As the size, complexity, and nature of customer relationships have evolved, so have the skills of money launderers and other criminal elements whose true purpose is to use the financial system to disguise the source of their cash. The risk for money laundering and terrorist financing increases as terrorists and money launderers get more sophisticated in figuring out ways to infiltrate the U.S. financial system. To mitigate this risk, more and more financial institutions are implementing automated monitoring systems also known as automated surveillance systems, to assist with ongoing customer due diligence and enhanced due diligence to ensure account profiles are current. These systems also assist in complying with the requirement for the internal controls component of the Bank Secrecy Act and provide the ability to make monitoring risk-based.
Length: 2 pages (PDF 110 kB)