Postal Assistant/ Postmen/MTS Examination – Refresh on Post Office Savings Account (SB) -11
Kisan Vikas Patra (KVP)
291. What is the primary feature of KVP that appeals to investors?
a) Monthly interest payout. b) Tax-free income. c) Doubling the investment in a fixed period. d) Pension benefits. Answer: c) Doubling the investment in a fixed period.
292. Can a KVP be purchased by a Hindu Undivided Family (HUF)?
a) Yes b) No c) Only if it is a joint purchase d) Only with a court order Answer: b) No (Similar to PPF, not applicable for HUF)
293. If a KVP is purchased by cheque, when is the certificate considered to be issued?
a) Date of cheque b) Date of presentation of cheque c) Date of realization of cheque d) Next working day Answer: c) Date of presentation of cheque (if realized on the same day), otherwise date of realization.
294. What is the minimum lock-in period for premature encashment of KVP?
a) 1 year b) 2 years c) 2 years 6 months d) 3 years Answer: c) 2 years 6 months (30 months)
295. What happens to a KVP if the account holder becomes a non-resident Indian (NRI)?
a) It continues till maturity. b) It is closed, and interest is paid up to the month preceding the month of becoming an NRI. c) It is converted to an NRE account. d) A penalty is applied. Answer: b) It is closed, and interest is paid up to the month preceding the month of becoming an NRI.
296. Is the nomination facility available for a KVP?
a) No b) Yes c) Only for single accounts d) Only for minors Answer: b) Yes
297. Can a KVP be purchased through cash?
a) No, only cheque. b) Yes, if the amount is below ₹50,000. c) Yes, any amount. d) Only through online transfer. Answer: b) Yes, if the amount is below ₹50,000. (General POSB rule for cash deposits)
298. What is the interest calculation method for KVP?
a) Simple interest b) Quarterly compounding c) Annually compounding d) Monthly compounding Answer: c) Annually compounding
299. Can a KVP be transferred from one Post Office to another?
a) No b) Yes c) Only if the holder changes address d) Only after 1 year Answer: b) Yes
300. What is the tax implication of investment in KVP under Section 80C?
a) Eligible for tax deduction. b) Not eligible for tax deduction. c) Partially eligible. d) Only for senior citizens. Answer: b) Not eligible for tax deduction.
Post Office Savings Account (SB)
301. What is the purpose of the Account Maintenance Fee of ₹50 deducted from a Post Office Savings Account?
a) For using ATM services b) For maintaining a balance below ₹500 c) For online banking services d) For cheque book issuance Answer: b) For maintaining a balance below ₹500
302. If an account holder does not have a PAN card, what document can be used for KYC when opening a Post Office Savings Account?
a) Aadhaar card only b) Form 60/61 along with Aadhaar card c) Passport only d) No account can be opened without a PAN card Answer: b) Form 60/61 along with Aadhaar card
303. How can a single Post Office Savings Account be converted into a joint account?
a) By submitting an application form b) It cannot be converted c) Only within 3 months of opening d) By paying a conversion fee Answer: b) It cannot be converted
304. How is the interest on a Post Office Savings Account calculated for a given month?
a) On the average daily balance b) On the highest balance of the month c) On the minimum balance between the 10th and the last day of the month d) On the closing balance of the month Answer: c) On the minimum balance between the 10th and the last day of the month
305. What is the minimum balance required to be maintained in a Post Office Savings Account to be eligible for interest?
a) ₹100 b) ₹250 c) ₹500 d) ₹1,000 Answer: c) ₹500
306. Is the nomination facility mandatory for a Post Office Savings Account?
a) No, it's optional b) Yes, at the time of opening c) Only for joint accounts d) Only for minors Answer: b) Yes, at the time of opening
307. How is a dormant Post Office Savings Account reactivated?
a) It cannot be reactivated b) By a written request and a minimum deposit of ₹500 c) By a phone call to the Post Office d) By providing a new KYC document Answer: b) By a written request and a minimum deposit of ₹500
308. What is the primary feature of a Post Office Savings Account regarding deposit and withdrawal frequency?
a) Unlimited deposits and withdrawals b) Limited to one deposit per month c) Limited to one withdrawal per month d) Fixed number of deposits and withdrawals annually Answer: a) Unlimited deposits and withdrawals (implied by the nature of a savings account)
309. Can a Post Office Savings Account be opened in the name of a person of unsound mind?
a) No b) Yes, by a guardian c) Only with a joint holder d) Only with a court order Answer: b) Yes, by a guardian
310. What happens if a Post Office Savings Account holder fails to maintain the minimum balance and the account becomes zero?
a) The account is temporarily frozen b) The account is automatically closed c) A penalty of ₹50 is deducted d) The account continues with no interest Answer: b) The account is automatically closed
5-Year Recurring Deposit Account (RD)
311. What is the penalty for a default in a ₹10 denomination RD account?
a) ₹0.10 b) ₹1.00 c) ₹5.00 d) ₹10.00 Answer: a) ₹0.10
312. What is the rebate for a 6-month advance deposit in a ₹10 denomination RD account?
a) ₹1.00 b) ₹2.00 c) ₹5.00 d) ₹10.00 Answer: a) ₹1.00
313. What is the rebate for a 12-month advance deposit in a ₹10 denomination RD account?
a) ₹2.00 b) ₹4.00 c) ₹5.00 d) ₹10.00 Answer: b) ₹4.00
314. How long does a depositor have to revive a discontinued RD account?
a) Up to 1 year from the date of default b) Up to 2 years from the date of default c) Up to 4 years from the date of default d) Up to 5 years from the date of default Answer: d) Up to 5 years from the date of default
315. What happens to a discontinued RD account after 5 years from the date of default if it is not revived?
a) It is automatically closed. b) The deposit amount is refunded without interest. c) It is compulsorily converted to a savings account. d) It is transferred to a government fund.Answer: b) The deposit amount is refunded without interest.
316. What is the interest rate applied on a loan taken against an RD account if it is not repaid within 36 months?
a) RD interest rate + 1% b) RD interest rate + 2% c) RD interest rate + 3% d) A fixed penalty Answer: b) RD interest rate + 2% (The document specifies 2% interest on the loan)
317. Can an RD account be closed prematurely after one year from opening?
a) Yes b) No, only after 3 years c) Only with a court order d) Only on the death of the account holder Answer: b) No, only after 3 years
318. What is the primary purpose of a Recurring Deposit?
a) To save a fixed amount monthly b) To get a lump sum at maturity c) To earn a regular monthly income d) To save for retirement Answer: a) To save a fixed amount monthly
319. What is the grace period for repayment of a loan taken from an RD account?
a) 1 month b) 6 months c) 1 year d) No specific grace period mentioned, interest is charged from the date of withdrawal.Answer: d) No specific grace period mentioned, interest is charged from the date of withdrawal.
320. When an RD account is extended after maturity, what is the interest rate applied for the new period?
a) The same as the original rate b) The rate prevailing on the date of extension c) A lower fixed rate d) A rate decided by the Post Office Answer: b) The rate prevailing on the date of extension
Post a Comment