What are the approval processes for branch manager loans, maximum loan amounts for apartments, and procedures for staff leaving before settling loans?

Here are the answers to the questions:

1. The RESL requests of branch managers shall be approved by
Loan approvals for branch managers typically involve higher-level committees to ensure proper oversight and adherence to policy. Both a committee at the head office and a committee at the respective districts could be involved in such approvals, depending on the bank's structure and the loan amount. Therefore, if both are correct, the combined option is the best answer.

• e) c and d are correct answers

2. The maximum loan amount for two and three bedroom apartment condominium houses
This is a policy-specific question regarding the loan-to-value ratio for condominium housing. A 95% loan-to-value ratio means the bank finances 95% of the purchase price, with the borrower providing the remaining 5%. This is a common, though high, percentage for certain mortgage products, especially for staff benefits.

• c) 95% of the purchase price

3. Which one of the following is no applicable on a staff who leaves the bank before settling
When a staff member leaves the bank before settling a loan, standard procedures usually involve:

• a) Reverting to a higher, non-staff interest rate.
• b) Actively following up to locate the former staff member.
• c) Escalating the case to a loan recovery team. Since all options a, b, and c are standard and applicable procedures in such a scenario, none of them are "not applicable."
• e) None

4. One of the following is not among the general eligibility criteria required for consumer loan
Let's examine each option:

• a) Sufficient net salary to cover repayment is a fundamental eligibility criterion.
• b) Settling previous loss loans is a standard requirement for new loan eligibility.
• c) A compulsory debt repayment limit (e.g., 50% of net salary) is a common prudential measure.
• d) Not having non-performing loans (NPLs) is a critical creditworthiness criterion. All listed options are standard eligibility criteria for consumer loans. Therefore, none of them are "not among" the criteria.
• e) None of the above

5. Which of the following is correct concerning staff mortgage loan
Let's evaluate each statement:

• a) "It is granted to CBE employees who have two or more service years" – A minimum service period is a common requirement for staff benefits like mortgage loans. Two years is a plausible threshold.
• b) "The building to be constructed in the name of his colleagues" – This is incorrect; the property must be in the name of the staff member or their spouse.
• c) "The loan shall be extended within a maximum tenure of 61 years" – This is an exceptionally long and highly improbable loan tenure for a mortgage.
• d) "It is granted to CBE employees who have one or more service years" – While technically true if the minimum is two years, option 'a' provides a more specific and common minimum service requirement. Given the options, 'a' represents a common and reasonable policy for staff mortgage loans.
• a) It is granted to CBE employees who have two or more service years