Banking · Retail Lending and Regulations
Consider the following statements regarding the features and regulatory compliance of retail lending products in Indian banking: I. The bank can levy a prepayment penalty on floating rate term loans prepaid by individual borrowers. II. A Credit Card outstanding amount is always fully eligible for Priority Sector Advance (PSA) calculation. III. The bank is mandatorily required to offer a step-down repayment option for all Home Loan products. IV. Loan against Property (LAP) maximum Loan to Value (LTV) ratio is mandated by RBI to not exceed 75% across all banks. V. The loan amount for a Two-Wheeler Loan is excluded from the Debt-to-Income (DTI) ratio for a subsequent Home Loan application. Which of the above statements are INCORRECT?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
Share:
- 1I, II, III, and V only✓
- 2II, III, and IV only
- 3I, III, and V only
- 4I, II, and V only
Correct answer
I, II, III, and V only
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
👥
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Online Test Series
Start Free Mock Test →Preparing for Banking?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Chapter Practice
Practice Retail Lending and Regulations MCQs →Want more practice questions on Retail Lending and Regulations?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Banking · Retail Lending and Regulations