CAMS - Chapter 2 - Practice Questions |
Latest Update | 2024/2025 | Rated A+
What is the primary function of a bank’s compliance department?
- To increase the bank's profitability
- To develop new financial products
To ensure adherence to regulatory requirements
- To manage customer se...
CAMS - Chapter 2 - Practice Questions |
Latest Update | 2024/2025 | Rated A+
What is the primary function of a bank’s compliance department?
- To increase the bank's profitability
- To develop new financial products
✔✔ To ensure adherence to regulatory requirements
- To manage customer service inquiries
Which of the following is an example of a financial crime?
- Regular account balance checks
- Credit score monitoring
✔✔ Money laundering
- Interest rate adjustments
What is the purpose of Anti-Money Laundering (AML) regulations?
1
, ✔✔ To prevent the use of financial systems for illegal activities
- To enhance customer service quality
- To simplify the loan application process
- To increase the bank's market share
What does the term "know your customer" (KYC) refer to?
- The practice of determining customers’ creditworthiness
✔✔ The process of verifying the identity of customers
- The evaluation of customers' investment portfolios
- The strategy for marketing new banking products
Which of the following documents is commonly used for verifying a customer's identity?
- Bank statement
✔✔ Passport
- Credit report
- Utility bill
2
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