APRP REVIEW PACK 2026 FULLY SOLVED
QUESTION SET
◉ Reconverting Bank.
Answer: Financial institution that produces the substitute check or
Image replacement documents(IRD)
◉ Truncating Bank.
Answer: Financial institution that creates an image of the original
check
◉ Corresponding Bank.
Answer: Private depository institution, Bankers Bank or Federal
Reserve Bank providing clearing or settlement services to a paying
Bank or Bank of First Deposit.
◉ Clearing House.
Answer: A voluntary association of depository institutions that
facilitate the clearing of checks or electronic items through the direct
exchange of funds between members.
◉ Payor (Check Writer, Maker or Drawer).
Answer: The party obligated to pay on a check
,◉ Bank of First Deposit (Payee's Depository Financial Institution).
Answer: The first bank to which a check is deposited or transferred.
◉ Payee.
Answer: The party to whom a check is made payable
◉ Paying Bank (Payor's Depository Financial Institution).
Answer: Financial institution identified by the routing number
encoded on the MICR line of the check.
◉ POS/ATM/Credit Card Network.
Answer: Network which provides switching facilities for the routing
of credit, debit and ATM card transactions between Acquirers and
Card Issuers.
◉ Cardholder.
Answer: A person or entity that is issued a credit or debit account
that is accessed through the use of a card
◉ Acquirer/Processor (Merchant Bank or Merchant Processor).
, Answer: The financial institution that contracts with a merchant to
initiate payment requests to a card association or company in the
context of credit and debit card payments.
◉ Card Issuer.
Answer: An entity that issues a credit or debit card to the cardholder
◉ Third -Party Sender.
Answer: A third party that provides ACH services to the Originator,
and, in that capacity, acts as an intermediary between the Originator
and ODFI
◉ Third-Party Service Provider.
Answer: A third party that processes ACH files and/or entries on
behalf of financial institutions and/or Originators
◉ ACH Operator.
Answer: The central clearing facility for ACH transactions
◉ Receiving Depository Financial Institution (RDFI).
Answer: A financial institution that receives ACH entries from ACH
Operator and post entries to accounts of its depositors.
QUESTION SET
◉ Reconverting Bank.
Answer: Financial institution that produces the substitute check or
Image replacement documents(IRD)
◉ Truncating Bank.
Answer: Financial institution that creates an image of the original
check
◉ Corresponding Bank.
Answer: Private depository institution, Bankers Bank or Federal
Reserve Bank providing clearing or settlement services to a paying
Bank or Bank of First Deposit.
◉ Clearing House.
Answer: A voluntary association of depository institutions that
facilitate the clearing of checks or electronic items through the direct
exchange of funds between members.
◉ Payor (Check Writer, Maker or Drawer).
Answer: The party obligated to pay on a check
,◉ Bank of First Deposit (Payee's Depository Financial Institution).
Answer: The first bank to which a check is deposited or transferred.
◉ Payee.
Answer: The party to whom a check is made payable
◉ Paying Bank (Payor's Depository Financial Institution).
Answer: Financial institution identified by the routing number
encoded on the MICR line of the check.
◉ POS/ATM/Credit Card Network.
Answer: Network which provides switching facilities for the routing
of credit, debit and ATM card transactions between Acquirers and
Card Issuers.
◉ Cardholder.
Answer: A person or entity that is issued a credit or debit account
that is accessed through the use of a card
◉ Acquirer/Processor (Merchant Bank or Merchant Processor).
, Answer: The financial institution that contracts with a merchant to
initiate payment requests to a card association or company in the
context of credit and debit card payments.
◉ Card Issuer.
Answer: An entity that issues a credit or debit card to the cardholder
◉ Third -Party Sender.
Answer: A third party that provides ACH services to the Originator,
and, in that capacity, acts as an intermediary between the Originator
and ODFI
◉ Third-Party Service Provider.
Answer: A third party that processes ACH files and/or entries on
behalf of financial institutions and/or Originators
◉ ACH Operator.
Answer: The central clearing facility for ACH transactions
◉ Receiving Depository Financial Institution (RDFI).
Answer: A financial institution that receives ACH entries from ACH
Operator and post entries to accounts of its depositors.
