Certified Anti-Money Laundering Specialist Certification (CAMS) Practice Exam

Which characteristic is true of an 'Open System Stored Value Card'?

1. Only available through large banks

2. Can be reloaded and accessed globally through ATMs

3. Exclusively used for online purchases

4. Cannot be used outside of the issuing country

The correct answer is: Can be reloaded and accessed globally through ATMs

An 'Open System Stored Value Card' is characterized by its capability to be reloaded and accessed globally through ATMs. This feature allows users the convenience of adding funds to their cards as needed, and the global accessibility means that these cards can be used in various locations around the world, not limited by the issuing country's borders. This is in contrast to other card types, which may have restrictions on where they can be used or reloaded. The other options suggest limitations that are not inherent to open system stored value cards. The option regarding availability through large banks implies exclusivity that does not align with the nature of these cards, as they can also be found through various financial institutions and retailers. The notion that they are exclusively used for online purchases undermines their broader usage capabilities, as these cards can also be used for in-person transactions at points of sale. Lastly, stating that they cannot be used outside the issuing country contradicts the core premise of an open system, which allows for international usage and acceptance, enhancing the card's utility for travelers and global consumers.