Some questions

1. Introduce Yourself.

Ans:: I am Aasma from Gaya Bihar. I did my primary and secondary education in my native. Academics have always been prime concern but the dance form I was keen on learning from childhood and was well encouraged at home and school. For 11th and 12th I moved to BodhGaya while did my graduation in Comp Science Eng from Bhopal in 2010. I belong to a middle class family where education and values are given priority over monetary benefits. I've a very humble parents, associated with govt sector, a guiding elder brother working with IBM and a loving younger brother preparing for competitive examination after Engineering.

Me after graduation joined an organisation Gen India where the key role was of content development. I also lead the team of 4-5 members during my tenure for 2 years and then decided to take up banking examination as career prospects were better. I've been preparing for the bank examination from last two years and reached the interview stage earlier too but may be the preparation fell short of the benchmark that was kept. This year after learning from my mistakes, I worked on the areas which were challenging like communication skill, body language and thus equipped myself better than the last year.

Me as a person interested in Indian Movies, music and Cricket to some extent. I want to make sure that I'm an honest trier and the project I undertake are executed with utmost sincerity.

2. Why do you want to join Banking sector?

Ans:: Banking being one of the fastest growing sector in India, offers a great scope of learning and career development by its working environment. A steady growth rate of Indian Banking Sector for the last 20 years along with its role in India's survival during global recession assures of the job contentment and security and thus provide a certain amount of confidence of putting best of our effort without worrying about consequences.

Moreover in retrospect I realize that Banking as a career is the perfect fit for me not only because of the extraordinary range of experience this profession offers but also a healthy work life balance with the pervasiveness of technology along with employees friendly policies, I find it as my second home. My urge for positive atmosphere, growth, achievement, social recognition and chance to meet and serve the mass and class of people inspired me to join this sector. I am desperate to be

an integral part of it in order to enhance my skills and contribute in the economic, social and financial development of the country through banking system.

3. What is the definition of Bank ?

Ans:: According to Banking Regulation Act 1949, Bank is a financial institution which accepts deposit for the purpose of lending or investment and repays it on demand by cheque, draft and other instruments.

Deriving from the above definition and viewed from customer point of view, Bank is an organization which acts as an intermediary between people having surplus money and those requiring money for various activities. It also act as a safe custodian of money, a system for easily transferring their money, provides funds for business as well as personal needs of individuals, encourages savings habit among people and help them to raise their standard of living by providing loans for purchasing consumer durable goods, houses, auto mobiles etc.

In Today's world, Bank is like a pillar to a country and has become a part and parcel of everyone's life. Also, it is one of the fastest growing sectors with more stability and offers good growth opportunities as candidate can reach from trainee officer to Chairman level. It provides a white collar job with challenging working environment with good reputation in society.

Banking being one of the fastest growing sector in India, offers a great scope of learning and career development by its working environment. A steady growth rate of Indian Banking Sector for the last 20 years along with its role in India's survival during global recession assures of the job contentment and security and thus provide a certain amount of confidence of putting best of our effort without worrying about consequences.

Banking is fastest growing sector in india. Nowdays banks providing large career opportunities for graduates. Banking job has high social respect in society and also it secure job.

Banking’ is one of the most essential and important factor in one’s life as it deals with cash and cash transactions. Financial needs are equally important in life for enjoying a comfortable economic status and hence banking sector plays a vital role for all of us.

I see myself as an efficient banker after 5 years with as much knowledge as possible. in the long run, I would love to be at the helm of a PSB and execute my plans more effectively

Ans1:financial inclusion means to providences banking services to the unbanked people at affordable rates.even after 68 yrs of independence,a big part of indian populatn is unaware of banking facilities and they continue to make money transactions from traditional money lenders who exploit them by charging high interest rates.therefore government is aiming to encourage saving habits among people,to secure their deposits and to free them from exploitation by money lenders,to stop the subsidy leakage etc. through the idea of financial inclusion..Diffrnt schemes introduced are:No frills/BSBDA,KCC,BCs,DBTL,PAYMENT BANKS,SMALL BANKS,PMJDY,PMSBY,PMJJBY,LBS etc......Ans 2:::Repo rate is the rate charged by RBI when commercial banks sell securities to RBI at the promise that they will purchase those after a certain short period....basically it is the rate at which RBI lends to commercial banks for a short period.....it is the key rate by which RBI controls money supply in the market.if repo rate is cut by 25 or 50 basis points .it will consequently make the borrowing cheap for commercial banks which in turn will increase their lending capacity.and which in turn will induce banks to slash interest charges on loans and hence demand for loans among public will high and consequently money supply will increase in the economy.Ans3:Sir, I am a graduate in statistics,maths and economics with distinction..all 3 of my subjects have wide application in banking sector or banking is impossible without any of these 3 subjects .my knowledge of basics of economics and analytical ability is sure going to take ur bank to new levels.also I enjoy working with people and have good behaviour knowledge and I will surely be able to maintain excellent rapport with customers.I am a workaholic person and always ready to bring perfection to my job.

Ques1:: What is Financial Inclusion? Which schemes are launched by the government to boost the financial inclusion drive in the country?Ans:: Financial Inclusion can be defined as the process of ensuring access to appropriate financial products and services needed by all sections of the society in general and vulnerable groups such as weaker sections and low income groups in particular,at an affordable cost in a fair and transparent manner.

RBI and Financial Inclusion::* No-Frill accounts/ Basic Savings Bank Deposit Account opened with *Simplified 'Know Your Customer' Norms offering * Easy Credit Facilities. * Business Correspondents (BCs) and * Simplified Branch Authorization, * Opening of Branches in Unbanked Rural Centers

and the two types of differentiated banks i.e the * Payment Banks and the Small Finance Banks.

GOI and Financial Inclusion::Pradhan Mantri Jan Dhan Yojana , A Basic Banking Accounts with overdraft facility of Rs.5000 and RuPay Debit card with inbuilt accident insurance cover of Rs. 1 lakh and RuPay Kisan Card & in next phase, micro insurance & pension i.e "Pradhan Mantri Suraksha Bima Yojana" (accident insurance), "Pradhan Mantri Jeevan Jyoti Yojana" (life insurance) and "Atal Pension Yojana" were launched for inclusive growth. Other schemes includes:: Re-launch of Modified Direct Benefit Transfer for LPG Consumers (DBTL) Scheme - Seeding of Aadhaar number in bank account , Launch of Mudhra Bank etc.

Ques 2:: In many newspapers we read that RBI decreased Repo Rate by 50 or 25 basis points. So, how it will affect the Indian Economy?

Ans:: The cut of Repo rate (at which the central bank lends to commercial banks) by 50 or 25 basis points will have positive impact for banking and economy. If repo rates are cut, banks gets loan at cheaper rates and thus the lending rates or loan rates are also reduced and this reduction leads in raise of money supply, liquidity and so the purchasing power. It strengthens positive momentum in the economy as Infrastructure investment gets a push and Home loans and corporate loans becomes cheaper. Even Housing sector, Realty sector and Auto sector gets a boost bringing cheers to the stock market and a boost to economy and growth. On the other side, it has a negative impact on people investing in fixed income securities like fixed deposits, recurring deposits as they may not receive expected interest rates.

Ques 3 :: How your knowledge & education will helpful in Banking sector?

Ans:: Role of Computer Engineers in Banking sector can't be denied as all the operation nowadays are technology driven. Infact The global banking system would be impossible without the work of Computer Engineers. Me being a computer engineer and being fluent in both the hardware and software aspects of the modern computer systems will help me to adopt and implement easily to the technological advancements in banking industry necessary for driving the economy. Moreover Banking is a business demanding confidence, communication skills and customer satisfaction. Me during my tenure lead a team, organised events which gave me confidence and learnt the spirit of inclusiveness, importance of open communication channel leading to an opportunity to enhance my communication skills while interacting more and more for customer satisfaction.

Being an Engg. we have gud analytical skills & can easily grasp the concepts of Technical & Non-Tech as well.

1. Supervising the work done by clerical staff 2. Marketing of the products of banks3. Ensuring smooth functioning of branch 4. Credit monitoring as well as credit creation5. Coordinating with the immediate higher authority regarding anything and everything6. Coordination with lead bank, NABARD, sponsored RRBs in an areaBasically, a PO deals with either operation department or credit department. In operations, daily duties like passing of cheque, ATM, Mobile banking, net banking etc. In credit, credit creation and timely review and appraisal

Engineering Graduates are good at grasping the concepts of anything very fast due to their analytical nature, good communication skills and skills of understanding things in an objective way. At the end of everything, my subject knowledge may also come in handy during crisis situations in the bank

Ans 1. Financial inclusion means making financial services available to every citizen of the country. Despite more than 65 years of our Independence, there is a large chunk of population, particularly in Rural areas which is bereft of being a part of mainstream banking facilities and rely on local moneylenders for availing credit facilities, who essentially charge very high interests. To bring people out of this trap of perpetual exploitation at the hands of the moneylenders and make them a part of the economic growth, financial inclusion as a policy has been conceived by every single govt of India, whosoever has been in power. There have been many substantial steps taken in this regard:---Nationalization of the banks was perhaps the first substantial step in this direction. To inculcate more confidence towards the banking system, in the minds of the common man, govt decided to take control of pvt banks of those times.---Public Sector lending, which requires both Indian public sector and foreign banks to lend on a priority basis to those sectors of the economy which are vulnerable has also played a significant part.---No frills accounts, which were later came to be known as Basic savings bank deposits accounts(BSBDA) and PM's pet policy of Jan Dhan account openings with 0 balance have helped achieve the objective of financial inclusion greatly. JAM trinity i.e. Jan Dhan, Aadhar and mobile of the new govt also point to their efforts towards policy of financial inclusion.---Various social security schemes, whether MGNREGA or DBTL, all were intended for this purpose. Other schemes like PMJJBY, PMJSY, Sukanya yogna have been launched by the present dispensation.---Self Help groups and SHG linked bank programme of NABARD and MUDRA yogna and

setting up of the SIDBI by the govt, all these point in a direction towards bringing people out of poverty.---Digital India programme, if becomes successful and is able to connect people across the country with the financial institutions will prove to be transformational in this regard. Even today, m banking and e banking has enabled many to avail banking services even in remote areas where there are no banks.---Banking correspondents and financial intermediaries have also helped.

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Ans 2. Repo rate is a part of RBI's monetary policy through which it is able to regulate the flow of liquidity within the Indian economy. It is the rate at which financial institutions can avail short term loan from RBI. If RBI increases the rate, then cost of credit for the banks gets increased and therefore, the credit in the economy decreases. Decreased credit will mean less investment and lesser expenditure/demand on the part of people. Lesser expenditure/demand would mean companies producing lesser goods/supply, which may slow the economy down in the long run.

If on the other hand, the rate is decreased, it would mean injection of more liquidity in the economy. Which will increase demand and therefore supply, so more competition which eventually results in increased growth. Decreased rate may result into more inflation, as a side effect though.

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Ans 3 Sir, I have done engineering in ECE. As an engineer, we were required to make various projects and got many opportunities to work in teams during the four years. That enabled me to understand not only how to properly manage time, but also meet the required deadlines while working as a team to complete various projects. In the last sem only, I led my team members on a project which was regarding Railway ticket booking website development. [I may share the whole experience like how I lead and managed and proved helpful to our entire team and how I was able to take everyone along etc, if asked by the panel] Not only that, as banking sector is increasingly becoming technology dependent, my familiarity with technology for 4 long years will help me adjust better even in a case where bank decides to replace the existing technology with a new one. The analytical skills learnt during my engg years will prove handy, I am sure and the fact that I have learnt a lot to communicate well with people during 4 years and have always taken the responsibility of project presentation and explanation in front of our teachers has made me confident to look for a job which requires good communication skills among other things.

Currently my priority is Banking and I want to serve my country being a banker and to do this I am preparing myself from quite sometime without looking into other career opportunities. However if I get a chance to serve my country from those top reputed posts then I won't hesitate to take the opportunity, but I want to give my full concentration into the growth of my bank and my career as a banker.

Q2. Effects of Online Banking in India?

=> Online banking in India is a revolutionary step taken by the government in banking industry. Online banking has eased some of the most crucial services of a bank in one's fingertip. RTGS, NEFT are some of those. As the E-commerce industry is booming so is the use of Internet banking, starting from online shopping to fund transfer and to pay various bills Internet banking is being widely used. But Internet banking has carried some threat to account holders as well, now a days cyber crimes are increasing in a rapid pace and many Internet banking enabled account holders has become victims of internet robbery.

1. Sir, My priorities and goals are very clear. I want to direct my full attention and resources into growing within the banking industry rather than preparing for exams such as IAS, which require a very long and rigorous preparation and which I am not in a position to undertake, given the responsibility I have towards my family. So, I will seek promotions within the bank rather than without. To be honest, everyone wants the best job out there and noone including me would want to reject a chance to be an IAS or PCS, but one has to also realize his potential, responsibilities and interests and I am sure my interest and responsibilities will not allow me to seek for anything else, even if my potential may.

2. Going Online has actually had a revolutionary effect on Indian banking industry. Till about some years ago, people could not have ever thought of availing banking facilities on their mobiles and laptops, anytime and at any place. It has given better access to banking services, provided platform for carrying out transactions for online companies etc. Not only that, security, transparency, ease of access, convenience are among other benefits of online banking. Banks are exploring and coming out with brilliant ideas everyday like online lockers, carrying out transactions with facebook friends etc. All this has been possible due to banks going online

3. I will, very respectfully try to convey to him the benefits of the best deposit schemes meant for the old. If he is financially not very strong, I may suggest him some of the schemes meant for the poor, in case they provide better benefits than senior citizens' schemes. Schemes may be mentioned based on the various schemes run by the govt of the time. Such schemes could include various senior citizens saving schemes. I will also make sure that he understands the scheme very clearly.

1. If you get a better job in Public Sector (IAS/PCS Etc.), will you leave us ?

Sir, Banking as a career is a perfect fit for me. The extraordinary range of experiences and role it offers leading even to the position of chairperson, will never tempt me to other sector. For me job contentment, a healthy work life balance and the learning offered by one's work environment is important. Moreover I feel that as long as I'm doing my work with conviction and leaving my mark and its being recognized, I don't need to switch.

2. Effects of Online Banking in India?

Well, Online Banking providing anytime, anywhere and anyhow banking nowadays has become "need to have" rather than "nice to have" service. It offers advantages for both banks and customers in terms of convenience, profitability and cost efficiency. Be it opening an account, transferring funds among different accounts, payments of bills, shopping in electronic malls,investment in mutual funds or IPO, It's all just a click away. Only the area of concern is the security and privacy risk involved.

3. If any old man come to your bank and he want’s to invest money, so what you will suggest?

Well, It's more or less dependent on that particular individual and his need and purpose of investment. Depending upon his plan I can suggest for Senior Citizens Saving Scheme(SCSS) or investment in bank fixed deposits or even for fixed maturity plans in Mutual Funds

Q1. Suppose you are posted in a rural area where people only go to moneylenders for any financial need. As a banker, what steps will you take to make customers come to banks?

=> If I am posted in a rural area where most of the population do not have basic knowledge about banking I will arrange some awareness camp with the help of locals, school teachers or even panchayat members in order to make them aware about banking facilities. I will elaborate them to various schemes such as Pradhan Mantri Jan Dhan Yojana, Pradhan Mantri Jeevan Jyoti Bima Yojana, Atal Pension Yojana, Basic savings bank deposit account and overdraft facility related to it and will ask to take the benefit of these schemes instead of going to moneylenders where they used to pay heavily (interest) for debt, whereas banks can fulfill their need for money with a very little interest which will make their financial decision better as banks never misleads a customer unlike a moneylender for his/her own benefit.

Q2. What is Base Rate? Tell the recent development in this regard.

=> It is a rate of interest bellow which a bank can not lend to any customers, however it is different for different banks. RBI keeps on monitoring about its upper limit, i.e.. above this

limit no bank can sum up their lending rate. Recently RBI has proposed a new methodology to calculate base rates called as "Marginal cost of funds" to make base rate sensitive to policy changes

Q3. Do you really think small and payments bank are necessary for the country? Or will they only become another player in the already crowded banking sector of the country?

=> Recently there have been lot of developments in the banking sector in India. Small banks and payment banks are some of the new things introduced in this sector. For a country with population more than 1 billion, spreading banking facilities to everyone is a major issue. Payment banks and small banks has somehow managed to furnish this issue till some extent. Payment banks use the digital platform such as PDA, Mobile phones to perform the banking operations and these are the most easiest way to reach most of the customers specially after the advancement of mobile computing. Small banks are offering services such as accepting deposits and lending to small farmers, micro and small industries and even transferring fund is also possible. These banks unlike other commercial or regional rural banks require lesser paper work from the customers and this thing attracts a huge number of people towards them.

These banks specially payment banks are already giving competition to some of the top rated banks as far as rural penetration & smaller online transactions are concern due to the booming in e-commerce industry in India.

Qs 1. Suppose you are posted in a rural area where people only go to moneylenders for any financial need. As a banker, what steps will you take to make customers come to banks?

To ensure access to financial product and services in a fair and transparent manner among poor and weaker section, financial literacy initiative is important. Me as a banker can organize Financial literacy camps with the help of Business Correspondents (BCs) Model at regular interval targeting school and college students (if any), women, farmers, pensioners and senior citizen etc along with account opening programs with relaxed KYC norms . I can let them know that how this a saving cum overdraft account for availability of credit at low interest rate and a pure saving/recurring deposit account can credit them for their savings and can help them in improved financial status. Apart from this I can make them aware of the schemes and facilities of Govt of india and Banks to promote financial inclusion through Jan Dhan Yojna, Direct Benefit transfer, social security schemes through aadhaar enabled system, KCC or GCC as credit product can help them to get rid of money lenders and thus help to improve financial decision.

Qs. 2. What is Base Rate? Tell the recent development in this regard.

Base Rate is the minimum rate of interest at which bank provides loans to any customer. It replaced Benchmark Prime Lending Rate from July 2010 to enhance transparency in lending rates. The Base Rate is determined by bank itself and it's different for each bank, through regulated by RBI. At present base rate is in the range of 9.30% to 9.70%.To bring in uniformity among banks for calculation of base rate and for effective transmission of policy rates, the RBI proposed marginal cost of funds to calculate individual lending rates as they are more sensitive to changes in the policy rates.

Qs. 3. Do you really think small and payments bank are necessary for the country? Or will they only become another player in the already crowded banking sector of the country?

For a country like India with a huge population in rural areas, the key element of inclusive growth is financial inclusion. In order to serve the unserved or underserved segments of population and economy and to make sure that all sections of society and people living in remote rural areas have access to banking facilities, the RBI worked on the proposal to introduce small and payment banks with USP of service at door step, flexible times, minimum documentation, continuous monitoring of cash flow, hand held ATMs etc. With this introduction the government working towards a direct repayment of subsidy on various schemes to the bank account of consumers will get boost, the poor sections of society who not having a bank account would gain and Again since most of laborers working away from home use post offices or third-party channels to initiate a funds transfer to their native places, payments and small bank will change this concept and thus the face of rural India and definition of banking will change.

1. With millions of customer and variety of products and services offered, Customer service along with customer satisfaction is all I am supposed to provide as a banker and it can be achieved with patience and open communication channel and technological advancements. Nowadays we have queue management solution which provides tokens for the types of transaction giving server/administration the information about the services needed by the customer so depending upon that we can categorize the customers and thus the nature and urgency of work will get the preference. Apart from that depending upon Customer types and demographics I can assist and spend more time with individual customers that require the additional personal assistance in case of loans/advances, fixed/recurring deposits, foreign exchange dealings, locker facility etc along with encouraging usage of Self Service kiosks and green channel counters for withdrawal, deposit, fund transfer, balance inquiry,

mini statement, account opening request, cheque clearance, pass book updates and other routine transactions.

2.Disinvestment is simply selling the equity/share invested by the government in Public Sector Enterprises (PSUs) to private companies in order to obtain profit, raise resources, improve the performance of the under performing units. No doubt it has its own pros and cons. If on the one side it attracts greater inflow of private capital then on other hand there is a loss of public interest and affects social welfare. For a country like India with huge fiscal deficit and current account deficit, the economy as a whole will be benefited as it'll increase efficiency of the units, will draw foreign and domestic money into market while lessening the liabilities of govt and thus will stimulate the economy, cater employment generation and GDP growth but again social upliftment should be the aim from those raised funds.

3.NITI stands for National Institution for Transforming India and the goal is empowerment and equality for sustainable and inclusive growth. Planning Commission statement that if a family could afford to spend Rs. 22 a day(or any such number) it was above the poverty line, hints the truth that how detached they were from the realities of the world and how their policies were unconventional. Thus there was the need of the real break. For more realistic and human centered approach, decision was meant to be done from the bottom i.e stressing on marginalized section of the society and hence NITI Aayog was set up to work as a policy formation hub involving state governments and even villages to play a greater role in planning process while mending the communication gap and thus providing enough space for establishing a two way relationship between center and state govt in matters related to economic policy and development.be it for boosting small enterprises, eliminating poverty, employment, infrastructure development etc.Unlike Planning commission, NITI Aayog with no power to implement policies and allocate funds on its own can bring a major difference in grass root level development of a country like India.

Ans : 3 Niti ayog has several features which truly implies that it is much better than planning commission.Such as

i)The role of states in the planning commission era was limited. Earlier the states needed to interact with the planning commission to get their annual plan approved. They had some limited function in the National Development Council where in Niti Ayog has all chief ministers of states and administrators of UT in its Governing Council, it is obvious that states are expected to have greater role and say in planning/ implementation of policies.

ii)Planning Commission followed top down approach where it is reversed in Niti Ayog. It will develop mechanisms to formulate credible plans to the village level and aggregate these

progressively at higher levels of government.--------------------------------------------------------------------------------------------------------------------------------------------

Ans: 2 Disinvestment is good if we talk about India because of following reasons-.1) Government will generate funds spontaneously if needed.2)It will generate money to reduce fiscal deficit. Govt. Can utilizes these funds for welfare of public.3) New technology will be used which will reduce the wastage of resources, presently which is not there in government comp.

But Beware ---1)Disinvestment should be avoided in the sectors which directly connected to common people like oil, sugar etc.2)There should not be monopoly of private players.

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Ans: 1 Sir In a Bank , customer satisfaction is the vital role among all roles which are performed in the Bank , but at same time we have to decide how to prioritize the importance of need of the customers request in such a situation.Among all ,I will prefer to give my service first to the customer who has come to withdraw the cash , may be urgently require it . But this i can do immediately by just giving first account opening form to the another customer who requires to get his bank account opened which will take few seconds and can tell him please fill basic details what you understand and thereafter ask if any query is there, later on can take cash deposit and can update passbook

.Ans:: As the name suggests, It's not a bank (does not hold banking license) yet performsbanking services like accepting deposits, making loans and advances, leasing, hire purchase, insurance etc and hence it's virtually a bank, as far as loaning and investment activities i.e asset side is concerned. Being registered under the Companies Act,1956, it provides credit to the various wholesale and retail customers, small-scale industries, self-employed persons etc while raising funds from the public, directly or indirectly.NBFCs can be distinguished from banks with respect to the degree and nature of regulatory and supervisory control. First, the regulation governing the NBFCs are relatively lighter as compared to banks. Secondly, NBFCs are not subject to CRR like banks though they are mandated to maintain 15% as SLR in comparison to 21.5 % for banks. Thirdly, they do not have deposit insurance coverage and refinance facilities from RBI and fourthly NBFCs do not have cheque issuing facilities, demand deposit facility and are not the part of the

payment and settlement system. Fifth, The capital adequacy ratio for NBFCs is higher at 15% compared to 9% for banks, the period for classifying loans as nonperforming assets (NPAs) in case of NBFCs is higher at 180/360 days against 90 days for banks.

2.Ans :: CASA refers to the amount of money customers put in banks’ current account (CA) and savings account (SA). A savings account is for individuals while a current account is for companies and it is only valid for as long as the customer likes. Banks do not pay any interest on current account and interest paid on savings account deposit is 4% (much lower compared to term deposits.) For the purpose of opening an account the KYC procedure is to be completed by the banks which mean one needs to submit a ‘proof of identity and proof of address’ together with a recent photograph. Documentation includes Passport, Driving Licence, Voters’ Identity Card, PAN Card, Aadhaar Card, NREGA Card etc. Any one of these documents can be submitted as proof of identity and documents containing address details, can be accepted as as ‘proof of address too.

3.Ans:: Inflation can be referred as such condition of the market when value of goods and services increases and value of money decreases. Thus an increase in the price we pay for goods or decline in the purchasing power of our money can be understood as Inflation.RBI through its direct and indirect instruments of monetary policy can control the Inflation. For example,By raising interest rates(CRR, SLR, RR), the RBI causes banks to raise rates and thus lowers demand b’coz firms do not borrow as much to invest when rates are higher and individuals stop buying durable goods against credit and, instead, turn to save. Lower demand growth leads to a better match between demand and supply, and thus lowers inflation for the goods being produced. Apart from this under Market Stabilisation Scheme(MSS) and Open Market Operations RBI encourage selling of short dated govt securities and treasury bills to absorb liquidity.

1. Non Banking Financial Company is a financial institution registered under Companies act and provides various financial services like loans, insurance and chit funds. It earns primarily from making investments into securities, bonds, debentures etc.

Unlike banks, NBFCs are under relaxed regulatory oversight of the RBI. While banks have to strictly follow CRR, SLR requirements of the RBI, the requirements are relaxed in case of NBFCs. Also, while RBI regulates banks with stricter prudential norms in cases of NPAs, asset classification, provisioning, sources of income etc., NBFCs don't need to be as transparent as banks in these areas. On the assets side, both NBFCs and banks are almost same, but on liabilities side there is a difference as NBFCs can't accept demand deposits, are not a part of payment and settlement system, can't issue demand drafts etc. But banks have an advantage in certain cases such as they can enforce SARFAESI to recover bad

debts, their customer come under the ambit of DICGC and they have the option to avail of marginal standing facility, which NBFCs don't have.

2. CASA means current account saving account. Current account savings account represent the demand deposit of a bank. There is a ratio called CASA ratio, which is used to understand the percentage of demand deposits with the banks to the total deposits. It helps to know about the cost of funds of the banks. Higher the ratio, lower is the cost of funds and better is the bank's profit. Requirements for opening banks accounts are:Identity proof, address proof and photograph. Also the banker's discretion plays a key role. Better credit scores from CIBIL may help in opening a current account easily(not sure about this). Also the requirement to fulfill know your customer guidelines may be there.

3. Inflation is the sustained rise in prices of goods and services. Inflation decreases the purchasing power of the currency i.e. people are able to buy lesser amount for the same price when prices of goods are rising. It generally happens because of increased liquidity in the market. But it can also be due to an increase in demand or decrease in supply of goods and also when there is recession(as in case of Zimbabwe). RBI may increase policy rates(repo, crr, slr etc) to control liquidity in the economy. It may also sell govt securities(open market operations) to pull money from the economy. RBI may also get it's monetary policy requirements done through moral suasion(advicing banks), credit rationing(refusing to lend more even if the banks are willing to pay more) and direct action on the banks which are not fulfilling monetary policy requirements..

1. Suppose on a certain issue your opinion differ from your senior officer, how would you convince him/her on your point?Ans:: Officer making it to the senior level shows that they are effective decision makers and learnt mostly from their experience (either good or bad) while building a set of criteria/thoughts that guides them. With changing environment innovation of thoughts is required (though not mandatory) which again depend upon the nature of the business and competition involved. one's decision can be influenced by both reason and emotion, depending on the person. What I feel is along with the content (facts, data, analysis etc), the effective delivery of that message too is important. Thus will convince him for open discussion and look for the risk involved in either of the opinion along with bottom line results associated. Depending on that healthy discussion we can conclude for decision involving minimal risk yet innovative. No doubt will be flexible to change if needed and if not will approach someone on more higher level while focusing on its need and impact on our customer.

2. What is KYC? and why is it necessary? Ans:: KYC stand for Know Your Customer and is basically a customer identification program (CIP) helping the banks to verify and maintain records of the identity and address of the customer to ensure that banks’ services are not misused. While opening different accounts, the bank or financial institution collects reliable documents to identify and verify the customer’s credentials. Documentation includes recent photographs along with Passport, Driving Licence, Voters’ Identity Card, PAN Card, Aadhaar Card, NREGA Card etc. Any one of these documents can be submitted as proof of identity and documents containing address details, can be accepted as as ‘proof of address too.As per the guidelines issued by RBI and Prevention of Money Laundering Act (PMLA) 2002, all banks are required to follow KYC norms. Its objective is to enable banks to know and understand their customers better and help them manage their risks cautiously and thus preventing banks from being used for criminal activities like money laundering, financial fraud, theft, terrorist finance etc. It has become necessary for banks and other financial institutions to know about the true identity of their customer, the nature of their customer’s business, the source of funds etc. It assists the banks to understand the customers and their financial dealings better, and helps them identify and avoid suspicious transactions.

3. What is the impact of recent US Federal Reserve interest rate hike, on the Indian economy? Ans:: The first modest hike of 0.25% in US Federal Reserve interest rate in seven years supports the recovery of US economy and thus making US more attractive for foreign investors . Though the immediate reaction in Indian market is positive as both stocks and rupee ended stronger, thanks to the strong foreign currency reserves and better growth prospects of Indian economy yet the impact (rate hike) will happen depending upon what it signals about the future rate hikes. In expectation of higher return appreciated dollar will prompt outflow of funds from emerging markets such as India to the US can be expected and this pull out of foreign institutional investors (FIIs) while bringing down the benchmark indices will affect equity markets and further rise in weakening of rupees.This depreciating rupee can further make imported goods costlier be it crude oil, gold, mobile phones, or even raw materials like copper, aluminium, machinery etc fanning domestic inflation and hurting profitability of many companies. Moreover for corporate/Companies that borrowed dollars from overseas banks, repaying loans will become costlier. RBI on the other hand may be hesitant to cut interest rates to counter inflation, stabilize the rupee and to maintain India’s attractiveness as favored destination for foreign funds and thus no more EMI cuts can effect domestic sectors.

 “People do not fail in life because they aim too high and miss. They fail in life, because they aim too low and hit.”

1. How do you check your work for accuracy?Ans:: Accuracy is important for maintaining credibility. Checking for accuracy requires knowledge of the standard procedures, rules, protocols, product and services related to that work. Me understanding my responsibility start my work with a right mindset focusing on one job at a time while avoiding distraction. As far as bank is concerned I'll double check my actions during various transaction and while editing account information and so on. Improving communication with customers and few management skills will also help in ensuring accuracy at work.

2. What is green Banking and what are its features?

Ans:: Green Banking is a new way of conducting the banking business promoting environment-friendly practices and reducing carbon footprint from banking activities. Banks offering multiple banking channels such as ATMs, NetBanking, MobileBanking along with Paperless Banking via Green Channel Counters, providing Green home loans, Green credit cards and use of power saving equipment are few initiatives to protect the environment and conserve natural resources.Features of green banking::* It helps environment through automation and reduced cost and energy.* It helps in saving money and thus increasing GDP of a country.* It cares for sustainable and Green Growth for society.* It focuses on social safety and security by changing negative impacts.

3. Recently which gold schemes are launched by government and what are its benefits?Ans:: In order to reduce India’s gold imports, to narrow CAD (current account deficit) and trade deficit while bringing all idle gold with individuals into the economy, the Indian government came out with three new gold schemes- Gold Monetisation Scheme (GMS), Gold Sovereign Bond Scheme and the Gold Coin/Bullion Scheme.

1. The Gold Monetisation Scheme- as the name suggests it makes gold work for individual by yielding interest up to 2.5% when deposited(min 30 grams of 995 fineness) in a bank with a provision for premature withdrawal and a minimum tenure of one year.

2.Sovereign Gold Bond Scheme- to encourage people to buy gold/paper bonds (min 2 grams and max of 500 grams per person) instead of actual/physical gold, to earn 2.75% interest. The bond tenor is for eight years, with a minimum lock- in of five years.

3. Gold Coin/Bullion Scheme- Launch of Indian Gold coins having Ashok Chakra on one side and Mahatma Gandhi on the other side in denominations of 5 and 10 grams, apart from a 20 gram bar.

To bring in uniformity among banks for calculation of base rate and for effective transmission of policy rates, the RBI proposed Marginal Cost of Funds based Lending Rate (MCLR), to calculate individual lending rates (Base Rate) as they are more sensitive to changes in the policy rates. Marginal funds refer to money raised by banks in the last month or quarter before the lending rate review.

MCLR will be calculated after factoring in banks'

a. Marginal cost of funds (largely, the interest at which banks borrow money)b. Negative carry on account of CRR (the cost that banks incur on account of keeping reserves with the RBI)c. Operating costs (associated with providing the loan product including cost of raising funds)d. Tenor premium (costs arise from loan commitments with longer tenor)

The actual lending rate will be MCLR plus the spread determined by banks after taking into account their business strategy and credit risk of the borrower, among other parameters

The new methodology will come into effect from 1 April 2016