Bank Code Bank Code Errors 2

Question 1

A wire transfer was sent to the wrong account due to a routing number error. What should the sender do first?

Accepted Answer

Contact their bank immediately to initiate a wire recall

Answer

The sender should immediately contact their bank to initiate a wire recall, as speed is critical — the sooner you act, the better the chance of recovery.

Question 2

What does it mean when a check is returned with the notation 'Refer to Maker'?

Accepted Answer

The bank cannot process the check and is referring the issue back to the check writer

Answer

Refer to Maker means the bank cannot honor the check for an unspecified reason and is directing the payee to contact the person who wrote the check.

Question 3

If you accidentally provide your savings account routing number instead of your checking account routing number for direct deposit, what typically happens?

Accepted Answer

The deposit goes to the savings account instead of checking

Answer

If you provide a savings account's routing and account number instead of checking, the deposit is directed to the savings account, which may cause issues if it's a money market or restricted account.

Question 4

What error occurs when a routing number passes the check digit validation but still fails to identify a valid bank?

Accepted Answer

A routing validation error at the Federal Reserve

Answer

A routing number can pass the mathematical check digit test but still fail if the number has not been assigned to any bank — this triggers a routing validation error at the Federal Reserve level.

Question 5

What is a 'nostro account' discrepancy in the context of international bank code errors?

Accepted Answer

A mismatch between what two banks each record as the balance in their shared correspondent account

Answer

A nostro account discrepancy occurs when two correspondent banks disagree on the balance recorded in their shared interbank account, often due to coding or timing errors.

Bank Code Practice Test

Bank Code Practice Test

Bank Code Bank Code Errors 2