Digital Banking Awareness Quiz – Set 3

Hello Aspirants,
Welcome to Digital Banking Awareness Quiz in AffairsCloud.com. Here we are creating quiz covering important questions which are common for all the bank exams and mainly for Federal Bank Officer Scale I and Clerks Exams.

1. The maximum value of any prepaid payment instrument, where specific limits have not been prescribed, shall not exceed ______
   A. Rs. 25000
   B. Rs. 75000
   C. Rs. 50000
   D. Rs. 100000
   E. None of these
   
   Answer & Explanation

   C. Rs. 50000
   Explanation:
   The maximum value of any prepaid payment instrument, where specific limits have not been prescribed, shall not exceed Rs 50,000/-
2. Entities, seeking approval/authorisation from the RBI for issuance of PPIs should have a minimum positive net worth of _______.
   A. Rs. 10 Crore
   B. Rs. 15 Crore
   C. Rs. 20 Crore
   D. Rs. 25 Crore
   E. None of these
   
   Answer & Explanation

   D. Rs. 25 Crore
   Explanation:
   Entities, seeking approval/authorisation from the RBI for issuance of PPIs should have a minimum positive net worth of Rs 25 crore.
3. Amount in a PPI should not exceed _____ at any point of time if the customer provides full KYC
   A. Rs. 1 lakh
   B. Rs. 2 lakh
   C. Rs. 3 lakh
   D. Rs. 4 lakh
   E. None of these
   
   Answer & Explanation

   A. Rs. 1 lakh
   Explanation:
   Amount in a PPI should not exceed Rs 1 lakh at any point of time if the customer provides full KYC
4. Amount in a PPI should not exceed _____ if the customer provides minimum KYC details to the PPI issuing entity. 
   A. Rs. 10,000
   B. Rs. 20,000
   C. Rs. 15,000
   D. Rs. 25,000
   E. None of these
   
   Answer & Explanation

   B. Rs. 20,000
   Explanation:
   Amount in a PPI should not exceed Rs 20,000 if the customer provides minimum KYC details to the PPI issuing entity
5. The maximum value in PPIs for credit of cross border inward remittance at any point of time shall not exceed _______
   A. Rs. 45,000
   B. Rs. 35,000
   C. Rs. 25,000
   D. Rs. 50,000
   E. None of these
   
   Answer & Explanation

   D. Rs. 50,000
   Explanation:
   The maximum value in PPIs for credit of cross border inward remittance at any point of time shall not exceed Rs. 50,000/-.
6. The maximum value outstanding in PPI-MTS(Mass Transit System operator) cannot exceed the limit of _______at any point of time
   A. Rs. 2000
   B. Rs. 5000
   C. Rs. 4000
   D. Rs. 3000
   E. None of these
   
   Answer & Explanation

   D. Rs. 3000
   Explanation:
   The maximum value outstanding in PPI-MTS(Mass Transit System operator) cannot exceed the limit of Rs. 3,000/-(Rupees Three Thousand Only)at any point of time
7. Bank and non-bank entities are permitted to issue prepaid gift instruments.The maximum validity of the prepaid gift instruments shall be _______
   A. 3 years
   B. 5 years
   C. 4 years
   D. 2 years
   E. None of these
   
   Answer & Explanation

   A. 3 years
   Explanation:
   Bank and non-bank entities are permitted to issue prepaid gift instruments.The maximum validity of the prepaid gift instruments shall be 3 years
8. Maximum value of each prepaid gift instrument shall not exceed _______
   A. Rs. 20000
   B. Rs. 10000
   C. Rs. 25000
   D. Rs. 15000
   E. None of these
   
   Answer & Explanation

   A. Rs. 20000
   Explanation:
   Maximum value of each prepaid gift instrument shall not exceed Rs. 20,000/-
9. The amount outstanding at any point of time in Open System PPIs by banks shall not exceed ________
   A. Rs. 200000
   B. Rs. 100000
   C. Rs. 250000
   D. Rs. 150000
   E. None of these
   
   Answer & Explanation

   B. Rs. 100000
   Explanation:
   The amount outstanding at any point of time in Open System PPIs by banks shall not exceed Rs. 100000
10. _______ are redeemable at a group of clearly identified merchants that contract specifically with the issuer to accept the payment instrument.
    A. Closed System Payment Instruments
    B. Semi-closed System Payment Instruments
    C. Open System Payment Instruments
    D. Semi-Open System Payment Instruments
    E. None of these
    
    Answer & Explanation

    B. Semi-closed System Payment Instruments
    Explanation:
    Semi-closed System Payment Instruments are redeemable at a group of clearly identified merchants that contract specifically with the issuer to accept the payment instrument.