Banking Awareness Quiz for SBI CBO – Quiz 2

1.Ans (c)

This policy is also known as insurance-cum-investment category. Here, the policy holder gets the benefit of both insurance and investment. ULIP is more likely similar to mutual funds, since a part of the policy premium amount is towards insurance and the rest is invested in equity and debt instruments. Since, investments are made from a part of the policy amount, there are many benefits that are provided to the policy holder.

2.Ans (b)

An extension of Endowment Plans is Money Back Policy. Here, the policy holders will receive a fixed amount at specified intervals during the lifetime of the policy. In case, of sudden death of the policy holder, then the assured amount will be received by the beneficiary.

3.Ans(c)

NHB is wholly owned by Govt. of India as after 24 April 2019 notification of RBI, which contributed the entire paid-up capital. The general superintendence, direction and management of the affairs and business of NHB vest, under the Act, in a Board of Directors. The Head office of NHB is at New Delhi.

4.Ans (a)

No shareholder, other than RBI, shall be entitled to exercise voting rights in excess of ten percent of the issued capital, (Government, in consultation with RBI can raise the above voting right to more than ten percent).

5. Ans (e)

Rs.1000 notes introduced in October 2000 contain a readable, windowed security thread alternately visible on the obverse with the inscriptions ‘Bharat’ (in Hindi), ‘1000’ and ‘RBI’, but totally embedded on the reverse. The Rs.500 and Rs.100 notes have a security thread with similar visible features and inscription ‘Bharat’ (in Hindi), and ‘RBI’. When held against the light, the security thread on Rs.1000, Rs.500 and Rs.100 can be seen as one continuous line. The Rs.5, Rs.10, Rs.20 and Rs.50 notes contain a readable, fully embedded windowed security thread with the inscription ‘Bharat’ (in Hindi), and ‘RBI’. The security thread appears to the left of the Mahatma’s portrait. Notes issued prior to the introduction of the Mahatma Gandhi Series have a plain, non-readable fully embedded security thread.

6.Ans (d)

There are in total 22 Banking Ombudsman office. The latest one is at New Delhi.

The 22 centres are located in different cities viz. Ahmedabad, Bengaluru, Bhopal, Bhubaneswar, Chandigarh, Chennai, Guwahati, Hyderabad, Jaipur, Kanpur, Kolkata, Mumbai (I), Mumbai (II), New Delhi (I), New Delhi (II), New Delhi (III), Patna, Thiruvananthapuram, Dehradun, Ranchi, Raipur, and Jammu.

7.Ans (e)

The Damodaran Committee was set up in 2010 by RBI to look into banking services rendered to retail and small customers, including pensioners and also to look into the system of grievance redressal mechanism prevalent in banks, its structure and efficacy and suggest measures for expeditious resolution of complaints.

8.Ans (a)

The Banking Ombudsman shall send to the Governor, Reserve Bank, a report, as on 30

th June every year, containing a general review of the activities of his Office during the preceding financial year and shall furnish such other information as the Reserve Bank may direct.

9. Ans (b) Market risk

10.Ans (a) Basel II also provides banks with more informed approaches to calculate capital requirements based on credit risk, while taking into account each type of asset’s risk profile and specific characteristics. The two main approaches include the: Standardized approach, Internal ratings-based approach (Foundation Internal Ratings-based approach and Advanced Internal Ratings-based approach)