Financial Awareness, Banking Terminologies, Government Schemes - One Line Questions

1. What is a 'credit card'? A card that allows users to borrow money from the issuer
2. The 'Digital India' initiative aims to transform India into: A digitally empowered society and knowledge economy
3. What is 'inflation' in economic terms? An increase in the general price level of goods and services
4. What is the 'Bank for International Settlements' (BIS)? A bank for central banks
5. What is the meaning of 'overdraft' in a bank account? A withdrawal of funds exceeding the account balance
6. What is a 'balance sheet' in accounting? A statement of a company's financial position at a specific point in time
7. Which of the following is a form of digital payment? UPI (Unified Payments Interface)
8. What does 'CRR' represent in banking terminology? Cash Reserve Ratio
9. Which term describes the process of a bank lending money out at a higher interest rate than it pays on deposits? Banking Spread
10. The 'Mudra Yojana' scheme aims to provide: Micro-credit to non-corporate, non-farm small/micro enterprises
11. Which of the following is a tool used by the Reserve Bank of India (RBI) to control inflation? Repo Rate
12. What is the term for the central bank's policy of buying or selling government securities in the open market to influence the money supply? Open Market Operations
13. What is the term for the system of exchanging goods or services without using money? Barter System
14. What does 'KYC' stand for in banking and financial services? Know Your Customer
15. What does 'CRR' (Cash Reserve Ratio) mandate for banks? Maintain a certain percentage of their deposits with the RBI
16. Which organization is responsible for issuing currency in India? Reserve Bank of India (RBI)
17. If the RBI increases the Cash Reserve Ratio (CRR), what is the likely impact on the money supply? Money supply will decrease
18. What does NPA stand for in the banking sector? Non-Performing Asset
19. The 'Sovereign Gold Bond' scheme allows individuals to invest in: Gold in dematerialized form
20. Which scheme provides financial support to women for starting small businesses? Stand-Up India Scheme
21. Which government scheme provides financial assistance to eligible urban households for the construction or acquisition of houses? PMAY-Urban
22. Which scheme aims to provide insurance cover against crop failure for farmers? Pradhan Mantri Fasal Bima Yojana (PMFBY)
23. Which government scheme provides health insurance coverage to vulnerable families? Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY)
24. The 'Make in India' initiative aims to: Encourage manufacturing and investment in India
25. The 'Skill India Mission' aims to: Enhance vocational skills and employability
26. The 'Janani Shishu Suraksha Karyakram' (JSSK) aims to improve maternal and child health by: Ensuring free and cashless delivery and related services
27. The 'Ujjwala Yojana' primarily focuses on: Providing clean cooking fuel (LPG) connections to women
28. Which of the following is a monetary policy tool used by the RBI to manage liquidity in the economy? Open Market Operations (OMOs)
29. Which term refers to the interest rate at which commercial banks borrow money from the RBI, usually for short-term needs? Marginal Standing Facility (MSF) Rate
30. Which of the following is NOT a type of bank account? Loan Account
31. What is the term for a loan where the borrower fails to make scheduled payments for a specified period? Non-Performing Asset (NPA)
32. What is the meaning of 'fiscal deficit'? The difference between a government's total expenditure and its total revenue
33. What is 'demonetization'? The act of removing a currency unit's status as legal tender
34. What is the 'Marginal Standing Facility' (MSF) rate? The rate at which banks can borrow overnight funds from the RBI against eligible securities
35. What is the 'Bank Rate' set by the RBI? The rate at which the RBI lends to commercial banks without collateral
36. What is the 'Reverse Repo Rate'? The rate at which the RBI borrows from commercial banks
37. What is the meaning of 'liquidity' in finance? The ease with which an asset can be converted into cash
38. The repo rate is the rate at which: The RBI lends money to commercial banks
39. What does 'GDP' measure? The total value of goods and services produced within a country's borders in a specific time period
40. What is the main function of a 'debit card'? To facilitate payments directly from a linked bank account
41. What is the primary objective of the Pradhan Mantri Jan Dhan Yojana (PMJDY)? To ensure financial inclusion
42. What is the primary purpose of the 'Atal Pension Yojana' (APY)? To ensure social security through pension
43. What is the primary goal of the 'National Rural Employment Guarantee Act' (NREGA), now MGNREGA? To guarantee at least 100 days of wage employment in rural areas
44. What is the purpose of the 'Pradhan Mantri Suraksha Bima Yojana' (PMSBY)? To provide accidental death and disability insurance
45. What is the primary function of a 'credit rating agency'? To assess and rate the creditworthiness of borrowers
46. What is the objective of the 'Stand-Up India Scheme'? To promote entrepreneurship among SC/ST and women
47. What is the primary role of the Securities and Exchange Board of India (SEBI)? To regulate the securities market
48. The 'PM-KISAN' scheme provides financial assistance to: Landholding farmer families
49. The 'Pradhan Mantri Vaya Vandana Yojana' is a scheme for: Senior citizens
50. What is the maximum deposit insurance cover provided by the Deposit Insurance and Credit Guarantee Corporation (DICGC) per depositor per bank? ₹5 lakh