FinCEN Regulations and Bank Compliance Quiz

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Which federal agency is responsible for issuing regulations and interpretive guidance related to financial crime?

Federal Deposit Insurance Corporation (FDIC)
Financial Crimes Enforcement Network (FinCEN) (correct)
Federal Reserve
National Credit Union Administration (NCUA)

Which federal agency is responsible for chartering, insuring, regulating, and supervising banks?

Financial Crimes Enforcement Network (FinCEN)
Federal Reserve
Federal Deposit Insurance Corporation (FDIC) (correct)
National Credit Union Administration (NCUA)

Which federal agency may collaborate with state banking agencies on the examination, oversight, and enforcement of BSA/AML for state-chartered banks?

Federal Deposit Insurance Corporation (FDIC) (correct)
National Credit Union Administration (NCUA)
Federal Reserve
Office of the Comptroller of the Currency (OCC)

Which government agency is responsible for enforcing the Bank Secrecy Act (BSA)?

FinCEN (D) Signup and view all the answers

What is the purpose of the Money Laundering Control Act of 1986?

To impose criminal liability on persons or financial institutions involved in money laundering (B) Signup and view all the answers

What did the USA PATRIOT Act do to strengthen the BSA framework?

All of the above (D) Signup and view all the answers

Which section of the BSA/AML manual provides narrative guidance and background information on each topic?

Core Examination Overview and Procedures for Assessing the BSA/AML Compliance Program (D) Signup and view all the answers

Which section of the BSA/AML manual addresses the BSA requirements while the expanded section addresses the AML risks of specific activities?

Core Examination Overview and Procedures for Assessing the BSA/AML Compliance Program (D) Signup and view all the answers

Which examination procedures should examiners use to ensure that a bank has an adequate BSA/AML compliance program commensurate with its risk profile?

Core Examination Overview and Procedures for Assessing the BSA/AML Compliance Program (A) Signup and view all the answers

Which agency is responsible for administering and enforcing economic and trade sanctions based on U.S. foreign policy and national security goals?

OFAC (D) Signup and view all the answers

What is the purpose of the Interagency Statement on Enforcement of Bank Secrecy Act/Anti-Money Laundering Requirements?

To offer insight into enforcement decisions in BSA matters (D) Signup and view all the answers

What is the main goal of the BSA?

To safeguard the U.S. financial system from money laundering and terrorist financing (A) Signup and view all the answers

Which organizations collaborated in the development of the FFIEC BSA/AML Examination Manual?

The Federal Reserve System, the Federal Deposit Insurance Corporation, the National Credit Union Administration, the Office of the Comptroller of the Currency, the Consumer Financial Protection Bureau, and the State Liaison Committee (A) Signup and view all the answers

Which risks does the FFIEC BSA/AML Examination Manual provide guidance on identifying and controlling?

Risks associated with money laundering and terrorist financing (B) Signup and view all the answers

What is the purpose of the FFIEC BSA/AML Examination Manual?

To provide guidance to examiners for carrying out BSA/AML and OFAC examinations (C) Signup and view all the answers

Which of the following is a key reason why an effective financial infrastructure is critical to terrorist operations?

To ensure that funds can be used to obtain material and other logistical items needed to commit terrorist acts (B) Signup and view all the answers

What is often a vital component of terrorist financing?

Money laundering (D) Signup and view all the answers

How do terrorists generally finance their activities?

Through both unlawful and legitimate sources (D) Signup and view all the answers

What is the main goal of terrorism?

To intimidate a population or to compel a government or an international organization to do or abstain from doing any specific act through the threat of violence (A) Signup and view all the answers

Why do terrorist groups develop sources of funding that are relatively mobile?

To develop sources of funding that are difficult to trace (C) Signup and view all the answers