CCM CCM Payment Systems & Technology

Question 1

Which payment rail is used for large-value, time-critical domestic US payments?

Accepted Answer

Fedwire

Answer

Fedwire is the Federal Reserve's real-time gross settlement (RTGS) system used for large-value, time-critical domestic US dollar payments.

Question 2

ACH (Automated Clearing House) transfers are best suited for:

Accepted Answer

High-volume, low-value batch payments such as payroll

Answer

ACH is designed for high-volume, low-value batch transactions — payroll, direct deposits, and recurring vendor payments — processed in scheduled settlement windows.

Question 3

Same Day ACH is primarily designed to:

Accepted Answer

Enable faster settlement of ACH transactions within the same business day

Answer

Same Day ACH allows eligible ACH transactions to settle within the same business day, reducing the standard 1–2 business day settlement lag.

Question 4

SWIFT messaging is primarily used for:

Accepted Answer

International bank-to-bank financial messaging

Answer

SWIFT (Society for Worldwide Interbank Financial Telecommunication) provides a secure, standardized messaging network for international bank-to-bank payment instructions and financial communications.

Question 5

Which payment method offers the highest level of payment finality and irrevocability?

Accepted Answer

Wire transfer via Fedwire

Answer

Fedwire wire transfers provide immediate and irrevocable payment finality upon settlement, unlike ACH or checks which can be reversed or returned.

(CCM) Certified Cash Manager Practice Test

(CCM) Certified Cash Manager Practice Test

CCM CCM Payment Systems & Technology