The phone interview is often the first live interaction you have with a bank during the recruiting process. It typically comes after your application has been reviewed (and in many cases after you have completed a HireVue video interview) and before you are invited to a Superday. While it may feel lower-stakes than an in-person interview, the phone screen is a critical gate — if you do not perform well, you will not advance further.
In this guide, we will cover what to expect in an investment banking phone interview, the most common questions, and practical tips for making a strong impression over the phone.
What Is a Phone Interview in IB Recruiting?
A phone interview (sometimes called a phone screen) is a 20- to 45-minute conversation, usually conducted by an analyst, associate, or VP at the bank. The purpose is to evaluate whether you have the basic qualifications, technical knowledge, and communication skills to warrant an in-person interview.
Phone interviews are used at different stages depending on the bank and the type of role:
- First round — At many bulge brackets, the phone interview serves as the first round after your initial application or HireVue. If you pass, you move to the Superday.
- Screening step — Some banks use the phone interview as a quick screening step before a more formal first-round interview (either in-person or via video).
- Off-cycle and boutique roles — For off-cycle recruiting and smaller boutique banks, the phone interview may be less formal and more conversational, sometimes serving as both a screen and a substantive interview in one call.
What to Expect: Format and Structure
Most IB phone interviews follow a predictable structure:
1. Introduction and Small Talk (2-3 minutes)
The interviewer will introduce themselves, briefly describe their role, and ask how you are doing. This is your chance to be warm and personable. Keep it brief — do not over-talk during the intro.
2. “Walk Me Through Your Resume” (5-10 minutes)
This is almost always the first substantive question. The interviewer wants to hear a concise, well-structured narrative that explains your background and why you are interested in investment banking. Your answer should be two to three minutes long and cover your key experiences, what drew you to finance, and why this specific bank or group interests you. For a detailed breakdown of how to nail this question, see our guide on how to answer “walk me through your resume”.
3. Behavioral Questions (5-10 minutes)
Expect standard behavioral questions such as:
- Why this bank?
- Why investment banking?
- Where do you see yourself in five years?
- Tell me about a time you worked on a team.
- What is your greatest weakness?
Phone interviews tend to include fewer behavioral questions than Superdays, but you should still have answers prepared for all the standard ones.
4. Technical Questions (10-20 minutes)
The bulk of most phone interviews is spent on technical questions. The depth varies by bank and interviewer, but you should expect questions on:
- Accounting — How the three financial statements link together, the impact of various transactions on each statement, working capital concepts.
- Valuation — Walk me through a DCF, enterprise value vs. equity value, valuation multiples, which valuation methodology gives the highest value and why.
- Corporate finance — WACC, cost of equity, capital structure basics.
- Deal-related — Basics of M&A (accretion/dilution, synergies), LBO fundamentals.
Phone interviews typically cover the fundamentals rather than deep modeling questions. You are unlikely to be asked to build a model over the phone, but you should be able to walk through the logic and mechanics of the key models verbally.
5. Your Questions (3-5 minutes)
At the end of the call, the interviewer will ask if you have any questions. Always have two to three thoughtful questions prepared. Good options include asking about the interviewer’s experience at the bank, what types of deals the group is working on, or what they look for in a successful analyst.
How Phone Interviews Differ From In-Person Interviews
Understanding the unique dynamics of a phone interview can give you an edge:
- No visual cues — You cannot read the interviewer’s facial expressions, and they cannot read yours. This means your tone of voice, pacing, and clarity of speech matter even more. Smile while you talk — it actually affects how you sound.
- You can use notes — One major advantage of a phone interview is that you can have notes in front of you. Keep a cheat sheet with key formulas, your “walk me through your resume” outline, and bullet points for common behavioral questions. But do not read from a script — interviewers can tell, and it comes across as robotic.
- Shorter duration — Phone interviews are typically shorter than in-person interviews, which means every minute counts. Be concise in your answers. Do not ramble.
- Less rapport-building — It is harder to build a personal connection over the phone. Make an effort to be personable and engaging, even without the benefit of face-to-face interaction.
Preparation Checklist
Here is a step-by-step checklist to make sure you are fully prepared for your phone interview:
Technical Preparation
- Review the core accounting, valuation, and corporate finance concepts. Our technical cheatsheet is a good starting point.
- Practice explaining technical concepts out loud. It is one thing to understand a DCF conceptually; it is another to explain it clearly and concisely in a 90-second verbal answer.
- Make sure you can walk through a basic DCF, LBO, and merger model at a high level.
- Know the current market environment — interest rates, recent major deals, and trends in the sector you are interviewing for.
Behavioral Preparation
- Prepare your “walk me through your resume” answer and practice it until it flows naturally.
- Have a clear, specific answer for “why investment banking” and “why this bank.”
- Prepare two to three stories that demonstrate leadership, teamwork, and problem-solving. Use the STAR format (Situation, Task, Action, Result) to keep your answers structured.
- Research the bank and the specific group you are interviewing for. Know their recent deals and any notable news.
Logistical Preparation
- Find a quiet location — This seems obvious, but background noise is one of the most common problems in phone interviews. Find a private, quiet room and test your phone reception in advance.
- Use a landline or stable connection — If possible, avoid using a cell phone in an area with spotty reception. A dropped call in the middle of a technical question is a terrible look.
- Have your materials ready — Keep your resume, a notepad, a pen, and your cheat sheet on the desk in front of you. Have water nearby as well.
- Dress the part (yes, really) — Some people find that dressing professionally, even for a phone interview, puts them in the right mindset. It may sound unnecessary, but it can help you project confidence.
- Call five minutes early (if you are placing the call) — If the interviewer asked you to call them, be punctual. If they are calling you, be ready and waiting at least five minutes before the scheduled time.
Common Phone Interview Questions and How to Answer Them
“Walk Me Through a DCF”
This is one of the most frequently asked technical questions in phone interviews. Your answer should cover: projecting free cash flows, selecting a discount rate (WACC), calculating the terminal value, discounting everything back to present value, and arriving at enterprise value. For a full walkthrough, see our DCF guide.
“Why Investment Banking?”
Keep this answer focused on three things: your genuine interest in finance and deals, the skills and experience you will gain, and the fast-paced, team-oriented nature of the work. Avoid saying “for the money” or “for exit opportunities” — even if those are part of your motivation, they are not what the interviewer wants to hear.
“What Happens to Enterprise Value if Depreciation Goes Up by $10?”
This type of question tests whether you understand the mechanics of financial statements and valuation. An increase in depreciation reduces operating income and therefore reduces taxes (creating a tax shield). The net effect on free cash flow is a tax savings equal to $10 multiplied by the tax rate. Think through the impact step by step rather than trying to memorize answers to every possible variation.
“Tell Me About a Recent Deal”
Have one or two recent deals prepared that you can discuss intelligently. Pick deals that are relevant to the bank or group you are interviewing with. Know the buyer, the target, the approximate deal size, the strategic rationale, and any interesting dynamics (financing structure, regulatory considerations, competitive process). This demonstrates genuine interest and market awareness.
Tips for Standing Out
- Be concise — Long-winded answers are the most common mistake in phone interviews. Aim for 60-90 seconds per answer for behavioral questions and 30-60 seconds for most technical questions.
- Show enthusiasm — Your energy level comes through in your voice. Be engaged, upbeat, and genuinely interested.
- Use specific examples — When answering behavioral questions, give concrete examples rather than speaking in generalities.
- Pause before answering — It is perfectly fine to take a beat before answering a tough question. A brief pause followed by a clear, structured answer is much better than an immediate, rambling response.
- Send a follow-up email — After the interview, send a brief thank-you email to the interviewer (if you have their email address). Keep it short and professional — one to two sentences thanking them for their time and reaffirming your interest.
What Happens After the Phone Interview?
If you pass the phone interview, you will typically be invited to a Superday (for on-cycle recruiting) or a final round of in-person interviews. The timeline varies — some banks move quickly (within a few days), while others may take a week or more. If you have not heard back after a week, it is appropriate to send a polite follow-up email to the recruiter.
If you are not selected to advance, do not be discouraged. Phone interviews are a numbers game, and the competition is fierce. Use the experience to identify areas where you can improve, sharpen your answers, and apply to more banks. For a comprehensive look at the full interview process, check out our complete interview preparation guide.
Want Personalized Interview Coaching?
If you are serious about breaking into investment banking, the best thing you can do is work with someone who has been through the recruiting process and knows exactly what top banks are looking for. At Wall Street Mastermind, we have helped over 2,500 students land offers at every bulge bracket and elite boutique bank on Wall Street. Book a free strategy call to learn how we can help you prepare for your interviews and maximize your chances of landing the offer.
Related Articles
- Investment Banking HireVue Interview: Tips and Preparation
- Investment Banking Superday: What to Expect
- How to Prepare for Investment Banking Interviews
- Walk Me Through Your Resume: IB Interview Answer
- Walk Me Through a DCF
- Why Our Bank: Investment Banking Interview Answer
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