Question 1

How long after discovery does a bank have to report any lost or missing securities when criminal activity is suspected?

Options :

A : 90 calendar days

B : 1 business day

C : Never. Law enforcement must report

D : 10 business days

Answer: B

Question 2

Which of the following is an accurate statement according to the requirements of the customer identification program regulations?

Options :

A : A bank must always require documentary verification of a customer’s identification

B : A bank may waive any part of the CIP requirements if senior management approves the waiver and there is a good cause

C : A physical address or a post office box is acceptable for any new customer

D : The bank’s CIP program must enable it to form a reasonable belief about the identity of the person

Answer: D

Question 3

Is the renewal of a loan considered to be a new extension of credit for purposes of valuing the collateral under Regulation U?

Options :

A : Yes

B : Yes, if any additional amounts are added to the loan balance

C : Yes, if any amounts other than interest, service charges, or taxes are added to the loan balance

D : No, a renewal is never considered to be a new credit

Answer: C

Question 4

Under content of disclosures long term disclosures may include the following, as applicable EXCLUDING:

Options :

A : Notification that the product is optional

B : Explanation of debt-suspension agreement

C : Lump-sum payment of fee with no refund

D : Refund of fee paid in lump sum

Answer: D

Question 5

_____________requires that a statement of purpose be obtained from borrowers whose loans are to be greater than $100,000 and that will be secured by margin stock. Loans made for the purpose of purchasing margin stock are subject to additional limitations

Options :

A : Regulation U

B : Regulation V

C : . Regulation Z

D : Regulation X

Answer: A