PACE Regulatory Compliance & Ethical Standards 2 — Questions and Answers
Question 1: Under the Telephone Consumer Protection Act (TCPA), what is required before sending automated text messages to consumers for marketing purposes?
- Verbal consent obtained during a prior call
- Prior express written consent from the recipient (Correct answer)
- A valid opt-out mechanism included in the message
- Registration with the FCC before the campaign begins
Correct answer: Prior express written consent from the recipient
The TCPA requires prior express written consent before sending automated marketing text messages to consumers.
Question 2: A contact center agent discovers a colleague is sharing customer account information with unauthorized third parties. What is the agent's ethical obligation?
- Confront the colleague directly and warn them to stop
- Report the behavior to a supervisor or compliance officer immediately (Correct answer)
- Document the incidents privately and wait to see if it continues
- Ignore it unless a customer specifically complains
Correct answer: Report the behavior to a supervisor or compliance officer immediately
Agents have an ethical and often legal obligation to report policy violations involving unauthorized data disclosure to management or compliance personnel.
Question 3: Which regulation specifically governs the privacy of health information held by covered entities and their business associates?
- GLBA
- FCRA
- HIPAA (Correct answer)
- PCI DSS
Correct answer: HIPAA
HIPAA (Health Insurance Portability and Accountability Act) establishes privacy and security standards for protected health information.
Question 4: When a customer requests to be added to a company's internal Do Not Call list, within how many days must the company honor that request under FTC rules?
- 5 business days
- 10 business days (Correct answer)
- 30 calendar days
- 60 calendar days
Correct answer: 10 business days
Under FTC telemarketing rules, companies must honor internal DNC requests within 10 business days of receiving them.
Question 5: Which ethical principle requires contact center agents to provide customers with accurate information even when the truth may result in losing a sale?
- Confidentiality
- Honesty and integrity (Correct answer)
- Customer autonomy
- Conflict avoidance
Correct answer: Honesty and integrity
Honesty and integrity require agents to prioritize truthful communication over short-term sales outcomes.
Question 6: A contact center collects credit card numbers over the phone. Under PCI DSS, what must happen to call recordings that capture the full card number?
- They must be encrypted and stored for 7 years
- The card number portion must be masked or the recording must not capture it (Correct answer)
- Recordings must be deleted within 24 hours of the transaction
- They may be stored only on-premise, never in the cloud
Correct answer: The card number portion must be masked or the recording must not capture it
PCI DSS prohibits storing full card numbers in recordings; organizations must mask, pause, or avoid capturing that data.
Question 7: Which practice best demonstrates ethical workforce management in a contact center?
- Setting performance targets that require agents to exceed standard call metrics by 50%
- Applying performance standards consistently across all agents regardless of seniority (Correct answer)
- Reserving schedule flexibility exclusively for top-performing agents
- Disclosing agent performance rankings publicly to motivate improvement
Correct answer: Applying performance standards consistently across all agents regardless of seniority
Ethical workforce management requires consistent, fair application of performance standards to all employees.
PACE Regulatory Compliance & Ethical Standards 2
Under the Telephone Consumer Protection Act (TCPA), what is required before sending automated text messages to consumers for marketing purposes?