Module: General Practice
Q60: Regarding the "Key Fact Statement" (KFS) under the RBI Digital Lending Guidelines, which of the following pairs of components and their treatment is INCORRECTLY matched?
✅ Correct Answer: B
🎯 Quick Answer:
Option B is the incorrect match, making it the correct answer.Regulatory Correction: Under the Digital Lending Guidelines, the APR MUST be "all-inclusive." It typically includes the cost of any third-party products, such as insurance, if they are mandatory or bundled as part of the credit facilitation.
Excluding them would violate the transparency norms intended to show the "Total Cost of Credit." Other Options: Penal Charges: This is matched correctly.
They must be absolute figures and cannot be capitalized.
Cooling-off: This is matched correctly.
The period is 3 days for long-term loans of 7 days or more, and 1 day for short-term loans.