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

Q77: Identify the INCORRECT statement regarding the issuance of Foreign Currency (Forex) Prepaid Cards by Authorized Dealers:

A
Forex cards can be issued to residents for travel abroad.
B
Unspent balances on Forex cards can be refunded to the user in cash (INR) without any limit.
C
Fees for the card issuance can be debited from the card balance or charged separately.
D
The cards must be denominated in foreign currency.
✅ Correct Answer: B
1. Statement B is Incorrect: The refund of unspent balances on Forex cards follows the same strict rules as cash transactions.
Amounts up to ₹50,000 can be refunded in cash.
Amounts exceeding ₹50,000 must be refunded by credit to the customer's bank account (Crossed Cheque / NEFT). 2. Risk: Allowing unlimited cash refunds would turn Forex cards into a money-laundering tool (Load via bank transfer -> Refund via Cash = Clean cash). 3. Statements A, C, D: These are standard operational features of Forex cards.