MCQs on National Savings Certificate Scheme (NSC – VIII Issue)

21.Which form is used to open an NSC account?

A. Form-7
B. Form-1
C. Form-A
D. SB-5

The correct answer is: B

22.What is the tenure of NSC – VIII Issue?

A. 6 years
B. 3 years
C. 4 years
D. 5 years

The correct answer is: D

23.Which one of the following is true about NSC nomination?

A. Only one nominee allowed
B. Nomination is mandatory
C. Nomination facility is available
D. Nomination allowed only for single account

The correct answer is: C

24.NSC interest is calculated:

A. Monthly and paid quarterly
B. Monthly and paid annually
C. Quarterly compounding
D. Compounded annually

The correct answer is: D

25.In case of a joint account holder’s death, account can be:

A. Closed prematurely only
B. Transferred to surviving holders
C. Continued by post office
D. Converted to single

The correct answer is: B

26.If NSC deposit amount is ₹4,500, what is its validity?

A. Invalid, not multiple of ₹100
B. Valid
C. Only ₹4,000 is accepted
D. Must be rounded

The correct answer is: B

27.NSC can be transferred by:

A. Will
B. Arbitrary decision
C. Court order or death
D. Only within the same family

The correct answer is: C

28.On court order, NSC can be:

A. Pledged
B. Refunded only
C. Transferred to as per order
D. Cancelled

The correct answer is: C

29.What happens to excess deposits made beyond limit?

A. Refunded with NSC rate
B. Refunded with POSA interest
C. Refunded without interest
D. Forfeited

The correct answer is: B

30.Interest under NSC scheme is:

A. Paid every 6 months
B. Paid monthly
C. Paid on maturity
D. Paid in advance

The correct answer is: C

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