JAIIB PPB Mock Test 2026: Free Online Practice Questions + PDF
Quick answer: A JAIIB PPB mock test is the single fastest way to find out whether you are actually ready for the Principles &. Practices of Banking paper. On this page you get a free.
Fully solved 20-question PPB mock test. A clear answer key. A smart attempt strategy and a downloadable PDF.
Everything you need to score 50+ in 2026.
JAIIB PPB Mock Test 2026: Free Online Practice Questions With Answers
If you are preparing for JAIIB. The smartest thing you can do today is attempt a JAIIB PPB mock test. Reading the syllabus tells you what to study. A mock test tells you what you actually know. And that gap is exactly where marks are won or lost.
The Principles &. Practices of Banking (PPB) paper is the most application-heavy paper in JAIIB. Examiners rarely ask plain definitions.
They wrap the concept inside a banking situation. A cheque returned in clearing. An HUF account, an NPA classification — and ask you to decide.
That is why passive reading fails and timed practice wins.
This guide from Ashish Jain's Learning Sessions gives you a complete. Free PPB mock test with 20 high-yield MCQs. Full answers, common traps to avoid, and a download link. Let's get you exam-ready.
🔑 Key Takeaways
- The JAIIB PPB mock test is the best predictor of your real exam score.
- PPB is application-based — practise scenario MCQs, not just theory.
- Attempt at least 8–10 full mock tests before exam day.
- Review every wrong answer; your mistakes are your real syllabus.
- Always confirm marks, cut-off and pattern on the latest official IIBF notification.
Why a JAIIB PPB Mock Test Matters So Much
JAIIB is a working professional's exam. Most candidates study after a full day at the branch. Time is short, so every study hour must count. A JAIIB PPB mock test makes your limited hours far more efficient.
Here is what a good mock test does for you:
- Reveals weak chapters fast. One test instantly shows whether you are weak in NPA. KYC, negotiable instruments or banking technology.
- Builds exam temperament. You learn to stay calm and manage the clock under pressure.
- Trains elimination skills. In application MCQs, ruling out wrong options is half the battle.
- Removes negative surprises. The exam format stops feeling unfamiliar.
Think of each PPB mock test as a free dress rehearsal. The more rehearsals you do. The calmer and sharper you are on the real stage.
JAIIB PPB Exam: Quick Facts Table
Before you attempt the mock test, anchor the basics. The table below summarises the PPB paper. Always cross-check the exact figures on the latest official IIBF notification. As IIBF revises patterns from time to time.
| Detail | Principles & Practices of Banking (PPB) |
|---|---|
| Conducting body | Indian Institute of Banking & Finance (IIBF) |
| Paper name | Principles & Practices of Banking (one of the JAIIB papers) |
| Question type | Objective MCQs (knowledge, conceptual & case-based) |
| Total marks & duration | Confirm on the latest official IIBF notification |
| Passing / cut-off marks | Confirm on the latest official IIBF notification |
| Negative marking | Confirm on the latest official IIBF notification |
| Best preparation tool | Concept revision + repeated PPB mock tests |
Want the full subject breakdown first? Read our free guides on the PPB syllabus, then come back and test yourself here.
Free JAIIB PPB Mock Test 2026 (20 Solved MCQs)
Here is your full JAIIB PPB mock test. Treat it like the real exam. Set a timer.
Attempt all 20 questions in one sitting. Write down your answers, and only then scroll to the answer key. No peeking — honesty here is what makes the score meaningful.
| No. | Question (Principles & Practices of Banking) |
|---|---|
| 1 | Which of the following is/are correct in relation to selective credit control?(i) Selective credit controls are used to curb inflationary pressure.(ii) Bank credit to customers to raise demand for durable consumer goods can also lead to inflation.(iii) Bank loans extended to speculators to hoard goods are likely to lead to inflation.a. Only (i) & (ii)b. Only (i) & (iii)c. Only (ii) & (iii)d. (i), (ii) & (iii) |
| 2 | With a _______ system. Bank-wide information that is online and accurate becomes a reality. With better information. The cost of operation can be reduced.a. Computerb. Centralizedc. Distributedd. De-centralized |
| 3 | Regarding loans under NRLM (National Rural Livelihood Mission). Which of the following does NOT match?a. First dose: 4 to 8 times of the proposed corpus during the year or Rs. 50,000, whichever is higherb. Second dose: 5 to 10 times of the existing corpus &. Proposed savings during the next 12 months or Rs. 1,00,000, whichever is higherc. Third dose: Minimum of Rs. 5,00,000d. Between Rs. 5,00,000 to 10,00,000 for the fourth dose and/or higher in subsequent doses |
| 4 | Your bank receives a cheque in inward clearing that has not been signed by the account holder. Which reason will you choose to return the cheque?a. Cheque is not signed by the payeeb. Refer to drawerc. The cheque is not signed by the draweed. The cheque is not signed by the endorsee |
| 5 | What do you understand by a golden parachute?a. Attractive benefits given to the top executives of target companies at the time of acquisitionb. Attractive benefits given to clerical. Subordinate staff of the target company at the time of acquisitionc. Attractive benefits given to top executives of the acquiring company at the time of acquisitiond. Attractive benefits given to clerical. Subordinate staff of the acquirer company at the time of acquisition |
| 6 | A bank sanctioned a Term Loan of Rs. 20,00,000 to a Small Scale Industry (SSI) for a project cost of Rs. 40,00,000. The balance is to come as margin from the promoter. Under SIDBI's National Equity Fund. What is the maximum amount available under NEF for this project?a. Rs. 5,00,000 being 25% of the loan amountb. Rs. 10,00,000 being 25% of project costc. Rs. 4,00,000 i.e. 10% of project costd. Difference between (margin to be provided by borrower + bank loan). The project cost |
| 7 | A purchased draft has been reported as lost. The purchaser wants to stop its payment. Can the bank do this?a. Bank cannot stop payment because it is a promissory noteb. Bank can stop payment because it is covered under negotiable instrumentc. Bank can ask the purchaser to suffer for negligence and cannot helpd. Bank would issue instructions to stop payment only after 2 weeks from the date of issue |
| 8 | On 27.09.2017. On verification of a cheque presented by a customer. You find the date wrongly written as 27.09.2016. You are of the opinion the cheque should be returned under what reason?a. Because it is a stale chequeb. Because it is a mutilated chequec. Because it is a post-dated chequed. Because it is a damaged cheque |
| 9 | _______ is best operable within a first-to-market scenario. Even though there would be few competitors within the industry.a. Market penetrationb. Market skimmingc. Elasticitiesd. Marketing research |
| 10 | Which orders may the Reserve Bank of India pass when the affairs of a banking company become detrimental to public interest?(i) To determine the policy on advances to be followed by banking companies(ii) To decide the purposes for. Advances may or may not be made(iii) To fix the margin to be maintained on secured advancesa. Only (i) and (ii)b. Only (i) and (iii)c. Only (ii) and (iii)d. (i), (ii), and (iii) |
| 11 | A bank wishes to undertake insurance business. Whose permission is necessary before it can commence?a. Life Insurance Corporation of India (LIC)b. General Insurance Corporation of India (GIC)c. Insurance Regulatory and Development Authority (IRDA)d. Reserve Bank of India (RBI) |
| 12 | Which of the following is NOT an essential condition for an urban cooperative bank undertaking bancassurance business?a. The bank should obtain prior permission from IRDAb. The bank should have a net worth of not less than Rs. 50,00,00,000c. The bancassurance business can be done through bank branchesd. The bank must enter into an agreement with the concerned insurance agency |
| 13 | Which of the following defines a non-performing asset (NPA)? a. In a loan account, the principal amount due has not been paid for more than 90 days b. In a loan account, the interest amount due has not been paid for more than 90 days c. Both a. and b. above d. Assets not commented upon by the bank's auditors |
| 14 | In periods of boom that lead to economic instability. The Reserve Bank does NOT resort to. Of the following?(i) Selling first-class securities in its possession to reduce money supply (open market operations)(ii) Increasing the bank rate(iii) Buying approved securities in the marketa. Only (i) and (ii)b. Only (i) and (iii)c. Only (ii) and (iii)d. (i), (ii), and (iii) |
| 15 | Under the RBI (Note Refund) Rules. 1989. Exchange of mutilated notes is required to be done by branches of. Bank/banks?a. State Bank of India (SBI) onlyb. Nationalized banks onlyc. Public Sector Banks (PSBs)d. Scheduled Commercial Banks including Regional Rural Banks (RRBs) |
| 16 | A club maintains a current account operated by the Secretary. Treasurer jointly. The Treasurer dies. A cheque signed by him. The Secretary is presented for clearing.a. The cheque cannot be paid as suchb. The cheque cannot be paid after death. He was responsible for the moneyc. The cheque should be paid if it is otherwise in orderd. The cheque should be paid only after confirmation from the club president |
| 17 | Mr. Bubbles wants a demand draft (DD) with the word 'Order' struck off. 'Bearer' written. Can the bank help?a. Bearer draft is unlawful under Section 31 of the Reserve Bank of India Actb. Bearer draft can be issued just like a chequec. The signature of the payee should be attested on the back of the draft by the issuing branchd. Attestation of the payee's signature on a separate slip by the bank (without striking out 'Order' from the draft) |
| 18 | The mandate given by an illiterate account holder should be _______.a. Attested by the manager who confirms and certifies the sameb. Attested by a Notary Public or Magistratec. Sufficient if we ask for a mandate letter with LTI attested by an authorized officiald. We cannot accept a mandate from an illiterate customer at all |
| 19 | Which of the following is NOT true in respect of a Hindu Undivided Family (HUF)?a. It is governed by two schools of Hindu law: (1) Dayabhaga & (2) Mitaksharab. Under Mitakshara. Every son or daughter of a coparcener acquires a right in HUF by birthc. Under Dayabhaga. He/she acquires the right in HUF only after the death of the fatherd. All members of the family are coparceners, including the mother & daughter-in-law |
| 20 | Mrs. Sachdeva issues a bearer cheque in favour of Dhiman. Forgets to hand it over. Dhiman, in her absence, picks up the cheque from her table. Has negotiation taken place?a. No, because endorsement is also neededb. No, as delivery of the cheque is also requiredc. No, endorsement and delivery are both neededd. Yes, the cheque is drawn in his favour |
Done? Great. Now mark yourself honestly using the answer key below.
PPB Mock Test Answer Key
Compare your responses with the correct answers. Give yourself one mark per correct answer. Then read the explanation logic for every question you missed.
| Q | Ans | Q | Ans | Q | Ans | Q | Ans |
|---|---|---|---|---|---|---|---|
| 1 | D | 6 | B | 11 | C | 16 | C |
| 2 | B | 7 | A | 12 | A | 17 | D |
| 3 | C | 8 | A | 13 | C | 18 | B |
| 4 | B | 9 | B | 14 | D | 19 | D |
| 5 | A | 10 | D | 15 | C | 20 | B |
How to read your score
- 16–20 correct: Excellent. You are in the safe zone — keep revising and attempt more mock tests.
- 11–15 correct: On track, but not safe yet. Target your weak chapters this week.
- 10 or below: Don't panic — you now know exactly where to focus. Re-study, then re-test.
How to Use a PPB Mock Test the Right Way
Most candidates waste mock tests by just checking the score. Moving on. The score is the least useful part. The real value lies in the review. Follow this simple, repeatable method.
Step 1: Simulate real exam conditions
Sit in one place. Use a timer. No phone, no notes, no breaks. Your brain must learn to perform under the same pressure it will face in the hall.
Step 2: Mark and categorise every question
After scoring. Sort questions into three buckets: knew it. Guessed it right, and got it wrong. The lucky guesses are silent weak spots — treat them like mistakes.
Step 3: Build an error log
Maintain one notebook of every wrong concept. Before each new mock test, revise this log. Over weeks. Your error log becomes your personalised PPB syllabus. The highest-return revision material you own.
Step 4: Re-attempt and track the trend
Attempt a fresh JAIIB PPB mock test every few days. Plot your scores. A rising line means your method is working. A flat line means you are reviewing too lightly. Slow down and dig deeper.
High-Yield PPB Topics You Must Master
Across years, certain PPB areas appear again and again. Prioritise these high-frequency themes when you prepare. They give you the best marks per hour studied.
- Negotiable Instruments: cheques, drafts, endorsement, crossing, stale/post-dated cheques, dishonour reasons.
- Customer accounts: HUF. Minors, clubs, partnerships, illiterate customers, joint accounts and operational rules.
- NPA & asset classification: the 90-day rule. Sub-standard/doubtful/loss assets, and provisioning logic.
- RBI & monetary policy: open market operations. Bank rate, selective credit control, CRR/SLR concepts.
- Banking technology: CBS (centralized banking), digital channels and information systems.
- Priority sector & schemes: NRLM, SIDBI funds, MSME and rural lending norms.
- Bancassurance & regulation: IRDA permissions, banking regulation provisions and RBI directions.
Notice how the 20 questions above map neatly onto these themes. That is not a coincidence — it is the PPB pattern in action.
Common Mistakes Candidates Make in PPB
Knowing the traps is half the defence. Avoid these classic errors. You instantly move ahead of the average candidate.
- Memorising definitions only. PPB is applied. If you can't use a concept in a scenario. You will lose those marks.
- Skipping mock tests until the last week. Mocks build skill over time. Cramming them at the end is too late.
- Ignoring wrong answers. Your mistakes are the cheapest marks available. Review them every single time.
- Poor time management. Spending three minutes on one tricky MCQ can cost you five easy ones. Move on and return later.
- Misreading 'NOT' and 'EXCEPT' questions. A huge share of PPB errors come from rushing negative-worded questions. Underline the keyword.
- Relying on a single source. Combine concept notes, the IIBF syllabus and repeated practice for full coverage.
Smart 30-Day Study Plan for PPB
If your exam is roughly a month away. This simple plan balances learning and testing. Adjust dates to your own schedule. Always verify the exam timeline on the latest official IIBF notification.
| Phase | Focus | Mock tests |
|---|---|---|
| Days 1–10 | Cover the full syllabus once, module by module | 2 short topic-wise tests |
| Days 11–20 | Strengthen weak chapters from your error log | 3–4 full mock tests |
| Days 21–27 | Full-length practice + timed revision | 3–4 full mock tests |
| Days 28–30 | Light revision, error log only, rest well | 1 final confidence test |
Get more structured practice with our full set of mock tests and supporting free guides.
Frequently Asked Questions (FAQ)
How many JAIIB PPB mock tests should I attempt?
Aim for at least 8 to 10 full-length PPB mock tests before your exam. Plus several short topic-wise tests. Consistent, reviewed practice matters far more than the raw number you complete.
Is this PPB mock test free?
Yes. The full 20-question JAIIB PPB mock test on this page, including the answer key, is completely free. You can also access more free practice through our mock tests section.
Are these questions similar to the actual JAIIB exam?
These are exam-style. Application-based MCQs that reflect the typical PPB pattern — scenario questions on cheques. NPA, customer accounts and RBI policy. For the official pattern and marks. Always confirm on the latest official IIBF notification.
What is the passing mark for the PPB paper?
IIBF sets the cut-off and may revise it from time to time. We recommend you check the exact passing marks. Overall aggregate rule on the latest official IIBF notification before your exam.
Can I download this PPB mock test as a PDF?
Yes. You can download the PPB mock test PDF and revise offline, then attempt more tests online through the mock tests on Learning Sessions.
Final Word: Test Today, Pass Tomorrow
Clearing PPB is not about studying harder — it is about studying smarter. And nothing is smarter than putting yourself under exam conditions. Finding your gaps, and closing them one mock test at a time.
You now have a complete JAIIB PPB mock test. An answer key, a review method and a 30-day plan. The only thing left is action.
Attempt the test, build your error log, and repeat. Do this consistently. Walking into the exam hall will feel like just another rehearsal you have already aced.
Your banking career deserves this effort. Start your mock tests today — and make 2026 the year you clear JAIIB with confidence.
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