Banking & Finance MCQs - RBI, MPC, Cybersecurity

161.

As per the RBI's 2026 digital lending transparency framework, what is a mandatory disclosure requirement for digital lending apps before entering into any loan agreement?

A The total number of employees working in the lending institution.

B The credit score of the borrower's family members.

C The Annual Percentage Rate (APR) and a detailed breakdown of all fees and charges.

D The company's profit margins for the last three financial years.

162.

In 2026, the Reserve Bank of India (RBI) introduced new guidelines to enhance transparency in digital lending. Which of the following is a key objective of these enhanced guidelines?

A To reduce the number of digital lending apps available in the market.

B To ensure all digital lending activities are conducted by Scheduled Commercial Banks only.

C To protect borrowers from unfair practices and ensure fair charges and fees.

D To mandate a fixed interest rate for all digital loans.

163.

Which entity is responsible for ensuring that Digital Lending Apps (DLAs) comply with RBI's digital lending guidelines?

A The Ministry of Electronics and Information Technology

B The Regulated Entity (RE) that has partnered with the DLA

C The National Payments Corporation of India (NPCI)

D The Competition Commission of India

164.

Under RBI's digital lending framework, what is the 'Cooling-off' or 'Look-up' period provided to borrowers?

A A period during which the borrower can exit the loan by paying the principal and proportionate APR without penalty.

B A mandatory waiting period before the loan is approved.

C A period where no interest is charged on the loan.

D A period for the bank to verify the borrower's credit score.

165.

According to RBI's digital lending guidelines, all loan disbursals and repayments must be executed only between the bank accounts of the borrower and the:

A Digital Lending App (DLA) owner

B Regulated Entity (RE)

C Third-party payment aggregator

D Loan Service Provider (LSP)

166.

Who chairs the Monetary Policy Committee (MPC) of the Reserve Bank of India?

A Union Finance Minister

B Governor of RBI

C Chief Economic Advisor

D Deputy Governor of RBI (Monetary Policy)

167.

Which of the following statements correctly describes the 'Repo Rate' in the context of RBI's monetary policy?

A The rate at which RBI borrows money from commercial banks.

B The rate at which commercial banks borrow money from RBI by selling government securities.

C The rate at which RBI lends money to the government for fiscal deficit.

D The rate at which banks lend to retail customers.

168.

As of the latest RBI Monetary Policy Committee (MPC) review in 2026, which instrument is primarily used to absorb excess liquidity from the banking system?

A Repo Rate

B Standing Deposit Facility (SDF) Rate

C Marginal Standing Facility (MSF) Rate

D Bank Rate

169.

Which of the following measures has the RBI consistently emphasized to improve the governance of cooperative banks?

A Appointing government officials as mandatory board members for all cooperative banks.

B Strengthening 'fit and proper' criteria for board members and professionalizing management.

C Reducing the frequency of board meetings to streamline decision-making.

D Allowing unlimited lending to board members and their relatives to boost local economy.

170.

The RBI introduced a four-tiered regulatory framework for Urban Cooperative Banks (UCBs) in 2022, which remains a key aspect of its supervisory approach in 2026. What is the primary basis for this categorization?

A Geographical location of the bank (e.g., state-wise).

B Number of employees working in the bank.

C Size of deposits held by the bank.

D Type of customers primarily served by the bank.