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FINRA Series 7 General Securities Representative Exam

2. Opens Accounts and Evaluates Customer Profiles / Customer identification: practice questions

Our FINRA Series 7 bank has 9 questions on this topic. Here are 3 of them with answers; the full mock exam draws from every topic, like the real one.

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Question 1

When a firm reasonably believes financial exploitation of a specified adult is occurring, Rule 2165 lets it place a temporary hold on a disbursement initially for up to:

  1. 90 calendar days
  2. 15 business days
  3. 30 calendar days
  4. 5 business days
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B. 15 business days — Rule 2165(b)(2): the temporary hold expires no later than 15 business days after placement, subject to permitted extensions.

Question 2

Under FINRA Rule 4512, for a new individual account a firm must make a reasonable effort to obtain:

  1. A notarized statement of net worth
  2. The name and contact information of a trusted contact person
  3. A copy of the customer's most recent tax return
  4. The customer's credit score from a credit bureau
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B. The name and contact information of a trusted contact person — Rule 4512(a)(1)(F) requires a reasonable effort to obtain a trusted contact person (age 18 or older) for non-institutional accounts; the account may still open if the customer declines.

Question 3

Under FINRA Rule 2165, a "specified adult" includes a person who is:

  1. Age 59½ or older
  2. Retired from full-time work
  3. Age 70½ or older
  4. Age 65 or older
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D. Age 65 or older — Rule 2165(a)(1) defines a specified adult as a natural person age 65 or older, or age 18 or older whom the firm reasonably believes has a mental or physical impairment.

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