Certified Regulatory Compliance Manager (CRCM) — Question 53

OCC advisory on credit card practice-AL-2004-10 in credit card practices covers:

Answer options

• A. Finance and credit management practices that may be unfair or deceptive and expose a bank to compliance and reputation risk
• B. Marketing and account management practices that may be unfair or deceptive and expose a bank to compliance and reputation risk
• C. Marketing and account management practices
• D. Marketing and account management practices that may be fair and can't expose a bank to compliance and reputation risk

Correct answer: B

Explanation

The correct answer is B because the advisory specifically addresses marketing and account management practices that may be unfair or deceptive, which can lead to compliance and reputational risks for banks. Option A incorrectly focuses on finance and credit management, while C lacks the specific mention of unfair or deceptive practices. Option D contradicts the advisory's focus on potential risks by suggesting practices that cannot expose a bank to such risks.