Banking – Multiple Choice Questions (MCQs)

1. 13. What is 'IMPS'?

   • A. Immediate Payment Service
   • B. Integrated Mobile Payment System
   • C. Interbank Mobile Payment Solution
   • D. Instant Money Processing System

2. 14. What is 'UPI'?

   • A. Unified Payment Interface
   • B. Universal Payment Instrument
   • C. Ultimate Payment Identifier
   • D. Unitary Payment Integration

3. 15. What is 'MICR' code?

   • A. Magnetic Ink Character Recognition
   • B. Monetary Information and Credit Rating
   • C. Maximum Interest Calculation Rate
   • D. Minimum Investment and Credit Requirement

4. 16. What is 'IFSC' code?

   • A. Indian Financial System Code
   • B. International Funds Settlement Code
   • C. Integrated Financial Security Code
   • D. Internal Funds Transfer System Code

5. 17. What are 'Public Sector Banks'?

   • A. Banks where the majority stake is held by private individuals
   • B. Banks where the majority stake is held by the government
   • C. Foreign banks operating in India
   • D. Small finance banks

6. 18. What are 'Private Sector Banks'?

   • A. Banks where the majority stake is held by the government
   • B. Banks where the majority stake is held by private individuals
   • C. Regional Rural Banks
   • D. Payment banks

7. 19. What are 'Foreign Banks'?

   • A. Banks headquartered in India with branches abroad
   • B. Banks headquartered outside India but operating in India
   • C. Banks with significant foreign investment
   • D. Banks dealing only in foreign exchange

8. 20. What are 'Regional Rural Banks (RRBs)'?

   • A. Banks set up to cater to the credit needs of rural areas
   • B. Commercial banks operating in rural areas
   • C. Private banks focused on agriculture
   • D. Foreign banks with rural branches

9. 21. What are 'Cooperative Banks'?

   • A. Banks owned and operated by their members
   • B. Government-owned banks focused on agriculture
   • C. Private banks with a large number of shareholders
   • D. Banks that primarily deal with international trade

10. 22. What are 'Payment Banks'?

    • A. Banks that can accept deposits and provide payment services but cannot grant loans
    • B. Banks that primarily provide loans to small businesses
    • C. Banks focused on investment banking
    • D. Banks that only handle government payments

11. 23. What are 'Small Finance Banks'?

    • A. Banks that provide a range of banking services primarily to small businesses and low-income households
    • B. Banks focused only on microfinance
    • C. Large commercial banks with small branches
    • D. Foreign banks with a focus on SMEs

12. 24. What is 'Basel III'?

    • A. International regulatory framework for banks
    • B. Indian banking regulation
    • C. A type of financial fraud
    • D. A scheme for rural development