CRCM flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

APY rounding under Regulation DD

Truth in Savings requires the annual percentage yield to be calculated and disclosed to two decimal places using the Part 1030 Appendix A formula, with a 0.05% accuracy tolerance.

Regulation DD adverse change notice

Regulation DD requires 30 calendar days' advance written notice before an adverse change in account terms, such as a fee increase or a new minimum balance, takes effect.

Regulation E error resolution

For consumer electronic fund transfers, the institution must investigate and report within 10 business days, or provisionally credit within 10 business days and finish the investigation within 45 days.

Regulation E liability tiers

Consumer liability is capped at $50 when loss or theft is reported within 2 business days, $500 within 60 days of the statement, and is unlimited after that.

Overdraft opt-in under Regulation E

Institutions may not charge overdraft fees on ATM or one-time debit card transactions unless the consumer affirmatively opts in in writing, and the consent is revocable.

FDIC deposit insurance limit

Deposit insurance covers $250,000 per depositor, per insured bank, per ownership category, and the limit is not increased by dividing funds within the same category.

Regulation CC next-day availability

Cash, wire transfers, cashier's, certified, teller's and certain government checks must be available by the next business day for the first indexed increment deposited, currently $5,525.

APR accuracy tolerance

Under Regulation Z, a disclosed annual percentage rate must be accurate within one-eighth of one percentage point for regular transactions and one-quarter for irregular transactions.

TRID Loan Estimate timing

The Loan Estimate must be delivered or mailed within three business days of receiving the application and received by the consumer at least seven business days before consummation.

Closing Disclosure delivery timing

Consumers must receive the Closing Disclosure at least three business days before consummation, and a revised Loan Estimate must be received four business days before consummation.

Right of rescission period

Three business days for a refinance or home equity loan secured by the principal dwelling, giving the consumer an unconditional right to cancel the credit transaction.

ECOA adverse action timing

Creditors must notify applicants of action taken within 30 days of a completed application, stating specific reasons for denial or the right to request them.

HMDA closed-end reporting threshold

Institutions must report closed-end mortgage data if they originated at least 25 covered closed-end loans in each of the two preceding calendar years.

HOEPA points and fees trigger

A mortgage is high-cost when points and fees exceed 5 percent of the total loan amount for loans of $20,000 or more, or the adjusted figure for smaller loans.

Regulation Z trigger terms

If an advertisement states an APR, payment amount, down payment, finance charge, or number of payments, it must also clearly disclose the APR and repayment terms.

Truth in Savings advertising rules

Advertisements stating an APY must disclose the minimum balance to obtain it, the period the rate applies, and conditions such as fees or transaction limits.

FINRA Rule 2210 retail communications

Retail communications must be fair and balanced, not misleading, and approved by a registered principal, with certain filings due within 10 business days of first use.

TCPA marketing consent

Prior express written consent is required before autodialed or prerecorded telemarketing calls or texts to wireless numbers, and calls are limited to 8 a.m. to 9 p.m. local time.

Prescreened solicitation requirements

Under the Fair Credit Reporting Act, prescreened offers must be a firm offer of credit and include a clear, conspicuous notice letting consumers opt out of future lists.

FDIC advertising requirement

Deposit advertisements must state 'Member FDIC,' and non-deposit products must disclose they are not insured, not guaranteed, and may lose value.

Regulation P affiliate marketing opt-out

Before an affiliate may use eligibility information about a consumer to market products, the institution must provide a clear and conspicuous opt-out opportunity.

Regulation 9 fiduciary separation

National bank fiduciary funds must be kept separate from the bank's own assets, with separate fiduciary records and an annual audit of fiduciary activities.

Prudent Investor Rule

Fiduciaries must invest as a prudent investor would, diversifying unless reasonably justified not to, and judging risk and return at the level of the whole portfolio.

Volcker Rule proprietary trading ban

Banking entities may not engage in short-term proprietary trading and must limit covered-fund investments, subject to exemptions such as underwriting, market making, and government obligations.

SEC Regulation Best Interest

Broker-dealers recommending securities to retail customers must act in the customer's best interest under disclosure, care, conflict-of-interest, and compliance obligations.

Regulation W affiliate transaction limits

Covered transactions with a single affiliate are capped at 10 percent of capital and 20 percent in aggregate, and must be on arm's-length terms.

Bank insurance sales disclosure

Insurance and annuity sales in banks must disclose the product is not a deposit, not FDIC-insured, not bank-guaranteed, and may lose value.

BSA program five pillars

Internal controls, a designated BSA officer, ongoing training, independent testing, and risk-based customer due diligence form the required elements of an anti-money-laundering program.

SAR filing deadline

A suspicious activity report is due within 30 calendar days of initial detection, extendable to 60 days if no suspect is identified, with supporting records kept five years.

Beneficial ownership identification threshold

Customer due diligence rules require identifying each individual owning 25 percent or more of a legal entity customer, plus one individual who controls the entity.

OFAC strict liability reporting

Sanctions compliance carries strict liability; blocked property must be reported to OFAC within 10 business days and included in an annual report.

Regulation O insider lending

Extensions of credit to executive officers require prior board approval, are subject to the single-borrower lending limit, and count toward aggregate insider limits.