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

Who is identified as a cardholder?

1. A person authorized to issue financial transaction cards

2. An individual to whom a financial transaction card is issued

3. A user of the bank’s online portal

4. A person responsible for making loan repayments

The correct answer is: An individual to whom a financial transaction card is issued

The designation of a cardholder refers specifically to an individual to whom a financial transaction card has been issued. This encompasses anyone who possesses a card that is linked to an account, allowing them to conduct transactions, make purchases, or access funds as per the card's parameters. This definition is crucial in the context of financial transactions and anti-money laundering efforts, as understanding who has authority over a card helps institutions identify the risk levels associated with that card and monitor for potentially suspicious activities. The other options do not capture the essence of a cardholder. The option describing a person authorized to issue cards pertains more to the issuer's role rather than the user's relationship with the card. A user of the bank’s online portal describes someone who accesses digital banking services but does not necessarily have a physical card associated with their account. Finally, the individual responsible for making loan repayments is unrelated to the concept of card ownership, as it deals specifically with loan obligations rather than card-based transactions.