CONTINUING EDUCATION QUIZ
The CE Quizzes in ABA Bank Compliance provide up to six continuing education credits per year to those who
hold the CRCM certification. Each quiz consists of ten questions taken directly from the articles in each issue.
The quizzes have been pre-approved by the ICB for 1.0 credits each. You must correctly answer seven out of ten
questions to receive the credit. To take the quiz, please go to ICB Certification Manager, aba.csod.com/client/aba/
default.aspx. After you login, click on your certification on the home page which will take you to the “Certification
Details” page. Locate the quiz, select “Request” to launch the quiz. Quiz credits are automatically uploaded to
your record. If you have any questions, please contact ICB at firstname.lastname@example.org.
Fair Lending in the Brave New World of Big Data
By Marsha J. Courchane, Ph.D. and David M. Skanderson, Ph.D.
1. What is Marketplace Lending?
a. Technology-focused online lending platforms which connect
sources of capital to users of capital.
b. Any general type of lending in the U.S. marketplace.
c. Any general type of lending in U.S. or international markets.
d. Any lending a bank does in its own geographic area to its
2. Which of the following is NOT a typical characteristic
of a marketplace lender:
a. They operate exclusively online.
b. They have a niche product/market focus.
c. They utilize non-traditional data sources.
d. They have a low degree of automation.
3. Which is NOT true about the role of Big Data?
a. It is the practice of collecting and combining large amounts of data
about potential borrowers from many diverse data sources.
b. It uses computationally intensive processes to discover patterns
and interrelationships in the data.
c. It helps banks to understand borrower habits and predict credit
d. Marketplace lenders are not heavy users of Big Data yet,
as banks are moving away from this direction.
Mitigating Economic Sanctions Risk
By Thad Mc Bride
4. What does the article say about the Office of Foreign Assets
a. Strategically, OFAC’s reasoning behind enforcement actions is
b. OFAC’s reasoning in concluding enforcement actions is not
c. OFAC’s officials are well trained and always fair.
a. OFAC’s sanctions are usually in the same areas.
5. Which of the following is NOT a strategy the author says a
company should do to control the damage or risk of sanctions?
a. Careful investigation.
b. Compliance enhancements.
The Bureau’s Prepaid Account Rule: Taming the Wild-Wild
West with Miles of Regulatory Fencing
By Brian Axell, J.D., and Thomas G. Pareigat, J.D.
6. Which of the following accounts does the article say is
NOT covered by the Prepaid Rule?
a. A payroll card account.
b. A government benefits account.
c. A gift certificate, store gift card, or a loyalty, award or
promotional gift card.
d. Open-loop accounts marketed or labeled as “prepaid”.
7. The Prepaid Rule requires financial institutions to provide
a. The standard Regulation Z disclosure.
b. The standard Regulation B disclosure.
c. Both the Reg E initial disclosure and the long-form
d. The Reg DD and marketing materials.
How Model Risk Management Can Play a Leading Role
By Arthur R. Preiss, Ph.D., and Stephen E. Sudhoff, CFA
8. Which is NOT a benefit to using models?
a. Quick identification of outliers.
b. Decreased precision in matching.
c. Efficiency and cost control.
d. Early warning control.
9. In 2011 the Federal Reserve and the Office of the Comptroller of
the Currency (OCC) issued Supervisory Guidance on Model Risk
Management (Joint Guidance) encouraging:
a. Model validation to ensure the soundness of the system.
b. Adequate training to ensure the appropriate disclosures are given.
c. Marketing departments to retain their own legal counsel.
d. Appropriate dress codes for the banking floor.
10. Which of the following is NOT a key variable in deciding
whether to build or buy your models?
c. Vendor reputation.