Dear aspirants, the Indian Overseas Bank (IOB) Local Bank Officer (LBO) Interview plays a crucial role in the selection process. Candidates who clear the Online Examination followed by the Language Proficiency Test (LPT) will proceed to the Personal Interview. The Bank will decide the minimum qualifying marks for the IOB LOB interview 2025. The final merit list of the candidates will be based on the combined final score of candidates will be arrived at on the basis of scores obtained by the candidates in the Online Examination and Personal Interview. The final selection weightage for the IOB LBO will be determined by the Online Exam and Personal Interview, using a ratio of 80:20. Applicants who do not secure the minimum qualifying marks in the Personal Interview will be disqualified for selection. Merit list of candidates based on the marks obtained by them in the online examination will be prepared in descending order for the respective categories, and they should have qualified in the LPT. Candidates should produce all the necessary documents mentioned in the official notification at the time of the interview. This interview may assess candidates' academic and job knowledge, power of expression, clarity of thought, leadership qualities, extracurricular activities, etc. So, this page gives the possible interview questions that will be asked in the IOB LBO interview 2025. For any queries, kindly visit the FAQs listed below.

Most Important Interview Questions for IOB LBO 2025 PDF - Prepared by Aditya Sir

Candidates can download the Indian Overseas Bank (IBO) Local Bank Officer Most Expected Interview Questions and Answers PDF from the download link given below.

Most Important Interview Questions for IOB LBO 2025 PDF - Prepared by Aditya Sir

IOB LBO Interview Questions 2025 - Most Expected

Here, we've compiled the most common questions for the IOB LBO Interview 2025. Also, keep in mind the suggested answers and main points for each question to help candidates know how to answer. This approach provides candidates with suitable answer ideas to personalize.

1. What is Financial Inclusion?

Financial inclusion means that individuals and businesses have access to useful and affordable financial products and services that meet their needs – transactions, payments, savings, credit and insurance – delivered in a responsible and sustainable way.

Eg. 

• Pradhan Mantri Jan Dhan Yojana (PMJDY)
• Atal Pension Yojana (APY)
• Pradhan Mantri Vaya Vandana Yojana (PMVVY)
• Stand Up India Scheme.
• Pradhan Mantri Mudra Yojana (PMMY)
• Pradhan Mantri Suraksha Bima Yojana (PMSBY)
• Sukanya Samriddhi Yojana.
• Jeevan Suraksha Bandhan Yojana.

2. Explain NPA and Agriculture NPA

A non-performing asset (NPA) is a loan or advance for which the principal or interest payment has remained overdue for a period of 90 days.

 Agri NPA: 

1. a) A loan granted for short-duration crops will be treated as NPA if the instalment of the principal or interest thereon remains unpaid for two crop seasons beyond the due date.
2. b) A loan granted for long-duration crops will be treated as NPA, if the instalment of principal or interest thereon remains unpaid for one crop season beyond the due date.

3. Why do you want to join the Banking Sector?

➢ Banks are a pillar of any nation's Economy

➢ For Job Stability (do not use secure, say it is a stable job)

➢ Fast growth (Banking Sector offers tremendous growth opportunities as candidates )

➢ Fast and fair selection process

➢ Continuing education and community service is highly encouraged

➢ Socially respectable job

4. Explain Conversational Payments on UPI.

Reserve Bank of India has proposed to launch an innovative payment mode viz., “Conversational Payments” on UPI.

It will enable users to engage in a conversation with an Artificial Intelligence-powered system to initiate and complete transactions in a safe and secure environment.

Initially, the facility will be available in Hindi and English and will subsequently be made available in more Indian languages.

5. What were the updates in MPC in December 2023?

▪ RBI Governor Shaktikanta Das announced that the monetary policy committee (MPC) has decided to keep the policy repo rate unchanged at 6.50%. 

▪ It decided unanimously to keep the policy repo rate unchanged fourth time in a row. 

▪ Consequently, the standing deposit facility (SDF) rate remains at 6.25%, and the marginal standing facility (MSF) rate and the Bank Rate at 6.75%.

....Click here for more expected questions for the IOB LBO Interview

FAQs

Q: What is the role of a Local Bank Officer in the Indian Overseas Bank?

A Local Bank Officer is responsible for customer relationship management, deposit mobilisation, promoting banking products, ensuring KYC compliance, and supporting financial inclusion initiatives in the local area.

Q: What qualities are interviewers looking for in an IOB LBO candidate?

Interviewers look for good communication skills, clarity of thought, knowledge of banking basics, local market understanding, leadership qualities, and a positive attitude towards customer service.

Q: How should I introduce myself in the IOB LBO interview?

Start with your name, educational qualification, and strengths such as communication, adaptability, and knowledge of the local area. Express your interest in banking and your willingness to contribute to financial inclusion and customer service.

Q: What types of questions can candidates expect in the IOB LBO interview?

Candidates can expect questions about their academic background, hobbies, strengths, leadership experiences, knowledge of the Indian Overseas Bank, financial inclusion, and situational questions related to customer handling and sales.