Practice Test Geeks(NAB) National Australia Bank Practice Test
← All NAB Flashcard Decks

Level Flashcards

7 cards from real NAB practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Level flashcards as text

  1. What does 'Tier 2 Capital' represent in NAB's capital structure?

    Answer: Supplementary capital such as subordinated debt and general reserves

    Tier 2 Capital is supplementary capital including subordinated debt and general reserves, providing an additional loss-absorption layer.

  2. At NAB, which service level agreement (SLA) standard governs the timeframe for resolving customer complaints internally?

    Answer: Complaints must be acknowledged within 24 hours and resolved within 30 days under ASIC standards

    Under ASIC's dispute resolution standards, NAB must acknowledge complaints within 24 hours and resolve them within 30 calendar days.

  3. In NAB's lending assessment, what level of Loan-to-Value Ratio (LVR) typically triggers the requirement for Lender's Mortgage Insurance (LMI)?

    Answer: LVR exceeding 80%

    When a borrower's LVR exceeds 80%, NAB requires Lender's Mortgage Insurance to protect against default risk.

  4. Which regulatory body sets the minimum liquidity coverage ratio (LCR) levels that NAB must maintain?

    Answer: APRA, the Australian Prudential Regulation Authority

    APRA sets and enforces prudential standards including the minimum LCR that ADIs like NAB must maintain.

  5. At NAB, what happens when a business customer's account risk level is upgraded to 'High Risk'?

    Answer: Enhanced due diligence and more frequent account reviews are triggered

    A High Risk classification triggers enhanced due diligence procedures and mandates more frequent account reviews to monitor activity.

  6. In NAB's interest rate structure, which level of the cash rate set by the RBA most directly influences NAB's standard variable home loan rate?

    Answer: The RBA's official cash rate target

    NAB's standard variable home loan rate is most directly influenced by the RBA's official cash rate target, though other funding costs also apply.

  7. What is the significance of a 'Level 2 regulatory breach' identified in NAB's compliance monitoring?

    Answer: A material breach requiring prompt internal escalation and regulatory notification

    A Level 2 regulatory breach at NAB is material and requires prompt escalation to senior management and notification to the relevant regulator.