Practice CRCM Exam Online

Question 1

By presentation or transmission of an item a Reserve Bank warrants to a subsequent collecting bank

and paying bank that:

A : The Reserve Bank has good title to the item

B : The item has not been altered

C :

The item bears all endorsements applied by parties that have previously handled the item in paper

or electronic form

D : All of these

Answer: D

Question 2

A compliance professional’s responsibilities include all of the following EXCEPT:

A : Understanding the business units operating environment and risk tolerance

B : Performing risk assessments with the assistance of business units to determine current risk levels and risks associated with the bank’s products, lines of business, customers, and locations, among other factors

C : Working with business units to ensure prompt corrective action for any detected errors

D : Assisting business lines with compliance training for employees, as needed

Answer: D

Question 3

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

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 4

On foreclosure, which of the following loans is subject to the reporting requirements for foreclosed and abandoned property?

A : A loan made to purchase a family car, secured by the car

B : An unsecured loan made to purchase a computer used in the borrower’s business

C : A loan made to purchase a residence, secured by the residence

D : A loan made to purchase a home computer, secured by the computer

Answer: C

Question 5

First National Bank would like to adopt a recordkeeping system that complies with the requirements

of Regulation O. Which of the following best describes the recordkeeping system required by

Regulation O?

A :

A system in which the bank annually surveys all executive officers of First National and its affiliates

to determine the insiders’ related interests

B :

A system in which the bank asks all borrowers as loans are made whether the borrower is a

related interest of an insider

C :

A system that surveys insiders of First National annually and requires each insider to disclose his or

her related interests

D : A system that requires an annual survey of affiliate insiders

Answer: C

Name:	Certified Regulatory Compliance Manager
Exam Code:	CRCM
Certification:	Compliance and Risk Management
Vendor:	American Bankers Association
Total Questions:	465
Last Updated:	Apr 22, 2024

American Bankers Association CRCM