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IIBF Exam 21-35

Total questions: 15

Worksheet time: 15mins

Name
Class
Date
1.

An account holder who is not only unable to be

physically present in the bank but is also not even able

to put his/her thumb impression on the cheque/

withdrawal form due to certain physical incapacity,

wants to take cash payment. The bank will _______

a)

Refuse payment and advise to close down the account

b)

Obtain a mark on the cheque/ withdrawal form in the

presence of two independent witnesses, one of who

should be a responsible bank official.

c)

Obtain a mark on the cheque/ withdrawal form in the

presence of any two independent witnesses known to

the bank.

d)

Advise to obtain a medical certificate from Govt.

hospital indicating the stage of physical condition.

2.

In case of ‘Small Accounts’ an

account is opened based on _________

a)

A letter issued by any local government

authority.

b)

An introduction by an existing customer of

the bank.

c)

An introduction by two independent

persons.

d)

Self-declaration by the customer in the

presence of a designated officer of the

bank.

3.

Immediate Payment Service

(IMPS) offers inter-bank electronic funds

transfer through ________

i. Mobile Banking

ii. Internet Banking

iii. ATMs

iv. Credit Cards

a)

i and ii only

b)

ii and iii only

c)

i, ii and iii only

d)

i, ii iii and iv

4.

Those persons who do not

have any of the ‘officially valid

documents’ can open “Small

Accounts” with banks. The account

balance should not exceed any point

of time.

a)

Rs 10,000

b)

Rs 25,000

c)

Rs 50,000

d)

Rs 20,000

5.

The term Bank’s Customer

does not include _________

a)

Anyone coming to the bank with the

intention of opening his account.

b)

Anyone conducting a banking

transaction with the bank.

c)

An individual borrower of the bank.

d)

Any legal entity having a deposit

account with the bank.

6.

Which one of the following statements regarding the KYC requirements is correct?

a)

KYC verification is required to be done every time a customer opens another account with the bank.

b)

For opening an account of a student of Pakistani nationality prior approval of RBI is required

c)

KYC verification done once for a customer is valid for always.

d)

KYC verification is not required for opening an account of bank’s own staff

7.

Where the officially valid documents furnished by the customer does not have updated address the customer is required to submit any one of the following documents, with current address, within ______ time.

a)

60 days

b)

45 days

c)

Three months

d)

One month

8.

KYC means_________

a)

Know Your Clients

b)

Keep Your Customers

c)

Know Your Customer

d)

None of the above

9.

KYC process is intended to establish identity and ______ of a customer through documentary evidence.

a)

Address

b)

Income

c)

Occupation

d)

All of the above

10.

Which is the correct sequence of three stages of Money Laundering?

a)

Placement, Layering, Integration

b)

Layering, Cleansing, Placement

c)

Integration, Layering, Placement

d)

Placement, Laundering, Cleansing

11.

Bank A sanction and disbursed a sum of Rs 25,000 on 1/4/20XX. It charges 9% interest on the account on quarterly basis. The amount of interest to be charged in the account on 30/06/20XX would be _______.

a)

Rs 2250

b)

Rs 600

c)

Rs 563

d)

None of the above

12.

Which one of the following statements is correct in respect of interest on money?

a)

Interest is the price paid by a person for temporary use of someone else’s funds.

b)

Interest is the share in profit given by a person to the person who provided funds. 

c)

Interest is a gratuitous payment made by a person to the person who provided funds

d)

Interest is compensation paid by a person to the person who provided funds for erosion in value due to inflation.

13.

Your customer has deposited Rs 50,000 for two years at 7 % per annum with quarterly compounded interest which is reinvested in the account. The maturity amount on this deposit is ________

a)

Rs 57,000

b)

Rs 57, 444

c)

Rs 57,490

d)

None of the above

14.

Rate of interest is expressed as _______  .

a)

A percentage of principle

b)

A percentage of principle for a year

c)

The amount for a year

d)

The amount on the principle

15.

When in Housing loans banks offer lower EMI in the initial years and higher EMI in the later years, the concept is known as ________

a)

Step down repayment

b)

Variable EMI

c)

Step up repayment

d)

Adjusted loan