Quiz on Banker-Customer Relationship

What is the bank's right to charge for maintaining an account called?

• Right to Commission/Service Charges

• Right to Interest

• Right to Overdraft

• Right to Set-Off

Under what condition can a bank exercise the Right to Set-Off?

• The sum owed is uncertain

• The sum owed is certain and due

• The customer has declared bankruptcy

• There is an express agreement to the contrary

What does the duty of secrecy under the FSA 2013 entail?

• Disclosure for marketing purposes

• No disclosure of customer information without consent

• Disclosure only to bank employees

• Disclosure of customer information to third parties

What is the penalty for breaching the duty of secrecy under the FSA?

• Fine not exceeding RM5 million

• Community service

• Imprisonment for a term not exceeding 3 years

• Imprisonment for a term not exceeding 5 years or fine not exceeding RM10 million

In the case of Tournier v National Provincial and Union Bank, what was the main issue?

• Fraudulent transactions

• Defamation due to disclosure of customer information

• Breach of contract

• Overdraft issues

What is one circumstance under which a banker can disclose customer information?

• When the bank wants to promote services

• When compelled by law

• When the customer requests it

• When the customer is a trader

What is the implied duty of a banker regarding cheques?

• To inform customers of all transactions

• To honor all cheques regardless of funds

• To honor cheques only during business hours

• To honor cheques drawn in proper form with sufficient funds

What happens if a customer does not inform the bank about a forgery?

• The bank is liable for the loss

• The customer is liable for the loss

• The bank must refund the customer

• The customer can sue the bank

What is the effect of a notice of death on a bank account?

• The account remains active

• The account is frozen until an executor is appointed

• The account can be accessed by any family member

• The account is closed immediately

What is the bank's duty regarding the collection of cheques?

• To collect cheques and verify the information, especially the signature of the drawer

• To collect cheques only during banking hours

• To collect cheques and hold them in trust for the customer

• To collect cheques without any verification