Question 1

What is the Bank Secrecy Act (BSA)?

Accepted Answer

The Bank Secrecy Act (BSA) is a crucial US regulation that outlines required record-keeping and reporting practices intended to fight against money laundering. One particular requirement of the Bank Secrecy Act (BSA) is that financial institutions are obligated to report cash transactions exceeding $10,000 within a brief period, regardless of whether they occur in single or multiple transactions.

Question 2

What are the Four Pillars of BSA Compliance?

Accepted Answer

1. Designate a Compliance Officer: BSA Pro is an essential partner for any Compliance Officer seeking to better manage alert triage, case investigation, or high-risk reviews.

2. Develop Internal Control Process: BSA Pro establishes a consistent process for alert triage, case investigations, and high-risk reviews.

3. Tailored Training Program: BSA Pro was purposefully built to guide your team through the transaction review process, and act as your in-house subject matter expert.

4. Independent Testing (Audit): BSA Pro produces full audit trails to support teams during audits and regulatory examinations.

Question 3

What is the Penalty for Violating the BSA?

Accepted Answer

Penalties according to a BSA civil action vary significantly based on the type of violation and the enforcement authority. The maximum BSA-related criminal penalty is $250,000 and up to five years imprisonment.