[Bad Check] Alana, a Bank Teller, Saw That Customer Liam

question 14

Multiple Choice

[Bad Check] Alana, a bank teller, saw that customer Liam did not have sufficient funds in his account to cover a check presented for payment. Alana was new and was confused about what to do with the check. She asked the bank manager, Pedro, about any available options. Pedro told her that the bank was required by law to dishonor the check, the check should be returned to the holder with a notation that it had been dishonored, and that it could not be presented again. Alana asked Pedro if there were any policies the bank could institute to provide customers with overdraft protection, and Pedro answered that those were prohibited by law.
-Which of the following is true regarding what a bank may do to offer overdraft protection to customers?

• A) In regard to overdraft protection a bank may (1) credit a customer's checking account although federal law prohibits charging for this service, (2) link a checking account to the customer's savings account to cover the overdraft, and (3) link a checking account to the customer's credit card to cover the overdraft.
• B) In regard to overdraft protection a bank may (1) credit a customer's checking account and charge for this service, (2) link a checking account to the customer's savings account to cover the overdraft, and (3) link a checking account to the customer's credit card to cover the overdraft.
• C) In regard to overdraft protection a bank has only two options (1) link a checking account to the customer's savings account to cover the overdraft, and (2) link a checking account to the customer's credit card to cover the overdraft.
• D) Under federal law, the only option open to a bank in the event of a customer's overdraft is to credit the customer's account although no charge may be made for the service.
• E) Under federal law, the only option open to a bank in the event of a customer's overdraft is to credit the customer's account, and a charge may be made for the service.

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Definitions:

Parietal Lobe

A region of the cerebral cortex that plays a key role in processing sensory information from various parts of the body, particularly regarding touch and spatial orientation.

Spatial Location Skill

The ability to recognize, remember, and manipulate the position of objects in space.

Cerebral Cortex

The outer layer of the cerebrum in the mammalian brain, involved in higher brain functions such as thought, memory, and decision-making.

Frontal Lobe

The part of the brain located at the front of each cerebral hemisphere, responsible for decision making, problem solving, and controlling behavior.