Hi friends, here is the MCQ Quiz on National Savings Certificates (NSC) for IPO Exam. In the previous sessions, we have discussed POSB, TD, RD, MIS and SCSS. Today we will be discussing the Important questions on National Savings Certificates (NSC). Those preparing for Inspector Posts Exam (IPO Exam) and Postal Service Group B Exam (PS Gr.B Exam) will find these MCQ Questions very useful.
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MCQ Quiz on National Savings Certificates (NSC) for IPO Exam
1. How many types of accounts are there under National Savings Certificates (NSC)?
(A)Five
(B)Four
(C)Three
(D)Two
Correct answer
(C)Three
2. Which among the following is not a recognized type of account under National Savings Certificates (NSC)?
(A)Single Holder Type Account
(B)Joint A- Type Account
(C)Joint B – Type Account
(D)Joint Spouse Account
Correct answer
(D)Joint Spouse Account
3. Under National Savings Certificates (NSC) Joint Account can be opened by maximum __ adults jointly?
(A)Two
(B)Three
(C)Four
(D)Any number of adults can open jointly
Correct answer
(B)Three
4. Which among the following is wrong with regard to National Savings Certificates (NSC)?
(A)A Single Holder Type Account may be opened by an adult on behalf of a minor or a person of unsound mind of whom he is the guardian
(B)Joint A- Type Account may be opened jointly in the names of upto three adults payable to all the holders jointly or to the survivor or survivors
(C)Joint B-Type Account may be opened jointly in the name of upto two adults payable to any of the account holders or to the survivor or survivors
(D)None of the above is wrong
Correct answer
(C)Joint B-Type Account may be opened jointly in the name of upto two adults payable to any of the account holders or to the survivor or survivors
5. National Savings Certificates (NSC) can be opened by a minor above __ years in his own name?
(A)7 years
(B)10 years
(C)14 years
(D)National Savings Certificates (NSC) cannot be opened by a minor
Correct answer
(B)10 years
6. What is the minimum deposit for opening a National Savings Certificates (NSC)?
(A)500
(B)1000
(C)1500
(D)5000
Correct answer
(B)1000
7. What is the maximum limit of deposit under National Savings Certificates (NSC)?
(A)No maximum limit
(B)1.5 lakh
(C)9 lakhs
(D)4.5 lakhs
Correct answer
(A)No maximum limit
8. How many number of accounts can be opened by an individual under National Savings Certificates (NSC)?
(A)Only one
(B)Only two
(C)Only Five
(D)Any number of accounts can be opened under the scheme
Correct answer
(D)Any number of accounts can be opened under the scheme
9. Whether Deposits made under National Savings Certificates (NSC) qualify for deduction under section 80C of Income Tax Act?
(A)Yes
(B)No
(C)Yes. Provided the deposit exceeds Rs.1 lakh
(D)None of these
Correct answer
(A)Yes
10. Deposit made under National Savings Certificates (NSC) shall mature on completion of _ years from the date of the deposit?
(A)5 years
(B)15 years
(C)10 years
(D)3 years
Correct answer
(A)5 years
11. Transfer/pledging of National Savings Certificates (NSC) can be made to the following authorities? i. President of India/Governor of the State ii. RBI/Scheduled Bank/Co-operative Society/Co-operative Bank iii. Corporation (public/private)/Govt. Company/Local Authority iv. Housing finance company
(A)Only i
(B)Only i and ii
(C)Only iii and iv
(D)All the above
Correct answer
(D)All the above
12. National Savings Certificates (NSC) can be closed prematurely under which among the following circumstances?
(A)on the death of the account holder in a single account, or any or all the account holders in a joint account
(B)on forfeiture by a pledgee being a Gazetted Officer, when the pledge is in conformity with this Scheme
(C)when ordered by a court
(D)All the above
Correct answer
(D)All the above
13. Which among the following is/are correct with regard to Premature closure of account under National Savings Certificates (NSC)? i. if it is closed before the expiry of one year from the date of deposit, only principal amount shall be payable ii. if it is closed after the expiry of one year but before the expiry of three years from the date of deposit, interest on principal amount at the rate applicable to the Post Office Savings Account from time to time for the complete months for which the account has been held, shall be payable
(A)Only i is correct
(B)Only ii is correct
(C)Both i and ii are correct
(D)Both i and ii are not correct
Correct answer
(C)Both i and ii are correct
14. NSC may be transferred from one person to another person on which among the following condition?
(A)On the death of account holder to nominee/legal heirs
(B)On order by the court
(C)On pledging of account to the specified authority
(D)All the above
Correct answer
(D)All the above
15. Under National Savings Certificates (NSC), interest shall be paid?
(A)monthly
(B)four monthly
(C)annually
(D)at maturity
Correct answer
(D)at maturity
What is the rate of interest under National Savings Certificates (VIIIth Issue) (NSC) from 01.04.2020?
(A)7.1%
(B)6.9%
(C)6.8%
(D)5.5%
Correct answer
(C)6.8%
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