Looking for the most important Banking Awareness October 2025 to February 2026 for your upcoming exams? We have analyzed past papers for RBI GRADE B, SBI PO, IBPS PO, SBI CLERK, RBI ASSISTANT, IBPS CLERK & OTHER BANK EXAMS to bring you the 326 most expected questions. Take the live test, review the blueprint, and master the core concepts.
- 🚀 Updated for 2026: Aligned with the latest RBI GRADE B, SBI PO, IBPS PO, SBI CLERK, RBI ASSISTANT, IBPS CLERK & OTHER BANK EXAMS syllabus.
- 🧠 Output & Concept Based: Covers basics to advanced scenarios.
- 📊 Live Gamification: Track your score and time dynamically.
- 📥 Free PDF Notes: Available instantly via our Telegram channel.
Test Blueprint & Topic Weightage
| Section / Topic | Question Range | Difficulty Level |
|---|---|---|
| Capital Adequacy, Basel Norms & Monetary Policy | Q1 – Q40 | Hard |
| Priority Sector, Consumer Protection & Digital Lending | Q41 – Q158 | Easy to Medium |
| KYC, NPAs, Advances & Investment Valuations | Q159 – Q257 | Medium |
| Deposits, Reserve Ratios & Branch Authorisation | Q258 – Q326 | Hard |
⚠️ Examiner Trap Alert: Students frequently confuse the reporting deadlines for the Internal Ombudsman (IO). Remember, the final decision must be communicated to the complainant strictly within 30 days of receiving the complaint, not 45 days. The 45-day rule is an obsolete trap!
Test Blueprint & Topic Weightage
⏱️ Estimated Time: 489 Minutes | 🎯 Target Score: 260+ | 📊 Difficulty: Moderate to Hard
📚 Interactive Question Bank
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✅ | Priority Sector, Consumer Protection & Digital Lending
Q151Which of the following rules govern Income Recognition and Appropriation of Recoveries?Q152The current prudential norms on Income Recognition, Asset Classification, and Provisioning (IRAC) in the Indian banking system are primarily based on the recommendations of which committee?Q153An "advance against own deposit" includes advances granted against Rupee/FCNR(B) term deposits standing in the name of which of the following?Q154Which of the following is NOT listed as a component of the "External benchmark rate"?Q155The "Benchmark Prime Lending Rate (BPLR)" is defined as the internal benchmark rate used to determine interest rates on advances/loans sanctioned up to which date?Q156Which of the following statements regarding "Fixed Rate Loans" are correct?Q157While the general rule mandates that interest shall be charged on all advances at monthly rests, which specific category of advances is exempted and governed by separate circulars?Q158Under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions, a "large defaulter" must have an outstanding amount of at least ₹1 crore.
✅ | KYC, NPAs, Advances & Investment Valuations
Q159Under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions, the term "suit filed account" includes pending proceedings under which Acts?Q160Under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions, when is a "wilful default" deemed to have occurred?Q161According to the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions, what is the minimum outstanding amount for a "wilful defaulter"?Q162Which statements regarding the classification process are correct under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions?Q163Under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions, when is a non-whole-time director considered a wilful defaulter?Q164Under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions, the bank must classify a borrower as a wilful defaulter within what timeframe?Q165Which statements regarding penal measures against wilful defaulters are correct under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions?Q166Which statements regarding guarantor liability are correct under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions?Q167Which statements regarding the reporting of "Large Defaulters" are correct under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions?Q168Which statements regarding the transfer of defaulted loans are correct under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions?Q169Under the Reserve Bank of India (Treatment of Wilful Defaulters and Large Defaulters) Directions, when should a bank commission a forensic audit of a borrower's affairs?Q170During periodic updation of KYC for an individual customer, if there is a change only in the address details, the bank must verify the declared address through "positive confirmation" within what timeframe?Q171When an account holder who was a minor at the time of account opening becomes a major, the bank is required to obtain fresh photographs and ensure that Customer Due Diligence (CDD) documents are available as per current standards.Q172Regarding the "Due Notices for Periodic Updation of KYC," what is the minimum number of advance intimations and subsequent reminders a bank must send to a customer before the due date and after the due date, respectively?Q173In the context of customers unable to provide PAN or Form No. 60, "temporary ceasing of operations" in relation to an account is defined as:Q174For accounts opened in non-face-to-face mode (subject to Enhanced Due Diligence), the first transaction must necessarily be a credit from an existing KYC-complied bank account of the customer.Q175How are "Politically Exposed Persons" (PEPs) defined for the purpose of the RBI (Commercial Banks – KYC) Directions, 2025?Q176Regarding the "Simplified norms for Self Help Groups (SHGs)," which of the following statements are correct?Q177When a bank opens a Non-Resident Ordinary (NRO) account for a foreign student pending address verification, what is the cap on the aggregate withdrawal from such an account during the 30-day period?Q178Consider the following statements regarding the classification of climate risks and associated terminology under the RBI regulatory framework:Q179Consider the following statements regarding the operational framework and utilization of Green Deposits by Commercial Banks:Q180Consider the following statements regarding the empanelment, certification, and transparency protocols for recovery agents under the RBI Second Amendment Directions 2026:Q181Scenario: A borrower defaults on a retail loan from an NBFC. The NBFC assigns a third-party recovery agent. The borrower explicitly requests not to be called between 10:00 hours and 12:00 hours due to ongoing medical treatments. Based on the RBI 2026 Responsible Business Conduct guidelines, consider the following statements regarding the correct regulatory actions:Q182Consider the following statements regarding the legal definitions of harassment and misrepresentation in loan recovery under the RBI 2026 Amendment Directions:Q183Consider the following statements regarding the applicability and core definitions under the Reserve Bank of India (Commercial Banks - Responsible Business Conduct) Directions, 2025:Q184Consider the following statements regarding the institutional framework and Customer Service Committees mandated for Commercial Banks:Q185Consider the following statements regarding mandated business hours and rural branch operational guidelines:Q186Scenario: A third-party security breach occurs at a bank, resulting in unauthorized transactions across multiple customer profiles. None of the customers shared their payment credentials. Based on RBI guidelines, consider the following statements regarding the correct regulatory actions to determine customer liability:Q187Scenario: Mr. Sharma falls victim to a bona fide electronic banking fraud of ₹40,000. He reports the incident to the National Cyber Crime Portal and his bank within 3 calendar days. He has never claimed such compensation before. Based on the 2026 Limiting Liability amendments, consider the following statements regarding the compensation metrics and cost apportionment:Q188Consider the following statements regarding the Basic Savings Bank Deposit (BSBD) Account framework under the April 2026 amendments:Q189Consider the following statements regarding banking facilities for senior citizens and differently-abled persons:Q190Calculate the applicable compensation interest rates for the following two independent scenarios based on RBI Directions:Q191Consider the following statements regarding penal charges for the non-maintenance of minimum balances in savings accounts:Q192Scenario: Mr. X and Mrs. Y hold a joint term deposit with a 'Former or Survivor' mandate. Mrs. Y (the Survivor) requests a premature withdrawal to cover an emergency while Mr. X is still alive. Later, law enforcement authorities freeze another term deposit held individually by Mr. X, which matures during the freeze period without any renewal instructions from him. Based on RBI guidelines, consider the following statements regarding the correct regulatory actions:Q193Consider the following statements regarding the classification and activation of inoperative accounts and DEA Fund transfers:Q194Consider the following statements regarding the allotment and infrastructural security guidelines for safe deposit lockers:Q195Scenario: A bank branch suffers a severe burglary, resulting in the loss of contents from several safe deposit lockers. Additionally, the bank plans to break open certain lockers due to prolonged non-payment of rent. Based on RBI guidelines, consider the following statements:Q196Consider the following statements regarding the settlement of claims in respect of deposit accounts of deceased customers:Q197Scenario: A customer passes away leaving a safe deposit locker without any nomination. The legal heirs submit all required claim documents. The bank delays processing the claim and fixing the date for inventory by 10 days beyond the mandated RBI timeline. Based on the guidelines, consider the following statements:Q198Consider the following statements regarding Responsible Lending Conduct and the Key Facts Statement (KFS):Q199Consider the following statements regarding the reset of floating interest rates and the levy of penal charges:Q200Scenario: Three borrowers successfully repay their loans, but face distinct issues. Borrower X's original property documents are lost by the bank. Borrower Y is waiting for the release of his pledged gold collateral. Borrower Z defaulted, forcing the bank to auction his gold collateral. Based on RBI guidelines, consider the following regulatory actions:
High-Yield Core Concepts
Capital to Risk-Weighted Assets Ratio (CRAR)
The standard metric to measure a bank’s financial stability, calculated as Eligible Total Capital divided by Total Risk-Weighted Assets, per the latest banking regulations.
Domestic Systemically Important Banks (D-SIBs)
Banks perceived as “Too Big to Fail,” requiring higher capital surcharges based on Size, Interconnectedness, Substitutability, and Complexity—a crucial topic in bank exam current affairs.
Asset Classification (NPAs)
An NPA is upgraded to Standard status ONLY if the entire arrears of interest and principal are fully paid by the borrower under RBI master directions.
Cash Reserve Ratio (CRR)
Maintained exclusively as a balance with the Reserve Bank of India earning 0% interest; “Cash on Hand” does not count towards CRR compliance in any financial awareness mock test.
Semantic Comparison
| Feature / Metric | Banking Awareness October 2025 to February 2026 | Static Banking Awareness |
|---|---|---|
| Core Definition | Dynamic, recent financial events and RBI policy updates. | Permanent, foundational banking principles and history. |
| Primary Use Case | Scoring high in the General/Financial Awareness section. | Building base knowledge for interviews and core understanding. |
| Exam Importance | Extremely high (usually covers 70-80% of the section). | Moderate (provides necessary context for current affairs). |
Frequently Asked Questions
Why is Banking Awareness October 2025 to February 2026 critical for RBI GRADE B, SBI PO, IBPS PO, SBI CLERK, RBI ASSISTANT, IBPS CLERK & OTHER BANK EXAMS?
It is a consistently high-scoring area. Examiners frequently repeat core concepts from this section, especially recent RBI circulars, Master Directions, and monetary policy shifts.
Does this mock test cover the full syllabus?
Yes, these 326 questions target the most highly-weighted concepts found in previous years’ papers across 26 distinct regulatory domains.
What are the most repeated topics?
Based on our blueprint, Capital Adequacy (CRAR), NPA classifications, Priority Sector Lending (PSL) limits, and Monetary Policy metrics carry the highest weightage.