BSACs Exam Prep questions with
compete solutions
What are the five pillars of an effective BSA/AML compliance program? - correct answer ✔✔1.
Designation of a BSA compliance officer by the Board.
2. Provide for a system of internal controls to ensure ongoing compliance
3. Provide for independent testing to be conducted by credit union personnel or outside parties
4. Provide training for appropriate personnel
5. Appropriate risk-based procedures for conducting ongoing member due diligence
Who all is required to receive BSA/AML training? - correct answer ✔✔New staff, BSA Compliance Officer,
Board of Directors, and all appropriate personnel
True/False: BSA/AML training should be tailored to the person's specific responsibilities - correct answer
✔✔True
How often does BSA training need to be conducted? - correct answer ✔✔Every 12 to 18 months
What records of the BSA training program do credit unions need to keep? - correct answer ✔✔Records
of training and testing materials, the dates of training sessions and attendance records.
True/False: The credit union's board of directors is ultimately responsible for the credit union's BSA
compliance? - correct answer ✔✔True
The BSA Officer must be knowledgeable of:
a. BSA, and related regulations
b. The credit union's products and services
c. The credit union's members
d. The credit union's neighborhoods
, e. a&b
f. All of the above - correct answer ✔✔f. all of the above
True/False: If you are a small credit union it is acceptable to have the BSA officer determine when a CTR
is necessary, fil out the CTRs, and determine who is eligible for a CTR exemption. - correct answer
✔✔False
Regulators recommend that independent test of your BSA program should be done:
a. Annually
b. Every 12 to 18 months
c. Whenever necessary
d. Before each exam - correct answer ✔✔b. Every 12 to 18 months
Which of the following products and services could possibly pose a higher risk for illegal activities?
a. Wire transfers
b. Monetary instruments
c. Traveler's checks
d. All of the above - correct answer ✔✔d. All of the above
Section 326 of the USA Patriot Act requires financial institutions to: - correct answer ✔✔1. implement
reasonable procedures to verify the identity of any person seeking to open an account
2. maintain records of the information used to verify the person's identity
3. determine whether the person appears on any lists of known or suspected terrorists or terrorist
organizations provided to the FI by any government agency
4. provide the member opening a new account with notice of the information collection requirement.
A financial institution's CIP should be tailored to: - correct answer ✔✔1. it's size
2. location
3. types of accounts offered
4. methods of opening accounts; and
compete solutions
What are the five pillars of an effective BSA/AML compliance program? - correct answer ✔✔1.
Designation of a BSA compliance officer by the Board.
2. Provide for a system of internal controls to ensure ongoing compliance
3. Provide for independent testing to be conducted by credit union personnel or outside parties
4. Provide training for appropriate personnel
5. Appropriate risk-based procedures for conducting ongoing member due diligence
Who all is required to receive BSA/AML training? - correct answer ✔✔New staff, BSA Compliance Officer,
Board of Directors, and all appropriate personnel
True/False: BSA/AML training should be tailored to the person's specific responsibilities - correct answer
✔✔True
How often does BSA training need to be conducted? - correct answer ✔✔Every 12 to 18 months
What records of the BSA training program do credit unions need to keep? - correct answer ✔✔Records
of training and testing materials, the dates of training sessions and attendance records.
True/False: The credit union's board of directors is ultimately responsible for the credit union's BSA
compliance? - correct answer ✔✔True
The BSA Officer must be knowledgeable of:
a. BSA, and related regulations
b. The credit union's products and services
c. The credit union's members
d. The credit union's neighborhoods
, e. a&b
f. All of the above - correct answer ✔✔f. all of the above
True/False: If you are a small credit union it is acceptable to have the BSA officer determine when a CTR
is necessary, fil out the CTRs, and determine who is eligible for a CTR exemption. - correct answer
✔✔False
Regulators recommend that independent test of your BSA program should be done:
a. Annually
b. Every 12 to 18 months
c. Whenever necessary
d. Before each exam - correct answer ✔✔b. Every 12 to 18 months
Which of the following products and services could possibly pose a higher risk for illegal activities?
a. Wire transfers
b. Monetary instruments
c. Traveler's checks
d. All of the above - correct answer ✔✔d. All of the above
Section 326 of the USA Patriot Act requires financial institutions to: - correct answer ✔✔1. implement
reasonable procedures to verify the identity of any person seeking to open an account
2. maintain records of the information used to verify the person's identity
3. determine whether the person appears on any lists of known or suspected terrorists or terrorist
organizations provided to the FI by any government agency
4. provide the member opening a new account with notice of the information collection requirement.
A financial institution's CIP should be tailored to: - correct answer ✔✔1. it's size
2. location
3. types of accounts offered
4. methods of opening accounts; and
