Bank Secrecy Act Requirements

http://www.fincen.gov/financial_institutions/msb/materials/en/bank_reference.html

Cash Purchases of $3,000-$10,000, Inclusive

MSBs that sell money orders or traveler’s checks are required to record cash purchases involving $3,000- $10,000, inclusive.

Multiple cash purchases of monetary instruments totalling $3,000 or more must be treated as one purchase which must be recorded if:

1. They are made at the same time, or
2. The MSB has knowledge that such purchases occurred during one business day.

How to record a money order or traveler’s check sale for cash of $3,000-$10,000, inclusive:

1. Verify and record customer information, including ID.
2. Record transaction information – amount, date of sale and serial number(s) for each instrument.
3. Keep the record for 5 years from the date of transaction.

Money Transfers of $3,000 or More

MSBs that provide money transfer services must obtain and record specific information for each money transfer of $3,000 or more, regardless of the method of payment.

How to record a money transfer of $3,000 or more for money transfer senders and receivers:

1. Verify customer ID.
2. Record customer and transaction information.
3. Sender must provide certain information to the receiving MSB or other receiving financial institution.
4. Keep the record for 5 years from the date of transaction.

Currency Exchanges of More Than $1,000

Currency exchangers must keep a record of each exchange totaling more than $1,000 in either domestic or foreign currency.

How to record a currency exchange:

1. Record customer information.
2. Record transaction information.
3. Keep the record for 5 years from the date of transaction.