APRP Exam Review Sample Test

APRP Exam Review Sample Test A check is not considered a negotiable instrument under Regulation CC if it... - Is not printed with MICR Ink FedWire Funds are final and irrevocable upon completion of processing by the... - Federal Reserve Banks A security procedure is not considered commercially reasonable for a wire transfer if... - The security procedure is only compared to a signature Real-time Payments (RTP) allows a financial institution to limit its exposure risk by... - Utilizing prefunding The duration of exposure risk for a financial institution when originating ACH debit entries is - the period from when entries are released to the ACH Operator, through the time entries can no longer be returned by the RDFI Establishes net debit caps on the amount of Reserve Bank daylight credit that a depository institution may use during a single day or over a 2 week reserve maintenance period. - Payment System Risk Policy Requires a paying bank return a check such that it is received by the BOFD by 2:00pm local time on the 2nd business day following the date of presentment? - Reg CC expeditious return Enterprise Risk Management is (COSO) - The culture, capabilities, and practices that organizations integrate within their strategy to manage risk and preserve and realize value an effective BSA/AML/OFAC compliance program consists of... - Board approved written policies, procedures and processes to prevent money laundering and terrorist financing The amount of risk, on a broad level, an entity is willing to accept in the pursuit of value - Risk appetite UCC: BOFD is liable for a warranty breach claim for forged/missing endorsement for how long? - 3 years from cash letter date FFIEC: First step in business continuity process - Development of a Business Impact Analysis Scope of required Physical and Information Security Procedures depends on... - Size and complexity of the institutions IT operations and the variety of functions performed by IT operations. IT and Security Policy should address... - Key areas such as personnel, capital investment, physical and logical security, change management, strategic planning, business continuity Technology Standards - Internally developed to establish measurable controls and requirements to achieve policy objectives. "known" authentication - PIN, password "has" authentication - fingerprint, biometric, ATM card The exchange of check and check images between financial institutions is governed by... - agreement biometrics for payment initiation and authentication is governed by - FFIEC Guidance Regulation Z - Governs credit card transactions COSO - Supplies important considerations