Indian Bank Promotion 2022-23: Practice Set 05

1. Minimum and maximum loan ceiling under Ind Mortgage considering age and repayment capacity are Rs. …….. Lac & Rs. ……… Cr respectively.

2. To promote Zero Defect and Zero Effect (ZED) manufacturing amongst MSMEs and to incentivize the ZED rated accounts, the following concessions to be extended for MSME loan accounts, concession in ROI is ……….%  for all the three categories of ZED rated MSMEs while concession in processing charge for Diamond ZED category is …………

3. Noncompliance of any one or all of the Zeoro Tolerance Areas will result in the branch being rated as “High Risk”. Staff Accountability shall be initiated for Non-compliance of Zero Tolerance Areas. The identified ZTA irregularities should be rectified within ……… days.

4. As per prevailing compliance, Bank is uploading the data on advances (both OD/OCC and term loan) to CICs (CIBIL, Experian, Equifax and Crif High Marks) on monthly basis by extracting the data from our CBS in house scripts and program before 10th of every month. However, CO: Recovery Department at its end submits data to CICs with respect to (a) Wilful Default of Rs. ……… lakhs and above both for suit filed and non-suit Filed (b) Defaulter of Rs. …………… Cr and above both for suit filed and non-suit Filed accounts (doubtful & loss).

5. Other than second hand machinery/ mudra loans, margin requirements for MSME Sector OCC & OD/ Book Debts is ……… % and that for Term Loan/ Land & Building, it is ……… %.

6. Loans upto ………. Cr to start-ups will be classified under Priority Sector.

7. Maximum Loan amount for Jewel Loan (Non-priority) Bullet repayment products per customer has been rationalised/ increase to Rs. ….. Lac

8. If the Risk Score obtained by a Branch under RBIA, both under Control Risk and Business Risk is ……………….., the risk grade of the branch will be Medium.

9. The irregularities observed in any account by auditors/inspectors during RBIA/Concurrent Audit or any other Audit should be rectified within ……… days from the date of receipt of report and such rectification should be accepted and closed by the competent authority.

10. Periodicity of RBIA audit from the date of previous inspection will be ………. months for a High risk rating Branch

11. For Term Loans (excluding products under personal banking segment), threshold outstanding Limit is fixed at ……….% of the Gross Outstanding Advances as on respective quarter end.

12. As per recent changes in Country Risk Management Policy,  – Changes in the risk rating of countries, Branches are advised to exercise caution while handling the transactions with …………….. (except INR transaction) and ………….

13. The tenor of loans to Real Estate Sector shall not generally beyond ……….. years.

14. In case of retail borrowers having CIBIL score of 700 and above/equivalent CIC scores but with amounts in the form of Write Off/OTS/Settled in credit card dues beyond 3 years, the Sanctioning Authority lower than ZLCC can consider the proposal of having WO/Settled/OTS amount upto Rs……………., suitably commenting upon possible reason for such WO/Settled/OTS status. 

15. Our Bank has put in place a Policy to give Rs. ……………. as one time incentive to our MSME customers for obtaining ISO Certification.

16. Exposure limits in case of (a) Residential Real Estate – Home Loans  & (b) Commercial Real Estate are …………..% & …………….. %  of the Bank’s net worth as on previous year end respectively.

17. Exposure Limit in case of a single borrower (excluding gold loan companies)  & group borrower are ……….%  and ……… % of Bank’s Tier I Capital respectively as per the last audited balance sheet. In exceptional circumstances, additional exposure to a borrower (single counterparty) up to ………% of the bank’s tier I capital may be allowed in specific cases and only be sanctioned at MCB level.

18. In order to optimize the utilization of permissible exposures and to put in place a system for effective monitoring of the exposures, a trigger limit at ……….% of the ceiling is fixed for various industries / sectors. Beyond that and up to 100% of the ceiling, exposure clearance should be taken from functional credit General Managers at Corporate Office.

19. In order to enhance the effectiveness of the Credit Guarantee Scheme for financial inclusion programme & create greater support to underserved/ weaker segments, the extent of guarantee coverage for credit facility has been increased to 85% for:

20. Within the overall exposure approved by MD & CEO for the Bank for bidding in TReDS platform, , maximum exposure for a single buyer should be restricted ……… % whereas for Navratna companies, it is  ………..%.