PPB Practice Questions 2026

Principles & Practices of Banking

4.9
(128 reviews)536+ questions

Free

with signup

About This Practice Test

Master the PPB paper with practice questions covering banking operations, KYC/AML norms, NPA classification, Negotiable Instruments Act, digital banking technology, and banking ethics. AI explanations reference specific RBI Master Directions and IIBF textbook sections.

Exam Pattern & Marking Scheme

DifficultyQuestionsMarks EachTotal Marks
Easy500.525
Medium25125
Hard25250
Total100100
⏱ Duration: 2 hours✅ Pass: 50 marks❌ No negative marking

Complete Syllabus Covered

Module A — General Banking Operations
Types of bank accountsKYC normsAccount openingNomination facilityCheque and its typesCrossing of chequesNegotiable Instruments Act 1881Promissory noteBill of exchangeBanker customer relationship
Module B — Functions of Banks
Loans and advancesSecured and unsecured loansMortgagePledge and hypothecationPriority sector lendingMSME lendingAgricultural loansNPA classificationSARFAESI ActRecovery of debtsCredit appraisal
Module C — Banking Technology
Core banking solutionInternet bankingMobile bankingATM operationsRTGS NEFT IMPSUPICheque truncation systemCyber securityIT Act 2000Digital payments
Module D — Ethics in Banking
Banking codes and standardsCustomer grievance redressalBanking ombudsmanFair practices codeAnti-money launderingPMLA 2002KYC AML CFTCorporate governanceWhistle blower policyCode of conduct

Sample Questions

Q1. Under the Integrated Ombudsman Scheme 2021, what is the maximum compensation that can be awarded for deficiency in banking service?

A. ₹10 lakh
B. ₹20 lakh
C. ₹50 lakh
D. ₹1 crore

Explanation: Under the RBI Integrated Ombudsman Scheme 2021, the maximum compensation for deficiency in service is ₹20 lakh. The scheme provides a single-point resolution for all banking complaints.

Q2. An advance becomes NPA when interest/principal remains overdue for more than:

A. 30 days
B. 60 days
C. 90 days
D. 180 days

Explanation: As per RBI Master Circular on IRAC Norms (DOR.STR.REC.55/21.04.048/2023-24), an advance is classified as NPA when interest/principal remains overdue for more than 90 days.

Sign up to access all 536+ questions with full AI explanations

What's Included

536+ practice questions across all 4 modules
AI explanations with RBI Master Direction references
Statement-based questions (I, II, III, IV format)
NPA classification & SARFAESI Act deep coverage
Latest KYC & Digital Lending guidelines
Updated for 2026 syllabus
Unlimited practice attempts
Performance analytics by topic

Frequently Asked Questions

How many questions are available for PPB?

Currently 536+ questions. PPB is the most practical paper and we focus heavily on scenario-based questions testing application of banking rules.

Does it cover the latest RBI circulars?

Yes. Questions include the latest KYC Master Direction, Digital Lending Guidelines, Integrated Ombudsman Scheme, and updated PSL norms.

Are statement-based (hard) questions included?

Yes. About 25% of questions follow the "Consider the following statements: I, II, III, IV — which are correct?" format, matching the real exam pattern.

Can I practice specific modules only?

The adaptive system automatically focuses on your weak modules. You can also see module-wise accuracy in your dashboard.

Ready to Start Practicing?

Access all 536+ questions with AI explanations — completely free

© 2024 MockMaster. All rights reserved.