An immigrant residing in the United States opens a bank account that includes a debit card. Several months later, the transactional monitoring system identifies small deposits into the account followed by corresponding ATM withdrawals from a country bordering a conflict zone.
How should the bank respond?
A. Block any further activity
B. File a suspicious transaction report
C. Initiate an investigation into the activity
D. Contact the customer if the transaction activity continues
A foreign bank operating under an offshore license wants to open a correspondent account with a United States (U.S.) bank. The foreign bank plans to provide payable through account services to some of its customers. What must the foreign bank provide to the U.S. bank under the USA PATRIOT Act?
A. A list of politically exposed persons who are owners of the correspondent bank
B. A list of account holders at the financial institution who will use the payable through account
C. The person in the United States who can receive service of legal process for the correspondent bank
D. A list of anti-money laundering training records for the financial institution employees monitoring payable through account transactions
A non-U.S. bank wants to open an account at Bank A, which is a U.S.-based bank. Which information must Bank A obtain under the USA PATRIOT Act?
A. A complete client list from the non-U.S. bank
B. The identity of owners and percentage of ownership of the non-U.S. bank
C. The structure and identity of the management team at the non-U.S. bank
D. The details of the non-U.S. bank's anti-money laundering compliance training program
Which insurance product is particularly vulnerable to money laundering?
A. Annuity
B. Casualty
C. Collateral
D. Regulated pension
What is an essential element of Know Your Customer (KYC) standards according to the Basel Committee's Customer Due Diligence for Banks paper?
A. Annual staff training
B. A customer acceptance policy
C. The same KYC requirements must be applied in all cases
D. All completed KYC documents must be reviewed by a senior manager not involved in the account opening process
A law enforcement official calls a bank inquiring about a customer who is currently under investigation. The law enforcement official requests information about the customer. How should the bank respond?
A. Confirm the customer is either a current or former customer
B. Inform the board of directors before responding to the request
C. Provide the requested information to help aid in the investigation
D. Request a formal letter be submitted to verify the validity of the request
A bank compliance officer has implemented enhanced monitoring rules that have identified some unusual activity that may be indicative of human trafficking. Which red flag should prompt additional transactional review?
A. Wire transfer activity from countries with significant migrant populations
B. Cash deposits that occur in cities where the customer resides and conducts business
C. Cash deposits that occur in cities where the customer does not reside or conduct business
D. Cash deposits that occur in cities where the customer does not reside or conduct business followed by same-day withdrawals
The compliance officer for a private bank has been tasked with writing a policy on how the bank will deal with intermediaries.
Which two aspects should be included in the policy in respect of intermediaries to align it with the Wolfsberg Anti-Money Laundering Principles for Private Banking? (Choose two.)
A. When an intermediary introduces clients to the bank, it is not necessary for the bank to perform due diligence on the intermediary's clients.
B. Where an intermediary introduces clients to the bank, the bank must obtain the same type of information with respect to an introduced client that would otherwise be obtained by the bank, absent the involvement of the intermediary.
C. Where an intermediary manages assets on behalf of a number of clients and is the account holder with the bank, but that intermediary does not conduct the same level of due diligence as the bank, it is necessary for the bank to undertake due diligence on the intermediary's clients.
D. Where an intermediary manages assets on behalf of a number of clients and arranges for the opening of accounts for its clients with the bank, and that intermediary is a financial institution subject to similar regulations, it is necessary for the bank to perform due diligence on the intermediary's clients.
What is the goal of the Egmont Group in providing a forum for Financial Intelligence Units (FIUs) around the world?
A. To improve international laws to combat money laundering and the financing of terrorism and foster the implementation of domestic programs.
B. To provide a forum for FIUs to improve cooperation in the fight against money laundering and the financing of terrorism and to foster the implementation of domestic programs in this field.
C. To improve communication with law enforcement in the fight against money laundering and the financing of terrorism and to foster the implementation of domestic programs in this field.
D. To improve cooperation with state and federal governments in the fight against money laundering and the financing of terrorism and to foster the implementation of domestic programs in this field.
A compliance officer at an insurance company has been reviewing the transaction activity of several clients. Which transaction is considered a red flag for potential money laundering?
A. A client paid the quarterly life insurance premium using money orders from two different banks.
B. A client from a high-risk jurisdiction recently purchased property insurance for a real-estate development.
C. A corporation owns several affiliates and recently opened separate group life insurance policies for each of the affiliates.
D. A client established a $100,000 charitable annuity with a non-profit organization that provides health and safety assistance internationally.
Nowadays, the certification exams become more and more important and required by more and more enterprises when applying for a job. But how to prepare for the exam effectively? How to prepare for the exam in a short time with less efforts? How to get a ideal result and how to find the most reliable resources? Here on Vcedump.com, you will find all the answers. Vcedump.com provide not only ACAMS exam questions, answers and explanations but also complete assistance on your exam preparation and certification application. If you are confused on your CAMS exam preparations and ACAMS certification application, do not hesitate to visit our Vcedump.com to find your solutions here.