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Exam CRCM topic 1 question 165 discussion

Actual exam question from ABA's CRCM
Question #: 165
Topic #: 1
[All CRCM Questions]

One of the check collection requirements is sending items to Reserve Banks. In this requirement:

  • A. A sender other than a Reserve Bank may send any item to the Reserve Bank with which it maintains an account
  • B. The following parties are deemed to have handled items, in this order: "¢ The initial sender "¢ The initial sender's administrative Reserve Bank "¢ The Reserve Bank that receives the item from the initial sender "¢ Any other Reserve Bank that receives the item from a Reserve Bank
  • C. Reserve Banks must receive cash items and other items (checks) at par
  • D. A foreign bank that maintains reserves under the International Banking Act of 1978
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Suggested Answer: ABC 🗳️

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Dex24
6 months, 2 weeks ago
Per page 612 of the online book version, A should state, "A sender’s Administrative Reserve Bank may direct a sender other than a Reserve Bank to send any item to a specified Reserve Bank, whether or not the item is payable within that Reserve Bank’s district". As such, I don't think A is correct. However, B and C are.
upvoted 1 times
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Cam22
8 months, 3 weeks ago
Horrible. fix this question
upvoted 1 times
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