Electronic Signatures in Global and National Commerce Act (ESIGN) Flashcards
T or F
If a member wants to transact business electronically, then udner the ESIGN Act the credit union can take the member’s consent to transact business electronically verablly (no need to confirm online).
False
T or F
Prior to a member conducting business electronically, the ESIGN statue requires the credit union to provide the member with a disclosure statement informing the member of her or his rights, as well as a description of the hardware and software needed to complete the transaction and to retain Electonic records.
True
T or F
Under the ESIGN Act the member must affirmatively consent or “opt in” to conduct business electronically, and electronic signatures and records have the same legal validity and enforceability as paper records and handwritten signatures.
True
T or F ESIGN not only mandates the type of technology to use, but requires that e-commerce be used for services.
False
T or F
Prior to a member conducting business electronically, the ESIGN Act mandates that the member must be given an error resolution notice and procedures.
False
T or F
The ESIGN contains no obligation for credit unions to notify their members if there is a change in the hardware or software requirements for conducting business electronically
False
T or F
Under the ESIGN’s record retention provisions
1. The records must retain accessible to all parties legally entitles to access them
2. The records must be in a form that can be accurately reproduced for later reference
3. The electronic record must accurately reflect the information in the paper contract or other record.
True
T or F
Per ESIGN a member’s affirmative consent online to use products and services is good forever.
True
T or F
A credit union must submit a request form detailing its compliance with ESIGN to the NCUA or FRB before it can accept and rely on Electonic signatures or engage in transactions sanctioned by the Act.
False
