Payments 4.x – Final Assessment Questions & Answers by increasing T-factor Rating / iEvolve points….
The following are the multiple choices Payments 4.x – Final Assessment Questions & Answers – increasing T-factor Rating / iEvolve points.
Payments 4.x – Final Assessment to increase T-factor Rating / iEvolve points
What was the primary factor that drove retailers to upgrade their point-of-sale hardware ?
- The adoption of Near Field Communication (NFC) technology
- The associated increase in security
- The introduction of contactless point-of-sale terminals
- The adoption of EMV chip technology
What type of transactions is 3-D Secure 2.0 designed to protect ?
- Cash transactions
- On-site transactions
- Card-not-present (CNP) transactions
- ATM transactions
Which type of payment is associated with digital wallets and mobile payments ?
- E-money
- Credit card
- Check
- Cash
What is the most significant effect of advancements in biometric technology on consumer perceptions of payment processing security issues ?
- Consumers perceive payment processing as more secure overall.
- E-commerce, in-app, mobile wallet, and MOTO payment methods are no longer supported.
- Biometric screening technologies are seen as more user-friendly and secure than other identity verification techniques.
- Consumers are less likely to use biometric technology for payment processing.
What is causing the acceleration of digital payments adoption by customers ?
- The rising popularity of direct debits
- The COVID-19 pandemic
- A decrease in the number of physical retail locations.
- A lack of trust in traditional banks.
What is Digital ID used for in the wired world of 2022 ?
- To protect against online scams
- To ensure a frictionless customer experience
- To remote identification and authentication
- To provide access to digital content
How do Peer-to-Peer (P2P) apps like Venmo and Cash App allow two parties to complete a transaction ?
- Almost instantly without the need for account information
- With a physical credit card for in-person transactions
- By entering numbers when making purchases online
- They do not require any information
What is FedNow ?
- A government- to-citizen (G2C) transaction technology.
- A peer- to-peer (P2P) transaction technology.
- A real-time payment and settlement service for individuals and businesses.
- A B2B transaction technology.
What is the RTP network introduced by The Clearing House in 2017 ?
- An immediate fund disbursement and settlement system.
- A platform for banks and other financial institutions which enables them to develop and offer cutting-edge goods and services.
- A way for federally insured depository institutions to clear and settle payments in real time.
- A way to enhance the speed of conventional ACH payments.
What has become more sophisticated due to the popularity of contactless payments ?
- Payment software
- Unattended retail terminals
- EMV technology
- Large retailers
What are the payment types that can be made using the Federal Reserve Bank’s new FedNow real-time payment and settlement service ?
- Cash payments
- B2B, B2C, C2B, P2P, G2C, and A2A
- Check payments
- Credit card payments
What is the RTP network used for ?
- Developing and offering goods and services to clients.
- Enhancing the speed of conventional payments.
- Clearing and settling payments in real time.
- Allowing federally insured depository institutions to access the network.
What is a major reason for the increasing acceptance of contactless payments ?
- Increased health risks at the checkout
- Speed and convenience
- Increase in global pandemic
- To avoid physical contact
What happens to the interchange charge after it is deducted ?
- The interchange charge is forwarded by the acquiring bank to the cardholder’s issuing bank.
- The funds are transferred to the cardholder’s issuing bank.
- The interchange charge is transmitted to the credit card network for settlement.
- The funds are transmitted from the issuing bank to the merchant’s acquiring bank.
Why do customers prefer the pairing of big tech and banking ?
- It offers better interest rates for customers.
- It helps them save time and money while giving them a sense of control over their finances.
- It provides higher security for financial transactions.
- It makes the process of making payments simpler.
What information is required when making a peer-to-peer transaction ?
- Credit card information
- Account numbers
- A name, email address, or phone number.
- Payment processor details
What needs to be done to provide a frictionless customer experience in the Payments 4.X era ?
- Increase the processing time of payments.
- Add more steps to the authentication process.
- Implement stricter ID requirements
- Overhaul the authentication process
The interchange fee is taken out before the funds are transmitted to the merchant’s acquiring bank ?
- The interchange fee is taken out from the acquiring bank
- The interchange fee is not applicable in this situation
- Yes
- No, the interchange fee is taken out afterwards
Which payments instrument mix is becoming more popular among customers ?
- Instant and e-money payments
- Cash, checks, direct debits, and credit transfers
- Traditional credit cards
- None of the above
Which of the following can be used to make payments for purchases ?
- Smart speakers
- Wristbands
- Smartwatches
- Smartphones
What is capture in the context of the agreement process ?
- A Process by which the payment processor sends information to the acquiring bank.
- The process by which customers pay for goods and services they have purchased.
- The process by which the merchant starts the transfer of money to their account.
What is 3-D Secure 2.0 ?
- An encryption method for digital payments.
- An authentication process for online purchases.
- A security protocol that adds an extra layer of security to card-not-present (CNP) transactions.
- A system that verifies customer’s identity.
What technology are almost all POS terminals using today ?
- Sophisticated software
- Unattended retail terminals
- EMV technology
- Contactless payments
What is the impact of mergers and acquisitions on the payments sector ?
- It limits payment options.
- It reduces the impact of payment technology businesses.
- It contributes to the continued evolution of the payments sector.
- None of the above
What happens if the credit card transaction is approved by the issuing bank ?
- The payment processor sends approval to the buying bank.
- The credit card network forwards the transaction to the cardholder’s bank for approval.
- The merchant’s terminal prints a receipt for the customer to sign.
- The issuing bank assigns an authorization code and holds the funds.
Who sends the approval to the merchant’s payment processor after the transaction has been approved by the issuing bank ?
- The merchant’s terminal
- The buying bank
- The cardholder’s bank
- The credit card network
What is the process called when the cardholder’s bank approves or denies a transaction based on the availability of funds and the status of the cardholder’s account ?
- Authentication
- Authorization
- Validation
- Verification
What is driving the development of payment propositions that are specifically tailored to customers ?
- A lack of interest in traditional payment options.
- The increasing influence of banks.
- Government regulations
- The rising propensity of retail customers to share their data with non-banks.
With what type of organizations are payment technology businesses combining to adapt to the newest client and merchant demands ?
- Existing banking institutions
- Healthcare institutions
- Non-profit organizations
- Educational institutions
Which of the following is true about fintech ?
- Accessibility of fintech is currently unavailable.
- Fintech has attained mass adoption.
- Apple, Amazon, and other tech giants are unable to meet demand.
- Traditional financial institutions are better able to meet demand than tech giants.
The above multiple choices is only for Payments 4.x – Final Assessment Questions & Answers – increasing T-factor Rating / iEvolve points