15 common banking interview questions and answers

The interview round is the last hurdle in the recruitment process of many banks. To pass the interview, candidates must answer difficult questions well and prove that they are good fits for the position being recruited. How to smoothly pass the interview? Let's join Navigos Search in exploring 15 banking interview questions and the smartest answers!

1. Common banking interview questions

Question 1: What is your greatest achievement?

In this banking interview question, the employer wants to know your previous performance and ways to handle specific situations. The STAR formula (Situation, Task, Action, Results) can be handy for you in this question. 

Suggested answer:

• Situation: My greatest achievement is being a support customer representative for Bank A. I had to learn and gain experience at the time because I didn't have much of it.
• Task: I find myself have to constantly learn, think flexibly and be more proactive and positive to get my dream job position.
• Action: I began to learn in-depth about the products and services of Bank A, researched customer questions, and compiled my findings into a document. As a result, I have understood all customers' problems and found the most effective and easy-to-understand product consultation. After a year, I was promoted to customer support team leader, where I was in charge of training new personnel, communicating product and customer issues, and expanding the customer base for Bank A.
• Results: Ultimately, I contributed to a 25% increase in revenue for the bank thanks to professional customer support.

Question 2: Why did you choose our bank?

With this question, highlight the excellent values, top-notch products and services or anything outstanding about the bank you are applying for.

Suggested answer:

I have researched all the products and services of Bank B. When compared to many other banks, the benefits that Bank B's goods and services offer to clients are appealing and competitive. I desire to work here as I believe that Bank B will bring the best value to the community.

Question 3:What are your salary expectations?

With banking interview questions about salary, you need to answer tactfully. You can refer to the specific salaries of banking positions in the 2023 salary report of Navigos Group - the Group featuring the two leading recruitment brands in Vietnam (VietnamWorks and Navigos Search).

Suggested answer:

I have researched the average salary of this position in the market, ranging from VND X to Y million VND. With my professional qualifications and experience in this position, I would expect a salary in the range of... I believe I will be successful in this role.

Common interview questions

2. Interview questions about professional qualifications the banking industry

Question 4: Why do you want to be in banking?

You can mention personality traits related to banking jobs or aspects of banking that you are interested in.

Suggested answer:

I love the working environment in banking because of its dynamism, professionalism, and high advancement opportunities. After graduating from University with a major in Finance and Banking, I spent two years working as a credit specialist. During that time, I took part in many new projects. Supervisors and colleagues often compliment my multitasking ability and work results.

I also regularly update new trends in the industry and devote enthusiasm, positive energy, and creativity to my work to achieve the best results. These things help me stay at a job for a long time and are requirements to advance to a higher position.

Question 5: Which is more important for a bank employee, customer service skills or sales skills?

This banking interview question is to gauge the candidate's comprehension of the necessary skills for the job. To make the best choice, you must carefully consider these two skills.

Suggested answer:

Both customer service skills and sales skills are critical for those working in banking. Customer service skills ensure customers are satisfied with the service they receive while sales skills allow employees to promote financial products and services that benefit customers. A professional banker will be the result of the balance of two skills.

Question 6: What do you do if a colleague has evil intentions with the bank's finances?

Connect your own actions with the bank's values and mission to answer this question well. You should prioritize the needs and interests of the bank and highlight your integrity.

Suggested answer:

I used to work for Bank A as an internal accountant, where my duties included approving, tracking, and reporting company costs. The department head asked me to process the expense without approval, which significantly impacted my professional ethics and the bank's budget. Therefore, I refused to record that expense and reminded the department head of his moral and legal obligations to the bank.

Interview questions about professional qualifications

3. In-depth banking interview questions

Question 7: Please tell us the signs customer is a problem debtor

Providing loans to unreliable customers will lead to bad debt and cause financial harm to the bank. List the warning signs and how you deal with high-risk customers.

Suggested answer:

Taking on this job, I always check payment history to detect late payments and defaults and check the customer's credit card history and debt ratio based on income. If the utilization rate is high, it is a sign that the customer is over-indebted and at risk of bad debt. For high-risk customers, I always refuse the loan request.

Question 8: Tell us 3 different types of accounts. What is the difference between them?

With this question, it's unnecessary to explain the account types in detail, but you do need to show that you understand the main differences between each type.

Suggested answer:

In banks, the most popular is the current account allowing customers to deposit, withdraw, and spend. A savings account will have a higher interest rate on the amount deposited but has a limit on the number of transactions within a certain period. Some banks also offer money market accounts to fill the gap with higher interest rates than current accounts and no transaction limits.

Question 9: How does mobile banking change the way banks interact with customers?

To answer this banking interview question, you need to appreciate the value of digital solutions because they help improve banking services provided to customers.

Suggested answer:

Nowadays, customers use banking apps for simple operations such as checking balances, opening deposit accounts, transferring money, making transactions, or withdrawing money directly at ATMs. This has changed the way banks interact with customers. Instead of going to the reception desk or doing banking, customers only come when they cannot solve complex and confusing operations themselves.

I find these changes convenient for both customers and banks. The bank can proactively solve complex problems for customers without having to deal with numerous customers coming to the bank. Additionally, customers avoid wasting time waiting on a teller to handle their issue.

Question 10: What should you do if the customer does not understand the financial issue you are explaining?

Customers of banks come in a variety of ages, occupations, and residential locations, and not all of them have a thorough understanding of financial services. That's why we need people working in banks to support them. The employer asks this bank interview question to assess the applicant's communication ability and understanding of the job.

Suggested answer:

In every transaction with the customer, I always try to explain everything as simply as possible to them. If they still don't understand, I will find a different approach to help them understand the financial product or service they have used and will choose.

In-depth banking interview questions

4. Other additional banking interview questions

Question 11. A VIP customer suddenly withdraws money and transfers to another bank with a higher interest rate. What will you do to retain this customer?

This is a difficult question for candidates without much experience. The answer will help the interviewer evaluate the candidate's problem-solving, ingenuity, and experience.

Suggested answer:

I will invite that customer to the VIP room to have a discussion. During the conversation, I focused on the difficulties and disadvantages when customers withdraw and transfer money to other banks such as cumbersome and time-consuming procedures and a small amount of differences (give specific number). In particular, when customers change banks, they are no longer VIPs of that bank and may lose many attractive benefits. If that VIP customer insists on withdrawing, I will still call, send them an email to visit, and introduce the benefits of my bank to make them reuse the bank's service.

Question 12: What is the difference between commercial banking and investment banking?

It's not necessary to analyze in detail the differences between these two banks. Instead, highlight the outstanding characteristics to distinguish them.

Suggested answer:

Commercial banks will mobilize capital directly from businesses and individuals then lend it to other entities while investment banks raise capital by issuing securities.

Investment banks help businesses issue securities (stocks, bonds) to companies and individuals for mobilizing capital while commercial banks lend capital to businesses.

Question 13: CAMELS is a method of overall assessment of banking operations. What are the indicators of camel rating?

To answer this question, you must have a deep understanding of banking and finance and the CAMEL method. The answer must provide accurate, concise, and complete information about the criteria.

Suggested answer:

The CAMELS method will consider 6 indicators, including Capital Adequacy, Asset Quality, Management, Earnings, Liquidity, Sensitivity. Where:

• Capital Adequacy is the level of capital adequacy and represents the amount of equity capital supporting the bank's business activities. The more risk a bank accepts, the more equity it requires. This indicator aids the bank's operations in compensating for losses related to higher risks.
• Asset Quality unequivocally identifies poor management in lending policies as the primary cause of bank bankruptcy. This leads to a liquidity crisis, causing customers to rush to withdraw money at banks.
• Management is the most crucial element in the CAMEL method. It plays a decisive role in the success of banking operations.
• Earnings is an index to evaluate management and strategic activities. Profits lead to capital formation, helping to attract more capital, future investor support and offset loan losses.
• Liquidity meets the need for additional and new loans without recovering current loans or term investments. Liquidity also meets seasonal fluctuations such as the need to withdraw money promptly and orderly.
• Sensitivity to Market Risk measures the impact of changes in interest rates, exchange rates, profit values, and equity capital. This is concerned with management's ability to manage, identify, monitor market risks, and offer clear orientation.

Question 14: What is credit risk management? What do you think about the centralized credit risk management model?

You must grasp specialized knowledge and professional skills at work and learn about the credit risk management model in advance.

Suggested answer:

Credit risk management is understood as the process of identifying and analyzing risk factors, measuring the level of risk, thereby selecting measures to manage credit activities to limit and eliminate risks in the credit process. The centralized risk management model will have differences between the three elements of risk management, business, and operations.

Highlights of the centralized credit risk management model are systematic risk management on a bank-wide scale, ensuring long-term competitiveness, maintaining a uniform risk management environment appropriate for management processes, and improving risk measurement.

Question 15: Do you have any questions for us?

Don't ask unrelated questions, shake your head, or stay silent. Show the employer that you desire to learn deeply about the business and the job you are applying for.

Suggested answer:

According to my search, your business is always highly appreciated for its management system. Could you tell me how the business, especially the human resources department, achieved those achievements? What are the advancement opportunities for this position? Who is my direct manager? Could I participate in professional development training courses?

Some other interview questions

Hopefully, the above information from Navigos Search is handy for you, helping you pass the bank interview. Don't miss articles about other industries, market information, human resources, and hot employment trends updated regularly on our pages on Facebook and Linkedin. Thank you for always accompanying Navigos Search!

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