RETAIL BANKING : QUIZ - 4

1. Which one of the following statements is appropriate in respect of Securitization Process? (i) The lender first selects the assets they want to securitize. (ii) The issuer (Special Purpose Vehicle) makes payment to the lender for the loans securitized. (iii) The assets are converted into a pool of securities by the lender for the purpose of issuing Pass through Certificate (PTC). (iv) The PTC are sold to other investors who are willing to invest.

• (a) (i) & (iii) only
• (b) (ii) & (iv) only
• (c) (i), (ii) & (iv) only
• (d) (i), (ii), (iii) & (iv) above.

2. What does securitization mean?

• (a) Disposal of securities towards recovery of loan overdue.
• (b) Pooling individual loans and selling as a package
• (c) Trading in securities and other market instruments
• (d) Issuing new securities for a bank to raise money for lending.

3. Securitization can be effected for________________.

• (a) Standard assets only
• (b) Rated accounts only
• (c) Standard & Sub-standard assets
• (d) All the above.

4. RBI has since revised/reduced Minimum Holding Period (MHP) for securitization.

• (a) From 12 months to 6 months
• (b) From 24 months to 12 months
• (c) From 12 months to 9 months
• (d) No change

5. NARCL has been set up by:

• (a) Government of India
• (b) State Governments
• (c) By Banks
• (d) None of the above.

6. Bank marketing refers to : (i) Identifying the most profitable markets now and in the future. (ii) Assessing the present and future needs of customers. (iii) Setting business development goals and making plans to meet them. (iv) Adapting to a changing environment in the market place

• (a) (i) & (ii) only
• (b) (ii) & (iii) only
• (c) (i), (iii), (iv) only
• (d) (i), (ii), (iii) & (iv) above.

7. Marketing Mix refers to :

• (a) Product & Price
• (b) Promotgion & Place
• (c) People & Process & Physical evidence
• (d) All the above.

8. All the "P"s in marketing mix are interlinked. In order to effectively develop and market a product or service in the retail banking space, which one of the element is not relevant?

• (a) Product
• (b) Promotion
• (c) Priority
• (d) Process

9. In which stage of the marketing process does an organization answer questions like “Who, Where, When, and How” for the offering?

• (a) Marketing planning
• (b) Marketing Control
• (c) Marketing Analysis
• (d) Marketing implementation.

10. Electronic Channels in retail banking refers to _________.

• (a) ATMs
• (b) Internet Banking
• (c) Mobile Banking
• (d) All the above.