American Bankers Association CRCM Exam - Topic 10 Question 66 Discussion

Actual exam question for American Bankers Association's CRCM exam

Question #: 66
Topic #: 10

[All CRCM Questions]

Below mentioned list shows the significant risks of _______________.

Borrowers with cash-flow difficulties

Borrowers with no lower-cost credit alternatives

Minimal analysis of borrower's ability to repay the loan

Minimal review of borrower's credit history

Credit is usually unsecured

APayday lending

BLoan flipping

CEquity stripping

DNone of these

Show Suggested Answer

Suggested Answer: B

by Lemuel at Mar 01, 2023, 04:23 AM

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Lynda

8 months ago

Not sure, could also apply to other types of loans.

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Asha

8 months ago

Definitely fits the payday lending profile.

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Vivienne

9 months ago

Wait, unsecured credit? That’s a bit risky, right?

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Filiberto

9 months ago

Totally agree, these are major red flags!

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Jordan

9 months ago

Sounds like classic payday lending risks.

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Laurel

9 months ago

None of these options seem to match perfectly, but I feel like payday lending is the closest based on the borrower risks mentioned.

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Farrah

9 months ago

I'm leaning towards equity stripping because of the unsecured credit part, but I can't recall all the details.

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Jaime

9 months ago

I remember practicing a question about loan flipping, but it didn't mention cash-flow difficulties like this one does.

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Eric

9 months ago

I think this might be about payday lending, but I'm not entirely sure. The risks listed seem to fit that type of loan.

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Josephine

9 months ago

VMware Cloud on AWS Outpost and VMware Cloud on Dell EMC both seem like they could meet the needs here. I'll need to research the differences between them.

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Vanda

9 months ago

I'm pretty sure administrators use a look-up field when creating a junction object, but I'll double-check the details in my notes just to be sure.

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Leonie

10 months ago

Hmm, I'm a bit unsure about this one. I know HTTP is used on the web, but I'm not sure if it's specifically for displaying HTML pages or something else. I'll have to think this through carefully.

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Timothy

1 year ago

I'm going with A) Payday lending. The risk factors are a dead giveaway. It's like taking financial advice from a Magic 8 Ball.

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Carrol

1 year ago

User 4: Yeah, it's better to explore other lower-cost credit alternatives.

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Desiree

1 year ago

User 3: I think it's important to be cautious with these types of loans.

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Rolland

1 year ago

User 2: Definitely, the risks listed match up with payday lending.

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Ceola

1 year ago

User 1: I agree, A) Payday lending seems like a risky option.

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Lashunda

1 year ago

A) Payday lending, no doubt. Those loans are a recipe for financial disaster. You might as well light your money on fire.

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Serina

1 year ago

C) Equity stripping is another risky practice. It can leave borrowers with nothing.

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Leoma

1 year ago

B) Loan flipping can also be dangerous. It's like digging a deeper hole.

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Jody

1 year ago

A) Payday lending is definitely risky. It can trap people in a cycle of debt.

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Loreen

1 year ago

Definitely A) Payday lending. The risks described are spot-on for that type of predatory lending. It's like a car crash waiting to happen!

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Zachary

1 year ago

C) Equity stripping is no walk in the park either.

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Tiara

1 year ago

B) Loan flipping can also be pretty dangerous.

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Bronwyn

1 year ago

A) Payday lending is a risky business for sure.

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Domitila

1 year ago

Hmm, I'm not sure. The options seem a bit tricky. I might have to go with D) None of these just to be safe.

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Shawn

1 year ago

I think the answer is A) Payday lending. All the risks mentioned are classic characteristics of payday loans.

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Tamra

1 year ago

It's true that minimal analysis of borrower's ability to repay the loan is a common issue with payday lending.

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Zack

1 year ago

Borrowers with no lower-cost credit alternatives are often the ones who turn to payday loans.

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Jesus

1 year ago

Yes, you're right. Payday lending is known for targeting borrowers with cash-flow difficulties.

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Josefa

1 year ago

A) Payday lending

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Ivette

1 year ago

The risks align more with payday lending, so it's not none of these.

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Marguerita

1 year ago

D) None of these

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Mila

1 year ago

Definitely not, the risks listed are more related to payday lending.

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Chaya

1 year ago

C) Equity stripping

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Lawana

1 year ago

B) Loan flipping

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Xuan

1 year ago

No, that doesn't match the risks mentioned.

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Talia

1 year ago

B) Loan flipping

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Hobert

1 year ago

Yes, you're right. Payday lending is known for these risks.

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Trinidad

1 year ago

Yes, you're right. Payday lending is known for these risks.

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Maile

1 year ago

A) Payday lending

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Dylan

1 year ago

A) Payday lending

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Celeste

1 year ago

I believe the risks also include minimal analysis of borrower's ability to repay the loan.

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Rana

1 year ago

I agree, borrowers with cash-flow difficulties are at risk with payday lending.

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Jolene

1 year ago

I think the significant risks are related to payday lending.

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