Banking Interview Questions

Banking Interview Questions

It is very important to prepare yourself before going for an interview. The basic things that you should remember when you are going for an interview are that you should wear a formal dress and always reply to all the questions with full confidence. When we are talking about Banking Interview, then there are some basic Banking Interview questions which you should remember from starting. The basic question in an interview, the interviewer asks ‘tell about yourself’ to all the candidates. So, you should be aware to give an answer to this question perfectly, your communication skill should be good, and your non-verbal skills should also be very well. They focus on your attitude.

Firstly, prepare yourself with the common interview questions which are asked in all the Interviews for which you have to prepare by yourself. You should possess the personal and professional attitude that exhibit your personality. (This helps them in judging your personality)

  • The areas of your interest in terms of working areas.
  • How much you are dedicated to the work.
  • Your preferable working time for the job.
  • Any previous experience of the job and if yes, then what experiences you have learned, and your work progress.
  • What are the reasons for choosing a particular profession?

Hence, these are just basic information which you should always know before going for an interview. Now, the most important thing is that you should be aware of the commonly asked Banking Interview Questions and their answers. The questions are as follows-

  1. What are Cooperative banks?
  2. What is the meaning of the term ‘Cost of debt’?
  3. What do you understand by Foreign Draft?
  4. In the Industrial field, what are the different banking software applications present?
  5. What is Consumer banking?
  6. Give brief information about GST.
  7. Name the Deputy Governor of India.
  8. Tell the name of the RBI governor of India.
  9. If you have to operate your account, what are the various ways you can take?
  10. Give the difference between cheques and Demand Draft.
  11. Tell about the different types of banks.
  12. Tell about the various accounts in the bank.

When money or loan is provided to the small scale business, this bank is known as Cooperative bank.

When any company takes money from the bank and pay it back with the interest, this is known as 'cost of debt'.

When you transfer money from one country to another foreign country, then this is required to get the currency of that particular country.

Hence, this is a basic and most asked question in recent days.

(Note- Always get the information of the different banks their working, and the recent online banking system and update yourself with the current affairs of the banking system. Because in the interview, interviewers like to ask the general awareness and your knowledge skills.

Always, remember that in some interviews there are many people sitting together and they take your interview. One is there to look at your overall confidence, one look at your sitting postures and your eye contact, and they observe how you speak and deliver the answer. Sometimes, they confuse you so that they can check your stress level, so always keep cool minded and give all the answers very calmly. Don't try to speak in the fake language, always speak in your normal language. )

There are a few different types of banking software. These are-

  • Internet banking system: This system is there for any institution which has a financial approach and also for the customers so that they can do transactions using banks.
  • ATM banking (Automated Teller Machine): For the basic or regular transactions process, ATM can be used. This is an outlet for electronic banking.
  • Core banking system: This banking system has the services which are there for the customers to withdraw money and they can withdraw from any branch of the bank. This service is provided by network branches of the bank.
  • Loan management system: All the details and knowledge regarding the customers when they take money from the bank, is kept under this system.
  • Credit management system: To determine the credit offering details to the customer, handling accounts of credits and maintaining the risk to get lower in such conditions.
  • Investment management system: All the tax details, budget management, investment details, and banking process is done under this system. It is the system to handle money basically under in all these conditions.
  • Stock market management system: Securities and bonds which relates to Financial portfolio are done under this management system.
  • Financial management system: Income, Expenditures are recorded or governed under this system for keeping the track of the accountability of its profit.

This banking is mostly available in foreign countries like Germany and the U.S.A which helps in giving a loan to the customers for buying any products like Car, expensive furniture etc.

(Note- This is the most important which is being asked in all the Banking interview questions, so always update yourself with this question and keep detailed information about the topic.)

The full form for GST is Goods and Service Tax. On the supply of any types of services and goods, this GST tax is imposed on those items. In the Parliament on 29th March 2017, this tax was passed. This procedure has a simple online process. It helps in regulating the unorganized sector.

BP Kanungo, N S Vishwanathan, Viral Acharya, and Mahesh Kumar Jain are the four Deputy Governors of India. (Note- Always aware of the fact of the famous people and the people who hold the main position in the bank or related work.)

Shaktikanta Das is the 25th RBI governor.

There are many choices for operating your account like Internet banking, Telephone or Mobile banking, Branch or Over the counter service, and ATM (Automated Teller Machine). You can choose these methods.

The basic difference between cheque and demand draft is:

ChequeDemand draft
For a cheque, an individual's permission is required to withdraw money from the account.For a demand draft, firstly you will require to pay the money and then bank issues demand draft.

The main types of banks are the following-

  • Nationalized banks
  • Private Banks
  • Foreign banks
  • Regional rural banks
  • Co-operative banks
  • Industrial banks

These are some types of banks but there are many more banks also.

There are basically four types of main accounts. They are following-

  • Savings Account- This is the basic account for all the public. Any individual can open his or her savings account in a bank.
  • Current Account- This account is generally opened on the name of the business. You can open your account in a bank but on your firm’s name.
  • Fixed Deposit Account- In this account, a high rate of interest is paid but there is a fixed time period to put your money.
  • Recurring Deposit Account- In this bank account, monthly installment process takes place.
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