Banking Digital Banking 4

Question 1

A customer receives a text message claiming their account is frozen and asking them to call a number to verify their information. This type of SMS-based scam is called:

Accepted Answer

Smishing

Answer

Smishing is a phishing attack conducted via SMS text messages, tricking recipients into revealing personal or financial information.

Question 2

Which of the following is a key advantage of real-time payment networks (such as RTP or FedNow) over traditional ACH transfers?

Accepted Answer

Funds are available to the recipient within seconds, 24/7/365

Answer

Real-time payment networks settle transactions instantly and operate around the clock, unlike ACH which typically takes 1–3 business days.

Question 3

What does 'tokenization' mean in the context of digital payment security?

Accepted Answer

Replacing sensitive payment card data with a non-sensitive placeholder value

Answer

Tokenization replaces a card's actual account number with a randomly generated token, so merchants never handle the real card data, reducing fraud risk.

Question 4

Under the Electronic Fund Transfer Act (EFTA), if a customer reports an unauthorized debit card transaction within 2 business days, their maximum liability is:

Accepted Answer

$50

Answer

EFTA limits consumer liability to $50 if an unauthorized electronic funds transfer is reported within 2 business days of discovering the loss.

Question 5

A bank's mobile app crashes for thousands of users during peak hours because its servers cannot handle the load. This is an example of a failure in:

Accepted Answer

Scalability and infrastructure resilience

Answer

Scalability refers to a system's ability to handle increased load; infrastructure resilience ensures services remain available during high-demand periods.

Banking Practice Test

Banking Practice Test

Banking Digital Banking 4