Why is it necessary to prepare for bank manager questions before an interview?
Bank managers ensure productivity and efficiency in day-to-day banking services and employees across departments. Moreover, they hold a position of authority in any financial institution. Therefore, while interviewing aspiring bank managers, employers ask them various technical, situational, and behavioural questions to test the candidates’ banking skills. And your answers decide whether you get a job offer.
So, when interviewing for a banking position, it is crucial to make a great first impression by answering the interviewer’s questions honestly and innovatively. The best way to do that is by rehearsing the answers to frequently asked bank manager questions during an interview.
Below, we have listed five general interview questions and sample answers that will increase your chances of securing a job.
Five General Bank Manager Interview Questions, and Their Answer
1. Tell us about four types of banking accounts and what differentiates them
In this question, the interviewer gives you a chance to showcase your knowledge and prove your capabilities as a bank manager. So, here’s how you can answer this question:
There are four types of bank accounts: checking account, saving account, reserve or money market account, and certificate of deposit account (CD). The most popular type of account is a checking account, which allows users to deposit and withdraw their money conveniently.
While savings account has similar characteristics, flexibility, and utility as checking account, the transaction limits and interest rates on deposits are higher, making them unique. On the other hand, money market accounts and CD are not offered by all banks, mainly because it doesn’t cater to the masses.
2. How has technology changed the banking sector?
Technology has a positive impact on the banking sector. For instance, with mobile and online banking acceleration, services like withdrawing funds, paying different entities, and connecting to bank professionals have become more accessible and convenient.
Nowadays, more and more banks are using technology to offer online banking services, helping them extend their customer base and reduce costs. There is hardly any financial institution that does not have a website or a mobile application.
So, while answering this question, demonstrate your journey of how you adapted to the new wave of online banking. Share instances of the hurdles you overcame to adjust to the new process and get akin to it fully. Also, show that you appreciate the value of digital solutions, and add ways by which the employer can improve their online banking services.
3. Talk about a time you handled a customer’s financial situation with sensitivity.
Generally, employers prefer intuitive and compassionate bank managers, mainly because they (bank managers) hold a position of power and deal with a variety of individuals daily- people from different strata of society, from various financial situations and educational qualifications. Therefore, the answer to this question helps the hiring manager determine whether a candidate is a right fit for their organization.
So, while framing this answer, be wary of the organization’s work culture, the motivation behind different business strategies, and their customer base. You can also share real-life instances of when you helped people with financial challenges without hurting their sentiments.
Your answer will help the interviewer test your critical thinking and problem-solving skills. It also helps them understand your communication skills and how you treat the customers.
Since banking is a service industry, soft skills like empathy, interpersonal skills, and intuitiveness play an important role in enhancing the customer experience.
4. How do banks make profits?
There are many ways in which a financial institution makes a profit. Employers will ask this question to gauge your understanding of how a bank operates and functions. As a bank manager, it is your responsibility to ensure that the bank earns profits continually, and for that, you need to understand and find out different ways of increasing the revenue. Here are some ways in which banks can make a profit:
- Additional charges on banking services
While framing an answer for this question, including the ways mentioned above and elaborating on them with real-life examples will help impress the interviewers.
5. What are the warning signs that should never be avoided when granting a loan to a customer?
A bank manager has the authority to grant loans to customers. Therefore, hiring managers will ask this question to understand if the aspirant can make a sound decision. So, while answering this question, frame the answer to make the interviewer believe that you can make essential loan decisions. For example, you can list the critical red flags that show a customer is a high-risk borrower. You can also share instances of how you handled a tricky situation.
Here’s list of bank manager interview questions for freshers and experienced professionals.
Bank Manager Interview Questions For Freshers
- How many banking software are you proficient with?
- What is the role of a financial risk manager in a financial institution like a bank?
- What are the necessary documents required to open a bank account?
- What are the different types of loans offered by banks?
- What are non-performing assets (NPA)?
Bank Manager Interview Questions for Experienced Professionals
- What employee performance metrics do you use?
- Can you walk us through your process of accepting or rejecting a bank loan?
- What is financial management, and what role does a bank manager play?
- What is the difference between a commercial bank and an investment bank?
- What role does a debt-to-income ratio play while applying for a bank loan?