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

Q9: What is the "Memorandum of Agreement (MoA)", in the context of currency chests?

A
An agreement between a bank branch and its linked currency chest
B
A general agreement between the RBI and a bank, setting out the terms for entrusting currency chest responsibilities
C
An agreement outlining the penalties for non-replenishment of ATMs
D
An agreement defining what constitutes a soiled or mutilated note [QR_BOX]
✅ Correct Answer: B
The MoA is a foundational document for the RBI Scheme of Penalties.
It is the formal contract between the RBI and the bank that establishes the Soiled Note Rules and responsibilities for managing a currency chest.