Preview Questions Fraud Analyst | Role Specific Skill

Question 1: In a financial fraud detection system, what is the role of a feature engineering process?

Which action should you take?

Choose only one option

To scale and normalize transaction amounts

To identify relevant features in the data that can improve model accuracy

To create a fraud scoring system

To perform sentiment analysis on customer reviews

Question 2: How does segmentation analysis enhance the effectiveness of fraud detection in banking?

Which action should you take?

Choose only one option

By categorizing customers based on their account balances

By grouping customers based on risk profiles to apply tailored fraud detection measures

By creating a customer loyalty program

By identifying the customer's social media activity

Question 3: When documenting an investigation, which regulatory requirement is most often mandated by financial authorities?

Which action should you take?

Choose only one option

Keeping a record of all investigation-related communications

Including a detailed summary of suspected perpetrators

Distributing findings to all affected parties

Filing fraud reports within a specified timeline

Question 4: In an investigation involving multiple fraudulent accounts, which investigative technique is typically used to link the accounts?

Which action should you take?

Choose only one option

Direct interviews with suspected individuals

Reviewing customer transaction history

Data mining for hidden patterns

Random audits of account transactions

Question 5: When analyzing a large dataset of transactions, which technique would be most useful in detecting outliers that could indicate fraudulent activity?

Which action should you take?

Choose only one option

Simple moving average smoothing

Pattern recognition using neural networks

Statistical z-scores for deviation

Cluster analysis based on transaction types

Question 6: In the context of fraud detection, which regulation governs the reporting of suspicious transactions in the U.S.?

Which action should you take?

Choose only one option

Volcker Rule

Dodd-Frank Act

Bank Secrecy Act (BSA)

Sarbanes-Oxley Act