Banking & Finance MCQs - 2026-10-14

Vulnerability assessments and penetration testing are crucial security practices that simulate real-world cyberattacks to uncover potential security flaws, allowing banks to strengthen their defenses proactively.

Threat intelligence sharing allows banks to proactively identify and mitigate potential cyber threats by learning from the experiences and insights of other institutions, thereby building a stronger, collective defense.

The primary objective of the RBI's enhanced cybersecurity measures is to safeguard critical customer information and maintain the operational integrity and stability of the banking sector against an increasing array of cyber risks.

The RBI's framework clearly states that only entities that are regulated by the RBI, such as banks and NBFCs, are permitted to undertake digital lending activities. This ensures regulatory oversight and consumer protection.

To provide borrowers with an opportunity to reconsider their decision, the RBI's framework mandates that a cooling-off period of at least 7 days must be offered for all digital loans.

The RBI's enhanced digital lending framework emphasizes transparency. A crucial aspect is the mandatory disclosure of the Annual Percentage Rate (APR) and all other charges to the borrower before loan disbursement, ensuring informed decision-making.