APRP Emerging Payment Risks 3

Question 1

Which type of attack specifically targets the enrollment phase of biometric authentication in mobile payment apps?

Accepted Answer

Presentation attack using a spoofed fingerprint or face mask

Answer

Presentation attacks at enrollment inject fake biometric samples (spoofed fingerprints, 3D-printed faces) to register an attacker's biometric as the legitimate user's credential.

Question 2

What distinguishes a 'push payment fraud' from traditional card fraud in terms of recovery options?

Accepted Answer

Push payments have no chargeback mechanism, making recovery largely dependent on voluntary bank cooperation

Answer

Push payments (like Zelle or wire transfers) are authorized by the consumer, so no card network chargeback right exists; recovery depends on receiving bank cooperation or litigation.

Question 3

In the context of tokenization for digital wallets, what risk does 'token requestor compromise' represent?

Accepted Answer

A compromised token requestor can request and stockpile tokens tied to real PANs for later fraud

Answer

If a token requestor (e.g., a digital wallet provider) is compromised, attackers can generate large numbers of payment tokens linked to real account numbers and use them for fraudulent transactions.

Question 4

A BNPL provider offers instant credit without a hard credit check. Which risk does this practice most directly increase for the payment ecosystem?

Accepted Answer

Systemic counterparty credit risk when BNPL providers extend beyond their capital base

Answer

BNPL providers extending credit without robust credit checks build portfolios of potentially high-risk borrowers, and if losses exceed capital, their inability to honor merchant settlements creates systemic risk.

Question 5

Which characteristic of real-time payment systems (e.g., RTP, FedNow) makes fraud prevention fundamentally harder than in batch ACH processing?

Accepted Answer

The irrevocability and speed leave no window for pre-settlement fraud intervention

Answer

Real-time payments settle in seconds and are typically irrevocable, eliminating the hours-long batch window where traditional fraud controls could flag and recall suspicious ACH transactions.

APRP - Accredited Payments Risk Professional Practice Test

APRP - Accredited Payments Risk Professional Practice Test

APRP Emerging Payment Risks 3