Examination information, faqs, and resources for Washington Check Cashers and Payday Lenders.
The ManagerвЂ™s Questionnaire is delivered to the licensee just before an examination that is routine. The ManagerвЂ™s Questionnaire will likely to be finished because of the licensee and gone back towards the Department before the assessment.
Typical Examination Findings
Answers to typical questions regarding exams carried out by DFI.
What’s a cash solutions company (MSB)? Am we an MSB?If you will be licensed beneath the Check Cashers and Sellers Act, you might be an MSB underneath the Bank Secrecy Act. Check always Casher and Seller licensees are MSBs when they take part in cash transmission, check cashing (as long as the licensee cashes checks over $1,000 for just about any one individual in almost any 1 day), check selling (only when the licensee offers checks or cash requests over $1,000 for almost any one individual in virtually any one day), or offering saved value (as long as the licensee offers kept value over $1,000 for just about any anyone in any 1 day). Exactly what performs this suggest for you personally? If you should be an MSB, your organization can be at the mercy of rules that are additional laws.
Most MSBs have to register with all the Financial Crimes Enforcement Network (FinCEN). The registration is filed on FinCEN Form 107.
- Confirming customer information
- Filing reports (such as for example Currency Transaction Reports and Suspicious Activity Reports)
- Creating and records that are retaining
- Giving an answer to police requests
- Designate a conformity officer in order to guarantee day-to-day conformity with this system.
- Provide for regular separate review to monitor and keep maintaining a program that is adequate. The range and regularity for the review will be commensurate using the threat of the economic solutions supplied because of the cash solutions company. This review are carried out by an officer or employee of the cash solutions company as long as the reviewer isn’t the designated conformity officer.
- Provide AML conformity training for workers concerning their obligations under the system, including trained in the detection of dubious transactions. paperwork showing that appropriate training ended up being supplied to all the workers, including copies of training materials utilized to perform the training must certanly be distributed around the Department.
- Do i must keep a ledger? that is general are expected by WAC 208-630-640 to keep a broad ledger containing all assets, liabilities, money, earnings, and costs.
- Just how long do i need to maintain documents?Licensees have to keep all documents for at the very least couple of years per RCW 31.45.060; nonetheless, federal legislation requires a five 12 months retention duration for just about any documents related to cash solutions.
- Just exactly exactly What do I need to expect on an examination?DFI conducts examinations of their check casher/seller licensees roughly every 6-24 months, with respect to the danger posed by the business enterprise. For an assessment, an examiner will review a licenseeвЂ™s financial condition, in addition to conformity along with state and federal foibles. The licenseeвЂ™s deals will likely be evaluated to make certain conformity with federal reporting and recordkeeping requirements beneath the Bank Secrecy Act. Management should be examined to make certain they’re not operating the business in a fashion that could turn out to be unsafe for Washington customers. In the event that licensee holds a little loan recommendation, agreements and client files is going to be reviewed to make sure conformity because of the Truth-in-Lending Act and military financing guidelines. Rejected credit files will soon be evaluated to make certain conformity aided by the Equal Credit chance Act. The examiner will even review conformity with different other areas regarding the Check Cashers and Sellers Act, as well as other applicable state and federal guidelines. The on-site assessment can simply take anywhere from each and every day a number of months, according to the complexity regarding the licenseeвЂ™s operations, willingness to deliver required documents, and general degree of conformity.