Fraud Prevention Flashcards
7 cards from real NAB practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Fraud Prevention flashcards as text
A customer reports that their PayID was used to receive funds they weren't expecting. What should NAB do as an immediate first step?
Answer: Investigate the transaction and place a hold on the unexpected funds while notifying the relevant parties
NAB should place a precautionary hold on unrecognised funds and investigate to determine if the customer is a fraud victim or an unwitting mule, notifying relevant parties.
What is 'authorised push payment' (APP) fraud?
Answer: Fraud where a victim is manipulated into voluntarily transferring money to a fraudster's account
APP fraud occurs when victims are deceived into willingly transferring money directly to fraudsters, often through elaborate scams involving romance, investment, or impersonation.
What does NAB's 'Fraud Money Back Guarantee' generally cover?
Answer: Unauthorised transactions where the customer did not participate in or authorise the fraud
NAB's Fraud Money Back Guarantee covers genuinely unauthorised transactions where the customer was not complicit and reported the fraud promptly.
Which of the following is a key indicator of a romance scam in online banking?
Answer: A customer suddenly begins making frequent large overseas transfers to someone they have never met in person
Romance scams commonly involve victims making repeated transfers to people met online who create false identities and relationships to extract money.
Under NAB's Know Your Customer (KYC) obligations, why is verifying a customer's identity important for fraud prevention?
Answer: It ensures fraudsters cannot easily open accounts using stolen or synthetic identities to launder funds
KYC checks make it harder for criminals to use fake or stolen identities to open accounts for fraudulent purposes such as money laundering or receiving stolen funds.
What is 'card skimming'?
Answer: A physical device attached to ATMs or payment terminals to steal card data during legitimate transactions
Skimming devices are covertly attached to ATMs or EFTPOS terminals to capture magnetic stripe data from cards swiped through them.
NAB identifies an unusual pattern: a new account receives large deposits from multiple sources and immediately wires them offshore. What typology does this most closely match?
Answer: Structuring / layering in money laundering
Rapidly receiving funds from multiple sources and immediately moving them offshore is classic layering — a stage of money laundering designed to obscure the funds' origin.