South Carolina Banking Compliance
Officer Certification License Exam
Practice Questions And Correct Answers
(Verified Answers) Plus Rationale 2026
Q&A| Instant Download Pdf
1. Which federal law primarily governs the safeguarding of customer
financial information and requires financial institutions to provide
privacy notices to customers?
A. Community Reinvestment Act
B. Gramm-Leach-Bliley Act
C. Fair Debt Collection Practices Act
D. Dodd-Frank Wall Street Reform Act
The Gramm-Leach-Bliley Act sets requirements for privacy notices
and safeguards to protect customer financial information.
2. Under the Bank Secrecy Act (BSA), what is the minimum threshold for
filing a Currency Transaction Report (CTR) for cash transactions?
A. $5,000
B. $10,000
C. $15,000
D. $25,000
Financial institutions must file a CTR for any cash transactions
aggregating more than $10,000 in one business day.
,3. What does the USA PATRIOT Act require banks to implement as part of
their anti-money laundering compliance program?
A. Credit scoring improvement plan
B. Disaster recovery strategy
C. Customer Identification Program (CIP)
D. Employee performance bonuses
The PATRIOT Act mandates implementing a CIP to verify the identity
of customers opening accounts.
4. Which regulation restricts unfair or deceptive acts or practices and
applies to the marketing of financial products and services?
A. Regulation Z
B. Regulation AA
C. Regulation D
D. Regulation CC
Regulation AA prohibits unfair or deceptive telemarketing acts and
practices by financial institutions.
5. The Fair Credit Reporting Act (FCRA) is designed to regulate which of
the following?
A. Deposit account interest rates
B. Consumer credit information and reporting agencies
C. Market manipulation by banks
D. Payment of overdraft fees
FCRA governs the collection, dissemination, and use of consumer
credit information and access to credit reports.
6. A Suspicious Activity Report (SAR) must be filed within how many days
of detecting a known or suspected violation of law or suspicious
transaction?
A. 15 days
B. 20 days
, C. 30 days
D. 45 days
Institutions generally must file a SAR within 30 calendar days of
identifying suspicious activity.
7. What regulation implements the Truth in Savings Act (TISA) and
requires clear disclosure of terms and conditions of deposit accounts?
A. Regulation E
B. Regulation DD
C. Regulation Z
D. Regulation B
Regulation DD enforces the Truth in Savings Act, ensuring
transparency in deposit account disclosures.
8. Under the Equal Credit Opportunity Act (ECOA), creditors are
prohibited from discriminating based on:
A. Loan amount requested
B. Race, color, religion, or national origin
C. Employment type
D. Credit score
ECOA makes it unlawful to discriminate against applicants based on
protected characteristics.
9. What federal regulation protects consumers engaging in electronic
fund transfers?
A. Regulation Z
B. Regulation CC
C. Regulation E
D. Regulation B
Regulation E implements the Electronic Fund Transfer Act,
safeguarding consumer rights in electronic transfers.
Officer Certification License Exam
Practice Questions And Correct Answers
(Verified Answers) Plus Rationale 2026
Q&A| Instant Download Pdf
1. Which federal law primarily governs the safeguarding of customer
financial information and requires financial institutions to provide
privacy notices to customers?
A. Community Reinvestment Act
B. Gramm-Leach-Bliley Act
C. Fair Debt Collection Practices Act
D. Dodd-Frank Wall Street Reform Act
The Gramm-Leach-Bliley Act sets requirements for privacy notices
and safeguards to protect customer financial information.
2. Under the Bank Secrecy Act (BSA), what is the minimum threshold for
filing a Currency Transaction Report (CTR) for cash transactions?
A. $5,000
B. $10,000
C. $15,000
D. $25,000
Financial institutions must file a CTR for any cash transactions
aggregating more than $10,000 in one business day.
,3. What does the USA PATRIOT Act require banks to implement as part of
their anti-money laundering compliance program?
A. Credit scoring improvement plan
B. Disaster recovery strategy
C. Customer Identification Program (CIP)
D. Employee performance bonuses
The PATRIOT Act mandates implementing a CIP to verify the identity
of customers opening accounts.
4. Which regulation restricts unfair or deceptive acts or practices and
applies to the marketing of financial products and services?
A. Regulation Z
B. Regulation AA
C. Regulation D
D. Regulation CC
Regulation AA prohibits unfair or deceptive telemarketing acts and
practices by financial institutions.
5. The Fair Credit Reporting Act (FCRA) is designed to regulate which of
the following?
A. Deposit account interest rates
B. Consumer credit information and reporting agencies
C. Market manipulation by banks
D. Payment of overdraft fees
FCRA governs the collection, dissemination, and use of consumer
credit information and access to credit reports.
6. A Suspicious Activity Report (SAR) must be filed within how many days
of detecting a known or suspected violation of law or suspicious
transaction?
A. 15 days
B. 20 days
, C. 30 days
D. 45 days
Institutions generally must file a SAR within 30 calendar days of
identifying suspicious activity.
7. What regulation implements the Truth in Savings Act (TISA) and
requires clear disclosure of terms and conditions of deposit accounts?
A. Regulation E
B. Regulation DD
C. Regulation Z
D. Regulation B
Regulation DD enforces the Truth in Savings Act, ensuring
transparency in deposit account disclosures.
8. Under the Equal Credit Opportunity Act (ECOA), creditors are
prohibited from discriminating based on:
A. Loan amount requested
B. Race, color, religion, or national origin
C. Employment type
D. Credit score
ECOA makes it unlawful to discriminate against applicants based on
protected characteristics.
9. What federal regulation protects consumers engaging in electronic
fund transfers?
A. Regulation Z
B. Regulation CC
C. Regulation E
D. Regulation B
Regulation E implements the Electronic Fund Transfer Act,
safeguarding consumer rights in electronic transfers.
