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Question 271

Which of the following activities is NOT a permissible nonbanking activity?

    Correct Answer: B

    Activities permissible for nonbanking purposes generally involve services or functions closely related to financial services or banking operations. Servicing mortgage loans (A), providing mortgage loan data processing services to mortgage companies (C), and acting as a broker for credit life insurance (D) are all activities that align with the financial and banking-related services. However, providing general courier services to businesses around the bank office (B) does not relate directly to financial or banking services and hence is not a permissible nonbanking activity.

Discussion
Cam22Option: B

Providing general courier services is not considered a permissible nonbanking activity for a bank. Permissible nonbanking activities typically involve financial services or activities closely related to banking operations. Options A, C, and D involve activities that are permissible nonbanking activities for banks