During export permit issuance the CRO checks the contents of the document as per the directive of NBE, irrespective of the existence of approved sales contract and a letter of credit advice for t

Here are the answers to the questions:

3. During export permit issuance the CRO checks the contents of the document as per the directive of NBE, irrespective of the existence of approved sales contract and a letter of credit advice for the export.

• False (The CRO would check the documents against the approved sales contract and letter of credit, not irrespective of them.)

4. For Branches where Customer Service Manager (CSM) is not assigned, the consumer loan Manager shall approve the RESL request's of the Branch Manager and sign loan.

• True (This is a common delegation of authority in banking operations.)

5. The RESL limit shall be set in a saving account which is treated as an Overdraft account.

• True (This is a common method to manage a flexible loan limit for staff, allowing access to funds up to a set limit.)

6. If a husband and wife are both principal borrowers of staff mortgage loan and if only one of the spouses left the bank, the lending interest rate shall be amended.

• True (Preferential staff interest rates typically cease or are amended if the staff member leaves the bank.)

7. An eligible employee can secure staff mortgage loan only two times. However, the Second loan request shall only be considered after three years from the date of first disbursement of the first loan and upon full settlement of the first staff mortgage loan granted to the staff member/s. t

• True (This outlines specific policy conditions regarding the number of staff mortgage loans and the requirements for a second loan.)

8. The maximum amount of the Staff Personal Loan shall be 90% of the estimation value of the house to be held as collateral.

• True (This specifies a Loan-to-Value ratio of 90% for staff personal loans with a house as collateral.)

9. Condominium house could be estimated by the Bank's collateral valuator if the legal restriction period to sell the condominium building is elapsed.

• True (A condominium typically becomes eligible for valuation as collateral once any legal restriction period on its sale has expired, ensuring marketability.)

10. Purchase of fire and lighting insurance for the property held as collateral is not mandatory for a staff mortgage and/or personal loan.

• False (Banks almost always require property insurance (e.g., fire and lightning) for any property held as collateral to protect their interest in the asset.)

III Short Answer

1. Ato Abebe Getachew is a Customer Service Officer at Hayahulet Mazoria Branch, who has served the Bank for the last three years. If Ato Abebe wants to request staff mortgage loan with his spouse Woy. Zinash Abera, who is a business women, what are the required evidentiary documents shall be presented by her for the branch. (5 points)

For Woy. Zinash Abera, as a businesswoman and spouse of the staff member, the following evidentiary documents would typically be required:

• Identification: Valid national ID card or passport.
• Marriage Certificate: To confirm her marital relationship with Ato Abebe.
• Business License/Registration: Proof of her legal business operation.
• Tax Clearance Certificate: Evidence of compliance with tax obligations.
• Financial Statements: Business profit and loss statements and balance sheets for the past few years to assess income and financial health.
• Bank Statements: Personal and/or business bank statements to show cash flow and financial activity.
• Consent Form: Her written consent to be a co-borrower and to the terms of the staff mortgage loan.