Banking & Finance MCQs - 2026-08-09

The digital lending guidelines place a strong emphasis on data privacy and security. DLAs are mandated to obtain explicit consent from borrowers before collecting any personal information and must clearly inform them about the data being collected and its purpose.

The new digital lending guidelines emphasize transparency. Lenders must clearly disclose the all-in-cost of the loan, including all fees and charges, to the borrower before the loan is disbursed. This is often referred to as the Annual Percentage Rate (APR) or a similar comprehensive disclosure.

The Reserve Bank of India (RBI) has been at the forefront of regulating digital lending in India. It issued comprehensive guidelines in 2024, with further clarifications and implementation phases continuing, to enhance transparency and customer protection in digital lending.

The RBI's mandate is to maintain price stability while keeping in mind the objective of growth. The August 2026 policy statement reiterates this by aiming to ensure inflation aligns with the target while supporting economic growth.

The Monetary Policy Committee (MPC) is responsible for setting the policy repo rate in India. The MPC met in August 2026 and decided to keep the repo rate unchanged.

In its August 2026 Monetary Policy Committee meeting, the RBI decided to keep the policy repo rate unchanged at 6.50%. This decision was taken to ensure inflation progressively aligns with the target while supporting growth.