CAIIB BRBL MCQs Module A Questions

CAIIB BRBL MCQs 2025: CAIIB is a certified association of the Indian Institute of Banking, one of the flagships conducted twice a year by IIBF (Indian Institute of Banking and Finance). The CAIIB BRBL (Banking Regulations and Business Laws) exam is important for banking professionals in India, focusing on various banking laws and regulations. CAIIB BRBL MCQs aid candidates in effectively preparing for the CAIIB BRBL exam, enhancing their understanding of essential banking regulations and business laws in India.

In the below article, you will find important CAIIB BRBL MCQs Module A Questions for the upcoming CAIIB 2025 Examination.

CAIIB BRBL MCQs 2025

Each CAIIB Exam Paper consists of four modules, and candidates must pass each module to succeed in the examination. Engage in active learning methods such as working on CAIIB BRBL MCQs 2025 Exam Module A. Keep in mind to adhere to the study schedule and understand concepts during the first semester, allowing the next semester to focus on intensive practice. Review CAIIB BRBL MCQs Module A Questions 2025 for your exam preparation.

CAIIB BRBL MCQs Module A Questions 2025

CAIIB’s Banking Regulation and Business Laws questions enable candidates to practice extensively, strengthen their conceptual understanding, and build confidence. The CAIIB Banking Regulation and Business Laws Paper exam consists of 100 questions and each question carries 1 mark. CAIIB BRBL exam duration is 1 hour and there is no negative marking for incorrect responses. Check out the CAIIB BRBL MCQs Module A Questions prepared by our PW Faculty.

Q1. State which of the following statements is True.

I. A public sector bank is a body corporate created under a special statute.

II. A banking company is registered under the Banking Regulation Act.

III. Co-operative banks are registered under the Multi-state Cooperative Societies Act or a State Co-operative Societies Act.

a) I and II only

b) I and III only

c) I, II and III

d) II and III only  Ans: b) I and III only

Q2. Which section of the Banking Regulation Act 1949 deals with Use of the words "bank", "banker", "banking" or "banking company"?

a. Section 4 of the Banking Regulation Act 1949

 b. Section 5 of the Banking Regulation Act 1949

c. Section 7 of the Banking Regulation Act 1949

d. Section 9 of the Banking Regulation Act 1949 Ans: c. Section 7 of the Banking Regulation Act 1949

Q3. What is the definition of banking as per Section 5(b) of the Banking Regulation Act, 1949?

a. Banking means the accepting of deposits of money from the public.

b. Banking means the accepting for lending or investing, of deposits of money from the public, repayable on demand or otherwise and withdrawable by cheque, draft, order or otherwise.

c. Banking means the accepting for investing of deposits of money from the public, repayable on demand or otherwise and withdrawable by cheque, draft, order or otherwise.

d. Banking means lending of money to the public. Ans: c. Banking means the accepting for investing of deposits of money from the public, repayable on demand or otherwise and withdrawable by cheque, draft, order or otherwise.

Q4. Under which section of RBI Act the Government of India has been conferred with powers to give directions to RBI.

a. Section 6

b. Section 7

c. Section 8

d. Section 9 Ans: b. Section 7

Q5. Under which section Co-operative banks come under the regulatory purview of RBI.

a. Section 32

b. Section 22

c. Section 56

d. Section 42 Ans: c. Section 56

Q6. Read the following statements carefully and select the incorrect one

a. U/S 22 of RBI Act RBI has sole right to issue currency notes.

b. Second schedule of RBI Act is related to the Scheduled Banks

c. U/S 20 of RBI Act meetings of Central board is described

d. U/s 49 of RBI Act RBI published the Bank Rate Ans: c. U/S 20 of RBI Act meetings of Central board is described

Q7. Which of the following statements are false?

I. The maximum period of office that may be held continuously by an ordinary director in a banking company is 8 years.

II. The decision of the board of directors, during the period when the board's constitution is defective shall be void.

III. The post of chairman of a banking company may be on part time basis.

IV. The chairman of a banking company can hold office only for a maximum period of 8 years.

a. I and II

b. II and III

c. III and IV

d. II and IV

Ans. d. II and IV

Q8. How many of the following statements are correct?

I. It is necessary to get a license from RBI under Section 22 of RBI Act to commence the business of banking.

II. All the regulatory provisions uniformly applied to all banks, whether it be statutory cooperation a banking company, or a Cooperative society.

III. Power to collect and furnish credit information by RBI is provided under Banking Regulation Act.

IV. Section 9 of Banking Regulation Act provides for Non-Banking Assets which must be disposed of within 6 years.

a. Only I

b. Only II

c. Only III

d. None of these Ans: d. None of these

Q9. Which section of the Banking Regulation Act imposes a ceiling on the commission, brokerage, discount or remuneration on the sale of shares of banking companies?

a. Section 11

b. Section 13

c. Section 12

d. Section 14 Ans:

b. Section 13

Q10. Which section of the Banking Regulation Act imposes certain restrictions on loans and advances?

a. Section 13

 b. Section 19

c. Section 20

d. Section 23 Ans: c. Section 20

Q11. Which of the following business are prohibited for banks under Section 8 of the Banking Regulation Act 1949

a. Buying or selling or bartering of goods directly or indirectly

b. Engaging directly or indirectly in trading activities and undertaking trading risk.

c. Both A and B

d. Neither A nor B

Ans: c. Both A and B

Q12. Under which section Co-operative banks come under the regulatory purview of RBI

a. Section 35

b. Section 22

c. Section 45 

d. Section 56 Ans: d. Section 56

Q13. Under this section of Banking Regulation Act, RBI establishes a fund called " Depositor Education and Awareness Fund".

a. Section 23

b. Section 24

c. Section 26

d. Section 26A  Ans: d. Section 26A

Q14. Which of the following statements is true

I. A temporary branch for less than 30 days in a town where a bank has an existing branch, does not require permission from Reserve Bank.

II. A company whose banking license is rejected can undertake business as a money lender or undertake other business.

III. The decision of RBI to revoke the license is final and no appeal lies from it.

IV. Banking companies are permitted to give brokerage up to two and a half percent of the paid-up value of shares,

a. I and II

b. I, II, and III

c. I, II, and IV

d. I, II, III and IV Ans: c. I, II, and IV

Q15. An appeal against the order of removal lies with the Central Government. Such an appeal has to be filed ___________ from the date of communication of the order. The appellate decision of the Central Government, and subject thereto the order of the RBI, shall be final and not liable to be challenged in any Civil Court.

a. 30 Days

b. 45 Days

c. 60 Days

d. 90 Days Ans: a. 30 Days

CAIIB BRBL Preparation Tips 2025

• Structured Study Schedule: Align your CAIIB BRBL study plan with your work commitments. Utilize weekends for longer study sessions and ensure to take short breaks (5-10 minutes) between study periods to enhance focus and retention.
• Practice CAIIB BRBL Mock Tests: Regularly attempt CAIIB BRBL Mock Tests and previous year questions (PYQs) to assess your understanding and identify areas needing improvement. This practice helps familiarize you with the exam format and boosts confidence.
• Use Trusted Study Materials: Refer to recommended books such as "Legal and Regulatory Aspects of Banking" by IIBF. Additionally, consider enrolling in online courses or coaching programs that offer structured learning and access to question banks.
• Time Management: Develop a timetable that allocates specific hours for each module based on their complexity and your familiarity with the content. For example, modules with numerical problems may require more time for practice.
• Focus on Repetitive CAIIB BRBL MCQs: Concentrate on frequently asked questions to maximize your preparation efficiency. These CAIIB BRBL Multiple Choice Questions often cover essential concepts that are likely to appear in the exam.

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