BSA 2 - BSA-AML QUESTIONS AND ANSWERS
c.
A is incorrect because transactions are to be monitored daily—not weekly—and is
usually not an account opening function. B is incorrect because CTRs are to be filed for
incoming and outgoing cash transactions and is commonly the job of tellers and the
person responsible for BSA compliance. D is incorrect because SARs are to be filed for
transactions that appear suspicious regardless of the amount or whether they involve
cash. - Answers :4. If you are responsible for opening deposit accounts at your bank,
what is one responsibility you have for complying with BSA requirements?
A. Monitor transactions weekly to identify any attempts to avoid currency transaction
reporting requirements
B. File CTRs for incoming cash transactions that exceed $10,000
C. Form a reasonable belief as to the true identity of customers and beneficial owners
at account opening
D. File SARs for all large cash transactions that appear suspicious
ID:8CEFE0E6296C408CB1ABF1E73F33008F
a.
B is incorrect because there is no such list and banks that fail to execute their BSA
programs are subject to prosecution and sanctions. C is incorrect because the bank
would be subject to prosecution by the Department of Justice. D is incorrect because
the bank, its employees and its management would be liable, not the bank's customers.
- Answers :5. There are significant civil and criminal penalties for not complying with the
requirements of the Bank Secrecy Act. Which option correctly lists one of those
penalties?
A. Financial institutions that violate BSA criminal statutes are subject to sanctions that
may be so severe that they revoke a bank's federal charter or terminate the institution's
deposit insurance
B. When a bank's failure to execute its BSA program enables serious criminal
infractions to go unreported, the bank will be added to a ''Do Not Bank Here'' list
established by FinCEN
C. Violations can expose the bank to prosecution by the United States Bureau of
Engraving and Printing
D. Violations could cause the bank's customers to be liable for the amount of criminal
proceeds that flowed through the bank
ID:7F31E06A37F6449EA8B257CC22F2A77F
a.
B is incorrect because the concern is institutions will fail to commit adequate resources
to BSA/AML compliance programs, not prosecute customers. C is incorrect because
employees, not customers are required to identify and report suspicious activity. D is
, incorrect because failure of the bank's Fair Lending policy would not be a BSA violation.
- Answers :6. Banks are required to establish and maintain procedures reasonably
designed to assure and monitor the compliance with the BSA/AML. On-site
examinations are performed to ensure the banks compliance with the regulations. What
is a common area of concern when BSA/AML examinations are performed?
A. Failure to adequately train employees and hold them accountable for their actions
B. Failure by institutions to prosecute customers
C. Failure of customers to identify, investigate, and report illegal, suspicious, or unusual
activity
D. Failure to address changes in the bank's Fair Lending Policy
ID:6CAF316335E8477EB09B9C95E4740426
c.
A is incorrect because to ensure a strong compliance program the bank should identify
appropriate staffing levels needed to monitor and address BSA issues. B is incorrect
because a bank should monitor and manage risk by identifying high-risk products and
services offered by the bank, taking into consideration the potential risk posed by new
products and services. D is incorrect because a bank should hold employees
individually accountable for fulfilling their BSA/AML related compliance responsibilities. -
Answers :7. In order to avoid fines and penalties, which action should a bank consider?
A. Commit one person to monitor and address BSA issues
B. Develop new products and services with more risk to attract a more diversified
customer base
C. Involve senior management in the bank's BSA/AML compliance program
D. Allow employees more freedom to make mistakes so they can learn by them
ID:E0F5D11D0D4945E487592FA31A27AAA5
b.
A is incorrect because there is no such list and banks that fail to execute their BSA
programs are subject to prosecution and sanctions. C is incorrect because the bank
would be subject to prosecution by the Department of Justice. D is incorrect because
the bank, its employees and its management would be liable, not the bank's customers.
- Answers :1. When bank employees disregard procedures, neglect reporting
requirements, or violate laws and regulations, the bank and its employees may face
penalties for non-compliance. Which option correctly lists one of those penalties?
A. When a bank's failure to execute its BSA program enables serious criminal
infractions to go unreported, the bank will be added to a ''Do Not Bank Here'' list
established by FinCEN
B. Financial institutions that violate BSA criminal statutes are subject to sanctions that
may be so severe that they revoke a bank's federal charter or terminate the institution's
deposit insurance
C. Violations can expose the bank to prosecution by the United States Bureau of
Engraving and Printing
c.
A is incorrect because transactions are to be monitored daily—not weekly—and is
usually not an account opening function. B is incorrect because CTRs are to be filed for
incoming and outgoing cash transactions and is commonly the job of tellers and the
person responsible for BSA compliance. D is incorrect because SARs are to be filed for
transactions that appear suspicious regardless of the amount or whether they involve
cash. - Answers :4. If you are responsible for opening deposit accounts at your bank,
what is one responsibility you have for complying with BSA requirements?
A. Monitor transactions weekly to identify any attempts to avoid currency transaction
reporting requirements
B. File CTRs for incoming cash transactions that exceed $10,000
C. Form a reasonable belief as to the true identity of customers and beneficial owners
at account opening
D. File SARs for all large cash transactions that appear suspicious
ID:8CEFE0E6296C408CB1ABF1E73F33008F
a.
B is incorrect because there is no such list and banks that fail to execute their BSA
programs are subject to prosecution and sanctions. C is incorrect because the bank
would be subject to prosecution by the Department of Justice. D is incorrect because
the bank, its employees and its management would be liable, not the bank's customers.
- Answers :5. There are significant civil and criminal penalties for not complying with the
requirements of the Bank Secrecy Act. Which option correctly lists one of those
penalties?
A. Financial institutions that violate BSA criminal statutes are subject to sanctions that
may be so severe that they revoke a bank's federal charter or terminate the institution's
deposit insurance
B. When a bank's failure to execute its BSA program enables serious criminal
infractions to go unreported, the bank will be added to a ''Do Not Bank Here'' list
established by FinCEN
C. Violations can expose the bank to prosecution by the United States Bureau of
Engraving and Printing
D. Violations could cause the bank's customers to be liable for the amount of criminal
proceeds that flowed through the bank
ID:7F31E06A37F6449EA8B257CC22F2A77F
a.
B is incorrect because the concern is institutions will fail to commit adequate resources
to BSA/AML compliance programs, not prosecute customers. C is incorrect because
employees, not customers are required to identify and report suspicious activity. D is
, incorrect because failure of the bank's Fair Lending policy would not be a BSA violation.
- Answers :6. Banks are required to establish and maintain procedures reasonably
designed to assure and monitor the compliance with the BSA/AML. On-site
examinations are performed to ensure the banks compliance with the regulations. What
is a common area of concern when BSA/AML examinations are performed?
A. Failure to adequately train employees and hold them accountable for their actions
B. Failure by institutions to prosecute customers
C. Failure of customers to identify, investigate, and report illegal, suspicious, or unusual
activity
D. Failure to address changes in the bank's Fair Lending Policy
ID:6CAF316335E8477EB09B9C95E4740426
c.
A is incorrect because to ensure a strong compliance program the bank should identify
appropriate staffing levels needed to monitor and address BSA issues. B is incorrect
because a bank should monitor and manage risk by identifying high-risk products and
services offered by the bank, taking into consideration the potential risk posed by new
products and services. D is incorrect because a bank should hold employees
individually accountable for fulfilling their BSA/AML related compliance responsibilities. -
Answers :7. In order to avoid fines and penalties, which action should a bank consider?
A. Commit one person to monitor and address BSA issues
B. Develop new products and services with more risk to attract a more diversified
customer base
C. Involve senior management in the bank's BSA/AML compliance program
D. Allow employees more freedom to make mistakes so they can learn by them
ID:E0F5D11D0D4945E487592FA31A27AAA5
b.
A is incorrect because there is no such list and banks that fail to execute their BSA
programs are subject to prosecution and sanctions. C is incorrect because the bank
would be subject to prosecution by the Department of Justice. D is incorrect because
the bank, its employees and its management would be liable, not the bank's customers.
- Answers :1. When bank employees disregard procedures, neglect reporting
requirements, or violate laws and regulations, the bank and its employees may face
penalties for non-compliance. Which option correctly lists one of those penalties?
A. When a bank's failure to execute its BSA program enables serious criminal
infractions to go unreported, the bank will be added to a ''Do Not Bank Here'' list
established by FinCEN
B. Financial institutions that violate BSA criminal statutes are subject to sanctions that
may be so severe that they revoke a bank's federal charter or terminate the institution's
deposit insurance
C. Violations can expose the bank to prosecution by the United States Bureau of
Engraving and Printing
