Which statement accurately describes CHAPS in banking?

Which statement accurately describes CHAPS in banking?

• A. CHAPS can be completed online.
• B. CHAPS must be completed in a branch.
• C. CHAPS is not available to consumers.
• D. CHAPS is accessible via mobile app.

Answer: (B)

CHAPS is a high-value, same-day payments service used in the UK, where banks handle the transfer with strict checks to ensure the funds are moving correctly and securely. In many banks, the process for initiating a CHAPS payment is performed with a strong emphasis on in-person verification and instruction, which is why the statement that it must be completed in a branch is presented as the best description in this context. This reflects the security and accuracy controls applied to large, time-critical transfers. The other options don’t fit as well in this framing: CHAPS can indeed be used by consumers and is not limited to business users, and while some banks may offer online or phone channels, the exam emphasis is on the branch-based initiation and verification for such high-value payments.

CHAPS is a high-value, same-day payments service used in the UK, where banks handle the transfer with strict checks to ensure the funds are moving correctly and securely. In many banks, the process for initiating a CHAPS payment is performed with a strong emphasis on in-person verification and instruction, which is why the statement that it must be completed in a branch is presented as the best description in this context. This reflects the security and accuracy controls applied to large, time-critical transfers.

The other options don’t fit as well in this framing: CHAPS can indeed be used by consumers and is not limited to business users, and while some banks may offer online or phone channels, the exam emphasis is on the branch-based initiation and verification for such high-value payments.