RBI Digital Lending Guidelines MCQs: Test Your Knowledge

1.

The 2026 RBI guidelines on data security for digital lending platforms also emphasize the importance of data breach notification. What is the typical timeframe mandated for reporting a significant data breach?

A Within 72 hours of detection.

B Within 15 days of detection.

C Within 30 days of detection.

D Within 6 months of detection.

2.

Under the 2026 RBI data security guidelines, digital lending platforms are required to implement robust security measures. Which of the following is a crucial aspect of these measures?

A Regularly sharing customer data with third-party marketing agencies.

B Implementing strong encryption for data both in transit and at rest.

C Using outdated security protocols to ensure wider compatibility.

D Storing all customer passwords in plain text for easy retrieval.

3.

In 2026, the RBI mandated enhanced data security measures for digital lending platforms. What is the primary concern addressed by these mandates?

A Ensuring that all data is stored on physical servers within India.

B Protecting sensitive customer data from unauthorized access, breaches, and misuse.

C Limiting the amount of data that can be collected from borrowers.

D Mandating the use of blockchain technology for all data storage.

4.

A significant aspect of the 2026 RBI digital lending framework is the prohibition of certain practices. Which of the following is explicitly prohibited for digital lending entities?

A Disclosing loan terms and conditions clearly to the borrower.

B Allowing borrowers to pre-pay loans without penalty.

C Charging upfront fees or margin deductions from the loan amount, except for specific permitted charges.

D Providing a cooling-off period for loan agreements.

5.

As per the 2026 RBI guidelines on digital lending, which entity is primarily responsible for ensuring that the digital lending app/platform complies with all applicable laws and regulations?

A The borrower.

B The digital lending entity (lender).

C The third-party technology service provider.

D The local municipal corporation.

6.

In 2026, the Reserve Bank of India (RBI) announced enhanced guidelines for digital lending. Which of the following is a key objective of these new guidelines?

A To restrict all forms of digital lending to only scheduled commercial banks.

B To ensure greater transparency, fairness, and consumer protection in digital lending.

C To mandate a fixed interest rate cap for all digital loans.

D To encourage unregulated peer-to-peer lending platforms.

Economy & Business MCQs - 2026-07-11