Question 1

Which dimensional actions are the most risky for the identity thief?

Accepted Answer

A)  Third dimensional actions
B)  Second dimensional actions
C)  First dimensional actions
D)  Fourth dimensional actionsE) A) and B)
F) A) and C)

Question 2

_____ is a hi-tech method by which thieves capture personal or account information from a credit card,driver's license,or even a passport.

Accepted Answer

A)  Product testing
B)  Skimming
C)  Spimming
D)  PhishingE) All of the above
F) B) and D)

Question 3

The Gramm-Leach-Bliley Act:

Accepted Answer

A)  gives financial institutions the right to share personal information for a profit.
B)  expressly prevents financial institutions from sharing personal information.
C)  allows financial institutions to share personal information,as long as it is not for a profit.
D)  prevents identity theft and protects confidentiality of customer information.E) A) and C)
F) C) and D)

Question 4

Which act gives individuals the right to opt-out of having their information sold?

Accepted Answer

A)  Identity Theft and Assumption Deterrence Act
B)  Family Education Rights and Privacy Act
C)  The Gramm-Leach-Bliley Act
D)  Fair Credit Reporting ActE) None of the above
F) C) and D)

Question 5

What is one of the biggest marketing campaigns of illegal MLMs?

Accepted Answer

A)  Promise of full-time work from home for huge weekly earnings.
B)  Absence of headhunter fees.
C)  A mysterious "benefactor" interested in contributing a large sum of money.
D)  Promise that investors will always make money from future downline growth.E) A) and B)
F) A) and C)

Question 6

A Nigerian money offer email scam is a form of _____.

Accepted Answer

A)  foreign advance-fee scam.
B)  purchase of real estate scam.
C)  clearing house scam.
D)  multilevel marketing scam.E) C) and D)
F) None of the above

Question 7

Which act makes it illegal for any agency that receives federal funding to disclose privacy information about individuals?

Accepted Answer

A)  Identity Theft and Assumption Deterrence Act
B)  Family Education Rights and Privacy Act of
C)  The Gramm-Leach-Bliley Act
D)  Fair Credit Reporting ActE) A) and B)
F) None of the above

Question 8

Which of the following observations is NOT true of foreign-advance fee scams?

Accepted Answer

A)  Perpetrators are well-known businesses and there is usually some urgency to participate.
B)  All messages come from an unknown party who claims to have access to large sums of money or assets.
C)  Perpetrators are always willing to transfer money or other assets to the victims,but only after money or information is extracted.
D)  Perpetrators claim to have access to large sums of money or assets.E) A) and D)
F) All of the above

Question 9

Which federal statute protects the privacy and confidentiality of patient information?

Accepted Answer

A)  Family Educational Rights and Privacy Act
B)  Identity Theft and Assumption Deterrence Act
C)  Gramm-Leach-Bliley Act
D)  Health Information Portability and Accountability ActE) A) and C)
F) C) and D)

Question 10

Identify the complaint database developed by the U.S.Federal Trade Commission.

Accepted Answer

A)  Consumer Watch
B)  Fraud Watchdog
C)  Consumer Sentinel
D)  Identity Theft AssistanceE) B) and C)
F) A) and B)

Question 11

Federal law limits consumers' credit card fraud liability to ______.

Accepted Answer

A)  $50
B)  $100
C)  $150
D)  $200E) B) and C)
F) None of the above

Question 12

What makes telemarketing fraud more effective than Internet or mail-based approaches?

Accepted Answer

A)  Reduced transaction costs.
B)  Opportunity to speak with a person directly.
C)  Increased size of the fraud.
D)  Absence of government regulations.E) None of the above
F) B) and C)

Question 13

Often,fraudsters contact potential identity theft victims and act as a representative of a business to verify previously gathered information.This is known as ________.

Accepted Answer

A)  trashing
B)  pretexting
C)  mail stuffing
D)  skimmingE) All of the above
F) B) and C)

Question 14

All of the following are symptoms of potential investment scams EXCEPT:

Accepted Answer

A)  pressures to get in early on the investment.
B)  a business with a history of bankruptcy or scandals.
C)  use of a special tax loophole or a tax avoidance scheme.
D)  promise of returns comparable to those of treasury bonds.E) None of the above
F) C) and D)

Question 15

A fraudulent process whereby even representatives of legitimate MLMs are required to buy large,expensive amounts of inventory is known as _________.

Accepted Answer

A)  forward pricing
B)  snake oil
C)  front loading
D)  opportunity meetingE) A) and D)
F) B) and C)

Question 16

Which of the following involves the use of Internet to steal important information?

Accepted Answer

A)  Shoulder surfing
B)  Phishing
C)  Skimming a credit card
D)  Dumpster divingE) C) and D)
F) B) and C)

Question 17

What is the most detrimental consequence of identity theft?

Accepted Answer

A)  The loss of physical assets.
B)  The loss of credit,reputation,and erroneous information.
C)  Time lost in reporting the fraud.
D)  The actual loss of money.E) A) and D)
F) C) and D)

Question 18

Snake oil plans are plans:

Accepted Answer

A)  that make their money by getting new people to buy property in exotic locations.
B)  that promise enormous earnings or claim to sell miracle products.
C)  that motivate the purchase of unusually overpriced goods or services.
D)  that make people believe that they will make money simply because they are one of the earliest investors.E) B) and D)
F) B) and C)

Question 19

Which stage is considered to be the most critical stage of the identity theft cycle?

Accepted Answer

A)  Action stage
B)  Trial stage
C)  Discovery stage
D)  Cover-up stageE) All of the above
F) A) and B)

Question 20

Common identity theft methods include all of the following,EXCEPT:

Accepted Answer

A)  filing for bankruptcy under the victim's name.
B)  opening new bank accounts in the victim's name.
C)  changing a victim's mailing address.
D)  destroying personal property,such as a home or car.E) A) and B)
F) A) and C)

Exam 15: Consumer Fraud

_____ is a hi-tech method by which thieves capture personal or account information from a credit card,driver's license,or even a passport.

Correct AnswerverifiedShow Answer

Which act makes it illegal for any agency that receives federal funding to disclose privacy information about individuals?

Correct AnswerverifiedShow Answer

All of the following are symptoms of potential investment scams EXCEPT:

Correct AnswerverifiedShow Answer

The Gramm-Leach-Bliley Act:

Correct AnswerverifiedShow Answer

Which dimensional actions are the most risky for the identity thief?

Correct AnswerverifiedShow Answer

What is the most detrimental consequence of identity theft?

Correct AnswerverifiedShow Answer

Which act gives individuals the right to opt-out of having their information sold?

Correct AnswerverifiedShow Answer

Which federal statute protects the privacy and confidentiality of patient information?

Correct AnswerverifiedShow Answer

What is one of the biggest marketing campaigns of illegal MLMs?

Correct AnswerverifiedShow Answer

Often,fraudsters contact potential identity theft victims and act as a representative of a business to verify previously gathered information.This is known as ________.

Correct AnswerverifiedShow Answer

A fraudulent process whereby even representatives of legitimate MLMs are required to buy large,expensive amounts of inventory is known as _________.

Correct AnswerverifiedShow Answer

Which stage is considered to be the most critical stage of the identity theft cycle?

Correct AnswerverifiedShow Answer

Identify the complaint database developed by the U.S.Federal Trade Commission.

Correct AnswerverifiedShow Answer

Snake oil plans are plans:

Correct AnswerverifiedShow Answer

Federal law limits consumers' credit card fraud liability to ______.

Correct AnswerverifiedShow Answer

A Nigerian money offer email scam is a form of _____.

Correct AnswerverifiedShow Answer

Common identity theft methods include all of the following,EXCEPT:

Correct AnswerverifiedShow Answer

Which of the following observations is NOT true of foreign-advance fee scams?

Correct AnswerverifiedShow Answer

What makes telemarketing fraud more effective than Internet or mail-based approaches?

Correct AnswerverifiedShow Answer

Which of the following involves the use of Internet to steal important information?

Correct AnswerverifiedShow Answer

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