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Digital Transformation in Banking and Finance

Total questions: 20

Worksheet time: 13mins

Name
Class
Date
1.

This SMS says “Your bank account is locked. Click the link to verify.” Is this phishing?

a)

Yes

b)

No

c)

Complicated

2.

Which statement best describes the relationship between AI and ML?

a)

ML is broader than AI

b)

AI is a subset of ML

c)

ML is a subset of AI

d)

AI and ML are unrelated

3.

Why is real-time decision-making crucial in banking?

4 lines
4.

What is one major reason banks struggle without AI in handling data?

a)

Traditional tools cannot process large-scale modern data

b)

Banks do not collect enough customer data

c)

Data quality in banking is always poor

d)

Regulations limit data usage

5.

What competitive pressure pushes banks toward AI adoption?

a)

Decline of customer data

b)

Growth of FinTech companies

c)

Lack of trained employees

d)

Decrease in cyber-attacks

6.

Which is a key benefit of AI in fraud detection?

a)

It eliminates the need for human analysts

b)

It detects fraud in milliseconds

c)

It prevents all types of fraud

d)

It only works on historical data

7.

What is a major capability of ML in banking risk management?

a)

Replacing all manual KYC processes

b)

Guaranteeing perfect credit scoring

c)

Ensuring 0% false positives

d)

Learning continuously from new fraud patterns

8.

Which technology is used by JPMorgan to detect unusual transaction sequences?

a)

Rule-based algorithms

b)

Robotic Process Automation

c)

Deep learning

d)

Blockchain

9.

Mastercard’s Decision Intelligence System primarily focuses on:

a)

Scoring each transaction in real-time

b)

Increasing ATM uptime

c)

Enhancing customer biometrics

d)

Monitoring employee behavior

10.

What is a major takeaway from PayPal’s AI fraud detection?

4 lines
11.

Why are banks high-value targets for cybercriminals?

a)

Banks share customer data publicly

b)

Banks operate only during business hours

c)

Banks store extremely sensitive personal and financial data

d)

Banking systems are rarely updated

12.

What does GDPR primarily enforce for banks?

4 lines
13.

What is Zero Trust Architecture’s core principle?

a)

Trust internal systems by default

b)

Allow unrestricted employee access

c)

“Never trust, always verify”

d)

Encrypt only external data

14.

Which of the following is a common cyberattack on banks?

4 lines
15.

Account takeover is an example of which threat type?

a)

Infrastructure failure

b)

Social engineering fraud

c)

Hardware malfunction

d)

Business continuity risk

16.

Why are third-party vendors a cybersecurity risk?

4 lines
17.

Which method enhances identity security in banking?

a)

Single-factor authentication

b)

IP-based login

c)

Allowing shared user credentials

d)

Multi-factor authentication

18.

Which concept helps secure Open Banking APIs?

a)

Rate limiting and API gateways

b)

Offline transaction processing

c)

Removing encryption

d)

Manual log reviews only

19.

AI/ML in threat detection mainly helps by:

4 lines
20.

Why is cybersecurity described as “foundational” for digital transformation?

a)

It decreases the need for mobile apps

b)

Without it, digital innovations can lead to severe damage

c)

It improves employee productivity only

d)

Cybersecurity is only needed after digital products launch