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

Q104: Under the RBI’s Digital Lending Guidelines regarding data collection by Digital Lending Apps (DLAs), which of the following mobile permissions is a DLA explicitly permitted to request from a borrower?

A
Access to the Contact List (Phonebook)
B
Access to the Media Gallery (Photos/Videos)
C
Access to Call Logs
D
Access to Location (One-time only for KYC verification)
✅ Correct Answer: D
🎯 Quick Answer:
Only one-time Location access is permitted.
Concept Definition: Data Minimization in Digital Lending.
The "Restricted List" (Explicitly Banned): Digital Lending Apps generally cannot access sensitive personal data like Contacts, Call Logs, or Media/Gallery.
This ban was enforced to stop the harassment of borrowers' friends and family during recovery (predatory recovery practices). The Exception: Location: Access is permitted only once regarding the customer's location to verify their address or geography for KYC (Know Your Customer) or legal jurisdiction purposes.
Continuous tracking is prohibited.