Certified Regulatory Compliance Manager (CRCM) — Question 173

The following mentioned points are actually _______________.
"¢ Reserve Banks may rely on numbers given in a payment order to identify an intermediary or beneficiary bank
"¢ Reserve Banks, when acting as beneficiary's bank, may rely on the number in the payment order that identifies the beneficiary

Answer options

• A. Fedwire transfers
• B. Interdistrict transfers
• C. Intradistrict transfers
• D. Any one of these

Correct answer: A

Explanation

The correct answer is A, Fedwire transfers, as the statements specifically pertain to the procedures and reliance of Reserve Banks on payment order details within the Fedwire system. The other options, Interdistrict transfers and Intradistrict transfers, do not accurately capture the context of the statements regarding identifying banks in payment orders.