Banking Awareness Quiz – Set 177

Hello Aspirants,
Welcome to Banking Awareness Quiz in AffairsCloud.com. Here we are creating quiz covering important questions which are common for all the bank exams and other competitive exams.

1. When credit facility is provided by a bank to its customers against collateral security of movable property then the customer becomes _____
   A. Borrower
   B. Lender
   C. Debtor
   D. Pledger
   E. None of these
   
   Answer & Explanation

   D. Pledger
   Explanation:
   When credit facility is provided by a bank to its customers against collateral security of movable property then the customer becomes Pledger.
   
   
2. When credit facility is provided by a bank to its customers against collateral security of movable property then the banker becomes _____
   A. Borrower
   B. Lender
   C. Debtor
   D. Pledgee
   E. None of these
   
   Answer & Explanation

   D. Pledgee
   Explanation:
   When credit facility is provided by a bank to its customers against collateral security of movable property then the banker becomes Pledgee.
   
   
3. When credit facility is provided by the bank to a customer against the security of immovable property then the customer becomes ______
   A. Mortgagor
   B. Pledge
   C. Bailment
   D. Mortgagee
   E. None of these
   
   Answer & Explanation

   A. Mortgagor
   Explanation:
   When credit facility is provided by the bank to a customer against the security of immovable property then the customer becomes Mortgagor.
   
   
4. When credit facility is provided by the bank to a customer against the security of immovable property then the bank becomes ______
   A. Mortgagor
   B. Pledge
   C. Bailment
   D. Mortgagee
   E. None of these
   
   Answer & Explanation

   D. Mortgagee
   Explanation:
   When credit facility is provided by the bank to a customer against the security of immovable property then the Bank becomes Mortgagee.
   
   
5. Collection of cheques on behalf of the customer, the bank becomes _____
   A. Borrower
   B. Lender
   C. Debtor
   D. Agent
   E. None of these
   
   Answer & Explanation

   D. Agent
   Explanation:
   The collection of cheques on behalf of the customer, the bank becomes an agent.
   
   
6. Collection of cheques on behalf of the customer, then the customer becomes _____
   A. Borrower
   B. Lender
   C. Debtor
   D. Agent
   E. Principal
   
   Answer & Explanation

   E. Principal
   Explanation:
   Collection of cheques on behalf of the customer, then the customer becomes Principal
   
   
7. Collection of dividends and bills of exchange the bank becomes ______
   A. Borrower
   B. Lender
   C. Debtor
   D. Agent
   E. Principal
   
   Answer & Explanation

   D. Agent
   Explanation:
   Collection of dividends and bills of exchange the bank becomes an agent.
   
   
8. If the customer deposits securities or valuables with the banker for safe custody, customer becomes a _____
   A. Beneficiary
   B. Creditor
   C. Debtor
   D. Bailee
   E. Trustee
   
   Answer & Explanation

   A. Beneficiary
   Explanation:
   If the customer deposits securities or valuables with the banker for safe custody, customer becomes a Beneficiary.
   
   
9. Acting as attorney, executor or representative of a customer then the Bank becomes ______
   A. Bailor
   B. Creditor
   C. Debtor
   D. Bailee
   E. Agent
   
   Answer & Explanation

   E. Agent
   Explanation:
   Acting as attorney, executor or representative of a customer then the Bank becomes Agent.
   
   
10. If the customer deposits securities or valuables with the banker for safe custody, banker becomes a _____
    A. Beneficiary
    B. Creditor
    C. Debtor
    D. Bailee
    E. Trustee
    
    Answer & Explanation

    E. Trustee
    Explanation:
    If the customer deposits securities or valuables with the banker for safe custody, banker becomes a Trustee.