Expected Interview Questions for Bank Interviews

Banking and Finance

 Try to answer these questions
Q. What is a Bank? How they make money? Can they create money?
Q. What is the role of RBI in the banking industry? What is a Monetary policy? What is MPC?
Q. Can you explain these: Repo rate, reverse repo, LAF, CRR, Bank rate, SLR, PLR, MCLR, Base
rate, Deposit rate, Basis points
Q. What was the reason for the Formation of RRB's? When was it formed? Whose report?
Who was the PM? Do you think it was helpful? What was that SBI could not do which RRB's
could do at the time of formation?
Q. Also, tell me about these bodies: Nabard, IDBI, SIDBI, IFCI, EXIM, NHB, NBFC, Banking
Ombudsman, SEBI, IRDA
Q. What is Basel III? What is recapitalization bond? Tell me about NPA classifications?
Q. What is the difference between Cheque and Demand Draft? How many kinds of cheques
do you know about? What is CTS? What do you know about Negotiable instrument Act? Do
you think it is still relevant or should we change the law?
Q. Explain the Difference between:
Dormant & Frozen account
Cross-selling & Upselling
Consortium financing vs Multiple banking
Moratorium period Vs. Grace period
NRO Account Vs. NRE Account Vs. FCNR Account
LC & BG
Inflation, deflation, stagflation
Monetary policy and fiscal policy
FDI & FII.
Q. Tell me the difference between Insolvency & bankruptcy? What is IBBI? Who is the
chairman? Why are they in news these days?
Q. What is NPA? Do you know the accounting rules about NPA? Why is NPA a problem?
Who do you think is the responsible for NPA? What can you do to help resolve the
problem of NPA? What is RBI doing about it? What is govt doing about it? What is DRT?
What is SARFAESI act? What is provisioning? What is the difference between write off
and waive off? Have you heard about evergreening of the bank loans?
Q. What are differentiated banks? How many such banks have you heard about?
What is the difference between small finance bank and payment banks? Also, how are
they different from other commercial banks? What is the need for unnecessarily
cluttering the financial services marketing? What is on tap licensing? What is your
opinion about these banks? Should we not close all the RRB's now when most of them
are reeling under huge NPA's and let Small finance banks have more powers?
Q. Kindly explain GDP, GNP, NI, Revenue deficit, fiscal deficit, disinvestment.
Q. Tell me about budget. Who prepares it? How is it different from economic survey?
Who prepares and presents it? What is fiscal deficit? What is FRBM?
Q. Explain trade deficit? What is the impact of dollar outflow? Why there have been
restrictions on gold imports? Explain briefly about current account deficit (CAD) and
what is the current economic situation of our country? Is CAD increasing or decreasing
now? What about capital account deficit (KAD)? What is BOP? Have you heard about
BOP crisis in India? What happened? How did we resolve it? Is the formula
CAD+KAD=0, correct?
Q. Kindly explain GDP, GNP, NI, Revenue deficit, fiscal deficit, disinvestment.
Q. Tell me about budget. Who prepares it? How is it different from economic survey?
Who prepares and presents it? What is fiscal deficit? What is FRBM?
Q. Explain trade deficit? What is the impact of dollar outflow? Why there have been
restrictions on gold imports? Explain briefly about current account deficit (CAD) and
what is the current economic situation of our country? Is CAD increasing or decreasing
now? What about capital account deficit (KAD)? What is BOP? Have you heard about
BOP crisis in India? What happened? How did we resolve it? Is the formula
CAD+KAD=0, correct?
 Q. Which technology is used in banking? What is mean by Cyber crime? What is
Phishing? How will you prevent phishing? Who is the most vulnerable group? What is
PIN? Can you disclose it to anybody? How will you ensure that nobody does that? What
are Payment gateways? Are they secured? What is NPCI? What is RuPay, BHIM, UPI,
Bharat Bill Pay, NACH, CTS, NFS, BHARAT QR, AePS, IMPS, NEFT, RTGS?
Q. What are the differences between private banks and nationalized banks? Do you
know which bank gives the highest interest on savings accounts and how much? What
is the benefit of high CASA for banks? What is Net interest margin? What are the
benefits for a bank in defining risk categories? What is Retail Lending? Which lending is
better for Banks - Retail or corporate?
Q. Difference between a savings account and a current account. Difference between
Savings a/c and Savings student a/c? What are the KYC norms and what are OVDs?
What is priority sector lending? What is the procedure for granting loan? How many
types of loans are there? What is a DEMAT account? What is Narrow Banking? What is
lead banking? What is Single Window in a bank?
Q. What is SEZ? What are Nostro & Vostro accounts? What are Foreign exchange
reserves? Do you know the current figures of our reserves? Difference capital market
and money market. What is Balance Sheet? What is an Intangible asset? What is
contingent liability? Difference between a credit card and a debit card. Do you know
about Bancassurance, Demonetization, Bitcoin, MICR? What are mutual Mutual funds?
What are Nifty & Sensex? What is the difference between them?
Q. What is nationalization of banks? What makes the government to take up banks?
How many times have we nationalized the banks? What was the reason? What were
the criteria? What is financial inclusion? What is the role of NABARD and RBI wrt RRBs?
Which was the first RRB? How many RRB's are there? How many are there in your
state? Name the sponsor banks for the RRB's in your states? Which state has highest?
Do you think they can sustain? Have you looked at their financials?