Swift Risk Assessment & Management 2

Question 1

Which SWIFT service allows banks to confirm whether a beneficiary account is active and matches the expected name before sending a payment?

Accepted Answer

Pre-validation

Answer

Pre-validation lets sending banks verify account details before initiating a payment, reducing failed transactions and fraud risk.

Question 2

Under the SWIFT Customer Security Programme (CSP), what happens if a member institution fails its mandatory attestation?

Accepted Answer

Supervisory reporting and possible access restrictions

Answer

Non-attesting institutions face supervisory notification and may have access controls applied, though not automatic disconnection.

Question 3

A bank receives an MT 199 free-format message requesting an urgent wire. Which risk is most prominent in this scenario?

Accepted Answer

Social engineering / BEC fraud

Answer

Free-format messages are commonly exploited in business email compromise and social engineering schemes to initiate unauthorized transfers.

Question 4

What is the primary purpose of SWIFT's Mandatory Customer Security Controls (MCSCs)?

Accepted Answer

Establish a baseline of cybersecurity controls all users must implement

Answer

MCSCs define the minimum cybersecurity baseline every SWIFT user must implement and attest to annually under the CSP.

Question 5

Which risk category best describes the exposure a bank faces when a correspondent bank in a foreign country fails due to sovereign default?

Accepted Answer

Country/sovereign risk

Answer

Country or sovereign risk arises when a foreign government's actions or default impair the ability of counterparties in that jurisdiction to fulfill obligations.

Swift Practice Test

Swift Practice Test

Swift Risk Assessment & Management 2