Banking and Finance MCQs for Competitive Exams October 2026

1.

Under the new digital lending guidelines implemented by October 2026, what is the stipulated cooling-off period that must be provided to borrowers before loan closure?

A 24 hours

B 7 days

C 15 days

D No cooling-off period is mandated.

2.

A key aspect of the new digital lending guidelines is the requirement for a 'Digital Lending App' to display which of the following information upfront to the borrower?

A The borrower's credit score history from the last 5 years.

B The total number of loans the borrower has previously taken.

C All-inclusive Annual Percentage Rate (APR) and all fees and charges.

D The names of all employees involved in processing the loan.

3.

As of October 2026, which entities are generally permitted to undertake digital lending activities in India, as per the new guidelines?

A Only Non-Banking Financial Companies (NBFCs) and banks.

B Any fintech company registered with the Ministry of Corporate Affairs.

C All entities that have a website and offer loan applications online.

D Only companies that have been operating for more than 10 years.

4.

What is the primary objective of maintaining the repo rate at 6.5% in October 2026, according to the RBI's stance?

A To stimulate rapid economic growth by making borrowing cheaper.

B To control inflation and ensure price stability while supporting growth.

C To increase the profitability of public sector banks.

D To encourage foreign direct investment by making the rupee stronger.

5.

Which committee is responsible for deciding the policy repo rate in India?

A Securities and Exchange Board of India (SEBI) Board

B Monetary Policy Committee (MPC) of the Reserve Bank of India

C Financial Stability and Development Council (FSDC)

D Reserve Bank of India (RBI) Board

6.

As per the RBI's Monetary Policy Committee (MPC) decision in October 2026, what is the current Repo Rate?

A 6.25%

B 6.50%

C 6.75%

D 7.00%

Banking & Finance MCQs - 2026-10-10