Examination information, faqs, and resources for Washington Check Cashers and Payday Lenders.
The ManagerвЂ™s Questionnaire is delivered to the licensee ahead of an examination that is routine. The ManagerвЂ™s Questionnaire are going to be completed by the licensee and came back towards the Department ahead of the assessment.
Typical Examination Findings
Responses to questions that are common exams carried out by DFI.
What’s a cash solutions company (MSB)? Have always been we an MSB?If you may be certified 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 almost any anyone in every 1 day), check selling (only when the licensee offers checks or cash instructions over $1,000 for almost any anyone in every one day), or attempting to sell kept value (only when the licensee offers kept value over $1,000 for almost any one individual in just about any 1 day). So what performs this mean for you personally? If you should be an MSB, your online business might be at the mercy of rules that are additional laws.
Most MSBs have to register with all the Financial Crimes Enforcement Network (FinCEN). The enrollment is filed on FinCEN Form 107.
- Confirming client information
- Filing reports (such as for example Currency Transaction Reports and activity that is suspicious)
- Creating and retaining documents
- Giving an answer to police force demands
- Designate a conformity officer to make sure day-to-day conformity with this program.
- Offer periodic separate review to monitor and maintain a program that is adequate. The scope and regularity regarding the review will probably be commensurate because of the danger of the economic solutions supplied because of the money solutions company. This review could be conducted by the employee or officer of the funds solutions company as long as the reviewer isn’t the designated conformity officer.
- Offer AML conformity training for workers concerning their duties beneath the program, including trained in the detection of dubious deals. Documentation showing that appropriate training had been provided to any or all employees, including copies of training materials utilized to perform working out 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 up a broad ledger containing all assets, liabilities, money, earnings, and costs.
- How long do i must maintain documents?Licensees have to keep all documents https://speedyloan.net/payday-loans-ny/ithaca-4 for at the very least 2 yrs per RCW 31.45.060; nonetheless, federal legislation takes a five 12 months retention duration for just about any documents related to cash solutions.
- just What can I expect for an examination?DFI conducts exams of its check casher/seller licensees approximately every 6-24 months, with respect to the danger posed by business. An examiner will review a licenseeвЂ™s financial condition, as well as compliance with all state and federal rules and regulations on an examination. The licenseeвЂ™s transactions will likely to be reviewed to make sure conformity with federal recordkeeping and reporting requirements underneath the Bank Secrecy Act. Administration would be evaluated to make sure they’re not running the business in a fashion that could end up being unsafe for Washington customers. In the event that licensee holds a little loan recommendation, agreements and client files is going to be evaluated to make sure conformity using the Truth-in-Lending Act and army financing guidelines. Rejected credit files is supposed to be evaluated to make certain conformity using the Equal Credit chance Act. The examiner may also review conformity with various other areas associated with the Check Cashers and Sellers Act, and also other state that is applicable federal rules. The on-site assessment can just just take anywhere from just about every day to many months, with regards to the complexity of this licenseeвЂ™s operations, willingness to produce required paperwork, and general degree of conformity.