State Bank Exams MCQ

In Into The Candidates, this MCQ section of State Bank Exams is an essential tool to succeed in various State Bank of India (SBI) exams including SBI Clerk, PO and SO. The MCQs in this section cover a wide range of multiple-choice questions covering topics such as General Knowledge, Reasoning Ability, Qualitative Aptitude, and English Language. These meticulously composed MCQs are in line with the exam syllabus and examination pattern. Candidates get targeted practice here.

By helping candidates grasp the question format in SBI bank exams, candidates can also improve their understanding of the topics typically tested. This approach increases speed, precision, and self-assurance-all needed to succeed in a highly competitive exam.

Regular practice of this set of MCQ permits candidates to identify their strengths and their weakest points, allowing for focused study. This collection of MCQs can help aspirants prepare for written examinations to sharpening test-taking strategies. With regular practice and diligence, candidates can improve their ability to solve problems. This will enhance their overall chances of landing a post at the State Bank of India.

Q1. Who is the current CEO of State Bank of India?

Correct Answer: B

Challa Sreenivasulu Setty took charge as the Chairman of the State Bank of India (SBI) on August 28, 2024, acting as the chief executive officer of India's largest bank.

Q2. What is the full form of "SBI" in the banking sector?

Correct Answer: B

SBI stands for State Bank of India, one of the largest public sector banks in India.

Q3. Which of the following is a product offered by State Bank of India?

Correct Answer: D

State Bank of India offers a variety of products like SBI Life Insurance, SBI Internet Banking, and SBI Car Loan, among others.

Q4. In which year was the State Bank of India (SBI) established?

Correct Answer: A

State Bank of India was established in 1847 as the Bank of Calcutta, which later merged to become SBI in 1955.

Q5. Which of the following is the headquarters of State Bank of India located?

Correct Answer: A

The headquarters of the State Bank of India (SBI) is located in Mumbai, Maharashtra.

Q6. Which of the following is a major function of State Bank of India?

Correct Answer: D

SBI provides a variety of financial services including home loans, managing government accounts, and issuing public bonds.

Q7. What does "RTGS" stand for in the banking sector?

Correct Answer: A

RTGS stands for Real-Time Gross Settlement, a system used for the transfer of funds in real-time without any waiting period.

Q8. What is the minimum balance required for a savings account in SBI?

Correct Answer: B

The minimum balance required for a savings account in SBI depends on the branch type, but generally it is Rs. 500 for urban branches.

Q9. Which of the following is a key feature of the SBI Mobile Banking App?

Correct Answer: D

SBI Mobile Banking App offers features like checking account balance, fund transfers, and bill payments.

Q10. What is the full form of "IFSC" code?

Correct Answer: B

IFSC stands for Indian Financial System Code, which is used for online fund transfers between banks.

Q11. What is the "Loan-to-Value (LTV) ratio" in home loans?

Correct Answer: A

The Loan-to-Value (LTV) ratio is the percentage of the property value that can be borrowed through a home loan, often a key factor in approval.

Q12. Which of the following is the largest source of funds for State Bank of India?

Correct Answer: A

Fixed Deposits (FDs) are the largest source of funds for State Bank of India, making up a major portion of its liabilities.

Q13. Which scheme provides financial assistance to small and medium-sized enterprises (SMEs) in India?

Correct Answer: B

MUDRA is a government scheme to provide financial assistance to small and micro enterprises in India.

Q14. Which of the following is NOT a type of account offered by State Bank of India?

Correct Answer: D

SBI offers Savings, Current, and Fixed Deposit accounts, but does not offer Cryptocurrency accounts.

Q15. What is the maximum limit for a daily transaction using SBI’s Mobile Banking App?

Correct Answer: B

The daily transaction limit for SBI’s Mobile Banking App is Rs. 1,00,000 for fund transfers and bill payments.

Q16. What is the primary objective of the "Pradhan Mantri Jan Dhan Yojana" (PMJDY)?

Correct Answer: A

PMJDY aims at ensuring financial inclusion for all citizens, providing them access to banking facilities, insurance, and pensions.

Q17. What does "NEFT" stand for?

Correct Answer: A

NEFT stands for National Electronic Funds Transfer, a system that enables fund transfers between banks in India.

Q18. Which of the following banking services is offered by SBI through ATMs?

Correct Answer: D

SBI ATMs provide services like cash withdrawal, balance inquiry, and mini statements, among others.

Q19. Which of the following is the highest denomination of currency note in circulation in India as of 2022?

Correct Answer: C

Rs. 2000 is the highest denomination of currency note in circulation in India as of 2022.

Q20. What is the term for a person who borrows money from a bank?

Correct Answer: A

A debtor is a person who borrows money from a bank or financial institution.

Q21. What is the main aim of "Pradhan Mantri MUDRA Yojana" (PMMY)?

Correct Answer: A

PMMY aims to provide loans to small and micro enterprises in non-farm sectors to support growth and employment generation.

Q22. Which of the following is the most important factor in determining the interest rate on a loan?

Correct Answer: A

The base rate set by the Reserve Bank of India (RBI) is the most important factor in determining the interest rate on loans provided by banks.

Q23. What does "SBI YONO" stand for?

Correct Answer: A

SBI YONO stands for "You Only Need One" and is a digital banking platform offering a variety of services.

Q24. Which of the following is NOT a feature of SBI’s Internet Banking?

Correct Answer: D

SBI’s Internet Banking allows you to check balance, transfer funds, and apply for loans, but it does not support cryptocurrency transactions.

Q25. What is the full form of "Aadhaar" in the context of banking?

Correct Answer: C

Aadhaar is a unique identification number issued by the Unique Identification Authority of India (UIDAI) for residents of India.

Q26. Which of the following banking services is provided under the "SBI Cash@PoS" service?

Correct Answer: A

SBI Cash@PoS service allows customers to withdraw cash from retail Point of Sale (POS) terminals across the country.

Q27. What is the maximum deposit amount under the "SBI Fixed Deposit" scheme?

Correct Answer: D

SBI Fixed Deposit scheme has no maximum limit, allowing deposits of any amount as per the customer’s preference.

Q28. What does "SWIFT" stand for in international banking?

Correct Answer: B

SWIFT stands for Society for Worldwide Interbank Financial Transactions, used for secure messaging between banks worldwide.

Q29. Which government scheme is aimed at providing insurance for small farmers?

Correct Answer: A

Pradhan Mantri Fasal Bima Yojana provides insurance coverage to small farmers against crop loss due to natural calamities.

Q30. Which of the following is an example of an online banking service provided by SBI?

Correct Answer: D

SBI provides various online banking services including IMPS, loan applications, and access to account statements via mobile apps and internet banking.

Q31. What is the full form of "IMPS" in the banking sector?

Correct Answer: A

IMPS stands for Immediate Payment Service, which is an instant money transfer service available 24/7.

Q32. Which of the following is a valid reason to reject an online fund transfer request in SBI’s internet banking?

Correct Answer: D

An online fund transfer can be rejected for reasons such as incorrect account number, invalid IFSC code, or insufficient funds in the account.

Q33. Which of the following is NOT a common method of authentication in SBI’s online banking?

Correct Answer: D

Email verification is not a common method of authentication in SBI’s online banking. OTP and password-based login are more commonly used.

Q34. What is the limit of withdrawal for SBI’s ATM in a day?

Correct Answer: B

The daily withdrawal limit for SBI ATMs is Rs. 50,000 for regular customers, depending on their account type and branch norms.

Q35. What is the full form of "NRI" in the context of banking?

Correct Answer: A

NRI stands for Non-Resident Indian, referring to Indian citizens residing outside of India for work or study purposes.

Q36. Which of the following is a feature of "SBI Quick" service?

Correct Answer: D

SBI Quick service offers features such as online balance check, bill payments, and fund transfers through SMS or mobile apps.

Q37. What is the meaning of "EMI" in banking terms?

Correct Answer: A

EMI stands for Equated Monthly Installment, which is the fixed monthly payment made towards a loan or credit card.

Q38. Which of the following best describes "bank reconciliation"?

Correct Answer: A

Bank reconciliation involves comparing the company’s records with the bank’s statement to ensure consistency and accuracy in financial transactions.

Q39. What is the primary function of "SBI Mutual Fund"?

Correct Answer: A

SBI Mutual Fund manages investments in stocks, bonds, and other securities on behalf of individual investors, helping them diversify their investment portfolio.

Q40. What is the maximum tenure of an SBI Fixed Deposit?

Correct Answer: B

The maximum tenure for an SBI Fixed Deposit is 10 years, providing higher interest rates for longer periods of investment.