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AAP Exam Review Sample Test
Questions and Correct Answers/ Latest
Update / Already Graded
Which of the following specify the requirements for reserves that a
depository institution must maintain at a federal reserve bank?
Ans: Reg D
Which of the following specifically addresses national banks and
their need to evaluate a large dollar payment system network risks
and requires reporting this to top management and maintaining
agreements with all parties that they do business with?
Ans: OCC Banking Circular 235
Which of the following payment systems is referred to as a real-time
and gross settlement?
Ans: Fedwire Funds Transfer
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Choose the correct description of the Acquirer in the card network
system:
Ans: A Financial institution that represents merchants in accepting POS
transactions
What is the minimum amount of dispute BEFORE a complaint can be
filed to initiate an arbitration proceeding for the ACH Network?
Ans: $250
Blue Sky Bank does ACH origination for two local companies in town.
The bank has agreements in place with the two Originators in which
it provides the necessary disclosures for UCC Article 4A as required
by the NACHA operating rules. Which provision of UCC Article 4A
can be varied by agreement (with disclosure to Originator)?
Ans: Choice of Law
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Anthony opened his checking account with Northern Bank in
February. In the initial disclosures provided by Northern Bank upon
account opening, the ATM fee was clearly stated as being $3.00 per
transaction. Effective October 1, the fee for using an ATM will
increase to $3.50. According to Reg E, how many days prior notice is
required when there is a change to the initial disclosures which results
in greater consumer liability?
Ans: 21 Days
Which regulatory body requires the RDFI to perform a review of all
parties to an IAT entry including remittance and foreign
correspondent addenda records?
Ans: Office of Foreign Assets Control
Which of the following lists the participants in check processing
order?
Ans: Payee/Bank of First Deposit/correspondent Bank/Paying Bank
AAP Exam Review Sample Test
Questions and Correct Answers/ Latest
Update / Already Graded
Which of the following specify the requirements for reserves that a
depository institution must maintain at a federal reserve bank?
Ans: Reg D
Which of the following specifically addresses national banks and
their need to evaluate a large dollar payment system network risks
and requires reporting this to top management and maintaining
agreements with all parties that they do business with?
Ans: OCC Banking Circular 235
Which of the following payment systems is referred to as a real-time
and gross settlement?
Ans: Fedwire Funds Transfer
,2 | Page
Choose the correct description of the Acquirer in the card network
system:
Ans: A Financial institution that represents merchants in accepting POS
transactions
What is the minimum amount of dispute BEFORE a complaint can be
filed to initiate an arbitration proceeding for the ACH Network?
Ans: $250
Blue Sky Bank does ACH origination for two local companies in town.
The bank has agreements in place with the two Originators in which
it provides the necessary disclosures for UCC Article 4A as required
by the NACHA operating rules. Which provision of UCC Article 4A
can be varied by agreement (with disclosure to Originator)?
Ans: Choice of Law
, 3 | Page
Anthony opened his checking account with Northern Bank in
February. In the initial disclosures provided by Northern Bank upon
account opening, the ATM fee was clearly stated as being $3.00 per
transaction. Effective October 1, the fee for using an ATM will
increase to $3.50. According to Reg E, how many days prior notice is
required when there is a change to the initial disclosures which results
in greater consumer liability?
Ans: 21 Days
Which regulatory body requires the RDFI to perform a review of all
parties to an IAT entry including remittance and foreign
correspondent addenda records?
Ans: Office of Foreign Assets Control
Which of the following lists the participants in check processing
order?
Ans: Payee/Bank of First Deposit/correspondent Bank/Paying Bank
