American Bankers Association Exam CRCM Topic 7 Question 79 Discussion

Actual exam question for American Bankers Association's CRCM exam

Question #: 79
Topic #: 7

[All CRCM Questions]

For which of the following business activities must a bank holding company obtain prior approval of the Federal Reserve Board?

AOperating an auto club service

BServing as a safe deposit company

COperating as a management consulting firm for financial institutions

DSelling installment loan data processing

Show Suggested Answer

Suggested Answer: B

by Gracia at Dec 27, 2023, 12:58 PM

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Goldie

1 hours ago

D) Selling installment loan data processing is an interesting one. I could see that needing approval, but I'm not totally sure.

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Shawn

8 days ago

A) Operating an auto club service? That's a bit of a stretch for a bank holding company, don't you think?

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Evan

13 days ago

I'm not sure, but I think C) Operating as a management consulting firm for financial institutions might also require approval due to potential conflicts of interest.

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Krissy

14 days ago

I agree with Joye, because holding deposits is a core banking activity that requires regulatory approval.

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Joye

16 days ago

I think the answer is B) Serving as a safe deposit company.

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Justine

16 days ago

B) Serving as a safe deposit company seems like the most likely answer. Banks typically need approval for activities outside their core banking services.

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