Paper 3 of JAIIB is Legal and Regulatory Aspects of

Banking
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JAIIB Exam Details in short (common to all 3 papers)

Duration : 2 Hours
Marks : 100 Marks
No.Of Questions : 120 (there will be 1/2 marks, 1 mark, 2 marks
questions)

As we said in our earlier post Introduction to JAIIB by IIBF This Paper is

tough (even than Accounting and Finance for Bankers paper) as it is full
theoretical Paper.

LEGAL & REGULATORY ASPECTS OF BANKING:

Let us discuss about this paper in overview.

This paper has 4 Modules (Module A, Module B, Module C, Module D) as
usually.

Module - A (15-20 marks)*

Regulations and Compliance (This Module has 5 Topics)

In this Module you will Learn

Constitution of Banks,
What are Banks,
Types of Banks,
Regulator of Banks,
What is Banking Ombudsman,
interests, Payment systems.........etc.

Give First Preference to this Module (if you want to start with theory).

Module - B (25-30 marks)*

Legal Aspects of Banking Operations (This Module has 14 Topics)

This Module will Discuss about Responsibilities of Banks while doing its duties.
and some more important topics those will come in CAIIB exam.

Some important and easy topics in this Module are,

Responsibilities of Paying/Collecting Banks,
Indemnities,

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Bank Guarantees,
Letter of Credits(LoC, Very Very Very important Topic in whole JAIIB & CAIIB),
Types of Credit Facilities,
Secured and Unsecured Loans,
Deferred Payment Guarantee..........etc.

Module - C (30-35 marks)*

Banking Related Laws (This Module has 21 Topics)

This Module is Heart of the Paper. Because all the laws are discussed in this Module.

Don't think that reading years of Acts is sufficient. In This module all topics are very important topics and easy to
study.

some topics are,

SARFAESI ACT 2002 (introduction, Definition),

Banking Ombudsman Scheme 2006,
DRT Act,
Bankers books evidence Act 1891,
Legal Services Authorities Act,
Consumer Protection Act,
Tax Laws.................etc.

Module - D (30-35 marks)*

Commercial Laws with Reference to Banking Operations (This module has 28 Topics)

If you see this Module for the First time you will get emotional tears as it is the most heaviest of all Modules (but we
know a proverb All that glitters is not gold , its easiest among all the Modules). Because these chapters are simple
and easy to learn topics (you can say this module as one liner stories ).

These Module has all the related laws that we know in topics of Paper 2 (Accounting and Finance for Bankers).

Some topics are in this Module,

Contracts of Indemnity,
Contracts of Guarantee,
Contract of Bailment,
Contract of Pledge,
Contract of Agency,
Partnership Basics,
Types of Companies..............etc.

How to Study:-

We will guide you in preparing for JAIIB and make you to simply crack the JAIIB in one attempt.
Now here we are giving Priority wise study points to easily complete this paper.

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Priority 1: Module D
Priority 2: Module C
Priority 3: Module B
Priority 4: Module A

Here we have given Priority 1 as Module D why because if you study and complete this module as we said
earlier all topics are like one liners (easy) part. you will get confidence over the subject and paper if you complete
this Module as early as possible.

Next Priority 2 as Module C (heart of the paper) why because this module has most Important Laws as
explained in Module C but will takes time to study keep active till complete this module.

Next Priority 3 as Module B because it has easy topics of this paper .

Last But not least Priority 4 as Module A. As we said earlier if you are very interested in theory you can start this
paper with this Module as it has basics of banking industry related topics.

* Marks may vary according to Examiners mood.

And Guidance will Continuessssss....................!!!!!!!!!!!!!!!!

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