NCRM Certification!!
What are the 7 categories of risk a credit union should monitor? - ✔✔Interest rate, credit,
liquidity, reputation, strategic, transaction, Compliance
Are the 7 categories of risk mutually exclusive - ✔✔No
If a CU suffers a data breach which risk category is effected? - ✔✔Transaction risk,
reputation risk, compliance risk
Risk to the Credit Unions earnings that are due to a failure of its investments or a portion of its
loan portfolio - ✔✔Credit Risk
Can an institution advertise their CAMELS rating? - ✔✔No
Failure for a member to make payments or failure for the member to maintain insurance is an
example of which of the 7 risks? - ✔✔Credit Risk
Risk of adverse impact on a credit unions capital and earnings due to change in market rates -
✔✔Interest rate risk IRR
Repricing risk, basis risk, yield curve risk and options risk are the four types of which risk
category? - ✔✔Interest rate risk
The risk that the credit union will not have the ability to meet financial obligations when they
come due - ✔✔Liquidity risk
, As a result of the pandemic, the Massachusetts governor issues an executive order suspending
vehicle repossessions for the next 120 days. Risk categories? - ✔✔Credit risk and liquidity
risk
What is transaction risk AKA - ✔✔operational risk and fraud risk
Risk to earnings or capital arising from fraud or errors - ✔✔Transaction Risk
Which risk is a function of internal controls, info systems, employee integrity and operating
processes - ✔✔Transaction Risk
Risk of negative public opinion or perception based on interactions, decisions and or
communication style - ✔✔Reputation risk
Risk for not following the rules. - ✔✔Compliance risk
Risk when adverse business decisions, improper implementation of decisions or lack of
responsiveness to industry changes occurs - ✔✔Strategic risk
the CU receives a demand letter alleging that fees you charged are illegal, unauthorized and
contrary to your account agreement with members. the letter indicates it will be taking the
claim to the news. - ✔✔Reputation risk, compliance risk
Examiners will review and evaluate a credit unions ALLL accounts - ✔✔True
ALLL accounts stands for - ✔✔Allowance for loan and lease losses
What are the 9 supervisory priorities in 2021 - ✔✔Allowance for loan and lease losses (ALLL)
accounts, BSA/AML, Hemp, CARE act Coronavirus aid, relief and economic security act,
What are the 7 categories of risk a credit union should monitor? - ✔✔Interest rate, credit,
liquidity, reputation, strategic, transaction, Compliance
Are the 7 categories of risk mutually exclusive - ✔✔No
If a CU suffers a data breach which risk category is effected? - ✔✔Transaction risk,
reputation risk, compliance risk
Risk to the Credit Unions earnings that are due to a failure of its investments or a portion of its
loan portfolio - ✔✔Credit Risk
Can an institution advertise their CAMELS rating? - ✔✔No
Failure for a member to make payments or failure for the member to maintain insurance is an
example of which of the 7 risks? - ✔✔Credit Risk
Risk of adverse impact on a credit unions capital and earnings due to change in market rates -
✔✔Interest rate risk IRR
Repricing risk, basis risk, yield curve risk and options risk are the four types of which risk
category? - ✔✔Interest rate risk
The risk that the credit union will not have the ability to meet financial obligations when they
come due - ✔✔Liquidity risk
, As a result of the pandemic, the Massachusetts governor issues an executive order suspending
vehicle repossessions for the next 120 days. Risk categories? - ✔✔Credit risk and liquidity
risk
What is transaction risk AKA - ✔✔operational risk and fraud risk
Risk to earnings or capital arising from fraud or errors - ✔✔Transaction Risk
Which risk is a function of internal controls, info systems, employee integrity and operating
processes - ✔✔Transaction Risk
Risk of negative public opinion or perception based on interactions, decisions and or
communication style - ✔✔Reputation risk
Risk for not following the rules. - ✔✔Compliance risk
Risk when adverse business decisions, improper implementation of decisions or lack of
responsiveness to industry changes occurs - ✔✔Strategic risk
the CU receives a demand letter alleging that fees you charged are illegal, unauthorized and
contrary to your account agreement with members. the letter indicates it will be taking the
claim to the news. - ✔✔Reputation risk, compliance risk
Examiners will review and evaluate a credit unions ALLL accounts - ✔✔True
ALLL accounts stands for - ✔✔Allowance for loan and lease losses
What are the 9 supervisory priorities in 2021 - ✔✔Allowance for loan and lease losses (ALLL)
accounts, BSA/AML, Hemp, CARE act Coronavirus aid, relief and economic security act,
