Q41. What is one of the benefits of Pradhan Mantri Jan Dhan Yojana (PMJDY)?
a) High-interest rate loans
b) Zero-balance account
c) Credit card with rewards
d) Free online shopping vouchers
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Correct Answer: b) Zero-balance account
Explanation: One of the key benefits of PMJDY is the ability to open a zero-balance account, making banking accessible to all individuals, especially those who may not have been able to maintain a minimum balance.
Q42. What is the main objective of the Know Your Customer (KYC) process?
a) To verify the customer’s identity and address
b) To offer discounts on banking products
c) To increase interest rates on savings accounts
d) To provide financial advice
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Correct Answer: a) To verify the customer’s identity and address
Explanation: The main objective of KYC is to verify the identity and address of the customer, ensuring that the banking system is not used for fraudulent activities, money laundering, or other financial crimes.
Q43. What is a Demand Draft (DD) commonly used for?
a) Online shopping payments
b) Transferring money securely between accounts
c) Paying credit card bills
d) Making cash withdrawals
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Correct Answer: b) Transferring money securely between accounts
Explanation: A Demand Draft (DD) is used to transfer money securely between accounts, often in situations where a cheque might not be considered secure enough, as the bank guarantees payment.
Q44. Which banking product helps in saving for the future with fixed interest rates?
a) Current Account
b) Fixed Deposit
c) ATM Card
d) Cheque
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Correct Answer: b) Fixed Deposit
Explanation: A Fixed Deposit is a banking product where money is deposited for a fixed tenure at a predetermined interest rate, helping individuals save for the future with a guaranteed return.
Q45. What is a RuPay card mainly used for?
a) Earning rewards points
b) Shopping and ATM withdrawals in India
c) Buying insurance policies
d) Opening fixed deposit accounts
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Correct Answer: b) Shopping and ATM withdrawals in India
Explanation: A RuPay card is an Indian domestic card used for transactions like shopping, ATM withdrawals, and online payments, offering a secure and efficient way to access funds.
Q46. What is the primary function of a savings account in a bank?
a) To provide investment opportunities
b) To encourage savings with interest
c) To offer business loans
d) To purchase insurance
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Correct Answer: b) To encourage savings with interest
Explanation: A savings account is designed to encourage individuals to save money by offering interest on their deposits, making it a fundamental banking product for personal finance.
Q47. What type of banking product is an ATM card?
a) A type of loan
b) A savings instrument
c) A payment card for accessing funds
d) An insurance product
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Correct Answer: c) A payment card for accessing funds
Explanation: An ATM card is a payment card that allows users to access their bank accounts for withdrawing cash, checking balances, and making payments, offering convenience and security.
Q48. What is the benefit of using mobile banking?
a) It allows for physical visits to the bank
b) It offers 24/7 access to banking services
c) It requires no internet connection
d) It guarantees high-interest rates
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Correct Answer: b) It offers 24/7 access to banking services
Explanation: Mobile banking provides 24/7 access to banking services, enabling customers to perform transactions, check balances, and manage their accounts anytime and anywhere using their mobile devices.
Q49. Which of the following is a key benefit of Pradhan Mantri Suraksha Bima Yojana (PMSBY)?
a) High returns on investment
b) Accident insurance at a low premium
c) Life insurance with tax benefits
d) Fixed deposits with high interest
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Correct Answer: b) Accident insurance at a low premium
Explanation: Pradhan Mantri Suraksha Bima Yojana (PMSBY) offers accident insurance at a very low premium, providing financial protection in case of accidental death or disability.
Q50. What is an important feature of the Atal Pension Yojana (APY)?
a) Guaranteed monthly pension after retirement
b) High-interest savings
c) Free life insurance
d) Immediate access to funds
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Correct Answer: a) Guaranteed monthly pension after retirement
Explanation: The Atal Pension Yojana (APY) offers a guaranteed monthly pension to subscribers after retirement, ensuring financial security for individuals in their old age.