Cloze Test for Bank Exams – Practice Questions & Answers
If you are preparing for competitive exams like IBPS PO, SBI PO, RBI Grade B, IBPS Clerk, or other banking exams, then mastering Cloze Test questions is crucial for scoring well in the English Language section.
In this article, you’ll learn:
- What is a Cloze Test?
- How to solve Cloze Test questions easily
- Cloze Test Practice Sets with Answers
- PDF Download Option
⭐ What is a Cloze Test?
A Cloze Test is a passage with missing words (blanks). You are required to choose the most appropriate word from the given options for each blank. It tests your vocabulary, grammar, comprehension, and overall understanding of context.
💡 Tips to Solve Cloze Test for Bank Exams
- Read the Entire Passage First
- Don’t start filling in the blanks right away. Read the entire passage to understand the context and tone (informative, narrative, formal, etc.).
- Identify the Central Theme
- Try to grasp the central idea of the passage — is it about finance, technology, education, economy, or something else?
- Look for Clues Around the Blank
- Words before and after the blank often hint at the correct option. Focus on articles, prepositions, verbs, and conjunctions.
- Eliminate Wrong Choices
- Use the elimination method. Rule out options that do not fit grammatically or logically.
- Check Grammar Compatibility
- Ensure subject-verb agreement, tense consistency, and correct word form (noun/verb/adjective/adverb).
- Improve Vocabulary & Collocations
- A good vocabulary helps you choose the most appropriate word. Also, pay attention to commonly used word combinations (collocations).
- Practice Common Sentence Patterns
- Get familiar with sentence structures, idioms, and phrases that frequently appear in Cloze Tests.
- Beware of Trap Options
- Some options may sound correct but change the meaning of the sentence. Always double-check the logic of your choice.
- Re-read After Filling All Blanks
- Once all blanks are filled, read the passage again to ensure fluency and logical flow.
- Stay Updated with Reading Practice
- Regular reading of editorials, economy/finance articles, and newspapers like The Hindu or Economic Times improves comprehension skills.
📝 Cloze Test for Bank Exams Practice Set 1 – Moderate Level
Directions: In the following passage, there are blanks, each of which has a number. Below the passage, five words are suggested for each blank. Choose the most appropriate word.
Passage:
India’s banking sector has undergone a significant transformation in recent years. With the adoption of digital technology and customer-centric innovations, banks are now focusing more on (1) _______ services. Mobile banking, internet banking, and Unified Payments Interface (UPI) have made financial transactions quicker and more (2) _______.
However, this shift also brings challenges such as cybersecurity threats and digital illiteracy among some sections of the population. To tackle these issues, banks need to invest in (3) _______ security systems and conduct awareness programs to educate customers about safe digital practices.
Moreover, financial inclusion remains a key objective. The government’s initiatives like the Pradhan Mantri Jan Dhan Yojana (PMJDY) have helped bring millions into the (4) _______ banking system. Yet, the real challenge is to ensure that these accounts remain active and are used regularly.
Going forward, banks must focus not only on technological upgrades but also on strengthening customer trust and financial literacy. Only then can the banking sector truly become a (5) _______ for inclusive economic growth.
Options:
(1)
A. traditional
B. convenient
C. personalized
D. manual
E. outdated
(2)
A. complex
B. efficient
C. risky
D. expensive
E. limited
(3)
A. temporary
B. customized
C. high-tech
D. transparent
E. common
(4)
A. formal
B. private
C. invisible
D. rural
E. illegal
(5)
A. barrier
B. burden
C. support
D. catalyst
E. substitute
Answers:
| Blank | Correct Answer |
|---|---|
| (1) | personalized |
| (2) | efficient |
| (3) | high-tech |
| (4) | formal |
| (5) | catalyst |
📝 Cloze Test for Bank Exams Practice Set 2 – Easy Level
Passage:
The Reserve Bank of India (RBI) is the central bank of the country and plays a crucial role in the Indian economy. It is responsible for (1) _______ the monetary policy and ensuring price stability in the country. One of the main functions of RBI is to regulate the supply of (2) _______ in the economy.
The RBI also acts as a (3) _______ to the Government of India and to commercial banks. It helps in maintaining financial stability by regulating banks and other financial institutions. Additionally, it issues currency notes and ensures the (4) _______ of the Indian currency.
With the rise of digital payments, RBI has introduced various guidelines to protect consumers and promote a safe (5) _______ environment.
Options:
(1)
A. implementing
B. destroying
C. ignoring
D. postponing
E. rejecting
(2)
A. gold
B. currency
C. petrol
D. exports
E. stocks
(3)
A. borrower
B. competitor
C. banker
D. trader
E. investor
(4)
A. ban
B. demand
C. destruction
D. credibility
E. interest
(5)
A. political
B. cashless
C. traditional
D. risky
E. manual
Answers:
| Blank | Correct Answer |
|---|---|
| (1) | implementing |
| (2) | currency |
| (3) | banker |
| (4) | credibility |
| (5) | cashless |
📝 Cloze Test Practice Set 3 – Advanced Level
Passage:
In a rapidly evolving financial ecosystem, the role of commercial banks is not just confined to accepting deposits and extending loans. Today, banks are expected to function as financial advisors, risk managers, and digital enablers. With the entry of fintech firms and neo-banks, traditional banks are under increasing pressure to (1) _______ their services and adopt more agile operating models.
One of the key strategies to maintain competitiveness is (2) _______ customer engagement through personalized offerings and digital convenience. Data analytics and artificial intelligence are being extensively used to (3) _______ customer behavior and design need-based products.
However, while the digital shift has enhanced operational efficiency, it has also made the banking sector more vulnerable to (4) _______ risks. Therefore, a strong regulatory framework and continuous investments in cybersecurity infrastructure have become crucial.
Going forward, the success of the banking industry will largely depend on how well it can (5) _______ innovation with regulation, growth with inclusivity, and profitability with sustainability.
Options:
(1)
A. complicate
B. diversify
C. ignore
D. reject
E. abandon
(2)
A. reducing
B. avoiding
C. enhancing
D. disturbing
E. delaying
(3)
A. forecast
B. challenge
C. confuse
D. eliminate
E. distract
(4)
A. weather
B. operational
C. cyber
D. agricultural
E. technical
(5)
A. isolate
B. balance
C. fight
D. hide
E. transfer
Answers:
| Blank | Correct Answer |
|---|---|
| (1) | diversify |
| (2) | enhancing |
| (3) | forecast |
| (4) | cyber |
| (5) | balance |
📥 Download Cloze Test Practice PDF (Coming Soon)
Download PDF version of these Cloze Test questions with answers and explanations. Stay tuned!
