WorksheetsNPA QUIZ for officers
Total questions: 60
Worksheet time: 20mins
Name
Class
Date
1.
Stock/Book Debt Audit is to be carried out compulsorily in all accounts having fund- based working capital limits with our Bank (including DA LC limit) of over Rs. ____
a)
1 crore
b)
2 crore
c)
5 crore
d)
10 crore
e)
None of above
2.
Out of the following, select the criteria for Classification of Special Mention Account category – 2 (SMA – 2)
a)
Principal or interest payment overdue between 31-60 days.
b)
Principal or interest payment overdue between 61-90 days.
c)
Principal or interest payment overdue between 91-120 days.
d)
Principal or interest payment overdue between 121-180 days.
e)
None of above
3.
A ___________ is one where a suspicion of fraudulent activity is thrown up by the presence of one or more Early Warning Signals (EWS)
a)
Non Performing Account
b)
Special Mentioned Account
c)
Red Flagged Account
d)
Block Listed Account
e)
None of above
4.
Delay of 90 days or more in non-renewal of facilities based on audited financials, is one of the Illustrative signs of stress for categorising an account as ______
a)
SMA 0
b)
SMA 1
c)
SMA 2
d)
NPA
e)
None of above
5.
What is the full form of “CRILC”?
a)
Central Repository of Information on Large Credits
b)
Central Repository of India on Large Credits
c)
Combined Registry of India on Large Credits
d)
Combined Registry of Information on Large Credits
e)
None of above
6.
In the case of bills purchased and discounted, the bill remains overdue for a period of more than 90 days, then the account is called as _____
a)
Out of Order
b)
Overdue
c)
SMA
d)
NPA
e)
None of above
7.
Single line format of PSR is applicable for retail advances up to ____
a)
Rs.1.00 lac
b)
Rs.2.00 lac
c)
Rs.5.00 lac
d)
Rs.10.00 lac
e)
None of above
8.
Within how many days, the branch to submit PSR to higher authority, if retail advances exceeds the amount of Rs.5.00 lacs?
a)
2
b)
3
c)
4
d)
5
e)
None of above
9.
MMR above Rs.10.00 crores is monitored by _____
a)
Branch
b)
Regional Office
c)
Zonal Office
d)
BCC
e)
None of above
10.
Account is classified as loss when there is no security or value of security is less than ______ % of outstanding balance.
a)
5%
b)
10%
c)
15%
d)
50%
e)
None of above
11.
An agricultural account will slip into NPA if ____
a)
Installment or interest is overdue for more than 90 days
b)
Installment or interest is overdue for more than 180 days
c)
Installment or interest is overdue for more than one crop season in case of long duration crop
d)
Installment or interest is overdue for more than one crop seasons in case of short-duration crop
e)
None of above
12.
In case an account in doubtful category-II with secured assets i.e. for more than 12 months but less than 36 months, the provision to be made is ____-
a)
1
b)
0.4
c)
0.25
d)
0.15
e)
None of above
13.
The account will be classified as NPA, if it remained un-reviewed for the period of _____
a)
more than 90 days
b)
more than 120 days
c)
more than 60 days
d)
more than 180 days
e)
None of above
14.
Special Mention account (SMA) is the period falling between the following
a)
Substandard and Doubtful category-I
b)
Standard and sub-standard category
c)
Doubtful-III and Loss category
d)
Loss account and written off account
e)
None of above
15.
Net NPA is the amount of Gross NPA less
a)
Interest debited to borrower’s account
b)
Interest suspense
c)
Provision held in respect of NPAs
d)
Provision held in respect of NPAs, unrecognized income kept in interest suspense account and claim received, but not appropriated.
e)
None of above
16.
In case of standard asset the general provision to be made against the total outstanding of direct agricultural loans and direct loans to Micro & Small Enterprise is _____ %.
a)
1
b)
0.25
c)
0.4
d)
No Provision required
e)
None of above
17.
Where an advance account is guaranteed by the ECGC or CGTMSE and it has been classified as doubtful, the banks are required to do the provisioning based on following :
a)
Not to provide any provisioning
b)
Have to provide provision like any other NPA account
c)
Not to provide Provision on the amount receivable from the guaranteeing organization
d)
Provide provision only for the unsecured amount
e)
None of above
18.
Based on IRAC Norms Asset classification of accounts under consortium should be based on ____
a)
on the record of recovery of the individual member banks
b)
on the record of recovery of the Consortium Leader
c)
on the record of recovery of the any two member banks
d)
on the record of recovery of 60% of member banks
e)
None of above
19.
“IRAC” is the abbreviation of _____
a)
Income realisation and asset classification
b)
Income recognition and asset consolidation
c)
Income recognition and asset classification
d)
Interest realisation and asset classification
e)
None of above
20.
The provision required for Standard Account classified as Commercial Real Estate (CRE)
a)
0.25%
b)
0.40%
c)
1%
d)
2%
e)
None of above
21.
The provision required against Sub-Standard Account, not backed by any security (Unsecured Loan)
a)
25%
b)
15%
c)
40%
d)
100%
e)
None of above
22.
A cash credit account will be treated as NPA, if stock statement has not been obtained more than three months plus ____ days.
a)
30
b)
60
c)
90
d)
180
e)
None of above
23.
What is the % of provisioning for Secured portion for account in Loss Asset category
a)
15%
b)
25%
c)
40%
d)
100%
e)
None of above
24.
Who has the power of bidding in an auction, after approval by MCB ?
a)
Head (Estate Management)
b)
Regional Manager
c)
Zonal Manager
d)
Head (Legal)
e)
None of above
25.
When an account slips to NPA category, it will continue with the base branch for initiation of all actions for a period of _________ after which , if not upgraded or recovered, will be transferred to SARBs
a)
One Quarter
b)
One Month
c)
two Month
d)
One year
e)
None of above
26.
Change in the pattern of debt service obligation is
a)
Rephasement
b)
Rescheduling
c)
Restructuring
d)
CAP
e)
None of above
27.
Funded interest Term Loan and Working capital term loans are given as a part of
a)
Regular review
b)
Restructuring package
c)
Both
d)
None of the above
e)
None of above
28.
Restructuring can be done in accounts classified as
a)
Standard
b)
Sub-Standard
c)
Doubtfull
d)
All of the Above
e)
None of above
29.
Banks taking haircuts/sacrifice on the debts for stressed assets during restructuring, as a part of Debt resolution, can stipulate a condition for recovering the sacrifice they make, in due course of time, upon successful rehabilitation. This right is called ______
a)
Right of subrogation
b)
Right of appropriation
c)
Right of recompense
d)
Right of Lien
e)
None of above
30.
All Borrower entities in default with aggregate exposure of Rs. ______ are required to report to CRILC.
a)
Rs.5 cr. And above
b)
Upto Rs.5 cr.
c)
Rs.10 cr. And above
d)
Upto Rs.10 cr.
e)
None of above
31.
For Restructuring , TEV is necessary for exposure _____
a)
Rs.1 cr and above.
b)
Rs.5 cr and above.
c)
Rs.10 cr and above.
d)
Rs.50 cr and above.
e)
None of above
32.
As per our Bank’s policy, cases of amount involving up to Rs._____ lacs can be referred to Lok Adalats.
a)
10
b)
20
c)
30
d)
40
e)
None of above
33.
In case of Cash Recovery in any Suit filed Account, the appropriation of the recovered amount will be made in chronological order and first credit will be made towards:
a)
by crediting loan account to reduce the outstanding book dues.
b)
recovery towards expenses/charges
c)
recovery towards unapplied interest
d)
recovery towards legal charges awarded by the court
e)
None of above
34.
Which of the following is NOT true in case of LOK ADALAT as a recovery measure?
a)
No court fee involved.
b)
Parties can continue with Court proceedings if no settlement arrived
c)
Award of the Lok Adalats shall be deemed to be a decree passed by Civil Court
d)
Appeal can be made against the decree passed by Lok Adalats
e)
None of above
35.
Lok Adalat Award is equal to a
a)
consent decree
b)
filing of suit
c)
LAD
d)
All of the above
e)
None of above
36.
As per SARFAESI Act, during auction, the highest bidder has to pay _____ % (inclusive of earnest money deposited) of the Sale Price in terms of the sale notice on the date of sale or on the immediate following working day and the balance ____ % of the sale price to be paid within _____ days of sale confirmation letter issued by the branch.
a)
25, 75, 15
b)
15, 85, 15
c)
25, 75, 30
d)
15, 85, 30
e)
None of above
37.
The Borrower or any other aggrieved person has right to file application before the concerned ________
challenging the action taken by the Bank under the provisions of the SARFAESI Act
a)
District Court
b)
Sub Court
c)
Debt Recovery Tribunal
d)
High Court
e)
None of above
38.
Powers for recalling an advance and filing suit are
a)
With Regional Head
b)
Co-extensive with DLP, subject to reporting to next higher Authority
c)
RMCC
d)
Zonal Head
e)
None of above
39.
Under Recovery under Public Money Recovery act, on application by Bank, Recovery certificates will be issued by
a)
Judge
b)
District Collector / Competent Revenue Authority
c)
Registrar
d)
Any one of the above
e)
None of above
40.
DRTs have been established under _______
a)
SARFAESI Act 2002
b)
CPC
c)
IPC
d)
Recovery of Debt Due to Banks and Financial Institution Act, 1993
e)
None of above
41.
Objective of IBC is
a)
Resolving of Insolvency
b)
Making Resolution Plan
c)
Consolidating all existing laws
d)
All of the above
e)
None of above
42.
Maximum timeline for resolving under IBC code is ____
a)
180 days
b)
90 days
c)
270 days
d)
365 days
e)
None of above
43.
IBBI is board having total of members
a)
10
b)
7
c)
12
d)
15
e)
None of above
44.
Under IBC who cannot initiate the process of insolvency
a)
Banks/FIs
b)
Operational Creditors
c)
IBBI
d)
All can initiate
e)
None of above
45.
In which of the following cases the branch should not enter into a compromise with the borrower for lower amount than the total contractual dues:
a)
Where the NPA account is sanctioned at branch level
b)
Where the account is in loss category
c)
Where there are adequate realizable securities
d)
Where the securities are not adequate
e)
None of above
46.
Compromise proposals can be negotiated in all NPA/TWO/PWO accounts,
a)
before filing suit
b)
after filing suit but before obtaining decree
c)
after obtaining decree/ RC, but before execution of decree/ RC
d)
All of the above applicable
e)
None of above
47.
“Total Contractual Dues” means the sum total of _____________ plus Interest/ charges reversed plus unapplied interest plus Legal Expenses
a)
Outstanding balance
b)
Sanctioned limit
c)
Adhoc limit
d)
Excess balance
e)
None of above
48.
What do you understand by “No Lien” amount?
a)
Advance amount which has been given for compromise by the Borrower
b)
Bank cannot exercise a option of general lien on this amount.
c)
There is no due payable by the Borrower so there is no lien on the amount
d)
None of the above
e)
None of above
49.
For assets having individual value of Rs 5 crore and above, independent valuation should be obtained from _____ Approved Valuers, registered under Wealth Tax Act
a)
1
b)
2
c)
3
d)
4
e)
None of above
50.
In case of Staff related accounts where the Compromise is made by way of sacrifice/waiver to be sanctioned by:
a)
RMCC
b)
DRMCC
c)
ZOCC
d)
MCB
e)
None of above
51.
When Bank accepts a compromise offer where by it recovers an amount more than the book dues but forgoes a portion of the “Unapplied Interest and Charges”, the sacrifice will involve
a)
Waiver
b)
Write-off
c)
Notional Dues
d)
Waiver + Write-off
e)
None of above
52.
In case of court decreed accounts, if a compromise offer is made before execution of decree, and the decretal ROI is 9% p.a. the calculation of sacrifice is to be based on
a)
12 % p.a.
b)
contracted rate or 12% whichever less
c)
9% p.a. if bank has not appealed/ appeal decided against the Bank
d)
whichever is profitable to the Bank
e)
None of above
53.
The compromise negotiation should start with
a)
contractual dues
b)
Notional dues
c)
Book dues
d)
value of available security
e)
None of above
54.
The Powers of sacrifice of a Scale-II Branch Manager is _____
a)
2 lakhs
b)
4 Lakh
c)
15 lakhs
d)
30 lakhs
e)
None of above
55.
Which of the following types of security interests are required to be filed on the CERSAI Portal according to the amended rules?
a)
Security interest in movable property by mortgage
b)
Security interest in immovable property by deposit of title deeds
c)
Security interest in intangible assets such as patents and copyrights
d)
All of the above
e)
None of above
56.
What assets are required to be registered with CERSAI, regardless of the date of charge creation?
a)
Only immovable assets
b)
Only movable assets
c)
Both immovable and movable assets
d)
Only intangible assets
e)
None of above
57.
Security interest in intangibles assets, being knowhow, patent, copyright, trademark, license, franchise or any other business or commercial right of similar nature are also required to be filed on the CERSAI Portal?
a)
TRUE
b)
FALSE
c)
none of the above
d)
None of the above
e)
None of above
58.
What does CERSAI stand for?
a)
Central Registry for Security Assets and Interests
b)
Central Enforcement and Recovery of Security Assets and Interests
c)
Central Registry of Securitisation Asset Reconstruction and Security Interest of India
d)
Central Enforcement and Registration of Security Assets and Interests
e)
None of above
59.
What is the purpose of registering security interests with CERSAI?
a)
To protect the rights of borrowers
b)
To facilitate the enforcement of security interests
c)
To provide financial assistance to borrowers
d)
To regulate the mortgage industry
e)
None of above
60.
What is the priority given to security interest or attachment orders filed with CERSAI?
a)
Priority over subsequent security interests created on the property.
b)
Priority over government dues
c)
Priority over secured creditors
d)
Priority over all other filings
e)
None of above
100 %
