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

Q2: Which of the following statements regarding penalties for note discrepancies are correct?

For shortages of notes in denominations up to ₹50, the penalty is ₹50 per piece, in addition to the loss.




For shortages of notes in denominations of ₹100 and above, the penalty is equal to the value of the denomination per piece, in addition to the loss.




For mutilated or deliberately cut notes detected in soiled note remittances, the penalty is ₹50 per piece, irrespective of the denomination, in addition to the loss.




For shortages of notes in denominations of ₹100 and above, the penalty is ₹100 per piece, irrespective of the denomination.
A
1, 2 and 3 only
B
1 and 2 only
C
2, 3 and 4 only
D
All of the above
✅ Correct Answer: A
Under the RBI Scheme of Penalties, shortages in denominations of ₹100 and above attract a penalty equal to the value of the note, not a flat ₹100.
Therefore, statement 4 is incorrect, while statements 1, 2, and 3 accurately reflect the penalty structure for shortages and mutilated notes.