ACAMS Certified Know Your Customer Associate CKYCA Dumps in PDF

Free ACAMS CKYCA Real Questions (page: 2)

In which circumstance must a KYC analyst obtain source of wealth information on a client subject to CDD?

  1. Information on source of wealth for CDD clients must always be collected.
  2. The client is establishing a business relationship with a private company whose benefit surpasses 10 million USD.
  3. The client's senior manager is deemed to be an ultimate beneficial owner.
  4. The number of business relationships involving high-risk third countries or politically exposed persons increases.

Answer(s): D

Explanation:

FATF requires obtaining and verifying source of wealth information in higher-risk situations, such as when there is increased involvement with high-risk jurisdictions or Politically Exposed Persons (PEPs), as part of enhanced due diligence.



Customers opening accounts online identify their occupation from a drop-down list. A KYC analyst notices a high volume of applicants selecting "Accountant" because itis at the top of the list. The institution's KYC policy does not require evidence to verify occupation.

Which is the most appropriate action for the KYC analyst to take?

  1. Do not take further action because occupation verification is not required.
  2. Make a note in the KYC file to confirm if any unusual activity is identified.
  3. Cancel the applications in the system and instruct customers to read the entire list before selecting.
  4. Escalate to the KYC manager for guidance.

Answer(s): D

Explanation:

A sudden pattern in occupation selection can indicate inaccurate self-reporting or potential misuse of the onboarding process. Even if policy does not require occupation verification, such anomalies should be escalated to the KYC manager for review and potential policy or process adjustments.



Which situation would most likely increase the inherent risk of a corporate customer?

  1. A junior-level employee of the customer becomes politically exposed.
  2. The customer opens an additional cash management account.
  3. A beneficial owner of the customer goes public on a US stock exchange.
  4. The customer's business expands beyond its home country.

Answer(s): D

Explanation:

Expanding business operations beyond the home country increases inherent risk due to cross-border transactions, exposure to multiple jurisdictions, and potential dealings with regions of higher money laundering or terrorism financing risk.



A compliance officer in an international bank is reviewing new customer onboarding files. The relationship manager provides a whole set of customer documents, in addition to information from open source research.
What information should be used by the compliance officer as secondary documentation to verify the primary documentation?

  1. A phone bill, utility bill, or bank statement showing the name and address of the customer, issued less than 3 months ago
  2. Government-issued documents such as an identification card, passport, or driving license, issued more than 1 year ago
  3. Government-issued documents such as an identification card, passport, or driving license, issued less than 3 months ago
  4. A phone bill, utility bill, or bank statement showing the name and address of the customer, issued more than 1 year ago

Answer(s): A

Explanation:

Secondary documentation for verification purposes should be recent, reliable, and issued by a trusted source. Utility bills, phone bills, or bank statements issued within the last three months are commonly accepted to confirm address and identity details provided in primary documentation.



Sanctions screening is important before onboarding a customer, or when using the services of a financial institution, because it:

  1. helps identify customers that are politically exposed persons.
  2. always leads to a suspicious activity report.
  3. helps to identify a potential match to a sanctioned party or location.
  4. detects all possible sanctions risk exposure.

Answer(s): C

Explanation:

Sanctions screening is conducted to detect whether a customer or related party is on a sanctions list or linked to a sanctioned location, ensuring compliance with legal and regulatory requirements before establishing or continuing a business relationship.



Which is the best technique to effectively document a customer profile?

  1. Have the profile start with a picture of the customer followed by key numbers, such as expected turnover.
  2. Record customer information using abbreviations, explain adjectives, and provide a narrative to follow.
  3. Document customer information in a standardized way that is defined by the customer's jurisdiction
  4. Avoid adjectives and exaggerations, put the information into context, and be precise and unambiguous

Answer(s): D

Explanation:

Effective customer profile documentation should be clear, precise, and free from subjective language. Providing context and avoiding ambiguity ensures the information is reliable, verifiable, and usable for risk assessment and compliance purposes.



A KYC analyst is running an adverse media search on a prospective client's directors and learns that one of the directors has been accused of receiving bribery payments.
Which step should the KYC analyst take next?

  1. Refuse to establish a business relationship with the client.
  2. Escalate the matter to the compliance team.
  3. Ask the director for an explanation.
  4. Dismiss the finding as immaterial.

Answer(s): B

Explanation:

Allegations of bribery involving a director are a significant red flag for potential financial crime risk. The KYC analyst should escalate the finding to the compliance team for assessment and guidance before making any decision on the business relationship.



A bank's business team has developed a new strategy, which includes the introduction of prepaid cards as a new high-risk product offering. The compliance team has proposed to impose a monetary limit on each prepaid card and limit the offering to the existing customers of the bank only.
Which best describes the risk impact of the controls proposed by the compliance team?

  1. Inherent risk will increase
  2. Residual risk will decrease.
  3. Inherent risk will decrease.
  4. Residual risk will increase.

Answer(s): B

Explanation:

Inherent risk is the natural risk before controls are applied. The compliance team's measures (monetary limits and restricting to existing customers) reduce the exposure to misuse, thereby lowering the residual risk - the risk that remains after controls are implemented.



Share your comments for ACAMS CKYCA exam with other users:

B
Blessious Phiri
8/15/2023 3:19:00 PM

oracle 19c is complex db

S
Sreenivas
10/24/2023 12:59:00 AM

helpful for practice

L
Liz
9/11/2022 11:27:00 PM

support team is fast and deeply knowledgeable. i appreciate that a lot.

N
Namrata
7/15/2023 2:22:00 AM

helpful questions

L
lipsa
11/8/2023 12:54:00 PM

thanks for question

E
Eli
6/18/2023 11:27:00 PM

the software is provided for free so this is a big change. all other sites are charging for that. also that fucking examtopic site that says free is not free at all. you are hit with a pay-wall.

O
open2exam
10/29/2023 1:14:00 PM

i need exam questions nca 6.5 any help please ?

G
Gerald
9/11/2023 12:22:00 PM

just took the comptia cybersecurity analyst (cysa+) - wished id seeing this before my exam

R
ryo
9/10/2023 2:27:00 PM

very helpful

J
Jamshed
6/20/2023 4:32:00 AM

i need this exam

R
Roberto Capra
6/14/2023 12:04:00 PM

nice questions... are these questions the same of the exam?

S
Synt
5/23/2023 9:33:00 PM

need to view

V
Vey
5/27/2023 12:06:00 AM

highly appreciate for your sharing.

T
Tshepang
8/18/2023 4:41:00 AM

kindly share this dump. thank you

J
Jay
9/26/2023 8:00:00 AM

link plz for download

L
Leo
10/30/2023 1:11:00 PM

data quality oecd

B
Blessious Phiri
8/13/2023 9:35:00 AM

rman is one good recovery technology

D
DiligentSam
9/30/2023 10:26:00 AM

need it thx

V
Vani
8/10/2023 8:11:00 PM

good questions

F
Fares
9/11/2023 5:00:00 AM

good one nice revision

L
Lingaraj
10/26/2023 1:27:00 AM

i love this thank you i need

M
Muhammad Rawish Siddiqui
12/5/2023 12:38:00 PM

question # 142: data governance is not one of the deliverables in the document and content management context diagram.

A
al
6/7/2023 10:25:00 AM

most answers not correct here

B
Bano
1/19/2024 2:29:00 AM

what % of questions do we get in the real exam?

O
Oliviajames
10/25/2023 5:31:00 AM

i just want to tell you. i took my microsoft az-104 exam and passed it. your program was awesome. i especially liked your detailed questions and answers and practice tests that made me well-prepared for the exam. thanks to this website!!!

D
Divya
8/27/2023 12:31:00 PM

all the best

K
KY
1/1/2024 11:01:00 PM

very usefull document

A
Arun
9/20/2023 4:52:00 PM

nice and helpful questions

J
Joseph J
7/11/2023 2:53:00 PM

i found the questions helpful

M
Meg
10/12/2023 8:02:00 AM

q 105 . ans is d

N
Navaneeth S
7/14/2023 7:57:00 AM

i have interest to get a sybase iq dba certification

A
Aish
10/11/2023 5:27:00 AM

want to pass exm.

A
Anonymous
6/12/2023 7:23:00 AM

are the answers correct?

K
Kris
7/7/2023 9:43:00 AM

good morning, could you please upload this exam again, i need it to test my knowledge in sd-wan with version 7.0.

AI Tutor 👋 I’m here to help!