BSA for Lenders
BSA examiners are digging deeper and beginning to ask more questions about the lending function in recent BSA exams.
Could a BSA examiner possibly find loan fraud in your files that had not been detected by your bank’s or credit union’s due diligence process?
Your financial institution should have a system in place for detecting false statements and attempts at identity theft on a loan application. Will lenders know these activities may require a SAR (Suspicious Activity Report) to be filed? Does your “system” work?
QUESTION: What does the FFIEC Exam Manual for BSA say about the training requirement for lenders?
ANSWER: “Examples of money laundering activity and suspicious activity monitoring and reporting can and should be tailored to each individual audience. For example, training for tellers should focus on examples involving large currency transactions or other suspicious activities; training for the loan department should provide examples involving money laundering through lending arrangements.”
QUESTION: Can your financial institution pass this exam objective?
ANSWER: “Assess the adequacy of the financial institution’s systems to manage the risks associated with lending activities, and management’s ability to implement effective due diligence, monitoring, and reporting systems.”
Register for this short training session and help the lenders and loan staff at your bank or credit union understand their responsibilities by hearing “real life” examples of situations that could trigger a filing of a SAR (Suspicious Activity Report).
What You Will Learn
- What are five reasons to conduct BSA training for Lenders?
- What are the three stages of money laundering and can this happen in the lending area?
- What are some of the BSA “red flags” and risk factors in lending?
- What types of due diligence questions should you ask a loan applicant for BSA compliance?
- Steps for BSA due diligence throughout the life of the loan
- What are the six types of lending-related reasons of attempted or actual suspicious activity that must be reported on SAR’s? What are some examples that have resulted in prosecution?
- Steps for effective CIP loan compliance. NEW!! – Overview of beneficial ownership rule that becomes the 5th pillar for BSA on May 11, 2018; it’s not too early to start an implementation plan.
- Examples of Loan Fraud and suggestions for prevention
Loan Officers, Loan Assistants, Loan Administration personnel, Compliance & BSA Officers, Risk Managers.
Susan Costonis is a compliance consultant and trainer. She frequently provides consulting services to financial institutions regarding fair lending and other compliance management issues. Her 37 year career in banking and training began with 20 years at First National Bank, an affiliate of Wells Fargo Bank, in Fort Collins, CO. Susan has been a bank compliance consultant or compliance officer in Louisiana since 1998.
During her career, Susan has successfully managed compliance programs and exams for institutions supervised by the OCC, FDIC, and Federal Reserve. She is a Certified Regulatory Compliance Manager and completed the ABA Graduate Compliance School and the Graduate Banking School of the University of Colorado. Susan regularly presents seminars to financial associations.
Institute of Certified Bankers: Visit http://www.icbmembers.org/login.aspx for instructions regarding self-reporting. Estimated credits: 2.5 CE Credits
- Live Webinar which includes 5 Day On-Demand - $265
- Six Month On-Demand – $295
- Live plus Six Month On-Demand – $365
- CD-ROM (Includes Six Month On-Demand) – $325
- Premier (Includes all options) – $395
- Additional Locations – $75
Online: Click here.
Phone: Call Total Training Solutions at (800) 831-0678
Register online up to day of event. Earlier registration allows time to check your computer for an optimal experience.