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Exam CRCM topic 1 question 285 discussion

Actual exam question from ABA's CRCM
Question #: 285
Topic #: 1
[All CRCM Questions]

For which of the following business activities must a bank holding company obtain prior approval of the Federal Reserve Board?

  • A. Operating an auto club service
  • B. Serving as a safe deposit company
  • C. Operating as a management consulting firm for financial institutions
  • D. Selling installment loan data processing
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Suggested Answer: A 🗳️

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Cam22
4 months ago
Selected Answer: D
Bank holding companies must obtain prior approval from the Federal Reserve Board for engaging in certain business activities, particularly those that are considered nonbanking activities. Selling installment loan data processing is an example of a nonbanking activity that would require prior approval.
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