When it comes to employment, banking sector is the dream sector for many young graduates. This is mainly because of the job security and high-paying jobs in this sector. Social status is another reason for candidates showing interest towards this sector. In addition, the convergence of this sector with other financial sectors has created and is creating a number of employment opportunities in this field. Generally, when it comes to finding jobs in this sector in India, candidates have options for applying for probationary officer and clerical positions. These are entry level positions and candidates can gain promotions on the basis of their performance and by taking up departmental examinations as well.
Once the candidates clear the written examination for the above-mentioned positions, they will be called for interview. If you have received such an interview letter, you would be worried about the possible questions that can be asked in the interview. There are chances that you will be asked both technical and personal questions. Here are the details about the common technical bank interview questions and tips in the form of answers to these questions:
Can you differentiate between a cheque and a demand draft?
Cheque is something issued by an individual, while a demand draft is issued by bank. If you issue the cheque in favor of another person, the amount specified in the cheque will be deducted from your bank account. On the other hand, you will have to pay to the bank for getting the demand draft.
How do you differentiate nationalized banks from private banks?
Nationalized banks are public sector banks, wherein the government will be responsible for the deposits made by the public. On the other hand, when it comes to private banks, the owner of the bank will be responsible for the deposits made by the public.
What is your understanding about Sensex and Nifty?
Both these things are indexes. This means that they are indicators that give us an idea whether the stocks have gone up or down. Sensex is the index of Bombay Stock Exchange, while Nifty is the index of National Stock Exchange.
What is repo rate and reverse repo rate?
Repo rate is nothing, but the price at which the Reserve Bank of India gives some money as loan to the banks, while reverse repo is the cost at which money is taken by RBI from commercial bank. It is this rate that is responsible for controlling the inflation.
What is fiscal deficit?
It is a situation, wherein the total expenditure of the government exceeds its total income. This cannot be compared to debts as these are nothing, but the collection of yearly deficits.
What do you know about CRR Rate?
CRR stands for Cash Reserve Ratio. It is the amount of funds that a commercial bank will have to keep with the reserve bank. If a bank brings down the rate with the RBI, the reserve will automatically come down and if there is an increase, there will be an increase in the reserve as well.
Have you heard about SLR Rate?
It is the minimum amount or the percentage of deposits that should be kept by a bank with Reserve Bank of India in the form of any security. In short, it is the ratio between the cash and approved security.
What is bank rate?
It is the rate of interest at which the RBI allows finances to commercial banks. By bank rate, the banks can organize the level of economic activities.
In addition to the above-mentioned technical questions, you might also be asked some personal questions like those mentioned below:
Tell/describe about yourself:
Here, you should be careful not to recite your resume. Make sure to complete the answer within 2-3 minutes and here you can talk about your education, work experience and areas of interest.
Why should we hire you?
When this question is asked, you can tell about your strengths and knowledge and how can you contribute towards the development of the bank.
What are your strengths and weaknesses?
This is a tricky question put forth to know about you from your own words. So, you should be little bit careful about answering this question. For your strengths, you can describe about your qualities that can help in the effective performance of your duties. When talking about weakness, do not project yourself as a bad person and also do not say that you do not have any weaknesses. You can explain one or two weaknesses and should also say that you are working towards them to turn them into your strengths.
These are the common bank interview questions asked. Remember to dress yourself well and also ensure that you maintain a good body language at the interview. Let the performance in the interview take you to the dream bank position!
