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Question 43/253

First National Bank owns a data processing company that sells financially related data processing services to various businesses in the community. Daniel Tyler, a loan officer, is negotiating a loan to a local CPA firm. He would like to make the loan conditional on the CPA firm's use of the subsidiary data processing firm. May he do so?

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Question List (253q)
Question 1: Which of the following activities is permitted under ADA?...
Question 2: Which of the following entities is exempt from the requireme...
Question 3: The Reserve Bank may recover from the sender the attorneys' ...
Question 4: In which of the following cases is a branch closing notice r...
Question 5: By what date must financial institutions submit their loan a...
Question 6: Mr. Roberts has three loans at First National Bank: Loan A m...
Question 7: When may a bank pay an overdraft of $5,000 created by an exe...
Question 8: Williams National Bank has its home office in New York State...
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Question 10: Which of the following loans is clearly NOT subject to the I...
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Question 12: Which of the following loans or applications is EXCLUDED fro...
Question 13: According to FDIC Guidance on Spousal Signature Provisions, ...
Question 14: By presentation or transmission of an item a Reserve Bank wa...
Question 15: First National Bank is a newly chartered bank. Which of the ...
Question 16: A bank received a signed letter criticizing its performance ...
Question 17: Harvey Smith is a loan officer at First National Bank. Which...
Question 18: In evaluating the coverage of a bank's Regulation U complian...
Question 19: A compliance officer is constructing a review of a transacti...
Question 20: Transactions with which of the following government securiti...
Question 21: Reserve Banks must issue operating circulars, which, togethe...
Question 22: Which of the following practices is authorized by the Federa...
Question 23: What obligation does a bank have to disclose a covered CRA a...
Question 24: ABC Bank has an interactive Internet Web site at which it ta...
Question 25: Safe National Bank has a variety of consumer lending product...
Question 26: Which state receives the reporting and escheatment of unclai...
Question 27: Which of the following is an accurate statement according to...
Question 28: If a bank makes a loan that is in compliance with Regulation...
Question 29: First National Bank has an employee benefit program whereby ...
Question 30: A bank has given a customer a merchandise gift with a fair m...
Question 31: When developing a training plan for commercial lenders, whic...
Question 32: For a U.S. bank with domestic and foreign locations, which t...
Question 33: Robin Martin made an individual application to the bank for ...
Question 34: ACME Bank has a separate page on its Web site where it descr...
Question 35: Several types of loan-related data appear in the following l...
Question 36: Roberta Milton's car lease with First National Bank reached ...
Question 37: In which of the following circumstances is it LEAST appropri...
Question 38: What insurance disclosures are required in the lease disclos...
Question 39: In Processing and evaluating applications-12 CFR 202.6, prot...
Question 40: What may a creditor do when furnishing credit information?...
Question 41: Martin Taylor, a loan officer at First National Bank, is a l...
Question 42: Bob's wife is HIV-positive due to a blood transfusion during...
Question 43: First National Bank owns a data processing company that sell...
Question 44: When does a gift accepted by a banker clearly violate the Ba...
Question 45: First National Bank has made three loans to Mrs. Elmwood. Tw...
Question 46: For which of the following must a bank obtain Form FR U-1 wh...
Question 47: An individual comes into the bank and makes a $6,000 cash de...
Question 48: What is the longest time after board approval that a bank ca...
Question 49: Which of the following actions is NOT a custodial requiremen...
Question 50: On which of the following adjustable-rate loans must the ban...
Question 51: The BSA officer has just been notified by the chief operatio...
Question 52: The sender's liability for warranties and indemnities that a...
Question 53: ACME Bank would like its tellers to help sell insurance prod...
Question 54: When must a bank make its mortgage loan disclosure statement...
Question 55: A current member of the board of directors at First Savings ...
Question 56: In which of the following situations is the bank NOT require...
Question 57: If a bank receives a request for financial disclosure, how m...
Question 58: John and Elise Fernandez apply to ABC Bank for a loan to pur...
Question 59: What are holders of unclaimed property required to do?...
Question 60: Bank B is a correspondent of Bank A. Which of the following ...
Question 61: Which of the following is NOT a written record the bank shou...
Question 62: Which of the following transactions requires completion of F...
Question 63: Which of the following relationships does NOT violate Regula...
Question 64: Which of the following sets of policies or procedures is NOT...
Question 65: The following statements make assertions about the collectio...
Question 66: First National Bank has made a loan to Mr. Good, secured by ...
Question 67: Federal regulations define special-purpose credit-12 CFR 202...
Question 68: What is the maximum number of government securities transact...
Question 69: Which of the following transactions does NOT require prior a...
Question 70: On which of the following loans must a bank maintain records...
Question 71: First National Bank is a member of a multibank holding compa...
Question 72: First National Bank sold several of its mortgage loans to in...
Question 73: A subsidiary of First National Bank can legally participate ...
Question 74: A compliance professional is a member of the task force stud...
Question 75: In a review of a bank's compliance with the Regulation O ove...
Question 76: The mortgage lending department of Bank XYZ received some in...
Question 77: A bank may include all of the following in the narrative por...
Question 78: First National Bank made a loan to a nonbank affiliate of it...
Question 79: Which of the following credit arrangements would most likely...
Question 80: Trust Co. and First National Bank are located in the same ci...
Question 81: Any of the following foreign correspondents for which the Fe...
Question 82: When must disclosures on consumer leasing transactions subje...
Question 83: Which of the following is NOT considered an acceptable form ...
Question 84: State National Bank is a $250 million community bank. It mak...
Question 85: Of the following loans made by a national bank, which loan i...
Question 86: It is an instrument or promise or order to pay money (whethe...
Question 87: For what do ECOA and Regulation B extend coverage?...
Question 88: What should a bank's Bank Secrecy Act compliance program inc...
Question 89: By sending an item to a Reserve Bank, a sender:...
Question 90: Under what circumstances will a G-FINW (a withdrawal as a go...
Question 91: A ____________ must settle for an item with its administrati...
Question 92: Which of the following types of security devices is required...
Question 93: First National Bancshares, Inc., a bank holding company, fil...
Question 94: QRS State Bank is being examined under the lending test. Whi...
Question 95: On which of these loans does First National have to report t...
Question 96: Which of the following describes the record retention requir...
Question 97: The federal banking agencies have proposed an amendment to R...
Question 98: A member bank wants to sell assets to an affiliated bank tha...
Question 99: Which of the following is required to be reported on ABC Ban...
Question 100: In which of the following cases would First National Bank be...
Question 101: When may an automatically renewable time deposit account be ...
Question 102: Under Regulation M, what is a "consumer lease"?...
Question 103: First National Bank would like to adopt a recordkeeping syst...
Question 104: Second State Bank offers a mortgage product that involves si...
Question 105: In April Lillian Redmond, the teller supervisor for First Na...
Question 106: A bank does not know all of the specific information to be d...
Question 107: Which of the following is NOT included in the definition of ...
Question 108: When returning items to a Reserve Bank, the paying and retur...
Question 109: Payment to a beneficiary is made at the earlier of the time ...
Question 110: In the small bank performance standard, which of the followi...
Question 111: A recent audit revealed that the bank's personal trust divis...
Question 112: If the lender is subject to the mortgage interest reporting ...
Question 113: ACME Bank is a state nonmember bank with all of its offices ...
Question 114: What should a bank do when it receives a request from a cust...
Question 115: According to federal regulations, what must a security offic...
Question 116: ABC National Bank, an independent bank with $120 million in ...
Question 117: A Reserve Bank makes the following warranties when it handle...
Question 118: ____________ is an agent or a subagent of the owner of an it...
Question 119: Which of the following is NOT a requirement of CRA?...
Question 120: Records regarding compliance with Regulation M must be kept ...
Question 121: ___________ governs the collection of checks and other cash ...
Question 122: __________________ is a transfer that is authorized in advan...
Question 123: A bank that is a government securities broker accepts money ...
Question 124: The sender agrees to indemnify each Reserve Bank for:...
Question 125: For which of the following is a bank most likely to be in da...
Question 126: A bank is conducting due diligence for a foreign corresponde...
Question 127: Which of the following institutions is exempt from the cover...
Question 128: Cassandra Phillips requested a loan to purchase a boat. She ...
Question 129: A bank has a stand-alone ATM in a high crime area. Due to co...
Question 130: Which of the following is the best method for a large bank t...
Question 131: Big Nationwide Bank has decided to close one of its smaller ...
Question 132: Of the following types of data, which one is NOT required to...
Question 133: Mills Company, Inc., is a manufacturing company with a worki...
Question 134: Which of the following sources is the least desirable to use...
Question 135: It is a corporation or a non-depository institution that mai...
Question 136: ACME Bank is a $600 million institution with 15 branches wit...
Question 137: A recent compliance review revealed that several branch offi...
Question 138: Which of the following is true of a bank's CRA strategic pla...
Question 139: A compliance officer receives a call from a loan officer who...
Question 140: An electronic image of an item together with electronic info...
Question 141: Mammoth Enterprises is a new customer to the bank. It is a w...
Question 142: Time to bring action against a Reserve Bank:...
Question 143: If a bank is a government securities broker or dealer, what ...
Question 144: Which of the following groups of employees should be trained...
Question 145: Bank A offers safe deposit services in a vault area that con...
Question 146: For purposes of insider lending laws and regulations, what i...
Question 147: Which of the following institutions could be examined for CR...
Question 148: The Fair Credit Reporting Act (FCRA) became effective in 197...
Question 149: Which of the following transactions is subject to the provis...
Question 150: Credit scoring systems:
Question 151: Which of the following institutions is NOT subject to the co...
Question 152: It is the policy of First Safe Bank to offer credit life ins...
Question 153: Which of the following factors would NOT be considered when ...
Question 154: Which of the following must a "large" bank maintain as part ...
Question 155: In a review of a bank's home mortgage loan application regis...
Question 156: Which of the following statements is true regarding the less...
Question 157: Which of the following is true regarding extensions of credi...
Question 158: ________________is defined as every aspect of an applicant's...
Question 159: Which of the following is (are) NOT covered by the regulatio...
Question 160: A bank is planning to sell eight branches. The compliance of...
Question 161: ACME national bank plans to acquire Smith Brothers insurance...
Question 162: What is the definition of a "small" business under CRA rules...
Question 163: Which of the following would NOT be acceptable under the Ban...
Question 164: In Receiver's agreement-12 CFR 210.28 it is clearly mentione...
Question 165: While Presenting items for payment:...
Question 166: When is it possible for a bank to be exempted from complianc...
Question 167: During a recent compliance examination, regulatory examiners...
Question 168: Which of the following activities is NOT a permissible nonba...
Question 169: Which of the following actions subjects a lender to mortgage...
Question 170: For HMDA purposes, the term "dwelling" does NOT include whic...
Question 171: Under HMDA, what is the threshold for reporting the interest...
Question 172: Unless the debt collector has express permission from the co...
Question 173: When completing and filing a SAR, what is the bank NOT requi...
Question 174: Your institution has identified a transaction by an existing...
Question 175: EFT provides consumers with limitations on liability for una...
Question 176: Which of the following must be included in a branch closing ...
Question 177: Which of the following is NOT a corporate practice required ...
Question 178: First National Bank would like to make a loan to an affiliat...
Question 179: What may a creditor do if an applicant applies for individua...
Question 180: Which of the following is NOT a factor considered by the Fed...
Question 181: With regard to standards for wear and use of leased property...
Question 182: Transfers involving entries to accounts maintained at two di...
Question 183: First National Bankshares, Inc., a bank holding company, hel...
Question 184: A consumer reporting agency may furnish a consumer report...
Question 185: Which of the following statements regarding applications is ...
Question 186: According to the 2007 interagency statement on subprime mort...
Question 187: One of the check collection requirements is sending items to...
Question 188: When conducting a records search pursuant to a FinCEN reques...
Question 189: Validation of debt says:
Question 190: Which of the following banks CANNOT select Montana as its ho...
Question 191: Milton Edwards leased an automobile from First National Bank...
Question 192: Which of the following employment practices is NOT legal und...
Question 193: What may a creditor do in response to an application for cre...
Question 194: Which of the following are included in unfair practices duri...
Question 195: Roger Jameson is the head of the consumer loan department at...
Question 196: In which of the following situations does a bank need to pos...
Question 197: Which of the following customers may be exempted under Phase...
Question 198: First National Bank is a wholly owned subsidiary of Bank Hol...
Question 199: Regulation B defines "elderly" as having attained an age of ...
Question 200: Which of the following is MOST effective in strengthening an...
Question 201: In evaluating a bank's CRA performance, to what do bank exam...
Question 202: ACME National Bank has a Web site that lists the bank's prod...
Question 203: A bank has a large mortgage department as well as a high HMD...
Question 204: The initial disclosure requires that certain disclosures rel...
Question 205: How is the maximum loan value of margin stock defined?...
Question 206: Which of the following elements is NOT required to be in a r...
Question 207: Which of the following actions is NOT an adverse action?...
Question 208: ACME National bank uses telephone solicitations to sell its ...
Question 209: Martha Smith of First National Bank is attempting to close a...
Question 210: A Reserve Bank may present a noncash item for payment if ins...
Question 211: First National is developing a consumer checking account tha...
Question 212: In which of the following activities may a bank engage and N...
Question 213: Is the renewal of a loan considered to be a new extension of...
Question 214: Cash items' payment proceeds must be available to the Reserv...
Question 215: A bank has been criticized by an examiner for less than sati...
Question 216: A banking agency is conducting a credit needs determination....
Question 217: How may a bank limit the definition of executive officer?...
Question 218: Your bank's president comes back from an industry conference...
Question 219: A routine review of account records reveals that suspicious ...
Question 220: First National Bank made the following loans to Mr. James Wi...
Question 221: Any person in one of the following category can be debt coll...
Question 222: If the returned check is an electronic item that is not a re...
Question 223: Under the ADA, what can an employer do?...
Question 224: A sender and any prior collecting banks grant a security int...
Question 225: How must most banks submit loan application registers to the...
Question 226: First National's consumer leasing department placed an ad in...
Question 227: In Sender's agreement-12 CFR 210.28 it is clearly mentioned ...
Question 228: When all the required information is NOT provided by a perso...
Question 229: FA presents cash to the bank and seeks to wire it to his spo...
Question 230: Jayne Logan, a loan officer at State National Bank, has rece...
Question 231: Which of the following representations on the HMDA loan appl...
Question 232: Legislation was recently enacted to reform consumer real est...
Question 233: ABC National Bank regularly purchases mortgage loans from AC...
Question 234: For which of the following business activities must a bank h...
Question 235: Which of the following is NOT a requirement of Regulation F?...
Question 236: FDIC guidance lists three requirements to ensure compliance ...
Question 237: How long after discovery does a bank have to report any lost...
Question 238: During a recent compliance examination, regulators cited the...
Question 239: When is it permissible for a bank that is a government secur...
Question 240: Debt collector may not abuse or harass the consumer by:...
Question 241: Mrs. Franklin has two mortgage loans at First National Bank ...
Question 242: Generally, a financial institution is required to ascertain ...
Question 243: Which of the following interest-bearing accounts is EXEMPT f...
Question 244: The following mentioned points are actually _______________....
Question 245: First National Bank and Fidelity Bank are subsidiaries of Ba...
Question 246: Which of the following does an extension of credit NOT inclu...
Question 247: Second National has decided to close one of its less profita...
Question 248: When helping a loan officer determine whether the bank must ...
Question 249: Which of the following loans would First National report on ...
Question 250: A bank's president would like to begin offering a new home e...
Question 251: These are the definitions of _____________: The refusal to g...
Question 252: Creditors must retain for 25 months after the date that an o...
Question 253: What information must be on the loan application registers f...