Indian Economy has seen a proliferation of a large number of private banks due to dynamic growth and progressive policies of the RBI. Today, a large number of private sector banks like HDFC, ICICI, Axis Bank IndusInd, etc. are recruiting candidates in large numbers. They are providing fulfilling and challenging careers in the field of marketing, finance, operations, strategic management, etc. These banks provide fast growth careers with attractive perks and salary packages.
Generally, the selection process of private banks' involves 2 steps: Online-based Aptitude Test and the personal interview (PI) round. Some banks also conduct a Group Discussion in the second stage as well.
While the online test is only qualifying, the PI round is what decides whether you are selected or not. Various parameters on the basis of which the interview panel evaluates you are: positive and confident body language, and commitment towards securing a job, reflected by your knowledge of the banking industry and other important issues affecting this key sector of the economy.
Four favourite areas of interviewers
While you may be asked any type of questions in an interview, our experience suggests that there are some favorite areas from which questions are posed to applicants in banking interviews:
- Personal Details: Generally, the interviewers start the session with the personal interview asking about your profile, your strengths and weaknesses, your biggest achievement in life, family background, questions on native place etc. These are the questions that are asked in the interviews of almost all the private banks.
- Banking Knowledge: The understanding of key concepts of banking terminology is very important as the job profile calls for it. The simple example is - What do you understand by the term loans? Similarly, you are expected to know the basics of monetary policy tools, like CRR and SLR. Further, you must visit RBI's website and its Wikipedia page to gain insights into its functioning and how it regulates the private banks in India.
- Current Affairs (related to banking and economy): You are expected to be conversant with the latest issues and trends in the economy in general and the Indian banking sector in particular. For this, read a reputed newspaper like The Economic Times or Business Standard for the latest updates in the Indian and World economy. This is essential for answering factual questions like - What is the current repo rate? Who is the CEO of HDFC Bank?
Thus, you should read the newspaper daily for at least an hour and take down notes of important news.
- About the organization: While appearing for the interview do prepare for questions on the bank/ organization. For instance, full form of ICICI bank, CEO of HDFC Bank, Latest Profit and Revenue figures of Axis Bank, current NPAs of IndusInd Bank, etc.
Learn from actual Experience
According to Sharan, the ICICI Bank PO interview was more of a discussion than a question answer round. It lasted for 15-20 minutes. Some of the questions asked from him were-
- Why do you want to get in the banking sector?
- Which is the regulatory body of banks in India and who is currently heading it?
- What is the current repo rate?
- What are saving and current accounts? Do banks pay any interest on them? If yes, what are the interest rates?
- What is Mortgage?
- A situation based question-One day you will get some less money and one day you get more money-what will you do?
Always be yourself and genuine. Though interviewers will try to trap you with difficult questions, but never give up in any situation and keep up your spirit and the high confidence level.
Key points to revise before the interview
- Remember to revise the important news/ headlines of the last 2-3 weeks. It is likely that you may be asked a question on them directly.
- Days and years of establishment of important banking or financial institutions or major International Organizations like: RBI, NABARD, SBI, BSE, IRDA, SEBI, World Bank, IMF, ASEAN, BRICS, SAARC, OPEC, UN, etc
- RBI related terms like, SLR, CRR, Base rate, Bank rate, Repo and Reverse Repo rate, etc.
- Definitions of key macroeconomic indicators and latest trends like, national income, GDP, NDP, GNP etc
- Latest financial results of the concerned bank
For any doubts or questions related to interview preparation of HDFC, ICICI, Kotak Mahindra, Axis Bank, IndusInd, Bandhan Bank, etc., feel free to ask them in the comments section given below.