Banking Financial Awareness · General Awareness

Banking Institutions and History

1,287 Questions

Review crucial questions related to banking institutions, their histories, and recent financial events. This set covers bank mergers, taglines, and key regulatory changes by the Reserve Bank of India. It is highly relevant for aspirants of banking and insurance exams.

Bank taglinesBank mergersRBI regulationsFinancial institutions historyBanking licenses

Banking Institutions and History Questions

Multiple choice

The first Financial Institution set up in India:

  1. IDBI

  2. ICICI

  3. IRBI

  4. IFCI
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Industrial Finance Corporation of India (IFCI) was the first specialized development finance institution in India, established in 1948 under the Industrial Finance Corporation Act to provide term finance to manufacturing industries.

Multiple choice

Inter-institutional group comprises of:

  1. IDBI, IDFC, ICICI Bank

  2. SBI, LIC

  3. Bank of Baroda and Punjab National Bank

  4. All of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

 Under the leadership of IDBI, an Inter-Institutional Group was formed representing financial institutions like SFC, SIDC, SIIC and other tern lending institutions such as IFCI, ICICI and ARC

Multiple choice

The punchline 'Aapka Fayada' is associated with

  1. CNBC

  2. Zee Business Channel

  3. SBI

  4. Canara Bank
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

'Aapka Fayada' (Hindi for 'Your Benefit') is Zee Business Channel's tagline, emphasizing viewer benefit. It positions the channel as focused on delivering financial news and insights that benefit investors and viewers.

Multiple choice

In its advt. this banks claims to have over 6000 ATMs in India. Identify the bank.

  1. IOB

  2. BOB

  3. SBI

  4. OBC
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

State Bank of India (SBI) has the largest ATM network in India with over 6000 ATMs. IOB (Indian Overseas Bank), BOB (Bank of Baroda), and OBC (Oriental Bank of Commerce) are public sector banks but have fewer ATMs. SBI's extensive network makes it India's largest banking and financial services company.

Multiple choice

The punchline “Vishwas ki Parampara” is related to

  1. Allahabad Bank

  2. Indian Oil Corporation

  3. Hindustan Petroleum

  4. State Bank of India
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Allahabad Bank used the tagline 'Vishwas ki Paramvara' to emphasize its legacy of trust and reliability. The slogan reflects the bank's positioning as a trustworthy public sector banking institution.

Multiple choice

Which of the following banks has been appointed the “Income Tax Refund Banker” by the Government of India?

  1. Canara Bank

  2. SBI

  3. Bank of India

  4. J & K Bank
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

State Bank of India (SBI) has been appointed as the 'Income Tax Refund Banker' by the Government of India. This means SBI handles the processing and payment of income tax refunds to taxpayers. Canara Bank and Bank of India are other major PSU banks but not designated for this specific role.

Multiple choice

Your branch receives a garnishee order in the name of your customer, Mr. Trivedi, who has the following deposit accounts with your branch. Which of the following can be attached under this garnishee order?

  1. Trivedi - Executor of deceased Ashok Kumar

  2. Joint saving bank account with his wife

  3. Trivedi - Trustee of Sewa Dal Charitable Trust

  4. None of the above

  5. All of these
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Funds in the bank which are standing credited to Mr. Trivedi should be attached with the garnishee order. 

Multiple choice

Which of the following is not a Public Sector Bank?

  1. Centurion Bank

  2. Andhra Bank

  3. Corporation Bank

  4. Central Bank of India
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Centurion Bank was a private sector bank (later merged with HDFC Bank in 2008) and was never nationalized. Andhra Bank, Corporation Bank, and Central Bank of India are all public sector banks that were nationalized and remain government-owned. Public sector banks are those where the majority stake (51% or more) is held by the government.

Multiple choice

Which of the following pairs does not match?

  1. A corresponding new bank established under Banking Companies (Acquisition and Transfer of Undertakings) Act 1970 - State Bank

  2. A principal coop bank in a distt. - Central Coop Bank

  3. A coop society, the primary objective of which is to finance its members – coop credit society

  4. Bank which promotes an RRB - sponsor bank
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

"Corresponding new bank" means a corresponding new bank constituted under Sec 3 of the Banking Companies (Acquisition and Transfer of Undertakings) Act. Thus, it is under Banking Regulation Act, 1949.

Multiple choice

Which of the following pairs is incorrectly matched?

  1. Nationalised banks - Banking Companies Act, 1969

  2. State Bank of India - SBI Act, 1955

  3. State Bank Associate Banks - State Bank (Subsidiary Banks) Act, 1955

  4. RRBs - RRB Act, 1976
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Banks that were nationalised in 1969 and 1980 draw power from Banking Companies (Acquisition and transfer of Undertakings) Act of 1969 and 1980. They are known as nationalised banks.

Multiple choice

Which of the following banks operates in relation to the small industries?

  1. SIDBI

  2. IDBI

  3. ICICI

  4. NABARD
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

SIDBI (Small Industries Development Bank of India) was established specifically to promote and finance small-scale industries. IDBI (now a universal bank), ICICI (private sector), and NABARD (agriculture-focused) serve different sectors. SIDBI is the dedicated institution for small industries.