CFE – Law — Question 64

Which of the following statements concerning alternative remittance systems is INCORRECT?

Answer options

• A. Alternative remittance systems are not necessarily illegal.
• B. Funds are sent and received without the use of traditional financial institutions.
• C. The ledgers used typically contain information regarding payers and payees, such as names and account numbers.
• D. Alternative remittance systems do not require a physical or digital transfer of currency between payers and payees.

Correct answer: C

Explanation

Option C is correct because alternative remittance systems often do not maintain detailed ledgers that include personal information like names and account numbers. In contrast, options A and B are true statements about the nature of these systems, and option D is also incorrect since many alternative remittance systems involve some form of currency transfer, either physical or digital.