MCQs: RBI Policy & Digital Lending Updates

1.

Which entities are primarily regulated by the RBI's digital lending guidelines?

A Only non-banking financial companies (NBFCs)

B Only commercial banks

C Regulated Entities (REs) and Lending Service Providers (LSPs)

D Only fintech startups

2.

What is the purpose of the 'Key Fact Statement' (KFS) mandated by RBI for digital loans?

A To hide hidden charges from customers

B To provide transparent information about the total cost of credit

C To promote the digital platform's marketing

D To restrict the number of loans a person can take

3.

Under the new RBI digital lending guidelines, who must receive the loan funds directly?

A The Lending Service Provider (LSP)

B The borrower's bank account

C The digital platform's escrow account

D The third-party payment aggregator

4.

What happens when the RBI keeps the Repo Rate unchanged?

A Banks immediately increase lending rates

B The cost of borrowing for banks remains stable

C Foreign investment stops

D Inflation drops to zero

5.

What is the primary objective of the RBI maintaining the Repo Rate?

A To increase fiscal deficit

B To control inflation while supporting growth

C To devalue the Indian Rupee

D To increase foreign debt

6.

Which committee is responsible for deciding the Repo Rate in India?

A Financial Stability and Development Council

B Monetary Policy Committee

C Economic Advisory Council

D Securities and Exchange Board of India

Banking & Finance MCQs - 2026-06-06