100000 d) Above 1 lac

19 For diamond corporate salary package, gross monthly ranges between
a) 5000-20000 b) 20001-50000
c) 50001-100000 d) Above 1 lac
20 For Platinum corporate salary package, gross monthly ranges between
a) 5000-20000 b) 20001-50000
c) 50001-100000 d) Above 1 lac
21 For Flexi deposits, what are the minimum & maximum periods?
a) 5 & 7 years b) No any restriction
c) 3 & 5 years d) 1 & 10 years.
22 For Flexi deposits, minimum & maximum deposit amounts?
a) 1000 & 500000 b) 500 & 50000
c) 10000 & 500000 d) 5000 & 50000
23 For Flexi deposit, Penalty for default in payment of minimum deposit will be
____ per Financial Year.
a) 500/- b) 50/-
c) 100/- d) No penalty
24 To enable the depositor to pay one time lump sum amount and to receive the
same in Equated Monthly Installments (EMI), which scheme was introduced?
a) Flexi Deposit scheme b) Premium savings Bank
c) Annuity deposit d) None of these
25 Who is the nodal agency in case of FATCA & CRS for financial institutions in
India ?
a) RBI b) Govt. of India
c) CBDT d) SBI

26 Customers opening Annuity deposit are issued
a) Passbook & receipt b) Passbook only
c) Receipt only d) Either b) or c)
27 Whether transfer of account within our branches is possible in case of Capgain

Plus?
a) Yes, possible b) No.
c) Possible with the permission d) Possible with the permission of

of IT authority controllers.
28. How are limits assessed in case of existing merchants for sanctioning under
POS linked clean overdraft ?
a) 25% of average monthly b) 50% of average monthly

transaction over a period of 3 transaction over a period of 3 M
M
c) 25% of avg monthly d) 25% of average monthly

transaction over a period of 6 transaction over a period of 6 M
M
29 In case of POS linked clean overdraft scheme, which of the following is true ?
a) BMs to upto scale III can b) BMs to upto scale III can sanction
sanction limits upto 3 lac limits upto 5 lac
c) BMs to upto scale III can d) No powers to BMs. Proposals to

sanction limits upto 4 lac be forwarded to RBO.
30 Under SBI TAX SAVINGS SCHEME, 2006, lock -in period is ___
c) 5 years d) No lock in period

31 In case of SBI Annuity deposit, deposit periods are
a) 5 years only b) 36 M, 60M, 84 M, 120 M

Either 5 Y or 10 Y
c) Either3 Y or 5 Y d)
32 In case of accidental death of our salary package account holders, insurance

cover is available with
a) SBI General Insurance b) Reliance General Insurance
c) SBI Life Insurance d) LIC
33 Which of the following products is suitable to petty traders ?
a) Power Gain b) Power Base
c) Power Jyothi d) SME Sahaj
34 An account should be treated as Unclaimed if there are no customer induced

transactions in the account for over a period of _____ years. For the purpose of
classifying an account as unclaimed both the type of transactions i.e. _______
transactions, induced at the instance of customers as well as third party should
be considered.
a) 5 years & debit as well as b) 10 years & debit

credit
c) 5 years & debit d) 10 years debit as well as credit
35 What is the BANK DEAF CODE for SBI-
a) 1 b) 2
c) 3 d) 5
36 In case of remitting of funds to DEAF account, the services are available under
________ portal
37 In case of SME SAHAJ, minimum QAB is ___ and penalty for non-maintenance
of QAB is ____
a) 1000/-, 300/- b) 5000/-, 500/-
c) 1000/- Nil d) 2500/-, 500/-
38 Which Banks are allowed to accept deposits under Capital Gain Scheme

a) Only Public Sector b) All Public & private sector
d) Public Sector and d) All Public ,private sector & Foreign

selected private sector Banks
banks
39 In case of Power Jyothi account, minimum QAB is
a) 50000/- b) 25000/-
c) 100000/- d) 500000/-
40 How may number of nominees can be allowed under SBI Capgains plus
a) Only one nominee b) Only 2 nominees
c) More than 5 d) Maximum 3 nominees
41 Under Power Jyothi scheme, transaction charges are 60/- per transaction.
Discretion is vested with _____ to reduce the charges to Rs. ____
a) CGM, 20/- b) CGM, 35/-
c) No such discretion d) CGM, 0
42 Cash handling charges are not applicable to which of these account?
a) No such charges for SME b) E -DFS
c) Sahaj d) Surabhi
43 Minimum QAB in case of Power Pack is
a) 1.0 lac b) 2.50 lac
c) 5.0 lac d) 0.50 lac
44 For which of the following variants, issue of duplicate statement is free ?
a) Power pack b) Power Pack & Gain
c) Power pack, gain & base d) Not available for any variant
45 For issuing of State Bank Pride, eligibility criteria

a) CA balances b) Loan limits >=1.0 lac < 25.0 lac
>=25000<5.0 L
46 For issuing of State Bank premium, eligibility criteria
a) CA balances >=5.0 lac b) Loan limits >=25.0 lac
47 Personal accidental insurance is available on State Bank premium is
a) 2.0 lac b) 5.0 lac
c) 10.0 lac d) 7.5 lac
48 Corporate Salary Package Account will be available to the employees of a

Corporate or Institution, only when the organization has:
a) A minimum number of 25 b) A minimum number of 20 employees with

employees with a a minimum payout of Rs.1.00 lacs p.m.,
minimum payout of
Rs.1.25 lacs p.m.,
c) A minimum number of 50 d) None of these

employees with a
minimum payout of Rs.2.5
lacs p.m.,
49 ASBA stands for
a) Amount supported by b) Applications supported by blocked

blocking application amount
c) Application supported by d) None of these

blocking amount
50 Which of the following is not a variant of SME Power ?
a Pack b Gain
c Base d Premium
ANSWERS TO LIABILITY DEPOSITS -II

1 B 2 A 3 B 4 B 5 D 6 B 7 B 8 A 9 B 10 A
11 A 12 C 13 D 14 B 15 A 16 A 17 A 18 B 19 C 20 D
21 C 22 D 23 B 24 C 25 C 26 B 27 A 28 A 29 A 30 C
31 A 32 A 33 D 34 A 35 C 36 B 37 C 38 D 39 A 40 A
41 A 42 D 43 D 44 D 45 B 46 B 47 B 48 A 49 A 50 A

MCQ ON NPA MANAGEMENT
1. A cash credit account limit is Rs.10.00 lac was last renewed on 30/06/2013 running regular
and interest is served every month. The present outstanding is Rs.96.00 lac will be
classified now as? Standard b) Substandard c) NPA d) Both b & c
2 Interest and/ or installment of principal remain overdue for a period of more than 90
days in respect of which type of facility?
a) Term loan. b)Cash Credit c)Demand loan d) a & c
3. A term loan of Rs.5.00 lac was sanctioned on 01/01/2014 for purchasing of a CAR running
regular and all installments are paid regularly till today. You come to know that the CAR
was met an accident recently and insurance was covered. The insurance company
assessed the claim at Rs. 2.00 lac. The value of the asset is zero. The present outstanding
is Rs.4.20 lac. The installments are regular now. How you classify the loan?
a) Standard b) Substandard c) Doubtful d) Both b & c

4. A working capital account is active but irregular drawings are permitted in the account for a
continuous period of 90 days even though the unit may be working or the borrower's
financial position is satisfactory will be classified as
a) NPA b) Standard c)Substandard d) Both a & c

5. The Unrealized Interest in a NPA account is
a) Debited to Suspense Account
b) Debited to Interest Account
c) Debited to the loan Account
d) Debited to Commission Account
6. A substandard asset would be one, which has remained NPA for a period less than or equal
to __________
a) 12 months b) 18 months c) 24 months d)36 months

7. The bill remains overdue for a period of more than 90 days in the case of bills
purchased and discounted will be
8. NPA claims up to which amount can be dealt by LOK ADALAT
a) Up to Rs. 05 lac b) Up to Rs. 10 lac c) Up to Rs. 15 lac d) Up to Rs. 20 lac
9. The installment of principal or interest thereon remains overdue for one crop season
for long duration crops. Long duration crops would be crops with crop season
longer than what period?
a) Six months b) One year c) Two Years d)Three Years
10 After an account is stamped as NPA by the system
. a) Unrealized interest is reversed
b) Further interest application is not done
c) Provision is calculated
d) All above
11 Erosion in the value of security can be reckoned as significant when the realizable value of

. the security is less than 50 per cent of the value assessed by the bank, Such NPAs may be
straightaway classified under which category?
a) Regular b)Sub Standard c) Doubtful d)Loss
12 When an account is classified as NPA, the system automatically calculates

. a) Unpaid Interest
b) Unrealized Interest
c) Accrued Interest
d) Penal Interest
13 An account where the regular/ ad hoc credit limits have not been reviewed/ renewed within
. 180 days from the due date/ date of ad hoc sanction will be treated as

14 An asset would be classified as doubtful if it has remained in the substandard category for a
. period of? a )06 months b) 12 months c) 24 months d) 36 months
15 If the realizable value of the security is less than 10 per cent of the outstanding in the
. borrowal accounts, the existence of security should be ignored and the asset should be
straightaway classified as .asset.
a) Sub Standard b) Doubtful c) Loss d) None

16 You have financed a working capital for a trading activity under govt. scheme of Rs. 5.00 lac
. at a village in your service area. The borrower is regularly come to your bank and doing
debit credit transactions in the CC account. On renewal due date you have observed the
following.
1. The credit summations are 40.00 lac
2. The amount of interest charged to the account is Rs.60000.00
3. Statement of stock submitted amounts to Rs.10.00lac
4. Profit earned as per the financials submitted by the borrower is Rs.5.00 lac
5. On your personal inspection visit you come to know that there is no activity.
How you will classify the asset?
a.) Standard b.) Substandard c.) Doubtful d.) Loss
17 A Housing Loan was financed to Mr. Anand in the year 2006. The loan terms are repaid
. regularly. His son Mr. Paramanand regularly comes to the bank and pays the monthly
installment in cash. The account is regular since repayment started and running as standard
asset. On 31/12/2014 you come to know that the documents limitation period is over and
want to take revival as precaution. The next day you met Mr. Parmanad in the branch and
enquired about his father. He replied that his father was passed away 2 years back. How
you classify the asset?
a) Standard b.) Substandard c.) Doubtful d.) Loss

18 The amount recovered from cases decided in 2013-14 under DRTs was Rs 30,950 cr, while
. the outstanding value of debt sought to be recovered was Rs 2, 36,600 cr. In other words,
recovery was only ____ per cent of the amount at stake.
a) 10% b)11% c) 12% d)13%

19 The credit facilities backed by guarantee of the Central Government though overdue may
. be treated as NPA only when?
a) Government repudiates its guarantee when invoked.

b) When it is overdue
c) Government repudiates its guarantee though it is not invoked.
d) None
20 A cash credit account was financed for trading activity of cotton for Rs. 20.00 lac. The
. activity is going on and the account was regular in all respect. On your verification of stock
as on 31/12/2014, the stock of cotton valued at Rs.2.00 lac only the present outstanding is
Rs.20.00 lac. Standard b.) Substandard c.) Doubtful d.) Loss
21 If loss assets are permitted to remain in the books for any reason, How much percent of the
. outstanding should be provided as provision.
a) 50% b) 60% c)90% d)100%

22 ASSET RECONSTRUCTION COMPANIES (ARC) is recommended by
. a) Narasimham Committee b) Kalyana Sundaram Committee
c) Damodaran Committee d) Goiporia Committee
23 You have financed Milch animals to a farmer. The installment will be due after a month.
. You understand that the farmer disposed off the animals even single installment has not
fallen due. The cattle insurance is in force and covered 100% value of the animals. How
you classify this loan? Standard b.) Substandard c.) Doubtful d.) Loss
24 A general provision on Substandard assets is to be provided of _____ percent on

. total outstanding. 10% b) 15% c)20% d)25%
25 PSU banks accounted for over ____ per cent of total non-performing assets (NPAs) that the
. banking sector registered in 2013-14. 50% b) 75% c)80% d)90%
26 What is the Provision rate for Standard assets on Direct advances to agricultural
. and SME sectors? 0.25% b)0.50% c)0.75 d)1.0%
27 SARFAESI Act are not applicable

. a) Any case in which the amount due is less than 20% of the principal amount and
interest thereon
b) Any security interest created on agricultural land..
c) Any security interest for securing repayment of any financial asset up to Rs. 1 lac.
d) All the above
28 When there is a recovery in NPA account, which bucket will be affected first.
.
a) Charges b) Interest c)Principal d) None
29 Who is a non-cooperative borrower?
.
b) One who defaults on timely repayment despite having ability to pay
c) One who deliberately stone walls legitimate recovery efforts of lender
d) Borrowers having aggregate fund-based, non-fund based facilities of Rs 5 crore
e) All the above

30 Out of Rs 2.40 lakh cr. gross NPAs reported by the Indian banking system in 2013-14, what
. was the share of public sector banks? .16 lac b) 1.66 lac c) 1.86 lac d)2.16 lac
31 Which one of the following is not a Hard Recovery?

.
a) Legal action-civil courts
b) Counseling the customer
c) Recovery through DRT, where total dues are Rs10.00 lakhs and above
d) Action under SARFAESI
32 Which of the following is true regarding DEBT RECOVERY TRIBUNAL (DRT)

. a) Applicable for debts of Rs. 10 lac & above and has to dispose within 6 months.
b) An appeal to the Appellate Tribunal has to be filed within 45 days.
c) 75% of the debt due should be deposited with the Appellate Tribunal.
d) All the above.
33 What is the Provision rate for Standard assets other than Direct advances to
. Commercial Real Estate Residential Housing Sector (CRE RH) and Direct
advances to agricultural and SME sectors?
a)0.25% b)0.40% c)0.75 d)1.0%
34 Which of the following is true above ASSET RECONSTRUCTION COMPANIES
. (ARC)
a) It will be a Public Financial Institution with a minimum capital of Rs. 2 crore.
b) A bank can approach an ARC to take over the doubtful assets.
c) ARC will issue 7 to 10 year bonds to the bank.
d) All the above
35 Out of Rs 2.40 lakh cr. gross NPAs reported by the Indian banking system in 2013-14, what
. was the share of private sector banks as of March 31, 2014?
a) Rs 22,738 cr. b) Rs 22,838 cr. c) Rs 23,738 cr. d) Rs 23,638 cr.
36 Stock audit at annual intervals by external agencies appointed as per guidelines approved
. by the bank is mandatory in case of NPA ) with outstanding of ______
a) Rs. 1 crores b) Rs. 2 crores c) Rs. 3 crores d) Rs. 5 crores
37 One of a Cash Credit account position as on 31/12/2014 is as under.

.
1. Limit sanctioned Rs.10.00 lac
2. Outstanding as on 31/12/2014 is Rs.8.00 lac
3. Stock Statement submitted on 31/12/2014 valued at Rs.10.00 lac
4. Account last renewed on 31/12/2013
5. Margin on Stock is 30%
What will be the position of the account as on 31/03/015?
a) Standard b) Substandard c) Doubtful d) Both b & c

38 Quick mortality means ____________.
.
a) Old loans becoming NPA
b) Account becoming NPA within 1 year of sanction
c) Produce marketing loans becoming NPA
d) None of these
39 SMA Category I - Accounts where interest / installment has not been serviced for
.
a) for 7 days b) for 14 days c) for 21 days d) for 30 days
40 How much percentage of provision to be provided on doubtful assets on secured portion for
. the assets remain up to one to three years?
a) 15% b) 25% c) 40% d)100%

41 Total bad loans of 40-listed Indian banks, until September, stood at _________
.
a) Rs 2.4 lakh crore b) Rs 2.7 lakh crore c) Rs 2.8 lakh crore d) Rs 2.9 lakh crore
42 Mr. Prakash is a valued customer of your bank having strong bondage since last 15 years
. with your branch. He started a small stationary business of Rs.2.00 lac CC from you and
expanded to Rs.2 crore loan exposures as under.
1. Term loan for shop construction Rs.60.00 lac

2. Cash Credit for stock Rs.80.00 lac
3. Housing loan Rs.45.00 lac
4. Car Loan Rs.7.00 lac
5. Crop Loan Rs.3.00 lac
6. Tractor Loan Rs.5.00
All his accounts are running regular. The borrower is credit worthy and honest. On your
verification of the borrower loan portfolio, you have observed that his tractor loan is running
overdue from lost 3 months. What will be the quantum of NPA on your books?
a) No NPA b) Rs.5.00 lac c) Rs.2.00 cr d) None
43 The full form of SARFAESI Act

.
a) Securitisation and Reconstruction of Financial Assets and Enforcement of Security
Interest Act
b) Security and Reconstruction of Financial Assets and Enforcement of Securitisation
Interest Act
c) Securitisation and Reconstruction of Financial Act and Enforcement of Security
Interest Assets
d) Securitisation and Reconstruction of Financial Enforcement and Assets of Security
Interest Act
44 An account should be treated as 'out of order' if the outstanding balance remains

. continuously in excess of the sanctioned limit/drawing power relates to which
facility?
a) Cash Credit b) Over Draft c) Term Loan d) a & b
45 Collaterals such as immovable properties charged in favour of the bank should be got
. valued once in how many years?
a) One Year b) Two Years c) Three Years d)Five Years

46 What are the pre-conditions of SARFAESI Act for enforcing the rights by a creditor?
. a) The debt is secured and not an Agricultral land.
b) The debt has been classified as an NPA by the banks
c) The outstanding dues are one lakh and above and more than 20% of the principal
loan amount and interest there on.
d) All the above.
. the assets remain up to one year?
a) 15% b) 25% c) 40% d)100%

48 Time to be allowed to the borrower / guarantor in demand notice to repay the dues
. ___ days from the date of notice under SARFAESI Act.
a) 30 days b) 60 days c) 90 days d) 180 days
. the assets remain more than three years?
a) 15% b) 25% c) 40% d)100%

50 India Public Sector Banks need to raise substantial amount of capital, estimated about Rs
. ____lakh cr. to conform to the advanced Basel-III requirements.
a) 2.0 b) 2.5 c) 3.0 d) 3.5
KEY TO MCQ ON NPA MANAGEMENT
1 D 2 D 3 C 4 D 5 B 6 A 7 D 8 D 9 B 10 D
11 D 12 B 13 D 14 B 15 C 16 D 17 D 18 D 19 A 20 D
21 D 22 A 23 D 24 B 25 D 26 A 27 D 28 A 29 D 30 D
31 C 32 B 33 B 34 D 35 A 36 D 37 D 38 B 39 D 40 C
41 B 42 C 43 A 44 D 45 C 46 D 47 B 48 B 49 D 50 B
IMPORTANT NOTES ON NPA MANAGEMENT
00 - STANDARD ASSET
01 - STANDARD BUT TEMPORARILY IRREGULAR 7 DAYS 29 DAYS

02 - STANDARD BUT IRREGULAR FOR MORE THAN 30 DAYS 59 DAYS
03 - STANDARD BUT IRREGULAR FOR MORE THAN 60 DAYS - 89 DAYS
04 - SUB STANDARD (I.E. IRREG FOR 90 DAYS AND ABOVE)
05 - DOUBTFUL LESS THAN 1 YEAR
06 - DOUBTFUL => 1 YR < 3 YRS
07 - DOUBTFUL = > 3 YEARS
08 - LOSS ASSETS
Non Performing Assets
An asset, including leased asset which ceases to generate income for the bank
A Term Loan will become NPA if the interest and/ or installment of principal remains
overdue for a period of more than 90 days
A Cash Credit will become NPA if it becomes out of order. Out of Order means
Outstanding balance remains continuously in excess of Sanctioned limit/ Drawing Power
for more than 90 days
Where O/s balance is less than Limit/DP, if there are no credits continuously for a period
of more than 90 days i.e the credits are not sufficient to cover the interest applied during
the period
Stock Statements overdue for more than 90 days
Review/ Renewal overdue for more than 180 days
CC / OD NPA:
1.Out of order OS>DP

2.Int not serviced
3.Stock Statement not updated
4.Account not renewed
5.Erosion in security >90%
TL/DL NPA:
6.EMI/Principal and/or Interest

7.Erosion in security >90%
PROVISIONS:
STD ASSETS- AGL, MICRO,SMALL ENT. 0.25%

STD ASSETS OTHERS 0.40%
COMMERCIAL REAL ESTATE 1.00%
SUB STD 15.00%
SUB STD UNSECURED AB INITIO 25.00%
D1 25% ON SECURED+100% ON UNSECURED
D2 40% ON SECURED+100% ON UNSECURED
D3 100%
LOSS 100%

ARC in India : In India the problem of recovery from NPAs was recognized in 1997 by
Government of India. The Narasimhan Committee Report mentioned that an important
aspect of the continuing reform process was to reduce the high level of NPAs as a
means of banking sector reform. It was expected that with a combination of policy and
institutional development, new NPAs in future could be lower. However, the huge
backlog of existing NPAs continued to hound the banking sector. It impinged severely
on banks performance and their profitability. The Report envisaged creation of an
"Asset Recovery Fund" to take the NPAs off the lender's books at a discount.
Accordingly, Asset Reconstruction Company (Securitization Company / Reconstruction

Company) is a company registered under Section 3 of the Securitisation and
Reconstruction of Financial Assets and Enforcement of Security Interest (SRFAESI) Act,
2002. It is regulated by Reserve Bank of India as an Non Banking Financial Company (
u/s 45I ( f ) (iii) of RBI Act, 1934).
RBI has exempted ARCs from the compliances under section 45-IA, 45-IB and 45-IC of
the Reserve Bank Act, 1934. ARC functions like an AMC within the guidelines issued by
RBI.
ARC has been set up to provide a focused approach to Non-Performing Loans

resolution issue by:-
(a) Isolating Non Performing Loans (NPLs) from the Financial System (FS),
(b) freeing the financial system to focus on their core activities and
(c) Facilitating development of market for distressed assets.

Functions of ARC :
As per RBI Notification No. DNBS.2/CGM(CSM)-2003, dated April 23, 2003, ARC
performs the following functions :-
(i) Acquisition of financial assets (as defined u/s 2(L) of SRFAESI Act, 2002)
(ii) Change or take over of Management / Sale or Lease of Business of the Borrower
(iii) Rescheduling of Debts
(iv) Enforcement of Security Interest (as per section 13(4) of SRFAESI Act, 2002)
(v) Settlement of dues payable by the borrower
How Does ARC actually Works :

ARC functions more or less like a Mutual Fund. It transfers the acquired assets to one
or more trusts (set up u/s 7(1) and 7(2) of SRFAESI Act, 2002) at the price at which the
financial assets were acquired from the originator (Banks/FIs).
Then, the trusts issues Security Receipts to Qualified Institutional Buyers [as defined u/s
2(u) of SRFAESI Act, 2002]. The trusteeship of such trusts shall vest with the ARC.
ARC will get only management fee from the trusts. Any upside in between acquired
price and realized price will be shared with the beneficiary of the trusts (Banks/FIs) and
ARC. Any downside in between acquired price and realized price will be borne by the
beneficiary of the trusts (Banks/FIs).
What is ARCIL?
ARCIL is the first asset reconstruction company (ARC) in the country to commence the
business of resolution of non-performing loans (NPLs) acquired from Indian banks and
financial institutions. It commenced business consequent to the enactment of the
Securitisation and Reconstruction of Financial Assets and Enforcement of Security
Interest Act, 2002 (Securitisation Act, 2002). As the first ARC, Arcil played a pioneering
role in setting standards for the industry in India. It has been spearheading the drive to
recreate value out of NPLs and in doing so, it continues to play a proactive role in
reenergizing the Indian industry through critical times
The full form of SARFAESI Act as we know is Securitisation and Reconstruction of

Financial Assets and Enforcement of Security Interest Act, 2002. Banks utilize this act
as an effective tool for bad loans (NPA) recovery. It is possible where non-performing
assets are backed by securities charged to the Bank by way of hypothecation or
mortgage or assignment.

MCQs ON HR AND SUPERVISORY RESPONSIBILITIES
1 Vide S 56.1 of State Bank of India Officers' Service Rules (OSR), no officer shall
accept or permit his family member or any member acting on his behalf to accept
any gift. Such gift includes ____ provided by any person who is obliged to the Bank.
a) Free transport b) Free lodging
c) Free boarding d) All of the above
2 In the above question, such gift does not include
a) Casual mean b) lift
c) Social hospitality d) All of the above
3 On occasions of marriages, funerals or any religious occasions, an officer may

accept gift. But he will have to report to the competent authority if the value of the
gift received from the relatives exceeds
a) 250/- b) 500/-
c) 1000/- d) No such rule
4 According to which section of OSR, no officer shall give or take dowry or demand
directly or indirectly from the bride or bridegroom
a) 56.1 b) 56.4
c) 56.2 d) 56.5
5 According to which section of OSR, an officer shall not absent himself or be late in
attending office or leave station without prior permission from the authority which is
authorised to sanction leave.
a) 58.1 b) 58.2
c) 58.3 d) 58.4
6 According to S 59 (a) of OSR, no officer or any member of his family shall borrow
from
a) moneylender b) Sub-ordinate employee
c) Firm obliged to Bank d) All of the above

7 In the above question, exceptions are
a) LIC b) Co-operative credit society
c) Bank d) All of the above
8 No officer shall guarantee any loan in his personal capacity. Exceptions are
a) Surety of a loan taken by a b) Loan guarantee to his relative for

member from a co-operative education loan by any financial institution
credit society of which he is
also a member
c) Guarantee for any passport d) All of the above

for any relative
9 According to section 60.2 of OSR, an officer can't discount or get discounted a

cheque
a) Without sufficient balance b) With prior permission
c) Either a) or b) d) Can't get it discounted
10 Regarding award staff, which of the following constitute gross misconduct ?
a) Engaged in trade & business b) Drunkenness
c) Gambling inside the premises d) All of the above
11 Regarding award staff, which of the following constitutes gross misconduct ?
a) Willful slowing down in b) Unauthorised disclosure

performance
c) Unfair practice in any exam d) All of the above
12 Regarding award staff, which of the following constitute gross misconduct ?
a) Misbehaviour towards b) Unauthorised absence for more than 30

customers days
c) Willful damage to the property d) All of the above

13 Regarding award staff, which of the following constitutes gross misconduct ?
a) Speculation in stocks, shares b) Contesting election without permission

from the Bank
c) Sexual harassment of any d) All of the above

woman
14 Regarding award staff, which of the following constitutes minor misconduct ?
a) Entering or leaving the b) Not wearing, while on duty, identity card

premises of the branch issued by the Bank.
except by an entrance
provided for the purpose.
c) Not wearing, while on duty, d) All of the above

the uniforms supplied by the
Bank in a clean condition.
15 Regarding award staff, which of the following constitutes minor misconduct ?
a) Absence without leave or b) Unpunctual or irregular attendance

overstaying sanctioned leave
without sufficient grounds
c) Refusal to attend training d) All of the above

programme without assigning
valid grounds.
16 An employee found guilty of minor misconduct may
a) Be warned or censured b) Have an adverse remark entered against

him
c) Have his increment stopped d) All of the above

for a period not longer than 6
months
17 Bank level HR head is
a) CGM & CDO b) DMD & CDO
c) MD & CDO d) None

18 What is the maximum period for which privilege leave can be sanctioned at one go
a) 3 months b) 6 Months
c) 1 Month d) 45 days
19 The minimum No. of days for which am employee should go on leave for encashing
LFC is
a) 1 b) 2
c) 3 d) He need not be on leave
20 In terms of settlement with all India State Bank of India Staff Federation, which of
the following things can be outsourced ?
a) Sweeping / cleaning of b) Maintenance of all electrical fittings /

branch premises generator
c) Cash replenishment in ATMs d) All of the above
21 When can Paternity leave of 15days be sanctioned to employees ?
a) 15 days before the delivery b) Within 6 months after the delivery
c) Either a) or b) d) No such facility
22 The employees posted in sensitive positions or areas of operations

need be covered under a Mandatory Leave policy wherein such
employees are required to compulsorily avail leave for 10 working days in a single
spell every year, during their posting in such areas. This decision has been taken to
a) To increase the productivity / b) To reduce frauds

efficiency of the employees
c) Either a) or b) d) None
23 Privilege leave should be applied not less than __ days before the commencement
of such leave.
a) 15 b) 7
c) 30 d) 31
24 How many times, during a financial year, can privilege leave be sanctioned ?
a) 2 b) 1
c) 3 d) 4

25 Regarding credit job family, how much amounts will be paid per a year as stipend
for those who get through Level I, Level II and Level II (S) certification courses
respectively for period during which an officer works in a credit-related assignment ?
a) 18000/-, 60,000/-, 72,000/- b) 10,000/-, 20,000/-, 30,000/-
c) 25,000/-, 50,000/-, 1,00,000/- d) None
26 The one-time honorarium payable to officials on completing Level I, Level II and

Level II (S) certification courses respectively are
a) 5,000/-, 15,000/-,25,000/- b) 5,000/-, 15,000/-, 15,000/-
c) 5,000/-, 10,000/-, 20,000/- d) 5,000/-, 5000/-, 5000/-
27 The term Dependent means a person whose income exceeds Rs. ___ per month
a) 3500/- b) 7000/-
c) 5000/- d) 10000/-
28. A married female employee may include ____ under the definition of family.
a) Her parents wholly dependent b) Her in-law wholly dependent on her

on her
c) Both a) and b) d) either a) or b)
29 Regarding sanction of agricultural advances to staff members, which of the

following is / are true ?
I. The proposal can be considered if the employee is the co-owner of the land
II. The other co-owners or some of them are major and they can independently
carry out the agricultural operations
III. Prior permission from the controllers is required
IV. Other family members may depend on employee for agricultural operations
a) All of the above b) I, ii, iii
c) I, ii d) Our employees can't be sanctioned

agricultural advances
30 In case of education loans to the wards of staff members, who is the sanctioning
authority ?
a) Controller b) BM with the permission of controllers
c) As in case of education loans d) None of these

being sanctioned to public

31 In case of education loans to the wards to staff members, which of the following
concession(s) is / are available ?
a) Concession of 0.50% offered b) Incentive of 1% in rate of interest for

to girl students regularly service the interest during the
moratorium period
c) Both a) & b) d) Both are not available
32 In case of staff loans, the rate of interest from the date of death to date of closure of
the same is
a) SB rate b) 1% above SB rate
c) Wiaved iif such loans are d) Actual contracted rate

closed within 3 months from
the date of death out of
retirement benefits
33 In case of loans against NSCs, KVPs, being sanctioned to employees, margin is
a) 5.00% b) 10.00%
c) 15.00% d) 35.00%
34 Gold loans being sanctioned to staff members for housing, repayment period is
a) 30 M b) 36M
c) 100 M d) 360 M
35 In case of staff vehicle loans, if the vehicle is not purchased and hypothecated
within ___ from the date of execution of the document, the total principal and
interest as per the agreement will immediately become due and payable.
36 In case of IHL to supervising, the limit is 60 lacs for all officer upto scale
a) III b) V
c) TEGS VII d) For all

37 Under IHL to staff members, rate of interest for limits beyond 40 lac is
a) 6.75% simple b) 6.75% monthly compounding
c) 8% simple d) 8% monthly compounding
38 In case of IHL to staff, repayment can be made upto 75 years of the staff member
concerned. This is applicable only in case of
a) Normal retirement only b) Normal retirement / resignation /

voluntary retirement only
c) Normal retirement / resignation d) None

/ voluntary / dismissed
39 Regarding granting of extension of service, the case of officer will be reviewed at

first stage
a) Whenever he completes 30 b) Whenever he attains 55 years of age

years of service
d) Whenever he attains of 60 d) a) or b) whichever comes first

years of age
40 Without any extensions, according to S 16(1) of OSR, an officer retires
a) Whenever he attains 60 years b) Whenever he completes 30 years of

of age service
c) Whenever he completes 30 d) a) or b) or c) whichever comes first

years of pensionable service if
he is a member of pension
fund
41 On occasions of marriages, funerals or any religious occasions, an officer may

accept gift. But he will have to report to the competent authority if the value of the
gift received from the friends, who are not obliged to the Bank, exceeds
a) 500/- b) 200/-
c) 75/- d) 250/-
42 Without any sanction, an officer shall not accept any gift the value of which exceeds
a) 75/- b) 250/-
c) 200/- d) 300/-

43 Normally, if any officer accepts a gift from a person who is obliged to the Bank, the
value of such gift should not exceed
a) 500/- b) 250/-
c) 75/- d) Such gifts can't be accepted
44 What is the cost ceiling of the memento which can be provided to officer in SMG at
the time of retirement ?
a) 6500/- b) 15000/-
c) 10000/- d) 7500/-
45 In case of vehicle loans to staff members, the minimum service required for officers
and award staff will be
a) 5 years of confirmed service b) Confirmed officers & 5 years of aggregate

for both service for clerical cadre
c) Confirmed officers & 5 years of d) Confirmed officers & 3 years of confirmed

confirmed service for clerical service for clerical cadre
cadre
KEY TO MCQs ON HR AND SUPERVISORY RESPONSIBILITIES
1 d 2 d 3 b 4 d 5 a 6 d 7 d 8 d 9 a 10 d
11 12d d 13 d 14 d 15 d 16 d 17 b 18 a 19 d 20 d
21 c 22 c 23 a 24 d 25 a 26 b 27 d 28 d 29 b 30 c
31 a 32 c 33 c 34 c 35 c 36 b 37 c 38 a 39 d 40 d
41 b 42 a 43 d 44 c 45 b

LETTER WRITING-TIPS
Let the letter be to the point and not lengthy.
Let the letter be in simple English, it is not a literary work.
Let there be clarity and readable. It shall get the same meaning and
no necessity for interpretation.
Let the letter be understand by everybody who reading it.
Follow the organizational pattern. Each organization may have its own
pattern.
The recommendation shall be complete and not half heartedly.
I) In Banks Letters we need to write for official purpose are generally of Five
Types:
A) Business Letter: A business letter (or formal letter) is a formal way of

communicating between two or more parties. There are many different uses
and business letters. Business letters can be informational, persuasive,
motivational, or promotional. Business letters should be typed and printed out
on standard A-4 white paper. In general a business letter correspondence in
banks to give the required information is furnished or sought for. This included
covering letters (forwarding enclosures, data submission, leave letters, returns,
applications for various requests, sanctions etc.), furnishing required
information by controllers/other offices (including our branches, govt.
departments etc.), to customers furnishing the information sought by them or
asking some queries/ complaints of not so serious nature
/information/clarifications or Notices for recovery of dues etc.
B) Demi Official Letter:
This is more or less a personalized letter, where in, if a particular issue has to
be brought to the notice of a particular person when DO letter is written. While
replying a DO letter received also, a DO letter will generally be written. The
following are some of the information regarding a DO letter.
This form is generally used in correspondence between Officers to

supplement or explain matter which has been referred officially or is
proposed to be referred officially. Demi-official correspondence may also
be used in cases of extreme secrecy, where it is considered necessary to
run no risk and in certain classes of personal questions, and occasionally
in cases of urgency or importance for inviting the personal attention of the
Officer concerned.
It is to be written in the first person in a personal and friendly tone and it

should be addressed by an Officer who is ordinarily not more than one or
two levels below the Officer to whom such communication is addressed.
Such letters should not be more than a page or two in 1.5 space. If

detailed facts and figures are required to be communicated, it should be
sent as an annexure to the D. O. letter.
D.O. correspondence should not be quoted in official communications or

be noticed officially in any way. D.O. letters should be drafted by Branch
Officers and above only and drafts should not be put up by the Section.
C. Inter-departmental note: This form is generally used for obtaining advice,

approval, permission, views, concurrence or comments of other
Divisions/Sections or Departments on a proposal or in seeking clarification of the
existing rules, instructions, etc. This form can be used in either of the following
ways:- (a) by sending the file by sending the file itself with a note recorded
thereon; or (b) by sending a self-contained note or memorandum.
D. Memorandum: This is used for conveying information, calling for explanation,

etc. not amounting to an order to subordinate authorities. This system is
particularly applicable to urgent cases. Where the information conveyed is in
continuation/supersession of earlier information, such previous memoranda may
be referred to in the margin under the heading. In this context also read the
earlier communications as under:
(i) Ref. No. _________________Dated_________________

(ii) Ref. No. _________________ Dated _____________etc.
This will ensure that these earlier communications are also read, if required, by
those concerned.
E. Office order: This form is normally used for issuing instructions meant for
internal administration, e.g., grant of regular leave, distribution of work among
officers and sections, holidays and other orders of general nature.
Elements of a Good Letter: The most important element of writing a good letter is
your ability to identify and write to your audience. If you are addressing your letter to the
controller, avoid using highly technical terms that only engineers would understand.
The next element is that you make sure your present your objective in
a clear and concise manner. Don't be vague about your objective, most
people will not have the patience to sit there and guess at the meaning
of your letter or the time to read a long-winded letter, just get to the
point without going into unnecessary details.
Another important element to remember is to remain professional.
Even if you are writing a reply to a complaint letter, remain polite and
courteous, simply state the solution to the problem(s) along with any
other relevant information and be sure to avoid threats and slander.

Letter Heading: The style and content starts with the letter headings - the address;
Formal/ business letters. In our bank the letter head is its logo and office address in
pre- printed on the left hand side of the page: Business address, email, Fax & telephone
details etc. (left-aligned). Top right Hand side corner: Date & Reference No. ( Right &
Left -aligned). Then the recipients (Customers) title, name and address on Right Hand
side (left-aligned). Sometimes the recipients name and address is mentioned on the top
right hand side corner ( opposite side of the your business address) (Right-aligned).
The Salutation : It should be Dear Sir/Madam followed by comma.
Subject: this should be below the salutation It should convey the matter on which the
letter is being written/ department to which it pertains ( eg: Staff: supervising/fixed
assets/complaint/Audit etc.) - in brief and in capital letters duly underlining.
The Three Paragraphs : All letters should have a minimum of three paragraphs:
o Opening Paragraph - reason for writing

o Middle Paragraph - the Body or the Main Text
o Closing Paragraph Conclusion what exactly you require in case you are writing to
an official seeking sanction/approval etc.
Look forward to hearing from you in case you are looking forward for some
favour/cooperation etc.
Assuring your best services in case you are writing a letter to a customer of
your branch.
Regretting for some lapse/inconvenience caused followed by assuring your
best services herein after in case of addressing a complaint from your
customer etc.
Closing the Letter: Thanking you or Regards or both depending on the

circumstances. Below this yours faithfully followed by signature and below the
signature ( In exams we need to write XXX or ABC etc.) your Name within the brackets
in capital letters.
Please note that in our bank we follow the style of starting all the paragraphs including
salutation, subject, closing words like thanking you/yours faithfully etc. from the left hand
side without leaving any gap i.e. from the beginning (left-aligned).
Demi-official letters/do letters :
On the top left hand side of the page : Your Name ( in exam you cannot write
your name you need to mention XXX or ABC etc.) Designation, Business
address, email, Fax & telephone details etc.
Top right Hand side corner: Date & Reference No.
The recipients (Customers) title, name and address on Left Hand side.
Sometimes the recipients name and address is mentioned on the bottom left
hand side after your signature.

The Salutation: It should be Dear Shree/Mr./ Respected Shree /Madam
depending on to whom you are addressing - followed by Greetings/Namaste in
the very next paragraph.
Subject: this should be below the salutation.
Closing the Letter: Thanking you or With Regards or both depending on the
circumstances. Below this yours sincerely followed by signature and below the
signature your Name within the brackets in capital letters.
All other things are common as that of formal letter. In DO letters we use First
person i.e. I instead of WE.
Other Important Points:
Check your Spelling, Punctuation and Grammar.

Always use simple language and simple sentences.
Be brief and do not write unnecessary/irrelevant things.
Correct punctuation is important in order to create the correct Professional
image
Always start a paragraph with a CAPITAL letter
Always use a CAPITAL letter following a full stop
When writing always leave 1 space after a comma and after a full stop.
Yours sincerely - faithfully, sincerely etc. should always be in lower case, the
word Yours starts with a capital letter.
Remember:
Decide the Type of Letter required whether the letter is to be formal or informal
and to whom youre writing your letter.
Ensure all relevant and important details are included in the Heading. The
purpose of your letter should very briefly appear in the heading / Subject.
Remember the 3 Paragraph Format
Follow the Layout rules when writing a business letter All paragraphs,
salutation, subject, yours faithfully, Signature etc. should start from the left hand
side without leaving any gap in the beginning (left-aligned).
Refer to the tips on Spelling, Punctuation and Grammar
Branch Level Correspondence:
Submission of required information :Nil report

Forwarding letter for submission of any statement or information
Letter regarding transfer of staff
Officer order for a special meeting at branch
Covering letter regarding returning draft or IOI
Invitation regarding a customer relations programme on account of deposit
mobilization.
Status report regarding NPA and suit filed account
Forwarding letter for any enclosure being sent to the controller.
Correspondence based on a specific situation to customer
Correspondence based on a specific situation to vendor
Correspondence based on a specific situation to govt. department

Correspondence based on a specific situation to public utility office.
Model situations:
Write a forwarding letter for submission of any statement or information regarding

NPA follow up of top 10 NPA of your Branch.
Being a Br. Manager, issue an office order for special meeting at your branch on
issues relating to post P-review meeting.
Write a letter to your customer to invite regarding customer relations programme
on account of deposit mobilsation.
Write a letter to depute one of your staff member to other branch.
Write a letter to your controller to take approval for disposing of obsolete items
lying idle in your branch for the reasons mentioned below.
You are a Br. Manager of Scale III incumbency reported recently. You found
that all old obsolete stationary, computers and furniture are lying in the second
floor. The second floor of the premises is an abandon place since years
together. It is not needed at all considering even the future requirement. The
book values of these assets are zero. You are paying monthly rent of Rs.50000/-
considering the space. The space can be utilized by CPCs or any administrative
office purpose. You also find that an NGO intends to conduct free computer
education programme in a village serviced by the bank. NGO is ready to use the
computers and furniture by convert them in such a way they can use it. Please
write a letter to the appropriate authority recommending donating the old
computers and furniture and also inform that the space may be better utilized.
Write a forwarding letter for submission of any statement or information regarding

NPA follow up of top 10 NPA of your Branch.

State Bank of India
Branch: SBLC Hyderabad
The Asst. General Manager,
State Bank of India,
Region:
Zonal Office
Ref.ZO Date:
Dear Sir/Madam,
LIST OF TOP 10 NPA ACCOUNTS DETAILS
With reference to your Letter No. ______________ dated ________________ we

forward herewith the above return as required by you.
Yours faithfully,
Branch Manager.
Being a Br. Manager, issue an office order for special meeting at your
branch on issues relating to post P-review meeting.
Office order for a special meeting at branch
Subject: POST P-REVIEW MEETING
All staff members are hereby advised that Branch Manager Sri.
__________________ will discuss important points regarding customer
service/deposit mobilization/ office discipline (any other subject) with the staff at
____________ p.m. today /tomorrow in conference hall/ BM cabin.
Branch Manager.

Write a letter to your customer to invite regarding customer relations
programme on account of deposit mobilsation
State Bank of India

Sri/Smt
H.No. ..
Street No.
City
PIN
Ref.ZO Date:
Dear Sir/Madam,
INVITATION: CUSTOMER RELATION PROGRAMME -

DEPOSIT MOBILISATION CAMPAIGN
We are very happy to inform you that we have arranged a Customer Relations
Programme in our office/branch on _______________ at ______________ p.m.
a.m. morning/ afternoon/ evening. Our Asst. General Manager Sri. ___________
will grace the occasion and meet our valued customers.
You are cordially invited on this occasion.
Yours faithfully,
Branch Manager.

Write a letter to depute one of your staff members to other branch.
State Bank of India

The Branch Manager,
.. Branch,
City .
PIN ..
Ref.ZO Date:
Dear Sir/Madam,
STAFF SUPERWISING/AWARD MR/MRS : DEPUTATION
Under instructions from our controlling authority Mr./Mrs. _____________________ is

hereby deputed to your Branch _____________.
The official PF No. _________ and sign as under.
Signature of the official: Attested by:
Yours faithfully,
Branch Manager.
Copy to:
1. The Asst. General Manager, SBI, Region-1/2/3, ZO for information.

2. Mr/Mrs

Write a letter to your controller to take approval for disposing of
obsolete items lying idle in your branch for the reasons mentioned
below.
State Bank of India

Region:
Zonal Office
Ref.ZO Date:
Dear Sir/Madam,
DISPOSAL OF OBSELETE FIXED ASSETS

We found that all old obsolete stationary, computers and furniture are lying in the
second floor. The second floor of the premises is an abandon place since years
together. It is not needed at all considering even the future requirement. The book
values of these assets are zero. We are paying monthly rent of Rs.50000/- considering
the space. The space can be utilized by CPCs or any administrative office purpose.
We find that an NGO intends to conduct free computer education programme in a
village serviced by the bank. NGO is ready to use the computers and furniture by
convert them in such a way they can use it.
In view of the above, we may be permitted to donate the obsolete unused computers
and furniture and sell the stationary to the bank approved vendor. The space available
in the second floor maybe utilized effectively by Bank for housing Clearing CPC or make
use of the same in some other way.
Yours faithfully,
Branch Manager.

A Term deposit favoring Mr. Deceased for Rs.100,000/- is due for payment next weak.
The deposit account has nomination in favor of Mr. Nominee. Today, you have received
a notice from an advocate of Mr. Claimant, claiming to be the son of the deceased. The
notice advises you to stop payment to the nominee, as the deposit belongs to the Joint
Hindu Family of the deceased. Please write a suitable reply.
State Bank of India

To
Shri .Advocate,
H.No.1308, Regent Park,
Gachibowly
HYDERABAD 500 001
Ref.No. MIS Date:
Dear Sir,
TERM DEPOSIT IN THE NAME OF Mr. DECEASED
With reference to your letter dated .., we have to advise as under. We have been
received an application for claim the deceased term deposit by Mr. Nominee, who is
the nominee of the captioned deposit that the depositor Mr. Deceased has expired on
date
In terms of Nomination Rule under Section 45ZA of the Banking Regulation Act, the
Bank has to make payment of the deposit to the nominee. On our verification of the
records, we confirm that the fixed deposit stands in the individual name of the depositor
who had made a valid nomination under the above Section. According to your notice on
behalf of your client, the deposit belongs to the joint family and not to the deceased in
his individual capacity is a matter to be settled between him and the nominee. The Bank
is not part with the said dispute. The Bank is under an obligation to pay the amount to
the nominee. Unless therefore an order issued by a competent court restraining
payment to the nominee is served on us. In view of the above we will pay to Mr.
Nominee without any further reference to you.
Yours faithfully,
Branch Manager.

COMPREHENSION
Exercise-I
Directions: Four alternatives a, b, c and d are given under each sentence; you are
required to select the most suitable alternative to fill in the blanks in the sentence
to make it meaningful.
1. The volcanic................was the cause of great devastation.

(a) outburst (b) eruption (c) erosion (d) movement
2. As a result of................many unsuitable candidates were selected for the posts.

(a) tolerance (b) favouritism (c) humility (d) weakness
3. After a recent mild paralytic attack his movements are................restricted,

otherwise he
is still very active. (a) entirely (b) nowhere (c) not (d) slightly
4. Every candidate has to poll a minimum number of votes in order to avoid................

of his security. (a) penalty (b) cancellation (c) forfeiture (d) loss
5. My friend says that he drinks tea because it is the best................in the world.
(a) fluid (b) drink (c) beverage (d) liquid
6. My mother upset the kettle of boiling water and................her right hand badly.
(a) wounded (b) sizzled (c) scorched (d) scalded
7. The government is confident that the standard of living will begin to ................again
soon.
(a) revive (b) lift (c) flourish (d) rise
8. It is becoming more and more................that the principal is losing the confidence of

his staff.
(a) prominent (b) conspicuous (c) manifest (d) apparent
9. Hindus believe that................from the cycle of birth and rebirth can be attained only
by good deeds.
(a) bondage (b) deliverance (c) delivery (d) retirement
10. A politicians speech must be read................the lines, it may have a double...... .

(a) behind; edge (b) between; meaning (c) among; ends (d) beyond; face
11. Contemporary economic development differs................from the industrial

Revolution of the 19th century.
(a) naturally (b) usually (c) literally (d) markedly

12. ................eye-witness, the news reporter gave a graphic description of how fire
broke out. (a) reporting (b) observing (c) seeing (d) quoting
13. I will come tomorrow................I hear to the.......... .

(a) unless; contrary (b) until; contradictory (c) except; oppose (d) despite; otherwise
14. Only..........people are.........after death.

(a) vicious; condemned (b) virile; forgotten
(c) virtuous; remembered (d) virulent; glorified
15. In one election after another, officers have been guilty of serious................of duty.
(a) dereliction (b) carelessness (c) lapses (d) abandoning
16. It is very unfortunate that the two communities which were so friendly till recently
are now ...
(a) unfriendly (b) at daggers drawn (c) hostile (d) unhappy
17. He is like a body without a soul, an eye without light or a flower without................ .
(a) smell (b) fragrance (c) petal (d) colour
18. The deputy Manager................to resign because all his proposals were.........
down by his
superiors.
(a) offered; thrown (b) gave;held (c) began; kept (d) willing; knocked
19. The birth of a daughter is no more a/an......occasion because education has .......
the people.
(a) magnificent; liberalized (b) benign; esteemed
(c) ominous; enlightened (d) propitous; blinded
20. The police was at last able to ........the ....... of her disappearance from her
husbands home.
(a) reveal; secret (b) expose; mystery (c) confirm; doubt (d) solve; mystery
21. I am not................about your success because your........ approach to study is

disappointing.
(a) despaired; irresolute (b) hopeful; regular
(c) optimistic; perfunctory (d) happy; reckless
22. The war..........immediately after the ceasefire proposal was......... bilaterally.

(a) receded; exchanged (b) started; prepared
(c) ended; accepted (d) extended; mitigated

23. Neenas plea for...........fell on deaf ears as her husband was not......... enough to
overtook her minor omission.
(a) clemency; gracious (b) mercy; unkind
(c) forgiveness; pardonable (d) apology; forgivable
24. The attempt of the robbers was................because the travellers showed

enough........
(a) foiled; fortitude (b) encouraged; cowardice
(c) averted; far sight (d) checked; foresight
25. In a changing and ................unstructured business environment, creativity and

innovation are being........ demanded of executives.
(a) excessively; rapidly (b) highly; extremely (c) increasingly; rapidly
(d) progressively; increasingly
Exercise-II
A Close look at the facts relating to political interference in administration shows that it
is not a one-way process. There is often a nexus between power hungry and corrupt
politicians and civil servants with convenient principles. Many civil servants are only too
anxious to oblige the politicians, and then cash the obligation when they need some
special favour. So the attitude of self-righteousness adopted by the civil service is
sometimes only a way of covering their own flaws by blaming others.Every now and
then some retired civil servants come out with his memoirs, painting a glorious picture of
the heights of administrative efficiency reached during his reign. There is often the
suggestion that had there not been so much political interference, things would have
been even more fantastic. It is not unusual for the self styled hero to blame not only
interfering politicians but also fellow civil servants who are idiots or crooks, for his
failures. This attitude of smug self-satisfaction is, unfortunately, developed during the
years of service. Self preservation rather than service is encouraged by our whole
system of rules and procedures. The remedy has to be drastic and quickly effective.
The over protection now granted to civil servants must end. Today to remove an erring
civil servant is just not possible. And the only thing that the highest authority in the
Government, both in the State and at the Centre, can do is to transfer an official from
one job to another. The rules for taking disciplinary action are so complicated that, in the
end, the defaulting civil servants gets away, and gets his full emoluments even for the
period of the disciplinary proceedings, thus making it a paid holiday for him. The result
is that the administration has become rule-oriented and not result-oriented. Action is
possible against the official who takes some interest in his work, but no action is ever
taken against a person who does not deliver the goods. If the country is to adopt a
result-oriented approach, it is necessary to link Job performance with job retention.
1. The facts relating to the problem of political interference indicate that:

(a) honest bureaucrats are always being troubled by politicians.
(b) politicians are often misled and trapped by civil servants.
(c) politicians and civil servants co-operate to gain mutual advantages.

(d) politicians and civil servants use interference as an excuse for victimizing the
common man.
2. The attitude of self-righteousness adopted by the civil service, according to the

writer:
(a) is not welcomed and supported by politicians.
(b) is dishonest and conceals the facts.
(C) is very difficult to maintain because of opposition.
(d) does not really help the public get fair treatment.
3. Civil servants who write their memoirs after retiring:

(a) claim that they would have achieved outstanding success if interference had not
come in the
way.
(b) prove that constant political interference made it impossible for them to do
anything properly.
(c) complain that the credit for their achievements goes to dishonest politicians.
(d) prove that people of inferior quality in the civil service bring about interference.
4. The existing system of administration seems to encourage civil servants:

(a) to become self-styled heroes and boss over others.
(b) to present a glorious picture of the administration.
(c) to become self-centred and concerned mainly about their own gain.
(d) to become self-righteous and fight back against corrupt politicians.
5. The problem with the present set-up needing urgent action is:
(a) a lack of accountability on the part of civil servants.
(b) a lack of control over the power of politicians.
(c) a neglect of the ideals of self-righteousness.
(d) complicated rules and procedures that greatly reduce efficiency.
6. The main principle of the remedy proposed by the writer is, that:
(a) the politicians should be made accountable for all their decisions.
(b) the high level of protection enjoyed by civil servants should be reduced.
(c) the common mans right to efficient and fair administration must be protected.
(d) rules should be simplified so that there is less scope for misuse.
7. According to existing procedures, if a civil servant is found to be unsuitable or

dishonest:
(a) he can appeal to an authority like the Supreme Court.
(b) politicians with whom he has special links will interfere to help him.
(c) transfering him to another post is the usual action taken.
(d) a conflict between Central Government and State Government interests can arise.

8. The writer refers to a paid holiday to support his argument that:
(a) civil servants get a lot of extra benefits.
(b) disciplinary action is generally not quick or effective.
(c) lazy and inefficient bureaucrats seem to be on holiday even when on duty.
(d) special postings that favoured civil servants are necessary and wasteful.
9. The expression linking job performance with job retention refers to a policy in which:
(a) selection to civil service jobs is on the basis of rigorous performance tests.
(b) selection to civil service jobs is on the basis of rigorous performance and not a
ministers opinion is the basis of transfer or promotion.
(c) retention of good government servants by discouraging their going to private
companies.
(d) continuation in service will depend on satisfactory performance.
10. The expression delivers the goods means:

(a) show good job performance
(b) accept bribes or other illegal favours.
(c) make payments of black money as bribes.
(d) successfully defend oneself against a charge, in a disciplinary inquiry.
Exercise-III
It is a strange that, according to his position in life, an extravagant man is admired or
despised. A successful businessman does nothing to increase his popularity by being
careful with his money. He is expected to display his success, to have smart car, an
expensive life, and to be lavish with his hospitality. If he is not so, he is considered
mean and his reputation in business may even suffer in consequence. The paradox
remains that if he had not been careful with his money in the first place, he would never
have achieved his present wealth. Among the two income groups, a different set of
values exists. The young clerk, who makes his wife a present of a new dress when he
hadnt paid his house rent, is condemned as extravagant. Carefulness with money to
the point of meanness is applauded as a virtue. Nothing in his life is considered more
worthy than paying his bills. The ideal wife for such a man separates her housekeeping
money into joyless little piles- so much for rent, for food, for the childrens shoes; she is
able to face the milkman with equanimity and never knows the guilt of buying something
she cant really afford. As for myself, I fall into neither of these categories.
If I have money to spare, I can be extravagant, but when, as is usually the case, I am
hard up, then I am the meanest man imaginable.
1. In the opinion of the writer, a successful businessman:

(a) is more popular if he appears to be doing nothing.
(b) should not bother about his popularity.
(c) must be extravagant before achieving success.
(d) is expected to have expensive tastes.

2. The phrase lavish with his hospitality signifies:
(a) miserliness in dealing with his friends.
(b) considerateness in spending on guests and strangers.
(c) extravagance in entertaining guests.
(d) indifference in treating his friends and relatives.
3. We understand from the passage that:

(a) all mean people are wealthy
(b) wealthy people are invariably successful.
(c) carefulness generally leads to failure.
(d) thrift may lead to success.
4. It seems that low paid people should:

(a) not pay their bills promptly.
(b) not keep their creditors waiting.
(c) borrow money to meet their essential needs
(d) feel guilty if they overspend
5. The word paradox means:

(a) statement based on facts.
(b) that which brings out the inner meaning.
(c) that which is contrary to received opinion.
(d) statement based on the popular opinion.
6. How does the housewife, described by the writer, feel when she saves money?
(a) is content to be so thrifty.
(b) wishes life were less burdensome.
(c) is still troubled by a sense of guilt.
(d) wishes she could sometimes be extravagant.
7. Which of the following is opposite in meaning to the word applauded in the passage?
(a) Humiliated (b) Decried (c) Cherished (d) Suppressed
8. The statement she is able to face the milkman with equanimity implies that:
(a) she is not upset as she has been paying the milkman his dues regularly.
(b) she loses her nerve at the sight of the milkman who always demands his dues.
(c) she manages to keep cool as she has to pay the milkman who always demands
his dues.
(d) she remains composed and confident as she knows that she can handle the
milkman tactfully.

9. As far as money is concerned, we get the impression that the writer:
(a) is incapable of saving anything (b) is never inclined to be extravagant
(c) would like to be considered extravagant (d) doesnt often have any money to
save.
10. Which of the following would be the most suitable title for the passage?
(a) Extravagance leads to poverty (b) Miserly habits of the poor.
(c) Extravagance in the life of the rich and the poor.
(d) Extravagance is always condemnable.
EXERCISE-IV
Now the question arises, what is the secret of the longevity and imperishability of Indian
culture? Why is it that such great empires and nations is Babylion, Assyria, Greece,
Rome and Persia, could not last more than the footprints of a camel m the shifting
sands of the desert, while India which faced the same ups and downs, the same mighty
and cruel hand of time, is still alive and with the same halo of glory and splendour ? The
answer is given by Prof. J. B. Pratt of America. According to him Hindu religion is the
only religion in the world which is 'self-perpetuating and self-renewing.' Unlike other
religions 'not death, but development' has been the fate of Hinduism. Not only Hindu
religion but the whole culture of the Hindus has been growing changing and developing
in accordance with the needs of time and circumstance without losing its essential and
imperishable spirit. The culture of the vedic ages, of the ages of the Upanishads, the
philosophical systems, the Mahabharata, the Smirities, the Puranas, the commentators,
the medieval ^aints and of the age of the modern reformers is the same in Spirit and yet
very different in form. Its basic principles are so broad based that they can be adapted
to almost any environment of development.
1. The author has compared India with all the following except-
(A) Greece (B)Rome (C)Babylon (D)Assyria (E) Egypt
2. In what respect is India implied to be superior to all other nations and empires?
(A) Material development (B) Cultural advancement
(C) Military strength (D) Territorial expansion (E) Empire building
3. What, according to J. B. Pratt, is the secret of the longevity and imperishability of

Indian culture ?
(A) It has its origin in the remote past (B) It issues from the minds and hearts of
its sages
(C) It is self-perpetuating and self-renewing (D) It is founded on religion
(E) It is founded on morality
4. Which of the following has not been mentioned as a particular period of Indian
culture ?

(A) The Vedic age (B) The age of Upanishads
(C) The age of the Mahabharata (D) The British period
(E) The age of the Puranas
5. What changes has the spirit of Indian culture undergone during its long history right
from the vedic age down to the present times ?
(A) The precedence of moral values was eclipsed at certain periods of time
(B) Materialism was the hall-mark of Indian culture during certain periods of time
(C) During certain periods military development was the be-all and end-all of Indian
culture
(D) There is no such thing as any spirit of Indian culture
(E) The spirit of Indian culture has practically been the same from the ancient times
down to the present
6. What according to the author has always characterized the Hindu religion ?
(A) Development (B) Stagnation
(C) Sometimes development and sometimes stagnation
(D) Lack of moral values (E) 1 Precedence of material over moral values
7. Which other religion has been mentioned in the passage as self-developing and
self-renewing as Hindu religion?
(A) Christianity (B) Islam (C) Buddhism (D) Jainism (E) None of these
8. "Could not last more than the footprints of a camel on the shifting sands of the
desert." What does it mean ?
(A) It lost itself in deserts (B) It was transient (C) It lacked solidity
(D) It was limited only to desert areas (E) It lacked cohesion
9. What is the characteristic quality of the basic principles of Indian culture?

(A) They are static (B) They derive their strength from the genius of the people
(C) They can be adapted almost to any environment of development
(D) They believe in the purity of Indian culture (E) Nothing of these
10. Which of the following may be the best title of the passage?
(A) Unity of Indian Culture (B) Indian Civilization and Culture
(C) Indian Religion and Civilization (D) Characteristics of Indian Culture
(E) Development of Indian Culture
Pick out the most appropriate equivalent (synonym) of the following words
taken from the above passage:
11. Longevity: (A) Living long (B) Diseased life (C) Depressed
spirit
(D) The period of living (E) Misery

12. Shifting: (A) Piercing (B) Penetrating (C) Changing
(D) Mincing (E) Obstructing
13. Ups and downs: (A) Joys and sorrows (B) Weal and woe
(C) Successes and failures (D) Jerks and jolts
(E) Merits and demerits
14. Splendor: (A) Reticence (B) Delight (C) Jubilation

(D) Immortalize (E) Grandeur
15. Perpetuate: (A) Tyrannize (B) Delight (C) Deride

(D) immortalize (E) Confirm
Pick out the most appropriate word exactly opposite in meaning of the following
words taken from the above passage:
16. Last: (A) End (B) Grow (C) Diminish (D) Increase (E) Finish
17. Mighty: (A) Forcible (B) Forceful (C) Weak (D) Tough (E) Haughty
18. Glory: (A) Splendour (B) Notoriety (C) Fame (D) Reputation (E)
Debasement
19. Development: (A) Retardation (B) Retrogression (C) Transgression

(D) Progress (E) Impecunity
20. Modern: (A) Up-date (B) Recent (C) Cast (D) Ancient (E) Old

EXERCISE-V
What is immediately needed today is the establishment of a World Government or an
International Federation of Mankind. It is the utmost necessity of the world today, and all
those persons who wish to see all human beings happy and prosperous naturally feel it
keenly. Of course, at times, we all feel that many of our problems of our political, social
and cultural life would come to an end if there were one Government all over the world.
Travellers, businessmen, seekers of knowledge and teachers of righteousness know
very well that great impediments and obstructions are faced by them when they pass
from one country to another, exchange goods, get informa-tion, and make an effort to
spread their good gospel among their fellow-men. In the past religious sects divided one
set of people against another, colour of the skin or construction of the body set one
against the other. But today when philosophical light has exploded the darkness that
was created by religious differences, and when scientific knowledge has falsified the
theory of social superiority and when modern inventions have enabled human beings of
all religious views and of all races and colours to come in frequent contact with one
another, it is the governments of various countries that keep people of one country apart
from those of another. They create artificial barriers, unnatural distinctions, unhealthy
isola-tion, unnecessary fears and dangers in the minds of the common men who by
their nature want to live in friendship with their fellow-men. But all these evils would
cease to exist if there were one Government all over the world.
1. What is the urgent need of the world today?

(A) The establishment of an international economic order
(B) The establishment of a world government
(C) The creation of a cultured international social order
(D) The raising of an international spiritual army
(E) The development of healthy relations among the various countries of the world
2. The people who face impediments and obstructions when they pass from one
country
to another and do a lot of good jobs are all the following except:
(A) Travellers (B) Businessmen (C) Seekers of knowledge
(D) Teachers of righteousness (E) Empire builders
3. In the past religious sects :

(A) United the people with one another
(B) Divided one set of people from another
(C) Did a good job by way of spreading message of love and peace
(D) Interfered in political affairs (E) Kept away from political affairs
4. What was the factor that set one man against another ?
(A) Material prosperity of certain people in the midst of grinding poverty
(B) Superior physical strength of some persons
(C) Colour of the skin or construction of the body
(D) Some people being educated and other illiterate (E) Psychological barriers
5. The theory of racial superiority stands falsi fied today by:

(A) Scientific knowledge
(B) The ascendancy of a people who were here-tofore considered of inferior racial
stock
(C) The achievements of the so-calledinferior races in every field of life
(D) The precedence given to physical prowess which the so-called inferior races
possess
and the so-called superior races lack
(E) None of the above factors
6. What will the world Government be expected to do?

(A) It will bring about universal happiness and prosperity
(B) It will end all wars for all time to come
(C) It will bring about a moral regeneration of mankind
(D) It will kill the satan that is in man
(E) It will arrange for interplanetary contacts
7. Which of the following problems has not been mentioned in the passage as likely to
be solved with the establishment of world Government?
(A) Social problems (B) Political problems (C) Cultural problems
(D) Economic problems (E) None of these
8. What or what divide/divides people of one country against another?

(A) Different religions. (B) Different languages.
(C) Different social and political systems of different people.
(D) Material advancement of a few nations with imperialistic leanings.
(E) Government of various countries.
9. What does the government of various countries do to keep people of one country
apart
from those of another?
(A) They create artificial barriers. (B) They create unnatural distinctions.
(C) They foster unhealthy isolation.
(D) They create unnecessary fears and dangers in the minds of the people.
(E) All of them.
10. The most appropriate title of the above passage may be:
(A) The Evils Nurtured by National Governments.
(B) The Unity of the World. (C) The Need of World Government.
(D) The Role of Religion in the Modern Times.
(E) Explosion of the Theory of Racial Superiority.
Pick out the most appropriate equivalent (synonym) of the following words taken
from the above passage:
11. Establishment: (A) Placement (B) Foundation (C) Installation

(D) Evolution (E) Development
12. Necessity : (A) Requirement (B) Want (C) Desire (D) Lack (E)
Privation
13. Righteousness : (A) Rectitude (B) Religiosity (C) Requirement

(D) Scrupulousness (E) Exactitude
14. Artificial: (A) Man-made (B) Un-natural (C) Supernatural
(D) Machine made (E) Designed
15. Isolation: (A) Seclusion (B) Separation (C) Antagonism (D) Disruption
Pick out the most appropriate word exa opposite in meaning (antonym) of the
following, words taken from the above passage:
16. Prosperous: (A) Adverse (B) Advanced (C) Retarded (D) Impecunious
(E) Affluent
17. Impediments: (A) Handicaps (B) Obstacles (C) Obstructions
(D) Hindrances (E) Promoters
18. Divided: (A) United (B) Unified (C) Dignified (D) Separated
(E) Isolated
19. Differences : (A) Resemblances (B)
Discriminations(C) Similarities
(D) Dissimilarities (E) Agreement
20. Superiority : (A) Seniority (B) Juniority (C) Inferiority (D) Urbanity (E)
Posteriority
EXERCISE-VI
One of the main reasons of corruption in elections today is the lure of power which
haunts the politicians so much that they feel no qualms of conscience in adopting any
underhand method to come out successful. The Watergate Scandal in the U.S.A. is an
eloquent example to testify to the fact how even the top level politicians can stoop to the
lowest level in order to maintain themselves in power. Who does not remember how
Adolf Hitler rode roughshod overall canons of electoral pro-priety to capture power? In
India also the record of the various political parties is not clean. Corruption thrives in
elections because those in the field play on the psychology of the electorate. The voters
are swayed by the tall promises of the candidates to whose machinations they fall an
easy prey. They are also susceptible to fall an easy prey to the adulations of the
politicians due to their illiteracy.
Besides, in the representative democracies today and particularly in big countries the
constituencies are quite extensive obviating the possibility of corrupt practices being
discovered. Anti-corruption laws are honored more in their breach than in their
observance. Even the code of conduct to be observed by the parties fighting the
elections becomes a dead letter in as much as it is jettisoned out of existence and
thrown unscrupulously over board by the unfair politicians whose only aim is to maintain
themselves in the saddle.

1. The politicians indulge in corruption in elections now-a-days because :
(A) Of lure of power (B) Lure of money (C) Elections can be won only by
corrupt means
(D) Corrupt practices in elections go un noticed (E) Morality in it is a discount in
every field
of life today
2. Which example of the U.S.A. testifies to the fact that even the top level people can
stoop
very low in order to maintain themselves in power?
(A) The New Deal (B) The Watergate Scandal (C) The Philadelphia Contract
(D) The Washington Agreement (E) None of these
3. Adolf Hitler came to power:

(A) As a result of bungling in elections (B) By liquidating any semblance of
opposition
(C) By organising a mass movement (D) With foreign help (E) By
conquest
4. How does corruption thrive in elections?

(A) The people themselves are corrupt (B) A sizable part of the society is
corrupt
(C) There is natural connection between elections and corruption
(D) The politicians exploit the electorate psychologically
(E) The politicians cheat the electorate economically
5. Why according to the writer do the voters fall an easy prey to the machinations of
the politicians ?
(A) They want to self their votes because of poverty
(B) They are illiterate and do not understand what designs the politicians have at
the
back of their tall promises
(C) They are coward and submit to the threats of physical violence held out by the
cronies of the politicians
(D) They are totally indifferent to what happens on the political horizon
(E) They have no political knowledge worth the name
6. Why according to the writer, do the corrupt practices indulged in elections go

unnoticed?
(A) Because nobody is interested in discovering corrupt practices
(B) Because vested interests shield those who indulge in corrupt practices
(C) Because constituencies are so small that the politicians take the electorate,
whose number is very limited, into confidence
(D) Because the law enforcing authorities themselves are in collusion with the
politicians
(E) Because the constituencies are so big that it becomes difficult to discover the
Corrupt practices

7. What happens to the anti-corruption laws?
(A) There is actually no such things as anti-corruption laws
(B) Anti-corruption laws are certainly honoured but in a limited way
(C) Anti-corruption laws are honoured more in their breach than in their observance
(D) The Government does not want to enforce anti-corruption laws
(E) Anti-corruption laws are simply an eye wash just to hoodwink the masses
8. What happens to the code of conduct?

(A) It is not observed at all (B) It is observed only in a very limited way
(C) It is prepared in such a way that it leaves loop holes for the practice of
corruption in elections
(D) The machinery devised to enforce the code of conduct is defective
(E) There is no such thing as code of conduct
9. 'To maintain themselves in the saddle' means :

(A) To remain in state of preparedness
(B) To be ready to run whenever danger is apprehended
(C) To retain power in their hands by continuing in office
(D) To play an unfair game (E) To oust the opposition at every cost
10. Which one of the following may be the most appropriate title to the above passage
?
(A) Corruption in Public Life (B) Corruption in High Places
(C) Politicians Game of Power (D) Elections and Corruption
(E) The True Character of a Politician
Pick out the most appropriate equivalent (synonym) of the following words taken
from the above passage :
11. Lure: (A) Attraction (B) Repulsion (C) Resistance (D) Allergy (E)
Alacrity
12. Eloquent: (A) Tiamboyant (B) Dim (C) Dazzling (D) Out spoken (E)
Fluent
13. Stoop: (A) To bend (B) To yield to temptation (C) To injure (D)To inure (E) To
adapt
14. Thrives: (A) Prospers (B) Progresses (C) Promotes (D) Fosters (E) Forges
15. Observance: (A) Inspection (B) Supervision (C) Compliance

(D) Comprehension (E) None of these
Pick out the most appropriate word exactly opposite in meaning (antonym) of the
following words taken from the above passage:

16. Haunts: (A) Permeates (B) Includes (C) Repels (D) Attracts (E)
Invigorates
17. Underhand: (A) Hidden (B) Surreptitious (C) Obscure (D) Exposed
(E) Open
18. Testify: (A) Falsify (B) Evidence (C) Prove (D) Confide
(E) Witness
19. Extensive: (A) Expensive (B) Compact (C) Concrete (D) Abstract (E)
Narrow
20. Discovered: (A) Exposed (B) Obscured (C) Concealed (D) Confided
(E) Contended
KEY TO COMPREHENSION EXERCISES
Answers: Exercise-I
1 B 2 B 3 D 4 C 5 C 6 D 7 D 8 D 9 B 10 B
11 D 12 D 13 A 14 C 15 A 16 B 17 B 18 A 19 C 20 D
21 C 22 C 23 A 24 A 25 D 26 27 28 29 30
Answers for Exercise-II

1 C 2 B 3 A 4 C 5 A 6 B 7 C 8 B 9 D 10 A
Answers for Exercise-III

1 D 2 C 3 D 4 D 5 C 6 A 7 B 8 A 9 D 10 C
ANSWERS FOR EXERCISE-IV

1 E 2 B 3 C 4 D 5 E 6 A 7 E 8 B 9 C 10 D
11 A 12 C 13 C 14 E 15 D 16 A 17 C 18 E 19 B 20 D
ANSWERS FOR EXERCISE-V

1 B 2 E 3 B 4 C 5 A 6 A 7 D 8 E 9 E 10 C
11 C 12 A 13 A 14 A 15 B 16 D 17 B 18 A 19 E 20 C
ANSWERS FOR EXERCISE-VI
1 A 2 B 3 A 4 D 5 B 6 E 7 C 8 A 9 C 10 D
11 B 12 D 13 B 14 A 15 C 16 C 17 E 18 A 19 E 20 C

FOR AND AGAINST PROPOSITIONS FOR SCALE II TO III EXAM:
1. SBI has entered insurance business.

2. Our Bank should not conduct Government business.
3. The head Charges should not be available at branches.
4. Inefficient staff should compulsorily be retired / retrenched.
5. Efficient employees should be rewarded and inefficient employees should be
punished.
6. CRR should be abolished.
7. The names of Banks defaulters should be publicized.
8. New Banks should be floated.
9. 5-day banking should be introduced.
10. Subsidies in the economy should be immediately abolished.
11. Right to work should be made a fundamental right.
12. The nationalized Banks should be privatized.
13. Income tax must be abolished.
14. Mergers and acquisitions should be encouraged.
15. Employees have the fundamental right to strike.
16. Public sector Banks should not be in the ambit of CBI / CVC.
17. Credit cards are ruining the credit culture in the society
18. Incentives should be given to the employees who are involved in recoveries
of NPAs.
19. Banks should introduce performance-linked pay for their staff.
20. Cross selling affects banking business
21. Alternate channels should be encouraged.
22. Number of transactions in SB accounts being done through branches should
be restricted.
23. Loss making branches should be closed.
24. Banks should market housing loans aggressively.
25. Banks should be exempted from the operation of the Limitation Act.

1. SBI has entered insurance business.
For: The insurance sector has lot of potential to be tapped. It is profitable. Our
Banks brand equity, large network will be advantageous to gain reasonable
market share.
Against: This will result in the loss of existing business. Existing customers
coming for other than insurance business will be dissatisfied. Our Bank staff
members are hardly equipped with the required expertise.
2. Our Bank should not conduct Government business.

For: Branches are very much crowded and hence, high value Personal Banking
customers do not prefer to deal with us.
Against: Bank earns sizeable commission on Government business. The Bank
enjoys floating funds on account of Government business. It enables us to have
access to Government employees / officials so that our P segment business will
be increased.
3. The head Charges should not be available at branches.

For: It enables the controllers to have better control over the expenditure of
branches. Better accountability will be established.
Against: Branches have to make expenditure regularly for smooth functioning of
the branches.
4. Inefficient staff should compulsorily be retired / retrenched.

For: It improves the efficiency and profitability of the Bank as well as customer
service. Efficient and enthusiastic staff at lower levels will get chance to get
promoted to higher positions.
Against: It affects the morale of the staff. It will bring in industrial conflict. Large
sums may have to be paid as compensation.
5. Efficient employees should be rewarded and inefficient employees should be

punished.
For: It acts as an incentive to improve profitability.
Against: Ad hoc policies may not have lasting effect as inefficiency has multiple
causes.

6. CRR should be abolished.
For: This enables the Banks to have additional funds which can be profitably
utilized.
Against: CRR enables the Banks to meet depositors demand for cash. It is an
effective tool for RBI to regulate money supply, control inflation.
7. The names of Banks defaulters should be publicized.

For: This enables other Banks to avoid lending to such defaulters. This acts as a
deterrent to the willful defaulters.
Against: Sick units which can be rehabilitated will be affected as their credit
would be damaged by such adverse publicity. The Banking secrecy laws have to
be amended.
8. New Banks should be floated.

For: The existing Banks cant cater to the needs of the total population in India.
New banks will instill competition so that quality of service will improve. New
customer-friendly products will be introduced.
Against: Many of the existing Banks are not performing well and burdened with
NPAs. The prevailing competition, among existing Banks, is already high.
9. 5-day banking should be introduced.

For: Bank employees are already overburdened and more holidays enable them
to get rejuvenated. This enables them to discharge their role better in their
family. Transactions through alternate channels are also increasing.
Against: Banking industry has emerged as an important utility service for the
community and hence, banking services should be available all the time. It may
be difficult for the Banks to beat the competition.
10. Subsidies in the economy should be immediately abolished.

For: It is not fair to tax one section of the society and to provide benefits to
another section. Subsidies became a burden on the economy. Because of the
subsidies, sectors where investment is needed for the development of the
economy, are being affected adversely.
Against: The purchasing power of the poor is very low and hence subsidy for
essential consumer items has to be provided to them. All people are not getting
equal opportunities for development.

11. Right to work should be made a fundamental right.
For: Unemployment among people leads to frustration and poverty. Young
people might be tempted to take to anti-social activities.
Against: Due to lack of resources, Government is not able to provide work to all
the people. It is the duty of every citizen to ensure that he works for himself and
his family.
12. The nationalized Banks should be privatized.

For: Customer service has deteriorated after nationalization. Under private
sector, better accountability would be established. Management control would
also be better.
Against: Priority sector and weaker sections will be affected. Welfare of the
employees will take back seat.
13. Income tax must be abolished.

For: Industry and individuals will have better incentive and motivation to work and
earn and save. This enables the Banks to attract huge sums of deposits.
Against: The Government will lose a substantial source of income so that, to that
extent, welfare schemes and investments needed in important sectors will be
affected.
14. Mergers and acquisitions should be encouraged.

For: Small Banks will find it difficult to manage the risks. It will be easier for
regulators to control the Banks. It is international practice.
Against.: Mere merger will not solve problems like NPAs, unproductive branches
etc. It is difficult to deal with HR issues.
15. Employees have the fundamental right to strike.

For: An individual employee is weak and powerless as against the employer.
Hence strike has emerged as a collective weapon of Labour to protect their
interests against exploitation.
Against: Now, society became dependent on services provided by Labour and
hence, any strike will affect the smooth functioning of society. It may become a
practice by Labour to threaten the employer to satisfy their vested interests.

16. Public sector Banks should not be in the ambit of CBI / CVC.
For: Because of the fear of CBI, credit decisions are being affected. Bank
executives have to take reasonable risks for business growth and development.
Against: Corruption is prevalent in society and Banking transactions are financial
transactions and hence, Bank officials may fall prey to corruption.
17. Credit cards are ruining the credit culture in the society
For: Due to intense competition, due diligence is not being done. Easy availability
of credit and lavish life styles have got the young people debt-trapped. Default
rate will go up.
Against: It is an easy, hassle-free mode of credit dispensation. It is well-
established mode of credit delivery in developed nations.
18. Incentives should be given to the employees who are involved in recoveries of
NPAs.
For: This will give a boost to recovery of NPAs. It serves an incentive to staff.
Against: Other activities like marketing, processing etc. will not get desired
attention. We already have avenues like DRT, ARCs, and SARFAESI Act for
recovery of dues.
19. Banks should introduce performance-linked pay for their staff.

For: This will lead to better performance by each employee. There will be a great
improvement in customer service and business. Uniform salaries have affected
the desired level of productivity.
Against: Productivity will be varying depending upon the technology used,
training imparted, expertise in specific areas. all working conditions are not
uniform for all employees.
20. Cross selling affects banking business

For: The core activities viz., deposits, advances, recovery of NPAs etc. will not be
given desired attention and hence, customer service, to that extent, will be
affected. Bank employees have already been overburdened with the existing
business.
Against: As Banks are viewed as financial supermarkets and hence, all financial
products should be offered by Banks. It is a profitable business.

21. Alternate channels should be encouraged.
For: Transaction cost will be reduced for Bank and therefore, profit will be
increased. Customers can do the transactions on their own without any need to
stand in the long queues for hours together. It is almost impossible to offer all
our services through branches establishment of which will cost the Banks very
much.
Against: As customers will not be approaching branches and hence, it will be
difficult for Banks to have knowledge about the customers needs. Customers
will lose humane touch as they will deal with machines / systems only.
Complaint management system, in case of any hardship faced by customers, is
not fully established.
22. Number of transactions in SB accounts being done through branches should be

restricted.
For: It diverts the customers towards alternate channels so that, transaction cost
will be reduced and thereby, profits will be increased. It enables the branch staff
to concentrate on other activities viz. marketing, recovery of NPAs, book keeping
etc.
Against: Illiterate customers, customers who are not comfortable with alternate
delivery channels will have to pay the cost for approaching branches. Customers
will stop coming to branches and therefore, Banks will not come to know of the
customers needs and accordingly, business will not grow.
23. Loss making branches should be closed.

For: Such branches are a drain on the Banks resources. Their continuance will
further affect the profitability of Banks. Optimum utilization of man power can be
established by shifting them to profit-making branches.
Against: This will affect the morale of the depositors. New strategies should be
evolved to make these branches productive and profit-making.
24. Banks should market housing loans aggressively.

For: It is profitable and highly secured. NPA is negligible.
Against: Interest rates have become very low due to unhealthy competition. As
the volumes have increased, in case the economy enters a bad phase, the salary
earners may not be able to service the loans. Selling of houses mortgaged to the
Bank may be difficult.

25. Banks should be exempted from the operation of the Limitation Act.
For: It will eliminate the need for obtaining revival letters which is a time-
consuming task. Bank staff can concentrate on other profitable activities vizi.
marketing etc.
Against: Bank staff may become complacent and may not contact the customer
for recovery. Legal claims should be asserted within a reasonable time and
cannot be kept alive forever.

RATIONALES:
1. Risk Scoring Models has been implemented for all Personal Segment Loan
schemes
To implement global standards in lending necessitated standardization in credit

disbursal and credit risk management.
Reserve Bank of India has issued guidelines for implementation.
Capital adequacy framework (Basel II) for estimating regulatory capital
requirements for Retail credit portfolios under both the Standardized and
Advanced approaches.
2. In regard to Education Loan, Risk Scoring Mode is not a determinant factor.

Since the scheme has been drawn up as per IBA Model Education Loan
Scheme.
Loan applications cannot be declined based on cut off scores but will be applied
only for determining regulatory capital requirements under Basel II.
3. LOS has been rolled out for SME and AGR segments also.
To ensures process purity & Standardisation to all segments.
To take care of several regulatory requirements.
Is a strong MIS tool
Is a BASEL-II requirement
Ensure that Loan processing and documents can be generated in a standard and
uniform manner.
4. The maximum number of debit entries permitted in Savings Account is 30
per half year.
To encourage the habit of savings.
In order to mobilize stable deposits.
To mobilise low cost funds.
To restrict the free flow of liquid deposits.
5.Small Deposit Accounts is introduced.

To bring under financial inclusion of large number of low income group both in
urban and rural areas who are not able to produce the documents necessary
to satisfy the bank about their identity and address as per the KYC norms.
To minimise the financial exclusion.
6.Signatures of drawers are cancelled after payment of a cheque

To avoid the possibility of double payment being made through an oversight.
To ensure that cheque have been passed correctly and are in order in all
respects.
It also obviates the chances of double payment and helps in prevention of fraud.

7.Gold Ornaments or article in Safe-Deposit should not be delivered
against Secession Certificate.
Succession Certificate applies only to the debts due to the depositor or securities
payable to him/her and not to the articles held in Safe Deposit.
8.Green Remit Card (GRC) is an New Business Initiation from SBI unveiled.
To provide effective service to the Non Home customers (Non SBI Customers)
and to avoid the manual paper documents for Remittance Transaction.
It enables the customers to perform the remittance transactions effectively using
the cards specially provided by the Bank upon submitting or completion of KYC.
This product would enable non-home branch customers to deposit money in a
particular SBI account
To provide hassle free banking facility to non customers.
9.The Business Correspondent Channel is introduced in our bank.
It is serving the Bank in achieving its Financial Inclusion goals, by enabling the
Bank to cover the mandated unbanked villages.
It enabled the Bank to fulfill the Government schemes of disbursement of Govt.
Benefit payments.
10.Online Account Opening is introduced by the bank.

To proved a convenience to the customer through electronic banking channels,
without actually visiting the branch.
To reduce the work load on staff in opening of the account.
To make use of optimum utilisation of Alternate Channel.
11.SME POWER Current Account Variants are introduced.
To cater all levels of business group as we have limited number of products

compared to those being offered by new generation private sector banks.
To fine tune the features of our existing products to make them more competitive.
12..TAB BANKING HAS BEEN INTRODUCED BY OUR BANK.

TAB based account opening facility has been made available by IT Dept, GITC to
enable our officials to open Savings Bank accounts at the premises of the
customers without the need for the customer to visit the branch. The launch of
this tech driven and customer friendly facility will significantly help in reducing
customer footfall at the branches for the purpose of Savings Bank account
opening.

13. PRODUCT PEHLA KADAM AND PEHILI UDAN INTRODUCED.
RBI, vide their circular DBOD.No.Leg.BC.108/09.07.005/2013-14 dated 6th May,
2014 have
issued the instruction on opening of Savings Account for Minors that a. A
Savings /Fixed /Recurring bank deposit account can be opened by a minor of
any age through his/hernatural or legally appointed guardian. In view of this and
to avail the benefit of "catch them young" philosophy our Bank has introduced
feature rich products like Pehla Kadam and Pehli Udaan.
14.. All debits to Suspense, System Suspense and Sundry Deposits
Accounts must be passed by the Branch Manager.
In order to obviate the possibilities of unauthorised payment out of these
sensitive accounts.
15. The vouchers of the branch should be cancelled (by indelible pencils)
by the V.V.R. (Voucher Verification Reports) day book checking official and
thereafter by B.M./Manager of the Division.
In order to ensure that each voucher is signed/passed by an authorised official
within thepassing powers delegated to him and to detect possible
frauds/forgeries, manipulations,etc.
16. Why is review /renewal exercise taken up in the case of working capital
advances?
Review/renewal of working capital advances is one of the major devices for
assessing theactual need-based credit requirements of the borrowing units (i.e.,
it enables the lendingbanker to enhance/reduce/suitably tailor the credit limits). It
is one of the major criteria for assessing credit management in the banks also.
17. Currency Administration Cell has been set up in Currency Chest
Branches?
To keep optimum cash balances at Hand Balance Branches
To relieve the branch managers, cash officers and cashiers at the branch from
time consuming remittance related activities
To provide secured systems in cash remittance process
To improve efficiency levels with respect to reporting and interactions with RBI.
18. KYC Policy & AML measures have been implemented.

To prevent banks from being used, intentionally or unintentionally, by criminal
elements for money laundering or terrorist financing activities
19. Why do we obtain stock statements periodically in case of

hypothecation advances?
To ensure availability of adequate stocks to cover the outstanding in the Account
To arrive at the Drawing Power in the Account
To detect any diversion of fund.
20. DP Notes are not obtained in the case of overdrafts on Current

Accounts.

Request letter incorporating rate of interest and repayment period serves the
purpose as OD is temporary accommodation
21. Guidelines on Pre & Post sanction inspection process at branches of
Non BPR Centre have been revised.
To ensure that both the processes are conducted by different officials
To obviate the possibility of any laxity in these areas by the operating
functionaries leading to deterioration in credit quality
22. Pay-in-slips / withdrawal forms have been redesigned.

To incorporate new features such as home branch, PAN no., Contact no. of the
customer etc.
Post CBS need vis--vis for the convenience of the customer.
23. In-branch cash handling process has been introduced.
To reduce the time spent in handing over and receiving cash amongst cash
department staff members at beginning/close of the day
To facilitate timely beginning of the Customers cash transactions at the start of
the day
24. Cutoff limit for double signature in IOI instruments has been enhanced
from Rs 50,000/- to Rs 1,50,000/- wef 1st Dec 2010.
IOI has sufficient security features to avoid fraud such as it cannot be printed &
delivered without passing necessary accounting entry in the CBS,
Details of IOI may also be verified before authorizing the payment and
Invalid security key (BIAK) can also not be bypassed.
25. Provision for treating the SB account as dormant after one year has been
removed.
It was an extra precaution taken by the Bank for better risk management
RBI does not make any differentiation between dormant and inoperative account
Thus, to align with RBI Guidelines and to have uniformity across the banks, the
instruction has been revised
26. SBI Flexi Deposit Scheme has been introduced.
To cater to the needs of the people who have surplus income and desire to earn
attractive interest with flexibility of increasing the amount
27. Savings Bank A/c of Municipal Corporations or Committees, Panchayat
Samitees, StateHousing Boards, Water & Sewerage Boards, State Text
Book Publishing Corporations orSocieties, Metropolitan Development
Authorities, State /District level Cooperative HousingSocieties etc cant be
opened.
As per RBI directives, Government Departments or Bodies who for performance
of their functions depend on Budgetary Allocations cannot open Savings Bank
Accounts.

28. Instructions regarding Auto renewal of STDR/TDR in exceptional cases
have beenmodified.
To bring uniformity in instructions for Auto renewal of TDR/STDR accounts
withoutaffecting the interests of eventual beneficiary To maintain accurate
calculation and provisioning of Bank's interest liability on thesedeposits
To save on avoidable follow up of entries in Overdue Term deposit Account
29. A DP Note is obtained from the borrower in addition to the ornaments
pledged to the Bank.
In case the outstanding in the loan account exceeds the sales proceeds of the
goldornaments, the bank may sue the borrower for the shortfall on the strength of
DP Not executed by him.
30. SBI YUVA Home Loan has been launched.

To enable the Young Affluent Workforce to bridge the gap between property
price & own fund by offering 20% extra loan than their eligibility
31. PDCs are to be obtained for loans under ATL & GSS beyond Rs.2 lacs.
To improve financial discipline among the borrowers
To improve the recovery performance as Bank may have an additional option to
initiate criminal proceedings against defaulter borrower under sec 138 of NI Act
32. In CBS, if a teller does not log into the system for 15 days or more,
his/her ID is automatically made inactive.
To enhance the logical security of CBS
To obviate the possibility of unauthorized use of a teller absent for 15 or more
days
33. A generic e-payment module named as i-collect has been launched.
To enable CINB enabled Firms / Corporate / Institutions of repute for collection of
funds from the receiver of their goods/services having retail Internet Banking
enabled account with our Bank
This functionality gets enabled after administrative clearance & online
confirmation by the branch and thereafter online authorisation by the designated
official at LHO. . 34.Phone Banking Services introduced.
The customer can request / initiate transactions by calling the Toll / Toll Free
numbers of Contact Centre.
More convenient to the customer, 24 * 7 available and leads to customer delight.
To migrate more and more customers to the Alternate Channel.
To de-clutter the Branches and enable the Branch functionaries to focus on other
business goals.
Retail customers having Savings Bank Account or Current Account operated
either singly or jointly with E or S / Anyone or survivor mode of operation can
register for Phone Banking facility through Branch or ATM.

35. SBI Exclusif services started.
It is a Wealth Management Initiative on a pilot basis launched at Bengaluru Circle
on 14.01.2016.
To retain and also to acquire the premium customer segment by offering a
complete range of financial products and services along with investment advisory
services, which are technology driven, contemporary & comprehensive.
SBI Exclusif services are only available to the Customers who have been signed
up for these services. Customers fulfilling the following eligibility criteria and
resident in India will be approached for on-boarding on the SBI Exclusif program.
36. SBI ASSET BACKED AGRI LOAN( PREMIUM KISAN GOLD CARD )
To capture the business potential of changing Indian Agriculture from
conventional agriculture to commercial agriculture.
To cater the growing requirements of Agri borrowers who need higher amount
and flexible repayment facility.
To provide hassle free credit to farmers who can offer SARFAESI compliant
security.
To enhance agri credit portfolio by financing Emerging and High Tech Agri
activities in meeting short term production and investment credit and to tackle the
problems of high NPAs.
37. SBI STUDENT LOAN SCHEME AND SBI SCHOLAR LOAN SCHEME
MODIFIED
To comply with the Central Governments Credit Guarantee Fund Scheme for
Education Loans (CGFSEL) norms.
To provide hassle free credit to the students to pursue higher education.
Now Education loans can be sanctioned without any security up to Rs.7.50 lakhs
with a longer repayment period up to 15 years from the commencement of
repayment period.
38.. Central KYC Records Registry (CKYCR) started by Government of

India.
CKYCR would receive, store, safeguard and retrieve the KYC records in digital
form of a client.
The KYC records received and stored by the CKYCR could be retrieved online
by any reporting entity across the financial sector for the purpose of establishing
an account based relationship.
The CKYCR data in the specified format to be obtained for all types of products
in the Bank viz all deposit and loan accounts or any other account based
customer acquiring for extending financial services or products to them starting
from 1st January 2016.

39.. Account Opening forms for Individual and Non Individuals has been
revised
I. To comply with the Reserve Bank of India instructions.
II. To capture data relating to FATCA and CRS compliance.
III. To take the declaration from the account holders regarding residence status and
compliance of provisions relating to reporting of applicable accounts to FATCA
and CRS.
IV. New account opening forms are made effective from 01/01/2016.
40. OTMS: PENALTY PROVISION IN RFIA FOR SUBMISSION OF FALSE

/DELAYED COMPLIANCE TO OTMS ALERTS
I. To discourage branches from submitting false / delayed compliance to OTMS
alerts.
II. Negative marks from -2 to -5 can be imposed.
III. To make the branches more responsible in dealing with the OTMS (OFFSITE
TRANSACTION MONITORING SYSTEM) alerts.
41. BACHAT TARA CAMPAIGN: INTRODUCTION OF QUICK WIN

I. For opening High Value Savings Bank accounts through employee referrals.
II. The key objective of the Bachat Tara campaign is to get staff members talking
about Banks SB A/c among their friends, family and encouraging them to open
the accounts.
III. The customer would feel more comfortable that he/she has someone to
IV. assist/clarify any doubts in opening the account.
42.. SUNAHRA BHAVISHYA THE GBU TRIPLE STAR CAMPAIGN

launched
This is an staff incentive based campaign for opening accounts under
PPF,Sukanya Samriddhi Accounts and Pension Accounts. PPF, SSA & Pension
accounts entail long term relationship with the customer, have low maintenance
cost and Bank earns Govt. Commission on each receipt & payment transaction in
these accounts.
Bank shall be able to take the first mover advantage in case of Sukanya
Samriddhi Accounts.
Garner CASA through Pension accounts.

43. JEEVAN PRAMAAN SUBMISSION OF DIGITAL LIFE CERTIFICATE
Government of India, on 10th November 2014 has launched Jeevan Pramaan
an Aadhaar based Digital Life Certificate for pensioners.
Digital Life Certificate submission involves biometric authentication by the
pensioner from remote point and creation of life certificate maintained in digital
repository in NIC.
The entire process is primarily Aadhaar based; digital life certificate submitted by
the pensioner can be authenticated only when pensioners account is seeded
with Aadhaar Number.
To make convenience to the pensioner to submit the life certificate online without
visiting any branch / government department.
44.CDS (PROJCECT SAKSHAM) INTRODUCED.

To ensure HR Transformation.
Comprehencive and focused KRA.
Fair and consistency in appraisal.
Rewards and Incentives to high performers.
Priority for performers in transfers.

MOCK TEST
FOR PROMOTION FROM SCALE I TO II
1 Which of the following accounts do not have auto sweep and reverse
sweep facility?
a) Premium Savings account b) Surabhi Deposit account
c) SAHAJ deposit account d) Corporate Liquid Term Deposit
2 For which of the following POWER accounts the Quarterly Average
Balance is low?
a) SME Power Gain b) SME Power Pack
c) SME Power LIte d) SME Power Base
3 Lock-in period for SBI Tax Savings Scheme 2006 is____
c) 3 years d) 10 years
4 Maximum deposit amount that can be accepted in Flexi Deposit amount
during the year is_____
a) No such restriction b) Rs.50 lacs
c) Rs.5 lacs d) Rs.50000/-
5 Diamond Category account is opened under CSP account if the income
criteria of the employee is in range of___
a) Upto Rs.20000/- b) Rs.20000 to Rs.50000
c) Rs.50000 to Rs.1 lakh d) Above Rs.1 lakh
6 Loan facility is available against which of the following deposit products?
a) Capgains Plus b) CLTD
c) PPF d) Surabhi Deposit account
7 Maximum Deposits that can be accepted in the SB accounts of minors with
guardian is___
a) Rs 50000/- b) Rs100000/-
c) Rs200000/- d) Rs2000000/-
8 What is the limit on Foreign remittance to a SMALL account?
a) No credit of Foreign remittance b) Rs.50,000/- per month
c) Rs.10,000/- per day d) Rs.25,000/- per annum
9 Minimum Resultant Balance to be maintained for Savings Plus account
is____
a) Rs.5,000/- b) Nil
c) Rs.10,000/- d) Rs.25,000/-
10 Which of the following debits are not counted for applying charges in case of
SB account ?
a) Debits raised b) Debits raised through S.I. given
through S.I. given at branch through INB
c) Debits raised through normal d) All of the above
transfer
11 Flexi Deposit is a variant of____
a) Recurring Deposit b) Term Deposit
c) Special Term Deposit d) Savings Bank

12 What is the minimum monthly annuity amount under Annuity Deposit
scheme?
a) Rs.500/- b) Rs.1,000/-
c) Rs.100/ d) Rs.5,000/-
13 Which of the following cannot open SB account?
a) Municipal corporations b) State Housing Boards
c) Water boards d) All of these
14 For which of the following time deposits, advice cant be issued ?
a) Capgains Plus b) SBI Tax savings scheme
c) Advice can be issued for all d) Both a) & b)
products
15 Cash withdrawals upto which amount is available in SBI Cap Gains Plus
account?
a) Rs.25000/- b) Rs.50000/-
c) Cash withdrawals are not d) None of these
allowed
16 Which of the following is correct in respect of SBI Capgains Plus deposit
scheme?
a) Loans against deposit is b) The deposit can be offered as
available at the rate of 90% of collateral security for availing
deposit value plus loans from the
accrued interest Banks
c) Lien can be marked on this d) At the time of final closure of the
deposit for the purpose of account the depositor should bring
granting loans specific authority letter/certificate
from Income Tax Officer
17 What is the maximum amount that can be deposited in SBI Tax Savings
Scheme?
a) Rs.150000/- per year b) Rs.120000/- per year
c) Rs.500000/- per year d) None of these
18 What is the minimum balance to be maintained in FCNR account?
a) USD 500 or equivalent b) USD 5000 or equivalent
c) USD 1000 or equivalent d) None of these
19 What is the benefit offered to senior citizens, staff members and retired staff
members in respect of interest paid on NRE deposits?
a) One per cent above the card b) 0.5% above the cards rates for
rates for staff members and senior citizens
retired staff members
c) There is no benefit by way of d) Both (a) and (b) are correct
increase in rate of interest for
senior citizens,
staff members and retired staff
members
20 What is the interest rate applicable for loan against term deposits?
a) 0.75% above the deposit rate b) 0.50% above the deposit rate
c) 1% above the deposit rate d) None of these

21 What is the eligible EMI/NMI ratio for Home loans for the customers having
NAI of Rs.120,000/-and up to Rs.300,000/-
a) 20% b) 25%
c) 30% d) 40%
22 For adding cost of furnishings / interior to the cost of house/flat, the amount is
considered up to .. Per cent of the Project cost
a) 5 % b) 10 % of the cost of the house/flat
or Rs.25 lacs whichever is lower
c) 15% d) 25%
23 If the borrowers Net Annual Income is Rs.5 lacs, what is the eligible
EMI/NMI ratio?
a) 40% b) 50%
c) 55% d) 60%
24 The minimum stipulated LTV ratio for Home loan under construction, up to
30.0 lac
a) 90% b) 85%
c) 80% d) 95%
25 The Moratorium period for Home Loans of Individual houses and
Apartments up to 7 Floors is
26 Credit Information Reports contains repayment history of upto ______
months in each loan/credit facility availed by the borrower
27 The In Principle approval shall be valid for . from the date of issue
c) 45 days d) 2 months
28 The turnaround time (TAT) fixed for home loans sanctioned under builder
tie-up (same centre) at RACPC/RASMECC within ____ working days after
receipt of application complete in all respects.
a) 5 days b) 6 days
c) 7 days d) 8 days
29 The home loans categorized as Standard assets need to be inspected once in
c) 3 years d) Once at the time of pre sanction
Inspection
30 What is the maximum advance that can be sanctioned under SME Smart
Score for manufacturing units ?
a) Rs.1 cr b) Rs.2 cr
c) Rs.25 lac d) Rs 50 lac
31 Minimum loan amount that may be sanctioned to eligible borrower under
SBI Asset Backed Loan is
a) Rs 5 lacs b) Rs 2 lacs
c) Rs 20 lacs d) Rs 10 lacs

32 Maximum Moratorium under the under SBI Asset Backed Loan for
Commercial Real
Estate scheme should not be more than ----- Months
33 Under SME Smart Score scheme, Working Capital loans can be sanctioned
for ____years subject to annual review, specifying the limit requirement for
each year.
a) 1 Year b) 2 Years
c) 3 Years d) 5 Years
34 SBI Asset Backed Loan provides..............................facility
a) Drop Line overdraft b) Over Drop
c) Term Loan d) Cash Credit
35 Revival letter is obtained under SME documentation by using the form
a) SME 5 b) SME 9
c) SME 6 d) SME 11
36 Link letter under SME documentation is obtained by using the form
a) SME 10 b) SME 9
c) SME 11 d) SME 12
37 RBI can conduct financial inspection of individual banks under
a) Section 35 of RBI Act b) Section 34 of RBI Act
c) Section 32 of RBI Act d) Section 30 of RBI Act
38 The outer limit for original investment in P&M for a unit to be classified as
micro enterprise is
a) Rs.25.00 lakhs excluding L&B b) Rs.25.00 lakhs including L&B
c) Rs.10.00 lakhs excluding L&B d) Rs.10.00 lakhs including L&B

39 As per MSMED Act 2006 Medium Enterprises (Services) are those having
investment in equipments upto
a) Rs1 cr upto Rs.2 crs b) Rs 2 crs upto Rs. 5 crs
c) Rs10 lacs upto Rs 2 crs d) Rs5 lacs upto Rs 1 crs
40 Notified Centers for creating equitable mortgage are
a) All district headquarters b) All centers specifically identified
by the Bank
c) All centers notified as per d) All centers identified for the
Transfer of Property Act purpose by RBI
41 In a Computer network an IP address specifies a :
a) Network connection b) Router gateway
c) Computer in the network d) Device on the network
42 The software that is being used in our foreign offices of our bank is called
a) B@ncs24 b) I-Flex
c) FINNACLE d) BANKCOM
43 Disaster Recovery Centre of the Bank is located at
a) Bangalore b) Chennai
c) Delhi d) Kolkata

44 What is GLIF?
a) General Ledger Information b) General Ledger Interest File
File
c) General Ledger Intermediate d) General Ledger Interface File
File
45 Hash Generation Utility for Corporate Clients for Trickle feed file upload
(SAL) works on
a) JAVA b) DOTNET
c) COBAL d) Web based
46 What does B@ncs24 mean?
a) Banks Automation and b) Banks Automation and
Network Connecting Software Networking Control System for 24
for 24 hours hours
c) Banks Accounting and d) Banks Accounting and Network
Network Connecting Software Control Software for 24 hours
for 24 hours
47 What is the name of the software used by the bank used for online forex
Rates?
a) Mercury FX b) Mercantine Rates
c) Mercury SX d) Online Mercury
48 Which of the following statement is true about Banks Internet Banking?
a) User can lock Internet Banking b) It is not possible to temporarily
facility temporarily at INB site lock the Internet Banking facility
and approach the Branch for by the user .
unlocking
c) For temporarily locking Internet d) Giving wrong password 3 times is
Banking facility , INB user has the only way to lock Internet
to necessarily approach the Banking Facility , that too only for
Branch 24 hours.
49 What is the name of the company along with whom our bank has launched
State Bank MobiCash services?
a) M/s. EKO technologies b) M/s Oxigen Services (India) Pvt
Ltd
c) FSS d) Sify
50 How many bank accounts can be linked to State Bank MobiCash?
a) 3 accounts b) 5 accounts
c) it is a prepaid payment d) 16 accounts
instrument, hence no bank
account can be attached to this
wallet.
51 In case of Pre-Existing accounts for FATCA & CRS, low value means
a) <$50,000 b) $50,000 to $1 lac
c) $50,000 to $ 1 mio d) None of these

52 In case of deceased account settlement, what is the total outstanding in the
account of the deceased beyond which, surety is required ?
a) Rs 5 lac b) Rs.10 lac
c) Rs 1lac d) Rs0.50 lac
53 What are the charges, in case of locker operation, to be collected from the
locker operator from 13th visit onwards during a financial year ?
a) 50/- + ST b) 100/- + ST
c) 150/- + St d) Nil
54 What are the one-time locker registration charges ?
a) 509/- b) 509/- + ST
c) 500/- + ST d) 584/-
55 Penalty for non-maintenance of minimum balance in SB accounts (SME) is
a) Nil b) 200/- + ST
c) 500/- + ST d) No SB account is opened for
SME.
56 Expand GIIN
a) Global Intermediary b) Global Intermediary Identification
Information Number Number
c) Global International d) Global International Identification
Information Number Number
57 Expand CRS
a) Common Reporting System b) Common Reports and standards
c) Common Reports and System d) Common Reporting Standards.
58 In case of deceased settlements, which of the following documents need to
be notarized? 1. Indemnity 2. Letter of disclaim 3. Affidavit
a) All of the above b) 1 & 2
c) 2 & 3 d) 1 & 3
59 After redesigning the clerical cadre, which of the following is not a proposed
designation?
a) Senior Associate b) Special Associate
c) Senior Special Associate d) Junior Associate
60 What is the maximum loan amount which can be sanctioned to sub staff
members under Individual Housing Loan scheme?
a) Rs 30.0 lac b) Rs 45.0 lac
c) Rs 40.0 lac d) Rs 25.0 lac
61 What is the rate of interest applicable for a housing loan availed of by a staff
member on commercial terms ?
a) as applicable to public b) Base rate
c) 25 bps less than ROI d) None
applicable for public but not
below base rate
62 POs / direct recruits are eligible for privilege leave after
a) probation period b) 11 months of service
c) 11 days d) 1 year of service

63 If an officer is permitted by the Bank to receive fees / honorarium for work
done for any public body / private person, what is the maximum such amount
per annum which can be retained with him and remaining amount should be
surrendered to the Bank ?
a) Rs.40,000/- b) Rs.1,00,000/-
c) Rs.2,40,000/- d) No such restriction
64 Who is the designated authority under Whistle Blower Policy ?
a) GM (Network) b) DGM (B&O)
c) DGM (Vigilance) d) Chief Vigilance
65 SBI holds 100% shares in which of the following associate banks ?
a) SBH & SBP b) SBH & SBM
c) SBP & SBM d) None
66 C-Edge Technologies is a joint venture between SBI and _____
a) TCS b) Infosys
c) cognizant technology solutions d) Wipro
67 Passing of State Bank of India (Subsidiary Banks) Act, 1959 enabled SBI to
take over ___ former state-associated banks.
a) 5 b) 6
c) 7 d) 8
68 CCRO stands for_______
a) Corporate Centre Recovery b) Circle Credit & Recovery Officer
Officer
c) Circle Credit & Risk Officer d) Chief Credit & Risk Officer
69 Transaction Banking Unit handles ______
a) CMP/Trade Finance/Supply b) CMP/Trade Finance
Chain Finance
c) Total transactions in the Bank d) Only Trade Finance
70 How is PT IndoMonex of Indonesia connected with SBI?
a) SBI has acquired 51% stake b) SBI has acquired 25% stake
c) SBI has acquired 76% stake d) SBI has acquired 75% stake
71 Remittances under SBI Express Worldwide are meant for
a) Individual remittances b) Commercial remittances
c) Business remittances d) All the above
72 Expand OFAC.
a) Office of Foreign Assets b) . Office of Financial Assets Control
Control
c) Organisation for Foreign d) Organisation for Financial Assets
Assets Control Control
73 Back to Back Letter of credit refers to ---------.
a) Inland LC is backed by Foreign b) LC provides for the grant of
LC storage facilities at the port of
shipment
c) Security of another LC d) Opening bank requests the
advising bank to give loan to the
exporter for
the purpose of export

74 Spot rate is when exchange of currencies take place at
a) Real time b) Two days from the date of quoting
the rate
c) Next day d) Two days from the date of quoting
the rate
75 The account that foreign banks maintain with banks in India is known as
a) Nostro b) Vostro
c) Loro d) None
76 SBI conducts Govt. Business under which Section?
a) S- 45 of RBI and 32 of SBI b) S- 35 of RBI and 36 of SBI
c) S-51 of RBI and 20 of SBI d) None of these
77 Govt. Bills are drawn by _____________ and passed by __________for
payment at the bank.
a) Treasury officer, Drawing b) Treasury Officer, Branch Passing
Officer Officer
c) Drawing Officer, Branch d) Drawing Officer, Treasury Officer
passing Officer
78 AML-CFT DAY is observed on ______ every year
a) 30 th November b) 1st August
c) 2nd November d) No such day
79 PPF Account cannot be maintained by
a) HUF b) Residential Individual
c) Minor with Guardian d) None of these
80 Maximum deposit in Senior Citizen Savings Scheme is ___-
a) Rs. 10 Lacs b) Rs. 15 Lacs
c) Rs. 25 Lacs d) No Ceiling
81 Online Tax Accounting System (OLTAS) is used for____
a) CBEC Credit b) Both for CBDT and CBEC
c) CBDT Credit d) None of these
82 OLTAS Transaction to be credited in Govt. Account within
a) T+1 day including Sunday and b) T+6 day including Sunday and
Holiday Holiday
c) T+3 day including Sunday and d) T+5 day including Sunday and
Holiday Holiday
83 Penal interest paid in case of delay settlement of Govt. funds is
a) Bank Rate +2% b) Base Rate + 2%
c) SBAR + 2% d) CRR + 2%
84 Balance in Govt General Account to be transferred to GAD, Navi Mumbai
a) 31st March b) 1st April
c) 31st December d) 30th September
85 First widhdrawal in PPF account is allowed in
a) 5th year b) 8th year
c) 10th year d) 6th year
86 What is the commission payable to the bank under PMJJBY?
a) Rs.30/- b) Rs.41/
c) Rs.11/- d) Rs.31/-

87 What is the age limit for PMJJBY (Pradhan Mantri Jeevan Jyoti Bima
Yojana)?
a) 21 to 50 years b) 18 to 50 years
c) 18 to 60 years d) 21 to 60 years
88 What is the minimum and maximum pension payable per month under Atal
Pension Yojna?
a) Rs.500/- to Rs.10,000/- b) Rs.1,000/- to Rs.5,000/
c) Rs.1,000/- to Rs.25,000/- d) Rs.2,000/- to Rs.10,000/-
89 Who is the administrator for Pradan Mantri Surakshya Bhima Yojana
(PMSBY)?
a) New India Assurance Co., Ltd b) SBI Life Insurance Co., Ltd
c) National Insurance Company d) Postal Life Insurance Co., Ltd
Ltd
90 In PPF account, How many withdrawals allowed in a year?
a) Twice in a year b) Only once in a year
c) Thrice in a year d) Withdrawal not permitted
91 From time to time, the time period for banking service being public utility
services is extended under which of the following Acts?
a) Banking Regulation Act b) RBI Act
c) Shops and Commercial d) Industrial Disputes Act
Establishments Act
92 Under the provisions of Companies Act 1956, the filing of particulars for
getting a charge registered with ROC for certain transaction, is the
responsibility of:
a) Borrowing company b) Financing Bank
c) Secretary of the Company d) Financing Bank and the borrowing
company
93 A cheque has been wrongly collected and credited into the account of
acustomer. Later it was found that the cheque does not belong to the
customer. This act is called
a) Material alteration b) Subrogation
c) Conversion d) Redemption
94 X and Y are having a joint savings bank account with E or S operations. A
bearer cheque is signed by Y and a cutting in the name of payee is
confirmed by X.
a) Cheque can be paid as b) Cheque can be paid even if not
alteration has been properly confirmed as the change is only in
authenticated the name of the payee and it is a
bearer cheque
c) Cheque can not be paid as it d) Cheque can not be paid as it
requires confirmation from the requires confirmation from both of
same person who has signed them

95 Of which of the following, a garnishee order is not applicable?
a) funds in the account at the time b) term deposit receipt which is yet to
of receipt of garnishee order mature
c) recurring deposit the maturity d) amount deposited by the customer
of which will be 3 months after after receipt of the garnishee order
96 An assignee is a person who
a) is appointed by court for b) has been appointed by the court to
administration of a will look after property of the insolvent
person
c) appointed by the will of the d) person appointed by legal heirs as
deceased person their attorney
97 What is the relationship between a person who has left articles by mistake in
the bank premises:
a) Lessor and Lessee b) Bailee and Bailor
c) Agent and Principal d) Trustee and Beneficiary
98 You come across a cheque on which neither the words bearer or order are
written. The cheque should be treated as:
a) Bearer cheque b) Order cheque
c) Customers mandate is not d) We have to ask the person
clear, payment can not be presenting the cheque for clarity
made
99 The person who is transferring the possession of goods as per Indian
Contract act for a specific purpose is called
a) Transferor b) Bailor
c) Bailee d) Pledger
100 Which of the following security and type of charge, is not matched:
a) term deposit right of set off b) vehicles hypothecation
c) stocks of medicine lien d) plant and machinery embedded to
ground - mortgage
101 On the dishonour of a cheque the payee must give a notice to the drawer
within____ days of the receipt of information from the bank .
a) 30 Days b) 15 Days
c) 10 Days d) 3 Days
102 A power of attorney executed abroad must be stamped within .. months of
its receipt in India.
a) 1 month b) 2 Months
c) 3 months d) 1 year
103 Charges to be filed with the Registrar of companies within ___ days from the
date of creation.
c) 180 Days d) 1 Year
104 Provision relating to Bank Rate is contained in_______
a) Sec 42 of RBI Act b) Sec 49 of RBI Act
c) Sec 42 of BR Act d) Sec 49 of BR Act

105 MCA-21 relates to
a) Master of corporate accounts b) Ministry of company affairs
c) Member of Computer d) Registration of charge with ROC
application
106 First Multi Currency International Debt Card launched by_______
a) SBI b) CITI BANK
c) ICICI d) HDFC
107 ___________ state has become the first state in the country with bank
accounts for all families under Pradhan Mantri Jan DhanYojna (PMJDY)
a) Kerala b) Punjab
c) Andhra Pradesh d) Maharastra
108 _________ Banks have announced merger.
a) Kotak Mahindra & Karur Vysya b) Kotak Mahindra & ING Vysya
c) ICICI & Karur Vysya d) ICICI & ING Vysya
109 ______ Bank has launched contactless debit and credit cards, enabling its
customers to make electronic payments by just waving the cards near the
merchant terminal in lieu of dipping or swiping them.
a) ICICI b) SBI
c) HDFC d) AXIS
110 _______ Bank, an agency to refinance micro-finance institutions which will
also act as regulator for the sector, announced by Finance Minister in his
Budget speech.
a) MUDRA b) SIDBI
c) IFC d) SME
111 Expand IFRS
a) International Financial b) Indian Financial Reporting
Reporting Systems
Standards
c) International Financial d) Indian Financial Reporting
Reporting Systems Standards
112 Which of the following is not a RBIs monitoring tool?
a) CRR b) Repo rate
c) Reverse Repo rate d) BPLR
113 Govt. of India proposed to replace Planning Commission BY ------------
a) NITI Ayog b) Jandhan Yojana
c) Swatch Bharat d) None of the above.
114 Plastic Currency Notes were first introduced by __________.
a) America b) Australia
c) France d) Singapore
115 State Bank of India has entered into a tripartite agreement with the
leading online financial product aggregator _____________ and SBI Cap,
the bank's subsidiary. The move is aimed at facilitating home borrowers
to apply SBI home loans through yet another platform.
a) Bankbazaar.com b) Policybazar.com
c) Amazon. Com d) Flipkart.com

116 A substandard account is one which remains as NPA for ___ months after it
becomes NPA.
a) 12 Months b) 15 Months
c) 24 Months d) 9 Months
117 If the realisable value of the security, as assessed by the bank/ approved
valuers/ RBI is less than ___ per cent of the outstanding in the borrowal
accounts, the asset should be straightaway classified as loss asset.
a) 25 b) 10
c) 0 d) 5
118 If the realisable value of the security, as assessed by the bank/ approved
valuers/ RBI is less than ___ per cent of the outstanding in the borrowal
accounts, the asset should be straightaway classified as doubtful asset.
a) 60 b) 25
c) 50 d) 40
119 According to RBI guidelines, the loans against which of the following can
turn out to be NPAs provided adequate margin is available ?
a) Bank deposits b) Gold ornaments
c) NSCs d) Life policies
120 A loan granted for short duration crops will be treated as NPA, if the
instalment of principal or interest thereon remains overdue for ___ crop
seasons.
a) 2 b) 1
c) 3 d) Nil
121 In case of doubtful assets upto one year, the provision requirement on
secured portion is
a) 10% b) 25%
c) 40% d) 100%
122 What is the provisioning requirement in case of standard assets for advances
to agricultural activities ?
a) 0.40% b) 0.25%
c) 0.75% d) 1%
123 In case of standard housing loans, inspection should be conducted for every
__years.
a) 1 b) 3
c) No need d) 2
124 In case of housing loan, if repayments are in arrears for ____ months
successively, inspection should be immediately conducted.
a) 1 b) 2
c) 3 d) 6
125 Irregularity reports should be submitted to controllers at ____ intervals for
home loans and _____ intervals for other P segment loans.
a) Quarterly & Quarterly b) Quarterly & Half Yearly
c) Half Yearly & Half Yearly d) None

126 Irregularity reports should be submitted in duplicate within ___ days from the
end of the stipulated period.
c) 30 Days d) 20 Days
127 In case of HLs and car loans which are NPAs, stipulated periodicity for
inspection is
a) Half Yearly for both b) Quarterly for both
c) Yearly for both d) None
128 In case of education loans to the wards of staff members, what are the
instructions regarding security ?
a) As applicable to public b) No security
c) Lien on PF of employee d) None
129 For revival letters to be obtained in case of education loans, who is
authorized to sign the revival letter on behalf of the student ?
a) Father / guardian b) the student himself
c) No revival is required d) None of these
130 In case of SBI Home Top Up loan, the stamp duty payable for Term Loan
agreement is for
a) Agreement b) Agreement + FPA
c) Agreement + GPA + Indemnity d) Agreement + indemnity
131 What is the maximum contribution, an employee can make towards provident
fund ?
a) 25% of basic salary b) 20% of basic salary
c) 15% of basic salary d) No restriction
132 Among the following, which is the toll free number of our Banks contact
centre ?
a) 1800112211 b) 18004253800
c) 080 26599990 d) a) & b)
133 Which of the following is not one of the cities where our contact centres are
located?
a) Bangalore b) Chennai
c) Agra d) Kolkatha
134 For online updation of mobile number through internet banking, which of the
following is not one of the modes through which updation can be done ?
a) By OTP on both mobile Nos b) Using profile password
c) Through contact centre d) IRATA
135 In case of loans covered under CGTMSE, if the loan account becomes NPA
on 05/01/2016, CGTMSE should be advised of the same by
a) 31/01/2016 b) 29/02/2016
c) 31/03/2016 d) 30/06/2016
136 In case of loans covered under CGTMSE, the Annual Service Fee to be paid
to the trust every year depends on the NPA level of the member lending
institution with CGTMSE. This rule is not applicable for advances covered
under CGTMSE upto___
a) 10.0 lac b) 5.0 lac
c) 25.0 lac d) Applicable for all advances

137 Which of the following countries is the largest consumer of gold in the world ?
a) China b) India
c) Brazil d) South Africa
138 All in-operative accounts are categorized as ______ risk accounts .
a) Low b) Medium
c) High d) It depends on the customer
139 A currency note which is divided into 3 pieces but no part thereof is missing,
is called
a) Mutilated note b) Soiled note
c) Mismatch note d) None of these
140 Under RTI Act 2005, the branch manager is called
a) CPIO b) CAPIO
c) Depends on the incumbency d) None of these
level
English Language Comprehension: 20 Questions 0.50 Marks Total: 10 Marks

Now the question arises, what is the secret of the longevity and imperishability of
Indian culture? Why is it that such great empires and nations is Babylion, Assyria,
Greece, Rome and Persia, could not last more than the footprints of a camel m the
shifting sands of the desert, while India which faced the same ups and downs, the
same mighty and cruel hand of time, is still alive and with the same halo of glory
and splendour ? The answer is given by Prof. J. B. Pratt of America. According to
him Hindu religion is the only religion in the world which is 'self-perpetuating and
self-renewing.' Unlike other religions 'not death, but development' has been the
fate of Hinduism. Not only Hindu religion but the whole culture of the Hindus has
been growing changing and developing in accordance with the needs of time and
circumstance without losing its essential and imperishable spirit. The culture of the
vedic ages, of the ages of the Upanishads, the philosophical systems, the
Mahabharata, the Smirities, the Puranas, the commentators, the medieval aints
and of the age of the modern reformers is the same in Spirit and yet very different
in form. Its basic principles are so broad based that they can be adapted to almost
any environment of development.
141 The author has compared India with all the following except-
(A) Greece (B)Rome (C)Babylon (D)Assyria (E) Egypt
142 In what respect is India implied to be superior to all other nations and empires?
(A) Material development (B) Cultural advancement
(C) Military strength (D) Territorial expansion (E) Empire building
143 What, according to J. B. Pratt, is the secret of the longevity and imperishability of
Indian culture ?
(A) It has its origin in the remote past (B) It issues from the minds and
hearts of its sages
(C) It is self-perpetuating and self-renewing (D) It is founded on religion
144 Which of the following has not been mentioned as a particular period of Indian culture?
(A) The Vedic age (B) The age of Upanishads
(C) The age of the Mahabharata (D) The British period

145 What changes has the spirit of Indian culture undergone during its long history
right from the vedic age down to the present times ?
(A) The precedence of moral values was eclipsed at certain periods of time
(B) Materialism was the hall-mark of Indian culture during certain periods of
time
(C) During certain periods military development was the be-all and end-all of
Indian culture
(D) There is no such thing as any spirit of Indian culture
(E) The spirit of Indian culture has practically been the same from the ancient
times down to the present
146 What according to the author has always characterised the Hindu religion?
(A) Development (B) Stagnation
(C) Sometimes development and sometimes stagnation
(D) Lack of moral values (E) 1 Precedence of material over moral values
147 Which other religion has been mentioned in the passage as self-developing and self-
renewing as Hindu religion?
(A) Christianity (B) Islam (C) Buddhism (D) Jainism (E) None of these
148 "Could not last more than the footprints of a camel on the shifting sands of the
desert." What does it mean ?
(A) It lost itself in deserts (B) It was transient (C) It lacked solidity
(D) It was limited only to desert areas (E) It lacked cohesion
149 What is the characteristic quality of the basic principles of Indian culture?
(A) They are static (B) They derive their strength from the genius of the
people
(D) They believe in the purity of Indian culture (E) Nothing of these
150 Which of the following may be the best title of the passage?
(A) Unity of Indian Culture (B) Indian Civilization and Culture
(C) Indian Religion and Civilization (D) Characteristics of Indian Culture
(E) Development of Indian Culture
Pick out the most appropriate equivalent (synonym) of the following words
taken from the above passage:
151 Longevity: (A) Living long (B) Diseased life (C)
Depressed spirit
(D) The period of living (E) Misery
152 Shifting: (A) Piercing (B) Penetrating (C) Changing

(D) Mincing (E) Obstructing
153 Ups and downs: (A) Joys and sorrows (B) Weal and woe
(C) Successes and failures (D) Jerks and jolts
(E) Merits and demerits
154 Splendor: (A) Reticence (B) Delight (C) Jubilation

(D) Immortalize (E) Grandeur

155 Perpetuate: (A) Tyrannize (B) Delight (C) Deride
(D) immortalize (E) Confirm
Pick out the most appropriate word exactly opposite in meaning of the
following words taken from the above passage:
156 Last: (A) End (B) Grow (C) Diminish (D) Increase (E) Finish
157 Mighty: (A) Forcible (B) Forceful (C) Weak (D) Tough (E) Haughty
158 Glory: (A) Splendour (B) Notoriety (C) Fame (D) Reputation (E)
Debasement
159 Development: (A) Retardation (B) Retrogression (C) Transgression
(D) Progress (E) Impecunity
160 Modern: (A) Up-date (B) Recent (C) Cast (D) Ancient (E) Old
@@@@@@@@@@

KEY TO MOCK TEST JMGSI TO MMGS II
1 2 3 4 5 6
c d b d c c
7 8 9 10 11 12
d a d b a b
13 14 15 16 17 18
d d a d a c
19 20 21 22 23 24
c c c b b a
25 26 27 28 29 30
b d b b c d
31 32 33 34 35 36
d a b a d d
37 38 39 40 41 42
a a b c a c
43 44 45 46 47 48
b d b b a a
49 50 51 52 53 54
b c c a b c
55 56 57 58 59 60
c b d c c a
61 62 63 64 65 66
c b a c a a
67 68 69 70 71 72
d d a c a a
73 74 75 76 77 78
a b b a d c
79 80 81 82 83 84
a b c c a d
85 86 87 88 89 90
d c b b c b
91 92 93 94 95 96
d a c a d b
97 98 99 100 101 102
d b b c a c
103 104 105 106 107 108
a b d a a b
109 110 111 112 113 114
a a a d a b
115 116 117 118 119 120
a a b c b a
121 122 123 124 125 126
b b b b b b
127 128 129 130 131 132
a a a c a d
133 134 135 136 137 138
b b d b a b
139 140 141 142 143 144
a b e b c d
145 146 147 148 149 150
e a e b c d
151 152 153 154 155 156
a c c e d a
157 158 159 160
c e b c

PRE PROMOTION II TO III
SECTION-II Total- Descriptive
30Marks Time: 60 Minutes
DESCRIPTIVE QUESTIONS
I. Rationale 4 (Out of 6) 2 marks each and total 8 marks
01 SOVEREIGN GOLD BONDS, 2015-16 Introduced
02 Credit Risk Guarantee Fund Trust For Low Income Housing (CRGFTLIH)
03 SBI e-SMART SME e-COMMERCE LOAN
04 Launch of Wealth Management Initiative- SBI Exclusif
05 Offsite Transaction Monitoring System (OTMS) Penalty provision in rfia for

submission of False / delayed compliance to OTMS alerts
06 Car Loans Disbursement Through RTGS/NEFT
II. For & Against 4 (Out of 6) 2 marks each and total 8 marks
01 Goods and Services Tax Bill
02 SOVEREIGN GOLD BONDS, 2015-16 Introduced
03 Odd- Even Experiment in Delhi for pollution control
04 Approval by RBI for Payment Banks
05 LOS is mandatory for all segment products
06 Career Development System has been lalunched
III. Situational Analysis 2(Out of 3) 3 marks each and total 6 marks

01 Mr. Joseph and Mrs. Elizabeth are wife and husband operating locker with E or
S since last 3 years. They also have salary account and car loan account with
us. They are paying the locker rent and loan installment regularly on time
without any delay. One day Mr. Joseph came to you with a Housing loan
proposal and also submitted a letter saying that he had lost the locker key and a
duplicate key be issued to him.
02 Mr. Subbarao, is a business man running a stationary trading having a current

account with you since 3 years. He approaches you with an expectation of loan
for his business as he diverted his working capital to construct a house. He
invested around 10lac to complete the construction from last 12months. You
are willing to assist a working capital by Cash Credit Limit of Rs.10.00 lac as his

business financials and tax returns are favorable. He is not will to take the
commercial loan as interest rate is high. He requested you to give a Housing
Loan instead for Tax Benefit and also low interest rate. How you will assist as a
Branch Manager.
03 Sri. Ramesh Babu is an illiterate, deaf and dumb is a progressive farmer in your
village wants to open a Saving Bank Account to save his Agriculture Proceeds.
How can you help him as a Branch Manager.
4 Comprehension 1 (4 Questions) 1 mark each and total 4 marks
Greece, Rome and Persia, could not last more than the footprints of a camel in the
and splendour? The answer is given by Prof. J. B. Pratt of America. According to
Mahabharata, the Smirities, the Puranas, the commentators, the medieval saints
A) Material development
(B) Cultural advancement
(C) Military strength
(D) Territorial expansion
(E) Empire building
Indian culture?
(A) It has its origin in the remote past
(B) It issues from the minds and hearts of its sages
(C) It is self-perpetuating and self-renewing
(D) It is founded on religion
culture?
(A) The Vedic age
(B) The age of Upanishads
(C) The age of the Mahabharata :
(D) The British period

04. What is the characteristic quality of the basic principles of Indian culture ?
(A) They are static
(B) They derive their strength from the genius of the people
(D) They believe in the purity of Indian culture
(E) Nothing of these
5 Business Correspondence 1(Out of 2) 4 mark each and total 4 marks
01 A Term deposit favoring Mr. Deceased for Rs.100,000/- is due for payment next
weak. The deposit account has nomination in favor of Mr. Nominee. Today, you
have received a notice from an advocate of Mr. Claimant, claiming to be the son of
the deceased. The notice advises you to stop payment to the nominee, as the
deposit belongs to the Joint Hindu Family of the deceased. Please write a suitable
reply.
02 You are a Br. Manager of Scale III incumbency reported recently. You found that
all old obsolete stationary, computers and furniture are lying in the second floor.
The second floor of the premises is an abandon place since years together. It is
not needed at all considering even the future requirement. The book values of
these assets are zero. You are paying monthly rent of Rs.50000/- considering the
space. The space can be utilized by CPCs or any administrative office purpose.
You also find that an NGO intends to conduct free computer education programme
in a village serviced by the bank. NGO is ready to use the computers and furniture
by convert them in such a way they can use it. Please write a letter to the
appropriate authority recommending donating the old computers and furniture and
also inform that the space may be better utilized.

ANSWER PAPER FOR DESCRIPTIVE TEST
I. Rationale 4 (Out of 6) 2 marks each and total 8 marks
01 SOVEREIGN GOLD BONDS, 2015-16 Introduced:
To substitutes for holding physical gold.

Govt. of India and RBI directives.
To ensure fixed interest income on idle gold to the investor.
To eliminate storage risk and an alternative to hold the gold in physical form.
02. CREDIT RISK GUARANTEE FUND TRUST FOR LOW INCOME HOUSING
(CRGFTLIH) :
To cover the life risk of EWS (Annual income upto Rs. 1,00,000/-) or LIG
(Annual income between Rs. 1,00,001/- to Rs. 2,00,000/-) categories in
Urban Areas.
To protect the Insurable Interest of Low Income Group Home Loans
Borrower upto Rs. 5.00 lacs in Urban Areas.
03. SBI e-SMART SME e-COMMERCE LOAN :
To provide financial assistance to Authorized Sellers of Snapdeal engaged

in selling products through online portal of Snapdeal.
04. Launch of Wealth Management Initiative- SBI Exclusif :
To retain as also acquire the premium customer segment by offering a

complete range of financial products and services along with investment
advisory services, which are technology driven, contemporary &
comprehensive.
To leverage our well established infrastructure of Wealth hubs, dedicated
branches and e-Wealth Centres (where banking and investment services
would be provided over audio, video and web chat channels) using state of
the art technologies to mobilise Wealth Management Business.
e- Cir., CORPORATE STRATEGY & NEW BUSINESSES. Sl. No. 1270/2015 -
16Cir. No.CS&NB/CS&NB-WM/26/2015 16 Thursday,January 14,2016.
05. Offsite Transaction Monitoring System (OTMS) Penalty provision in rfia for
submission of False / delayed compliance to OTMS alerts:
To discourage branches from submitting false / delayed compliance to

OTMS alerts.
With a view to discourage the branches from submission of false / delayed
compliance to OTMS alerts, it has been decided to impose a penalty and
award negative marks in RFIA score.
e-Circular INSPECTION AND MANAGEMENT AUDIT. Sl. No. : 1133/2015 - 16
Circular No. : IMA/IMA-OTMS/7/2015 16 Monday,December 14,2015.

06. Car Loans Disbursement Through RTGS/NEFT :
To control frauds in Car Loan disbursements.
To avoid misuse of funds by the borrower.
To ensure end use of funds.
To avert fraudulent encashment of Car Loan Disbursement.
To strengthen the SP of post sanction followup.
e-Circular PBU-AUTO LOANS. Sl. No. : 1120/2015 16 Circular No. :
NBG/PBU/AL-AUTOLOAN/43/2015 16 Wednesday,December 09,2015.
For & Against 4 (Out of 6) 2 marks each and total 8 marks
01 Goods and Services Tax Bill
For:
All the taxes are integrated, it would make possible the taxation burden to be split
equitably between manufacturing and services.
It will help to build a transparent and corruption free tax administration. Presently,
a tax is levied on when a finished product moves out from a factory, which is paid
by the manufacturer and it is again levied at the retail outlet when sold.
Against:
It will not help small entrepreneurs and traders.
It is impractical because it needs lot of coordination between Central and State
Government for implementation by keeping out all political prejudices.
02 SOVEREIGN GOLD BONDS, 2015-16 Introduced by the GOI
For:
It is substitutes for holding physical gold.
It is safe and secured investment as it is issued by RBI on behalf of GOI
The risk in cost of storage and loss is eliminated.
It generates fixed income on idle investment.
Against:
In case price of gold goes down, loss is born by the investor.
The interest earned is not enough to beat inflation
Interest earned on the gold bonds is taxable as per the tax bracket of investor.
On maturity the proceeds are subject to capital gain.
03 Odd- Even Experiment in Delhi for pollution control:
For:
It is the best option to control the pollution check in Delhi.
To safe guard the public health it a deterrent.
It will motivate the commuters for car pooling to reduce the fuel consumption,
vehicle traffic, cost and pollution.
Against:
It is one side adamant decision taken by the Delhi govt. against the public
convenience.
Traffic police will find the formula tough to implement.
There will be arguments and jams in rush hour causes long tailbacks.

04 Approval by RBI for Payment Banks:
For:
It is a tool to promote financial inclusion.
The more unbanked areas will be connected by payment banks.
Customer will have an option to open a bank account with simplified KYC and with
low transaction cost with the help of payment bank system.
Against:
It is a threat to the existing Public Sector Banks CASA business.
It will not help to the people living in unbanked area for credit penetration.
It is not a complete banking option for financial inclusion.
05 LOS is mandatory for all segment products:
For:
Standard and uniform appraisal system is possible through LOS.
It is a tool to implement Risk Scoring Model in loan appraisals.
Error free interface to process, sanction and documentation.
Against:
It is very cumbersome to process the loans under LOS platform.
The workflow in LOS is very tedious.
It requires uninterrupted bandwidth connectivity and infrastructure to run.
06 Career Development System has been launched:
For:
It is a tool to evaluate staff scientifically.
It is a process of motivating the performers.
It improves productivity with objectivity.
It eliminates human emotions in evaluation of performance.
Against:
It creates lot of ambiguity in performance appraisal.
It is not practical according to the organizational culture.
Grading of employees promotes division.
Compulsory retirement of officers on the pretext of performance evaluation is
inhuman.
II. Situational Analysis 2(Out of 3) 3 marks each and total 6 marks

01 Mr. Joseph and Mrs. Elizabeth are wife and husband operating locker with E or S
since last 3 years. They also have salary account and car loan account with us.
They are paying the locker rent and loan installment regularly on time without any
delay. One day Mr. Joseph came to you with a Housing loan proposal and also
submitted a letter saying that he had lost the locker key and a duplicate key be
issued to him.
A The key has been lost and the locker has to be forced open. In such
circumstances, the request of all the locker holders is to be obtained in writing
and the locker is forced open in the presence of both Mr. Joseph and Mrs.
Elizabeth. A communication must be sent to Mrs. Elizabeth about the matter
seeking his confirmation by email/fax/telephone. In view of the urgency and after

satisfying ourselves, the locker may be forced open by the technical personnel in
presence of both the operator. An inventory of the contents has to be kept on
record. A letter ratifying the action has to be obtained from Mrs. Elizabeth and
Mr. Joseph. We have to satisfy ourselves beyond doubt about the standing
integrity of the parties.
02 Mr. Subbarao, is a business man running a stationary trading having a current

account with you since 3 years. He approaches you with an expectation of loan
for his business as he diverted his working capital to construct a house. He
invested around 10lac to complete the construction from last 12months. You are
willing to assist a working capital by Cash Credit Limit of Rs.10.00 lac as his
business financials and tax returns are favorable. He is not will to take the
commercial loan as interest rate is high. He requested you to give a Housing
Loan instead for Tax Benefit and also low interest rate. How you will assist as a
Branch Manager.
A Home loan may be sanctioned for reimbursement of investment made by the
borrower in housing from own resources during the preceding 12 months
subject to the following conditions:
Reimbursement will be restricted to investments made by the borrower

from own resources in construction/repair/renovation of house / purchaseof
property.
Small expenditure like furnishing, wood work will not be consideredfor
reimbursement.
Quantum of reimbursement will be based on (a) the present market value
of the property as per the valuers certificate less margin (arrived based on
maximum permissible LTV) or (b) the investment made by the borrower
less margin, whichever is lower. Expenditure receipts should be obtained
and kept on record.
A LTV of 75 % will be insisted upon.
03 Sri. Ramesh Babu is an illiterate, deaf and dumb is a progressive farmer in your
village wants to open a Saving Bank Account to save his Agriculture Proceeds.
How can you help him as a Branch Manager.

A We can help Ramesh Babu to open Saving Bank Accounts though he is deaf,
dumb and also illiterate on the following conditions.
The Bank can in such cases preferably open joint accounts to be operated
jointly by the deaf dumb illiterate along with his close blood relations.
The left hand thumb impression of the depositor should be obtained on the
account opening form in the place provided for signature of the depositor
and on the specimen signature sheets in the presence of a supervising
official authorized to sanction opening of accounts who should attest the
thumb impression in the same manner as the specimen signatures.
Brief details of one or two identification marks, if any, of the depositor, such
as a mole or scar, should be noted on the account opening form under
authentication of the authorized official.
One copy each of the photograph will be pasted on the account opening
form and will be authenticated by the authorized official in the same
manner as the specimen signatures, care being taken to see that part of
the authenticating signature appears on the account opening form and part
on the photograph.
4 Comprehension 1 (4 Questions) 1 mark each and total 4 marks
Greece, Rome and Persia, could not last more than the footprints of a camel in the
and splendour? The answer is given by Prof. J. B. Pratt of America. According to
Mahabharata, the Smirities, the Puranas, the commentators, the medieval saints
A) Material development
(B) Cultural advancement
(C) Military strength
(D) Territorial expansion
(E) Empire building
Indian culture?

(A) It has its origin in the remote past
(B) It issues from the minds and hearts of its sages
(C) It is self-perpetuating and self-renewing
(D) It is founded on religion
culture?
(A) The Vedic age
(B) The age of Upanishads
(C) The age of the Mahabharata :
(D) The British period
04. What is the characteristic quality of the basic principles of Indian culture ?
(A) They are static
(B) They derive their strength from the genius of the people
(D) They believe in the purity of Indian culture
(E) Nothing of these
5 Business Correspondence 1(Out of 2) 4 mark each and total 4 marks
01 A Term deposit favoring Mr. Deceased for Rs.100,000/- is due for payment next
weak. The deposit account has nomination in favor of Mr. Nominee. Today, you
have received a notice from an advocate of Mr. Claimant, claiming to be the son of
the deceased. The notice advises you to stop payment to the nominee, as the
deposit belongs to the Joint Hindu Family of the deceased. Please write a suitable
reply.
State Bank of India

To
Shri .Advocate,
H.No.1308, Regent Park,
Gachibowly
HYDERABAD 500 001
Ref.No. MIS Date:
Dear Sir,
TERM DEPOSIT IN THE NAME OF Mr. DECEASED
With reference to your letter dated .., we have to advise as under. We have
been received an application for claim the deceased term deposit by Mr.
Nominee, who is the nominee of the captioned deposit that the depositor Mr.
Deceased has expired on date
In terms of Nomination Rule under Section 45ZA of the Banking Regulation Act,
the Bank has to make payment of the deposit to the nominee. On our verification
of the records, we confirm that the fixed deposit stands in the individual name of
the depositor who had made a valid nomination under the above Section.
According to your notice on behalf of your client, the deposit belongs to the joint
family and not to the deceased in his individual capacity is a matter to be settled
between him and the nominee. The Bank is not part with the said dispute. The
Bank is under an obligation to pay the amount to the nominee. Unless therefore an
order issued by a competent court restraining payment to the nominee is served
on us. In view of the above we will pay to Mr. Nominee without any further
reference to you.
Yours faithfully,
Branch Manager.
02 You are a Br. Manager of Scale III incumbency reported recently. You found that
all old obsolete stationary, computers and furniture are lying in the second floor.
The second floor of the premises is an abandon place since years together. It is

not needed at all considering even the future requirement. The book values of
these assets are zero. You are paying monthly rent of Rs.50000/- considering the
space. The space can be utilized by CPCs or any administrative office purpose.
You also find that an NGO intends to conduct free computer education programme
in a village serviced by the bank. NGO is ready to use the computers and furniture
by convert them in such a way they can use it. Please write a letter to the
appropriate authority recommending donating the old computers and furniture and
also inform that the space may be better utilized.
State Bank of India

Region:
Zonal Office
Ref.ZO Date:
Dear Sir/Madam,
DISPOSAL OF OBSELETE FIXED ASSETS

We found that all old obsolete stationary, computers and furniture are lying in the
second floor. The second floor of the premises is an abandon place since years
together. It is not needed at all considering even the future requirement. The book
values of these assets are zero. We are paying monthly rent of Rs.50000/-
considering the space. The space can be utilized by CPCs or any administrative
office purpose. We find that an NGO intends to conduct free computer education
programme in a village serviced by the bank. NGO is ready to use the computers
and furniture by convert them in such a way they can use it.
In view of the above, we may be permitted to donate the obsolete unused

computers and furniture and sell the stationary to the bank approved vendor. The
space available in the second floor maybe utilized effectively by Bank for housing
Clearing CPC or make use of the same in some other way.
Yours faithfully,
Branch Manager.
DISCLAIMER: The material is based on the current circulars & instructions of the bank. However the
users are required to refer to the Bank's current instructions & satisfy themselves. If any error or
omission is noticed, please advise us through mail to stc.hyd@sbi.co.in for doing the needful.

SBLC Hyderabad

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SBLC Hyderabad

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KEY TO SUCCESS

I am very happy to present the KEY TO SUCCESS PROMOTIONS

brought out by Team State Bank Learning Centre, Hyderabad.

thoroughly vetted and also tested in class room environment. I am sure

DGM & Circle Development Officer

Local Head Office

PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 2

I am happy to bring out the KEY TO SUCCESS

The model papers have been tested in limited but live

I take this opportunity to place on record, the excellent

Wishing you all great success in your career.

ASST GENERAL MANAGER

PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 3

PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 4

PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 5

PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 7

1 The counterfeit bank notes can be impounded by

a) All branches of public sector b) All branches of foreign bans

c) All branches of private banks d) All of the above

2 A currency note, suspected to be counterfeit shall be branded with a stamped

a) 6cm X 6cm b) 4cm X 4cm

c) 5 cm X 5cm d) No stipulated measurements

3 Small coin depot is the property of

c) Govt. of India d) None of the above

c) 100, 100 d) 50, 25

c) Govt. of India d) None

a) RBI b) Govt. of India

c) Corporate Centre d) None

PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 9

a) DGM (B&O) b) GM network

a) RBO b) Audit department

c) BPMM department d) Respective branch

10 Fidelity insurance cover for single window operator is Rs.

c) 1 lac d) 7.5 lac

11 When excess cash is found in the cash department, it is credited to

a) Commission account b) Sundry deposit

c) Charges (others) d) Separate BGL account created for the

c) 1000 d) No employee is responsible for both quality

14 Recounting is not required for denominations upto Rs._____

PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 10

a) Employee's salary A/c. b) Will be written off

c) Recalled Assets A/c. d) None

16 Ceiling for petty cash expense is Rs.

c) none d) Done away with

17 In respect of IBCH procedure, the size of aluminium box should be

18 Security thread is found in all genuine notes of Rs.

a) All denominations b) 2 and above

c) 5 and above d) 10 and above

19 The CO's hand balance is verified by the accountant completely

a) daily b) Not verified

c) Every Friday d) Weekly once

a) Drawer of the instrument b) Passing officer

c) Payee / person receiving d) none

21 Entries in vault register are to be made by

a) Cash officer b) Joint custodian of cash other than CO

c) Either of joint custodians d) Any employee in branch

22 The vault register must always remain in the custody of

c) Strong room d) Any where

PRMOTIONAL MATERIAL FOR 2015-2016 TEAM SBLC HYDERABAD 11

a) S35 of BR act b) S 35A of RBI act

c) S 35A of NI act d) None

25 Inter-loaning of cash among cashiers / CO is recorded in

a) Vault register b) Currency chest book

c) Cash receipt / delivery book d) none