CompTIA
Checkpoint
ISC
HP
Dell
EC-Council
EXIN
Fortinet
ITIL®
Juniper
PMI
Microsoft
VMware
Avaya
Google
Salesforce
Amazon
Palo Alto Networks
Certiport
ISC2
All Vendors
  2. Home
  3. Exams
  4. Banking
  5. CRCM

Free CRCM Exam Braindumps (page: 97)

Page 96 of 344
PDF with 463 Questions

First National Bank has an employee benefit program whereby all bank employees who meet the bank's credit underwriting standards may obtain consumer loans for major purchases or expenses at a rate that is less than the bank's prime rate. Can the bank allow its executive officers to borrow under this program?

  1. No. Executive officers may not have preferential interest rates under any circumstances.
  2. No. However, the related interests of the executive officers may take advantage of it.
  3. Yes. However, executive officers must secure their loans with collateral valued at 100 percent of the loan balance or more.
  4. Yes. Provided the program is available to everyone at the bank as an employee benefit, executive officers may also participate.

Answer(s): D



First National Bank has an employee benefit program whereby all bank employees who meet the bank's credit underwriting standards may obtain consumer loans for major purchases or expenses at a rate that is less than the bank's prime rate. Can the bank allow its executive officers to borrow under this program?

  1. No. Executive officers may not have preferential interest rates under any circumstances.
  2. No. However, the related interests of the executive officers may take advantage of it.
  3. Yes. However, executive officers must secure their loans with collateral valued at 100 percent of the loan balance or more.
  4. Yes. Provided the program is available to everyone at the bank as an employee benefit, executive officers may also participate.

Answer(s): D



First National Bank has an employee benefit program whereby all bank employees who meet the bank's credit underwriting standards may obtain consumer loans for major purchases or expenses at a rate that is less than the bank's prime rate. Can the bank allow its executive officers to borrow under this program?

  1. No. Executive officers may not have preferential interest rates under any circumstances.
  2. No. However, the related interests of the executive officers may take advantage of it.
  3. Yes. However, executive officers must secure their loans with collateral valued at 100 percent of the loan balance or more.
  4. Yes. Provided the program is available to everyone at the bank as an employee benefit, executive officers may also participate.

Answer(s): D



Which of the following is true regarding extensions of credit to executive officers, directors, and principal shareholders?

  1. Must be approved in advance by the board of directors if the aggregate credit is more than the greater of either $25,000 or 5 percent of the bank's capital and surplus, not exceeding $500,000
  2. Must be approved in advance by the board of directors if the credit is greater than $50,000 or 5 percent of the bank's capital and surplus
  3. May not exceed $100,000 in the aggregate, regardless of approvals
  4. May not exceed $250,000 in the aggregate, regardless of approvals

Answer(s): A






Post your Comments and Discuss Banking CRCM exam with other Community members:

CRCM Discussions & Posts