New Loan - Existing Relationship

Director at a Company (USA)
Originally posted by an anonymous author with the title AVP Regulatory Compliance and Legal on 4 Mar 2019 to CBANC FI Professionals Community.

We are working on a new loan to an entity that is subject to the beneficial owner requirements. The beneficial owner has been identified as one of our existing customers. CIP was performed on the individual account in accordance with policy. However, the ID used expired in 2017. For the purpose of verifying the identity of the beneficial owner on the new loan, can I rely on the old expired DL or do I have to get a current ID since the information on file in not "up to date and accurate"?Side note - We went ahead and requested an updated DL to be on the safe side but the customer informed us that he does not have a new one. Should we allow this loan to open? What options do we have?

    BSA loan purpose

    Director at a Company (USA)
    Originally Posted by Regina Pettis, Compliance Officer/BSA Officer of 22nd State Bank, on 29 Mar 2017 to CBANC FI Professionals Community.

         I am trying to find out where in BSA does it state that we have to have a SPECIFIC LOAN PURPOSE for loans greater then $10,000 that are not RE secured.​

      Payments made from someone other than borrower

      Director at a Company (USA)
      Originally Posted by Debbie Dooley, VP - Credit and Lending of Home Federal Bank of Hollywood, on 18 Jun 2019 to CBANC FI Professionals Community.

      How does anyone handle payments being made from someone other than a borrower or guarantor?  I have a loan to an individual (investment property)who is trying to make payments from his business account. The business has nothing to do with the property.  The borrower is claiming he does not have any personal accounts to use to make the payment and pays all his bills from his business account only.  Does anyone else have a problem with this? Could there be a BSA issue?

        Blog | Fighting Crime with AI: Benefits of Machine Learning and RPA - Read more

        Fighting Crime with AI: Benefits of Machine Learning and RPA
        Considerations for financial crime management programs

        July 15, 2019 by Verafin

        Artificial intelligence is one of the hottest topics in the industry today. Machine learning and robotic process automation (RPA) are two of the primary types of AI used in financial crime management.

        With many financial institutions already investing in machine learning and RPA, your institution should carefully consider how these AI solutions can best benefit your compliance and financial crime mitigation programs.

        Read the full blog, including key considerations for financial institutions when evaluating AI technology

          Educational Webinar | How do you find your high-risk customers? - Join us July 31

          July 31 at 12:30 PM - 01:30 PM EST
          How do you find your high-risk customers?
          Eliminate Manual Processes for Identifying Private ATM Owners, MSBs, NGOs, MRBs, CIBs, and more

          Register Now

          To identify customers in higher risk categories such as Private ATM Owners, Money Service Businesses (MSBs), Marijuana-Related Businesses (MRBs), Non-Governmental Organizations or Charities (NGOs), and Cash Intensive Businesses (CIBs), most compliance programs rely on manual processes that can cost time and strain resources.

          Join us for this presentation as we discuss how to alleviate manual processes for identifying higher-risk customers, automate due diligence processes, and strengthen your overall compliance program.

          • Review of CDD/EDD requirements and expectations as outlined in the FFIEC BSA/AML Exam Manual.
          • Discussion on the challenges and of conventional processes to identify high-risk customers.
          • Overview of targeted monitoring to uncover unidentified higher-risk customers.
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            CDD/EDD Import Export Companies

            VP at a bank ($1.5BUSA)
            I am looking to see what if any CDD/EDD you are doing for import/export companies.  With the Amazon boom and our current influx of businesses stating they are importing and exporting goods we are finding CDD a challenge with our offices.  Several do not have locations as they are operating as brokers.  I am interesting to see if others have had an increase and what, if any, other steps you may have taken to validate that they are importing/exporting items.  
            We do site visits and internet searches on addresses, names, vendors and their websites.

              Free Webinar | Shedding Light on the Dark Web - 1 CAMS credit, 1.25 CAFP, CFSSP, CRCM credits

              Click here to register

              Tuesday, July 23 | 1 p.m. CST/ 2 p.m. EST
              Presented by: Eli Dominitz, CEO of Q6 Cyber

              The Dark Web is home to many of the fraudsters who plague US financial institutions. In this webinar, hosted by Q6 Cyber and Abrigo, we will venture into the Dark Web and shed light on the criminals targeting banks and credit unions, highlighting the latest trends in financial fraud and cybercrime observed in the first half of 2019.

              We will browse the leading fraud and hacker communities, and see the ever-growing underground economy for stolen payment card data, online account credentials, employee records, and much more – all of which increase fraud losses, trigger information security breaches, and damage reputation and customer relationships. We will also profile the “latest and greatest” tools and tactics developed by criminals to bypass industry-leading security and anti-fraud controls.

              Join to learn:
              • What are the latest trends in financial fraud and cybercrime as seen on the Digital Underground, Dark Web, and Deep Web
              • What are the latest tools and tactics deployed by leading cybercriminals and fraudsters
              • How do leading financial institutions leverage intelligence from the Digital Underground to combat cybercrime and fraud

              Click here to register

                Blog | Banking on AI for Financial Crime Management

                Banking on AI for Financial Crime Management
                Industry Accelerates Adoption of Artificial Intelligence, RPA and Machine Learning

                FinCEN and other regulatory agencies issued a joint statement last year encouraging financial institutions to employ innovative solutions, such as artificial intelligence, for BSA/AML regulatory compliance. The statement welcomes “innovative approaches to further efforts to protect the financial system against illicit financial activity” and “maximize utilization of banks’ BSA/AML compliance resources.” 

                With assurance from the industry agencies, financial institutions should consider how innovative approaches will increase their effectiveness and efficiency. 

                In this introductory blog, read how financial institutions are adopting the latest advances in artificial intelligence, machine learning and robotic process automation, to fight increasingly complex financial crime. 

                Read more on how financial institutions are turning to Artificial Intelligence solutions

                  Free Webinar | How to Build and Cultivate Relationships with Examiners - 1 CAMS credit, 1.25 CAFP, CFSSP, CRCM credits

                  Register today

                  Thursday, July 18 | 1 p.m. CST

                  One of the most important business relationships your financial institution has is your relationship with examination staff from state and federal agencies, including the OCC, FDIC, Federal Reserve, and NCUA. A well-managed relationship needs tending even outside the exam window and should be nurtured by both sides on an ongoing basis. During this webinar, learn how to cultivate a collaborative relationship and effectively communicate with examiners.

                  Join to learn:
                  • Utilizing examiners as subject matter experts
                  • Requesting examiner input and buy-in when making material business decisions
                  • Addressing previously documented criticisms or recommendations
                  • Knowing your escalation paths within the agencies
                   Save your seat!