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Exam CRCM topic 1 question 211 discussion

Actual exam question from ABA's CRCM
Question #: 211
Topic #: 1
[All CRCM Questions]

Consumers are not considered to be the customers if they do not have continuing relationship with the financial institution. A relationship is considered NOT to be a continuing relationship if:

  • A. The consumer obtains financial services only in isolated transactions, such as using an ATM
  • B. The consumer's loan is sold and servicing rights are retained
  • C. The consumer purchases airline tickets or travel insurance in an isolated transaction
  • D. The consumer is a beneficiary or grantor of a trust not administrated by the bank
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Suggested Answer: AC 🗳️

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Dex24
6 months, 1 week ago
A, page 1150.
upvoted 1 times
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Cam22
8 months, 3 weeks ago
Selected Answer: A
The correct answer is A. The consumer obtains financial services only in isolated transactions, such as using an ATM. This option describes a scenario where the interaction between the consumer and the financial institution does not establish a continuing relationship as defined under regulations like the Gramm-Leach-Bliley Act (GLBA), which focuses on customer relationships involving ongoing financial services or transactions. Isolated transactions do not create the kind of continuing relationship that would classify the consumer as a "customer" under the GLBA.
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