CAMS Exam AML Compliance & Concepts

1. Which regulation established the primary AML framework for U.S. financial institutions?

Dodd-Frank Act

Bank Secrecy Act (BSA)

Gramm-Leach-Bliley Act

Truth in Lending Act

2. Continuous monitoring of customer accounts is a requirement under AML/CFT regulations.

True

False

3. Which is a key component of an effective AML compliance program?

Independent audit and testing

Designated compliance officer

Customer transaction monitoring

All of the above

4. The OMB (Office of Management and Budget) sets AML compliance standards.

True

False

5. Which scenario best illustrates 'layering' in money laundering?

Depositing cash into a bank account

Moving funds through multiple accounts and jurisdictions to obscure origin

Using illicit funds to purchase real estate

Converting currency to another denomination

6. What is the primary objective of AML compliance programs?

To eliminate all banking transactions

To detect, prevent, and report suspicious financial activity

To reduce customer accounts

To maximize bank profits

7. Which of the following is a red flag for potential money laundering?

Regular deposits matching income

Structured deposits just below reporting thresholds

Consistent transaction patterns

Documented source of funds

8. What is the primary purpose of Customer Risk Assessment in AML compliance?

To increase transaction fees

To identify and mitigate money laundering risks

To reduce customer service quality

To expedite all transactions

9. Enhanced Due Diligence (EDD) is required for which type of customer?

Low-risk retail customers

Politically Exposed Persons (PEPs)

Small business accounts only

New accounts under $10,000

Submit

11. What does AML stand for in banking and financial compliance?

Anti-Money Laundering

Asset Management & Liquidity

Automated Machine Learning

Account Maintenance List

12. What does CTR stand for in banking compliance?

Currency Transaction Report

Customer Trust Rating

Compliance Tracking Register

Central Transfer Request

Submit

14. Which organization issues CAMS certification?

Federal Reserve

AAMLA (Association of Anti-Money Laundering Professionals)

FATF (Financial Action Task Force)

SEC (Securities and Exchange Commission)

15. A Suspicious Activity Report (SAR) must be filed within how many days of detection?

10 days

20 days

30 days

60 days

16. Which of the following is NOT a pillar of the three-pillar Basel framework?

Minimum capital requirements

Supervisory review process

Market discipline

Customer satisfaction metrics

17. Which regulation requires beneficial ownership disclosure for legal entities?

BSA/AML rules

Beneficial Ownership Rule (BO Rule)

Fair Lending Act

Know Your Customer Act

Submit

Certified AML Specialist CAMS Exam Concepts Quiz

1. Which regulation established the primary AML framework for U.S. financial institutions?

2.

What first name or nickname would you like us to use?

2. Continuous monitoring of customer accounts is a requirement under AML/CFT regulations.

3. Which is a key component of an effective AML compliance program?

4. The OMB (Office of Management and Budget) sets AML compliance standards.

5. Which scenario best illustrates 'layering' in money laundering?

6. What is the primary objective of AML compliance programs?

7. Which of the following is a red flag for potential money laundering?

8. What is the primary purpose of Customer Risk Assessment in AML compliance?

9. Enhanced Due Diligence (EDD) is required for which type of customer?

10. KYC stands for Know Your ____.

11. What does AML stand for in banking and financial compliance?

12. What does CTR stand for in banking compliance?

13. FATF stands for Financial Action Task ____.

14. Which organization issues CAMS certification?

15. A Suspicious Activity Report (SAR) must be filed within how many days of detection?

16. Which of the following is NOT a pillar of the three-pillar Basel framework?

17. Which regulation requires beneficial ownership disclosure for legal entities?

18. The three stages of money laundering are placement, layering, and ____.

19. A Politically Exposed Person (PEP) is someone who holds or has held a ____ or prominent public position.

20. A Currency Transaction Report (CTR) is filed for cash transactions exceeding ____.