FFIEC Issues New BSA/AML Exam Manual

BSA framework burdens credit union software, staffing

April 28, 2022

It is important that critical measures to track and investigate financial crimes involving money laundering and terrorism not create compliance burdens that impede credit unions’ ability to serve consumers, CUNA stated in a letter to the House Financial Services Committee Thursday.

“Credit unions are hopeful that FinCEN’s review and subsequent report to Congress will recommend the modernization of several requirements that are time-intensive and of questionable use, including outdated reporting thresholds which have not been adjusted since 1972, redundant and irrelevant reporting, and a general lack of transparency about the effectiveness of reporting,” the letter reads.

As FinCEN continues to implement the Anti-Money Laundering Act of 2020 to address compliance costs related to the existing Bank Secrecy Act (BSA) framework and anti-money laundering/countering financing of terrorism (AML/CFT) regime, CUNA encourages the Treasury bureau to continue engaging with credit union stakeholders to improve the efficiency and efficacy.  

CUNA also underscores that greater transparency and communication between regulatory agencies, law enforcement, and credit unions will be able to improve the quality of information collected and reported, while reducing the burden on all parties.