Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: General Practice

Q20: Consider the following statements regarding targeted safeguards for senior citizens:

Statement 1: Multi-Factor Authentication (MFA), combining something the user knows (PIN) and something they have (OTP/Device), is mandatory for digital payments.
Statement 2: The RBI's new policy introduces an optional "trusted contact" or dual-authorization feature specifically to protect senior citizens from sophisticated phishing and coercion attacks.
Statement 3: Under this framework, banks are mandated to offer these enhanced digital safeguards to all senior citizen account holders who are above the age of 70 years.
Statement 4: Regulated entities have been given a compliance window to fully integrate and roll out these calibrated safeguards by September 30, 2026.
Which of the above statements is/are correct?
A
Only 1, 3 and 4
B
Only 2 and 3
C
Only 1, 2 and 4
D
All 1, 2, 3 and 4
✅ Correct Answer: D
🎯 Quick Answer:
All statements are correct. (Option D)
Concept Definition: Dual-authorization means a transaction initiated by an elderly user is put on hold until a pre-registered "trusted contact" (like a son or daughter) approves it from their own device, acting as a human firewall against scams.
Structural Breakdown: Senior citizens are disproportionately targeted by cybercriminals due to lower digital literacy.
Banks must now design UI/UX and security flows that cater to this vulnerability without cutting them off from digital banking.
Historical / Static Context: While banks have always had specialized physical banking protocols for senior citizens (like doorstep banking), digital-first protections for this demographic were largely absent from formal regulatory mandates.
The Dynamic Update (NEW) & Data: Qualitatively, the policy introduces the "trusted contact" authorization feature (Statement 2). The hard facts tested define the target demographic strictly as customers above 70 years of age (Statement 3) and establish the strict implementation deadline for the banking ecosystem as September 30, 2026 (Statement 4).