A+
CRCM 2025/2026 Exam Questions with
100% Correct Answers | Latest Update
- 🧠ANSWER ✔✔
Legislation was recently enacted to reform consumer real estate protection laws,
and the bank will now have to change tl1e way it documents, discloses, and
advertises real estate loans, an integral product line at your bank. What should the
compliance professional do FIRST to implement the new law within the bank?
a. Read the law and write a new real estate compliance policy
b. Form a task force of the business unit managers whose departments will be
affected by the law to collectively form an action plan
c. Talk to the bank president about the need for more resources in compliance
d. Sign up all bank personnel affected by the changes for a seminar on the new law
- 🧠ANSWER ✔✔B
1
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STATEMENT. ALL RIGHTS RESERVED
, A+
A bank's president would like to begin offering a new home equity line of credit
product within ///Jo weeks. In all cases the bottO\ver's principal dwelling will
secure the loan. The president has already launched a planned advertising
campaign for the bank's major service markets. what should the compliance
professional do FIRST?
a. Hire an attorney to write the appropriate legal documents and disclosures
b. Write a memo to the president explaining why the compliance professional
should have been in on the process at an earlier date
c. Begin training sessions for the lending and loan operations staff on the
compliance issues involved
d. Perform a risk assessment to determine the bank's level of risk in offering this
new product - 🧠ANSWER ✔✔D
A bank has a large mortgage department as well as a high HMDA error rate. An
expensive software program could automate the process, but the business unit
manager does not want to purchase the software because of its expense. Though it
is not as efficient, the manager prefers to make some improvements to tl1e manual
2
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STATEMENT. ALL RIGHTS RESERVED
, A+
process, add some more robust monitoring procedures, and opt not to purchase the
software. What should the compliance professional do?
a. Elevate the issue to a higher authority to force the mortgage department unit to
purchase tl1e software
b. Nothing; the compliance professional's job is done ,with the completed research
c. Document the fact that the level of risk present with manual systems is
acceptable to the mortgage department business unit
d. Write a memo to the president of the bank that explains the risk assessment for
this area - 🧠ANSWER ✔✔C
The federal banking agencies have proposed an amendment to Regulation Z that
would require a new early disclosure statement for loans secured by the borrower's
principal dwelling. After reading the proposed change, what should the compliance
professional do FIRST?
a. Establish a task force to study the proposed rule.
b. Contact the bank's platform software vendor to determine whether it will be
ready for the change
3
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STATEMENT. ALL RIGHTS RESERVED
, A+
c. Prepare a summary document that outlines the effects the proposed rule would
have on the bank's operations
d. Train bank staff on the new rule - 🧠ANSWER ✔✔C
During a recent compliance examination, regulatory examiners found that the bank
was not conducting flood hazard area determinations before closing on
construction loans. The compliance professional has reviewed the files and agreed
with the examiners' finding. What should be done FIRST?
a. Review the bank's flood policies and procedures to determine where the
compliance failure occurred
b. Conduct a risk assessment of the flood determination requirement on
construction loans
c. Prepare an analysis for bank management explaining the requirement
d. Review all construction loan files to determine the extent of the problem -
🧠ANSWER ✔✔A
4
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
CRCM 2025/2026 Exam Questions with
100% Correct Answers | Latest Update
- 🧠ANSWER ✔✔
Legislation was recently enacted to reform consumer real estate protection laws,
and the bank will now have to change tl1e way it documents, discloses, and
advertises real estate loans, an integral product line at your bank. What should the
compliance professional do FIRST to implement the new law within the bank?
a. Read the law and write a new real estate compliance policy
b. Form a task force of the business unit managers whose departments will be
affected by the law to collectively form an action plan
c. Talk to the bank president about the need for more resources in compliance
d. Sign up all bank personnel affected by the changes for a seminar on the new law
- 🧠ANSWER ✔✔B
1
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
, A+
A bank's president would like to begin offering a new home equity line of credit
product within ///Jo weeks. In all cases the bottO\ver's principal dwelling will
secure the loan. The president has already launched a planned advertising
campaign for the bank's major service markets. what should the compliance
professional do FIRST?
a. Hire an attorney to write the appropriate legal documents and disclosures
b. Write a memo to the president explaining why the compliance professional
should have been in on the process at an earlier date
c. Begin training sessions for the lending and loan operations staff on the
compliance issues involved
d. Perform a risk assessment to determine the bank's level of risk in offering this
new product - 🧠ANSWER ✔✔D
A bank has a large mortgage department as well as a high HMDA error rate. An
expensive software program could automate the process, but the business unit
manager does not want to purchase the software because of its expense. Though it
is not as efficient, the manager prefers to make some improvements to tl1e manual
2
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
, A+
process, add some more robust monitoring procedures, and opt not to purchase the
software. What should the compliance professional do?
a. Elevate the issue to a higher authority to force the mortgage department unit to
purchase tl1e software
b. Nothing; the compliance professional's job is done ,with the completed research
c. Document the fact that the level of risk present with manual systems is
acceptable to the mortgage department business unit
d. Write a memo to the president of the bank that explains the risk assessment for
this area - 🧠ANSWER ✔✔C
The federal banking agencies have proposed an amendment to Regulation Z that
would require a new early disclosure statement for loans secured by the borrower's
principal dwelling. After reading the proposed change, what should the compliance
professional do FIRST?
a. Establish a task force to study the proposed rule.
b. Contact the bank's platform software vendor to determine whether it will be
ready for the change
3
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
, A+
c. Prepare a summary document that outlines the effects the proposed rule would
have on the bank's operations
d. Train bank staff on the new rule - 🧠ANSWER ✔✔C
During a recent compliance examination, regulatory examiners found that the bank
was not conducting flood hazard area determinations before closing on
construction loans. The compliance professional has reviewed the files and agreed
with the examiners' finding. What should be done FIRST?
a. Review the bank's flood policies and procedures to determine where the
compliance failure occurred
b. Conduct a risk assessment of the flood determination requirement on
construction loans
c. Prepare an analysis for bank management explaining the requirement
d. Review all construction loan files to determine the extent of the problem -
🧠ANSWER ✔✔A
4
COPYRIGHT©JOSHCLAY 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
STATEMENT. ALL RIGHTS RESERVED
