WorksheetsIntro to Retail Banking Course Revision Quiz
Total questions: 102
Worksheet time: 34mins
Name
Class
Date
1.
3. Which of the following is the primary function of retail banks in the economy?
a)
E) Gathering savings and channeling funds to borrowers
b)
A) Facilitating international trade
c)
B) Providing insurance services
d)
C) Administering government bonds
e)
D) Managing investment portfolios
2.
2. Which of the following is NOT one of the principal things that a retail bank does for customers?
a)
A) Keep their money safe and lend money
b)
B) Handle payments (incoming and outgoing) and pay interest on savings
c)
C) Register customers for loan classes
d)
D) Keep track of what they receive and spend
e)
E) Offer other products, such as insurance
3.
1. Which of the following is not the primary function of a bank?
a)
A) To recycle money
b)
B) To borrow short and lend long
c)
C) To manage risk
d)
D) To provide poor services
4.
4. Which of the following statements accurately reflects the age of the retail banking industry?
a)
D) Retail banking is a relatively new industry compared to human civilization.
b)
A) Retail banking is as old as human civilization itself.
c)
B) Retail banking has been around for a few centuries.
d)
C) Retail banking emerged only in the last couple of decades.
e)
E) Retail banking has been an established industry for thousands of years.
5.
6. Which countries were among the pioneers in the emergence of the modern retail banking industry?
a)
A) Brazil, Russia, India, China
b)
B) United States, Western Europe, Japan, Australia, and New Zealand
c)
C) Mexico, South Africa, South Korea, Canada
d)
D) Argentina, Turkey, Egypt, Indonesia
e)
E) Nigeria, Saudi Arabia, Iran, Pakistan
6.
5. Which industry started to emerge in the world's more affluent nations by the middle of the twentieth century?
a)
A) Agriculture
b)
B) Manufacturing
c)
C) Retail banking
d)
D) Technology
e)
E) Healthcare
7.
8. During the 1490s, which groups were the primary clients of early banks in Italy, while ordinary people were excluded from their services?
a)
A) Farmers and peasants
b)
B) Kings and princes, the church and wealthy merchants
c)
C) Artists and intellectuals
d)
D) Soldiers and warriors
e)
E) Musicians
8.
9. Which of the following banks helped fund the colonialization of Asia and contributed to making Holland a wealthy country in the 1600s?
a)
A) Bank of Italy
b)
B) Bank of Spain
c)
C) Bank of Amsterdam
d)
D) Bank of France
e)
E) Bank of Nigeria
9.
7. Which individuals are typically provided with private banking services?
a)
A) Low-income individuals
b)
B) Middle-class individuals
c)
C) Wealthy and high-net-worth individuals
d)
D) Students
e)
E) Retirees
10.
10. Which of the following statements accurately describes the role of early European banks in the colonial era?
a)
B) Early European banks played a crucial role in funding exploration and conquest during the era of colonial empires.
b)
A) Early European banks primarily focused on promoting trade and economic development within their own countries.
c)
C) Early European banks had no significant impact on the colonial ventures of European countries.
d)
D) Early European banks primarily served as storage facilities for precious metals and other valuable resources.
e)
E) Early European banks were established after the era of colonial empires and did not contribute to their funding.
11.
11. Which of the following institutions emerged in the eighteenth and nineteenth centuries to provide basic banking services to the average person?
a)
A) Credit unions
b)
B) Investment banks, building societies, savings banks
c)
C) Commercial banks, cooperative banks
d)
D) Central banks, cooperative banks, building societies
e)
E) Savings banks, post offices, cooperative banks, building societies
12.
12. Which group played a significant role in providing credit to consumers during the 1920s?
a)
A) Farmers and agricultural workers
b)
B) Government agencies and banks
c)
C) Retailers and merchants
d)
D) Industrial workers and labor unions
e)
E) Artists and intellectuals
13.
14. The _________ network emerged from early schemes by retailers to allow customers pay their bills at the end of the month – providing the structure for the credit card industry
a)
D) Card
b)
A) Branch
c)
B) Cash
d)
C) Customer
e)
E) Retail
14.
13. Who founded Bank of America?
a)
A) John Pierpont Morgan
b)
B) J. P. Morgan
c)
C) Andrew Carnegie
d)
D) Benjamin Franklin
e)
E) Amadeo Giannini
15.
15. What legislative act (banking act) was signed into law by US President Franklin D. Roosevelt in response to the crash of 1929?
a)
A) The Securities Act of 1933
b)
B) The Glass-Steagall Act
c)
C) The Federal Reserve Act
d)
D) The Sherman Antitrust Act
e)
E) The Emergency Banking Act
16.
16. In 1933, which scheme did US President Franklin D Roosevelt also introduce after the crash?
a)
A) Housing Allowance Scheme
b)
B) Federal Deposit Insurance Scheme
c)
C) The Federal Reserve Scheme
d)
D) The Sherman Antitrust Scheme
e)
E) The Emergency Fund Scheme
17.
17. When did Joint-stock commercial banks realize the potential of the retail market?
a)
A) During the First World War
b)
B) During the Second World War
c)
C) Before the First World War
d)
D) In the years preceding the Second World War
e)
E) After the Second World War
18.
18. What was a common trend observed in various countries' financial institutions such as building societies, savings and loan associations, and savings banks?
a)
A) Transition to digital banking platforms
b)
B) Mergers with credit unions
c)
C) Conversion into commercial banks
d)
D) Establishment of cooperative banks
e)
E) Expansion into international markets
19.
20. Which service did commercial banks commonly offer to retail customers in the 1980s?
a)
A) Mortgage loans for purchasing homes
b)
B) Investment accounts for stock trading
c)
C) Retirement accounts for long-term savings
d)
D) Current/checking/salary accounts with cheque books for making payments
e)
E) Credit cards for convenient purchasing
20.
21. Which of the following developments occurred in the 1980s?
a)
D) The proliferation of branches and ATMs and the widespread use of plastic cards for check guarantees and cash withdrawals
b)
A) The proliferation of online banking
c)
B) The introduction of mobile banking apps
d)
C) The establishment of the first bank branch
e)
E) The implementation of biometric authentication for transactions
21.
22. Which of the following services were offered in addition to banking products in the 1980s?
a)
D) Travelers’ cheques, insurance, brokerage, safe deposit boxes, inheritance planning, and Wills
b)
A) Cryptocurrency trading
c)
B) Online shopping platforms
d)
C) Travel booking services
e)
E) Social media networking
22.
24. During the computerization of various industries, which company was frequently chosen as the preferred vendor for complex and large-scale implementations in banks?
a)
A) Microsoft
b)
B) Apple
c)
C) IBM
d)
D) Google
e)
E) Amazon
23.
19. _________ of building societies (in the UK, Ireland, South Africa, Australia, and New Zealand), savings and loan associations (in the US), and savings banks and the like (in mainland Europe) became commonplace – and were eventually absorbed into commercial banks
a)
B) Demutualisation
b)
A) Transition to digital banking platforms
c)
C) Dehumanisation
d)
D) Demystification
e)
E) Expansion
24.
25. In 1965, which bank in Japan became the first to install the first System/360, aiming to centralize and expedite its operations?
a)
A) Tokyo Bank
b)
B) Osaka Bank
c)
C) Nagasaki Bank
d)
D) Hiroshima Bank
e)
E) Tokai Bank of Nagoya
25.
23. In the history of technological applications, which banks were early adopters of IBM mainframe computers in the 1950s and 1960s?
a)
A) Telecommunications industry
b)
B) Healthcare industry banks
c)
C) Automotive industry banks
d)
D) Big international banks
e)
E) Retail fraudulent banks
26.
28. According to IBM, how many out of the 50 largest global banks still rely on IBM mainframes for their operations, despite the advancements in cloud computing?
a)
A) 10
b)
B) 20
c)
C) 30
d)
D) 44
e)
E) 50
27.
27. In which countries did IBM assist in bringing banking operations online during the 1960s and '70s?
a)
A) Brazil, China, Singapore, Venezuela, and South Africa
b)
B) Argentina, India, Malaysia, Australia, and Colombia
c)
C) Mexico, Japan, Thailand, Indonesia, and Russia
d)
D) Brazil, China, Singapore, and Venezuela
e)
E) Brazil, China, Singapore, Venezuela, and Japan
28.
26. In 1971, which bank in Southeast Asia became the first to implement online transactions on an IBM mainframe, utilizing the System/360?
a)
A) Bank of Singapore
b)
B) Maybank
c)
C) Bangkok Bank
d)
D) DBS Bank
e)
E) CIMB Bank
29.
29. Which two inventions played significant roles in the establishment of the retail banking industry and were supported by powerful centralized mainframe computers?
a)
C) Credit card and debit card (launched in the US in the 1950s) and the ATM (invented in the UK in 1966)
b)
A) Online banking and mobile banking
c)
B) Contactless payments and biometric authentication
d)
D) Digital wallets and cryptocurrency
e)
E) Virtual reality banking and voice banking
30.
31. In 1970, approximately how many credit cards were in circulation as a result of Bank of America licensing their credit card to banks outside California and expanding internationally?
a)
A) 100,000
b)
B) 500,000
c)
C) 1 million
d)
D) 2 million
e)
E) 5 million
31.
30. Which financial institution launched BankAmericard in Fresno, California, which eventually evolved into the Visa network?
a)
A) Wells Fargo
b)
B) Citibank
c)
C) JPMorgan Chase
d)
D) Bank of America
e)
E) Goldman Sachs
32.
32. Which three competitors emerged against Bank of America in the credit card industry?
a)
A) Visa, Discover, Capital One
b)
B) Mastercard, Discover, American Express
c)
C) Visa, Mastercard, Discover
d)
D) American Express, Discover, Capital One
e)
E) Mastercard, Diners Club, American Express
33.
34. Which event occurred in 1976 regarding the management of the international network by an international bank?
a)
A) The formation of an international bank.
b)
B) The renaming of both companies as VISA USA and VISA International.
c)
C) The establishment of VISA USA.
d)
D) The establishment of VISA International.
e)
E) The merger of both companies.
34.
35. In which decade did the automated teller machine (ATM) launched by Barclays in the UK gain significant popularity?
a)
A) 1950s
b)
B) 1960s
c)
C) 1970s
d)
D) 1980s
e)
E) 1990s
35.
36. In which decade was the automated teller machine (ATM) launched by Barclays in the?
a)
A) 1950s
b)
B) 1960s
c)
C) 1970s
d)
D) 1980s
e)
E) 1990s
36.
33. Who played a key role in transforming Bankamericard into VISA by convincing the Bank of America to relinquish the Bankamericard branding for expansion with other banks?
a)
A) Steve Jobs
b)
B) Mark Zuckerberg
c)
C) Dee Hock
d)
D) Bill Gates
e)
E) Jeff Bezos
37.
39. Which measure are regulators implementing in certain countries, such as the UK, to ensure the separation of consumer deposits from other divisions of a universal bank?
a)
A) Imposing stricter lending regulations
b)
B) Requiring universal banks to disclose their financial statements
c)
C) Forcing universal banks to diversify their investment portfolios
d)
D) Enforcing mandatory consumer protection programs
e)
E) Mandating the separation of consumer deposits from other bank divisions
38.
38. What is the term commonly used to refer to banks that consist of a retail bank, a corporate/wholesale bank division, and an investment bank division?
a)
A) Stand-alone banks
b)
B) Commercial banks
c)
C) Universal banks
d)
D) Retail banks
e)
E) Investment banks
39.
41. What percentage of GDP and employment do SMEs account for in many countries?
a)
A) Up to 20 percent
b)
B) Up to 40 percent
c)
C) Up to 60 percent
d)
D) Up to 80 percent
e)
E) Up to 100 percent
40.
42. How do Islamic banking and finance differ from the Western banking tradition?
a)
D) It operates according to a different convention from the Western banking tradition
b)
A) It follows the same conventions as the Western banking tradition
c)
B) It has no significant differences compared to the Western banking tradition
d)
C) It operates according to similar conventions as the Western banking tradition
e)
E) It operates solely on religious principles
41.
37. Which of the following banks is mentioned as an example of a retail stand-alone bank in the text?
a)
A) Barclays
b)
B) HSBC
c)
C) Santander
d)
D) Starling Bank
e)
E) Capitec
42.
40. Which two segments are mentioned as important in retail banking alongside the mass consumer market?
a)
C) Small and medium-sized businesses (SMEs) and wealthy and High-net-worth individuals
b)
A) Start-up companies and large corporations
c)
B) Low-income individuals and students
d)
D) Non-profit organizations and government agencies
e)
E) Rural communities and urban dwellers
43.
43. How do Islamic banks generate profit for their customers and invest their deposits?
a)
D) By paying profit to savers and investing in ethical, Sharia-compliant trading activities.
b)
A) By paying interest to savers and investing in non-Sharia-compliant trading activities.
c)
B) By paying interest to savers and investing in ethical, Sharia-compliant trading activities.
d)
C) By paying profit to savers and investing in non-Sharia-compliant trading activities.
e)
E) By paying dividends to savers and investing in ethical, Sharia-compliant trading activities.
44.
47. Which country implemented legislation called "ringfencing" to address the potential abuses of universal banking?
a)
A) United States
b)
B) Germany
c)
C) China
d)
D) Japan
e)
E) United Kingdom
45.
45. Which of the following occurred as a result of the 2007-2008 Global Financial Crisis?
a)
A) Governments bailed out many major banks.
b)
B) Governments imposed stricter regulations on the banking industry.
c)
C) Governments initiated criminal investigations against bankers.
d)
D) Governments implemented policies to prevent future financial crises.
e)
E) Governments took over ownership of the banking industry.
46.
46. What was the approach adopted by regulators worldwide in response to banks involved in improper activities following the 2007-2008 Global Financial Crisis?
a)
A) They implemented stricter regulations for the banking sector.
b)
B) They imposed jail sentences on the individuals responsible for the misconduct.
c)
C) They revoked the banking licenses of guilty institutions.
d)
D) They opted for financial assistance to bail out the banks.
e)
E) They imposed large fines on the banks found guilty.
47.
48. What is the main requirement of the "ringfencing" legislation imposed on the largest banks in the UK?
a)
A) To merge retail and investment banking services.
b)
B) To expand international banking activities.
c)
C) To separate core retail banking services from investment and international banking activities.
d)
D) To abolish retail banking services.
e)
E) To regulate investment banking activities.
48.
50. What are some of the names used by the first fintechs that emerged in the last decade?
a)
D) Digital banks, neobanks, or challenger banks
b)
A) Traditional banks
c)
B) Traditional financial institutions
d)
C) Fintechs
e)
E) Established financial firms
49.
51. Which of the following fintech companies acquired banking licenses and expanded their services from offering a single service to providing a complete range of retail banking services?
a)
A) PayPal
b)
B) Stripe
c)
C) Transferwise (rebranded in 2021 to Wise)
d)
D) Venmo
e)
E) Square
50.
44. In which countries is Islamic banking now relatively commonplace, despite being previously banned in many Western countries?
a)
A) Asian countries
b)
B) African countries
c)
C) European countries
d)
D) Middle Eastern countries
e)
E) UK and US
51.
49. When did the term "fintech" gain common usage and what does it primarily refer to?
a)
A) Around 2005, referring to the use of technology in the finance industry.
b)
B) Around 2010, referring to the use of mobile devices in financial services.
c)
C) Around 2012, referring to the automation of financial processes.
d)
D) Around 2014, referring to the use of technologies and software in the delivery of financial services.
e)
E) Around 2018, referring to the integration of artificial intelligence in banking.
52.
52. Who launched Transferwise in 2011 with a focus on cross-border payments?
a)
A) Mark Zuckerberg
b)
B) Elon Musk
c)
C) Jeff Bezos
d)
D) Former Skype founder and a partner
e)
E) Jack Dorsey
53.
53. What was the transformation that occurred to Transferwise, now known as Wise?
a)
A) It started offering neobanks as an app-within-an-app.
b)
B) It expanded its services to include B2B payments.
c)
C) It rebranded itself as a neobank.
d)
D) It launched a new app for cross-border payments.
e)
E) It partnered with other fintech companies to offer expanded services.
54.
54. In which jurisdiction did TransferWise become the first non-bank to connect to the country's real-time payments system?
a)
A) United States
b)
B) United Kingdom
c)
C) Canada
d)
D) Australia
e)
E) Germany
55.
56. What was the primary source of income for Revolut according to its business case?
a)
A) Advertising revenue
b)
B) Transaction fees
c)
C) Subscription fees
d)
D) Interchange fees, other add-on fees, and Business Account fees
e)
E) Investment income
56.
55. How did Revolut initially launch its services?
a)
A) As a traditional bank
b)
B) As a credit card provider
c)
C) As a digital wallet
d)
D) As a prepaid card and app
e)
E) As a peer-to-peer payment platform
57.
57. What is the typical business model of neobanks in terms of income generation?
a)
A) Relying on advertising revenue
b)
B) Generating income through interest rates
c)
C) Earning income from investment portfolios
d)
D) Operating on a commission-based income model
e)
E) Generating income through fee-based services
58.
58. What approach do most neobanks adopt to balance their income streams?
a)
A) Expanding their fee-based services
b)
B) Diversifying into insurance products
c)
C) Partnering with traditional banks
d)
D) Incorporating investment services
e)
E) Offering lending services
59.
59. The launch of the _________ around 2008 would change banking
a)
A) Batteries
b)
B) Smartphone
c)
C) Power banks
d)
D) Mainframes
e)
E) Offering lending services
60.
62. What is a key advantage of digital banks compared to traditional banks in terms of their geographical reach?
a)
A) Digital banks can offer services internationally.
b)
B) Digital banks have a larger branch network.
c)
C) Traditional banks can offer services anywhere within a regulated territory.
d)
D) Digital banks are not limited by geographical constraints.
e)
E) Traditional banks have better coverage in rural areas.
61.
60. What technological developments paved the way for the emergence of the first mobile-first banks?
a)
A) The rise of social media platforms
b)
B) The introduction of smartwatches
c)
C) The development of artificial intelligence
d)
D) The arrival and widespread adoption of smartphones and the app store
e)
E) The expansion of cloud computing services
62.
61. What is the primary business model of traditional banks?
a)
A) Providing investment services to clients
b)
B) Earning revenue from advertising and sponsorships
c)
C) Offering fee-based financial advisory services
d)
D) Building branches and gathering cheap funding through customer deposits
e)
E) Generating income through selling insurance products
63.
63. What is a characteristic feature of the digital banking business model?
a)
A) Extensive branch network
b)
B) Focus on in-person customer service
c)
C) Multiple physical banking locations
d)
D) Branchless model with the bank app as the customer's interface
e)
E) Emphasis on traditional banking methods
64.
64. What is a key characteristic of the digital bank model in terms of customer transactions?
a)
A) Customers rely heavily on bank staff for payment initiation and confirmation.
b)
B) Customers primarily use physical bank branches for transactions.
c)
C) Customers have limited control over their payments.
d)
D) Customers initiate and confirm payments themselves through self-service.
e)
E) Customers rely on third-party apps for payment processing.
65.
66. How are customer inquiries typically addressed in digital banking?
a)
A) Through in-person meetings at bank branches
b)
B) By sending physical letters or mail
c)
C) Via email communication with bank representatives
d)
D) Through online chat in an app or on a bank website or a dedicated call centre
e)
E) By visiting a dedicated call center
66.
65. What advantage does the mobile-based model offer customers compared to desk-based computers or laptops?
a)
A) Access to a wider range of services
b)
B) Lower transaction fees
c)
C) Faster processing times for transactions
d)
D) Enhanced security features
e)
E) 24/7 access to their services
67.
67. When did the European Union (EU) first introduce regulations for Electronic Money?
a)
A) 1995
b)
B) 2000
c)
C) 2002
d)
D) 2005
e)
E) 2010
68.
68. Under the Electronic Money Directive introduced by the EU in 2002, what requirement did payments businesses, including banks, have to fulfill?
a)
A) Acquire a Payment Services license
b)
B) Establish a physical branch for e-money services
c)
C) Obtain a Digital Banking license
d)
D) Comply with Anti-Money Laundering regulations
e)
E) Operate under an E-Money license
69.
69. What has the E-Money license allowed for in the financial industry?
a)
A) Expansion of traditional banking services
b)
B) Introduction of new regulations for fintech businesses
c)
C) Increased competition between banks and fintech businesses
d)
D) Restriction of payment services to banks only
e)
E) Consolidation of fintech businesses under one regulatory body
70.
71. What was the purpose of introducing open banking?
a)
A) Enhancing customer data privacy and security
b)
B) Facilitating cross-border payments
c)
C) Streamlining financial regulations
d)
D) Promoting innovation and competition in the payments market
e)
E) Reducing transaction fees for customers
71.
72. What does open banking specifically authorize in the payments chain?
a)
A) Introduction of new payment methods
b)
B) Implementation of stricter security measures
c)
C) Expansion of traditional banking services
d)
D) Participation of new players in the payments chain
e)
E) Centralization of payment processing systems
72.
70. Which approach did major digital banks such as Revolut and Monzo initially adopt when they emerged in the financial industry?
a)
A) Providing traditional banking services
b)
B) Operating as investment firms
c)
C) Offering insurance products
d)
D) Functioning as payment players under e-money licenses
e)
E) Specializing in cryptocurrency transactions
73.
76. What does open banking involve in terms of sharing financial data?
a)
A) Sharing bank customer financial data with unauthorized third parties
b)
B) Sharing bank customer personal data with authorized third parties
c)
C) Sharing bank customer financial data with authorized third parties via open APIs
d)
D) Sharing bank customer financial data with competitors only
e)
E) Sharing bank customer financial data with government agencies
74.
73. Under open banking regulations, what type of services can new third-party providers (TPPs) offer?
a)
A) Enhanced customer support services
b)
B) Compliance auditing services
c)
C) Traditional banking services
d)
D) Automated and API-based services
e)
E) Security consulting services
75.
74. What types of services do Account Information Service Providers (AISP) and Payment Initiation Service Providers (PISP) allow businesses to offer?
a)
A) Customer support services
b)
B) Fraud detection services
c)
C) Insurance services
d)
D) Value-added services on top of payments
e)
E) Financial advisory services
76.
79. In Brazil, which payment system combines with Open Banking to enable fast and low-cost low value payments?
a)
A) NEFT (National Electronic Funds Transfer)
b)
B) ACH (Automated Clearing House)
c)
C) RTGS (Real-Time Gross Settlement)
d)
D) UPI (Unified Payments Interface)
e)
E) Pix payment system
77.
75. Which of the following is an example of a value-added service offered by Account Information Service Providers (AISP) and Payment Initiation Service Providers (PISP)?
a)
A) Currency exchange services
b)
B) Credit scoring services
c)
C) Personal finance management tools
d)
D) International money transfer services
e)
E) Automation of receipt capture and integration of loyalty points and splitting of bills between cards or wallets
78.
77. What regulatory framework, similar to the UK's Open Banking, is experiencing increasing adoption worldwide?
a)
C) EUs PSD2 (Payment Services Directive 2)
b)
A) GDPR (General Data Protection Regulation)
c)
B) AML (Anti-Money Laundering) Directive
d)
D) MiFID II (Markets in Financial Instruments Directive II)
e)
E) FATCA (Foreign Account Tax Compliance Act)
79.
78. Which of the following countries are implementing a form of Open Banking?
a)
A) Germany¸ Australia, Japan, Brazil and Mexico
b)
B) France, Australia, Japan, Brazil and Mexico
c)
C) Singapore, Australia, Japan, Brazil and Mexico
d)
D) Canada, Australia, Japan, Brazil and Mexico
e)
E) Italy, Australia, Japan, Brazil and Mexico
80.
80. According to Brazil's Central Bank chief, the new system is expected to enable banks to easily offer credit to customers and potentially render which payment method obsolete?
a)
A) Cash payments
b)
B) Mobile payments
c)
C) Cheque payments
d)
D) Debit card payments
e)
E) Credit card payments
81.
81. What type of financial institution facilitates online payments without requiring a credit or debit card?
a)
A) Payment Gateway
b)
B) Acquirer Bank
c)
C) Payment Processor
d)
D) Payment Initiation Service Provider (PISP)
e)
E) Issuing Bank
82.
82. What is one key difference between Account Information Service Providers (AISPs) and Payment Initiation Service Providers (PISPs)?
a)
A) AISPs have "read-write" access to financial data, while PISPs do not
b)
B) AISPs only provide information about account balances, while PISPs facilitate online payments.
c)
C) AISPs require credit or debit card information, while PISPs do not.
d)
D) AISPs focus on value-added services, while PISPs focus on account management.
e)
E) AISPs operate through mobile apps, while PISPs operate through online platforms.
83.
84. Which type of transactions are made possible with P2P services?
a)
A) Contactless payments at physical stores.
b)
B) Sending money internationally through a mobile app.
c)
C) Automating monthly transfers to a savings account.
d)
D) Real-time money transfers between different bank accounts.
e)
E) Accessing real-time stock market data.
84.
86. Which of the following options is NOT part of the requirements for strong customer authentication?
a)
A) Something the customer knows (Password or PIN)
b)
B) Something the customer has (Phone or Hardware Token)
c)
C) Something the customer is (Fingerprint, Face ID)
d)
D) Something the customer sees (One-time password)
e)
E) A, B, and C
85.
85. What instruction have regulators given to payments businesses regarding their solutions?
a)
A) Offer solutions exclusively for consumers with mobile phones.
b)
B) Focus on serving consumers who already have mobile phones.
c)
C) Provide solutions only to consumers who want a mobile phone.
d)
D) Exclude consumers who do not have or want a mobile phone.
e)
E) Ensure solutions are inclusive for all consumers, regardless of mobile phone ownership or preference.
86.
83. In which scenario can Payment Initiation Services be utilized?
a)
A) Enabling contactless payments at physical stores.
b)
B) Sending money internationally through a mobile app.
c)
C) Automating monthly transfers to a savings account.
d)
D) Applying for a credit card online.
e)
E) Accessing real-time stock market data.
87.
90. What is the current state of banks in terms of providing comprehensive financial services?
a)
C) Banks are no longer the one-stop shop in financial services
b)
A) Banks are still the one-stop shop in financial services
c)
B) Banks are gradually becoming the one-stop shop in financial services
d)
D) Banks are expanding their services beyond financial offerings
e)
E) Banks are struggling to compete with other financial service providers
88.
87. What does Banking-as-a-service (BaaS) provide to bank customers?
a)
A) Access to third-party services provided by other banks or financial providers
b)
B) Access to social media platforms
c)
C) Access to shopping discounts
d)
D) Access to transportation services
e)
E) Access to healthcare services
89.
88. What is the characteristic of the marketplace model in Banking-as-a-service (BaaS)?
a)
A) Customers can engage new services through pre-approved apps in the bank app marketplace
b)
B) Customers can engage new services through physical branches
c)
C) Customers can engage new services through email communication
d)
D) Customers can engage new services through social media platforms
e)
E) Customers can engage new services through phone calls to the bank
90.
91. Which of the following banks operating out of the UK today can be classified as former colonial banks?
a)
A) Lloyds Bank
b)
B) NatWest, Barclays and Standard Chartered
c)
C) Santander, Barclays and Standard Chartered
d)
D) HSBC, Barclays and Standard Chartered
e)
E) RBS, Barclays and Standard Chartered
91.
89. What is the advantage for banks that make their services open to a wide variety of customers?
a)
A) They are likely to win more business, and to function better in an ecosystem environment
b)
B) They are likely to lose business
c)
C) They are likely to face more competition
d)
D) They are likely to have limited functionality
e)
E) They are likely to have higher operating costs
92.
92. Which bank has its roots in African colonial banking and led the financing of British colonialism across Africa?
a)
A) Barclays
b)
B) NatWest
c)
C) Lloyds Bank
d)
D) HSBC
e)
E) Standard Chartered
93.
93. Which banks merged in 1969 to form Standard Chartered Bank?
a)
A) HSBC and Barclays
b)
B) Lloyds Bank and NatWest
c)
C) Standard Bank and British Bank of West Africa
d)
D) Santander and RBS
e)
E) Standard Bank and Chartered Bank
94.
94. Which bank was the first indigenous bank, established in Lagos in 1886?
a)
A) Barclays
b)
B) Standard Chartered
c)
C) Treasury Savings Bank
d)
D) HSBC
e)
E) Lloyds Bank
95.
95. Prior to independence, which banks dominated the deposit market with a combined share of 90%?
a)
A) Barclays, Lloyds Bank, HSBC
b)
B) NatWest, Standard Chartered, RBS
c)
C) Treasury Savings Bank, Standard Bank, Chartered Bank
d)
D) United Bank of Africa, Barclays, Lloyds Bank
e)
E) United Bank of Africa, Standard Bank, Chartered Bank
96.
96. When was the Central Bank of Nigeria established?
a)
A) 1901
b)
B) 1959
c)
C) 1960
d)
D) 1948
e)
E) 1853
97.
100. In 2010, what action did the Central Bank of Nigeria take in response to the global financial crisis?
a)
A) Implement the universal banking model
b)
B) Introduce stricter regulations for all banks
c)
C) Merge commercial and merchant banks
d)
D) Establish specialized or development banks
e)
E) Reverse the universal banking model
98.
98. What policy change was implemented by the Central Bank of Nigeria in 2001?
a)
A) Reinforcement of retail and investment banking separation
b)
B) Introduction of stricter regulations for commercial banks
c)
C) Merger of commercial and merchant banks
d)
D) Imposition of restrictions on universal banking
e)
E) Establishment of a new regulatory body for the financial system
99.
97. What happened to the licenses of 26 banks operating in Nigeria in 1998?
a)
A) They were withdrawn
b)
B) They were renewed
c)
C) They were expanded
d)
D) They were transferred
e)
E) They were suspended temporarily
100.
102. What regulation did the Nigerian government introduce in 2019?
a)
A) Nigerian Data Protection Regulation (NDPR)
b)
B) Financial Security and Privacy Act
c)
C) Data Privacy and Protection Act
d)
D) Nigerian Consumer Data Regulation
e)
E) Government Data Handling Policy
101.
99. How many banks in Nigeria failed after the financial crisis of 2007-2008?
a)
A) Five banks
b)
B) Eight banks
c)
C) Ten banks
d)
D) Thirteen banks
e)
E) Fifteen banks
102.
101. What was the purpose of establishing the Asset Management Corporation of Nigeria?
a)
A) To oversee the operations of failed banks
b)
B) To establish new banking models in Nigeria
c)
C) To manage non-performing loans from failed banks
d)
D) To regulate the banking sector in Nigeria
e)
E) To provide financial assistance to troubled banks
100 %
