Examination information, faq’s, 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 will undoubtedly be finished by the licensee and came back to your Department before the assessment.
Typical Examination Findings
Responses to questions that are common exams carried out by DFI.
What exactly is a money solutions company (MSB)? Have always been we an MSB?If you’re certified beneath the Check Cashers and Sellers Act, you might be an MSB beneath the Bank Secrecy Act. Check always Casher and Seller licensees are MSBs when they participate in money transmission, check cashing (only when the licensee cashes checks over $1,000 for almost any one individual in almost any 1 day), check selling (as long as the licensee offers checks or cash sales over $1,000 for just about any someone in just about any 1 day), or offering saved value (as long as the licensee offers saved value over $1,000 for just about any one individual in any 1 day). So what does this suggest for you personally? If you’re an MSB, your online business could be susceptible to extra guidelines and laws.
Many MSBs have to register utilizing the Financial Crimes Enforcement Network (FinCEN). The registration is filed on FinCEN Form 107.
- Confirming client 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 force demands
- Designate a conformity officer in order to guarantee day-to-day conformity with this system.
- Allow for periodic separate review to monitor and continue maintaining a sufficient system. The range and regularity regarding the review will probably be commensurate because of the chance of the monetary solutions supplied because of the cash solutions company. This review might be carried out by an employee or officer of the amount of money services business provided that the reviewer isn’t the designated conformity officer.
- Offer AML conformity training for workers concerning their obligations beneath the system, including trained in the detection of dubious deals. paperwork showing that appropriate training had been supplied to all the workers, including copies of training materials utilized to perform working out should be distributed around the Department.
- Do i must keep a basic ledger?licensees are needed by WAC 208-630-640 to keep up a broad ledger containing all assets, liabilities, money, earnings, and costs.
- The length of time do i must maintain documents?Licensees have to keep all documents for at the least 2 yrs per RCW 31.45.060; nonetheless, federal legislation requires a five 12 months retention duration for almost any documents regarding cash solutions.
- Just just just What must I expect for an examination?DFI conducts exams of its check casher/seller licensees roughly every 6-24 months, with respect to the danger posed by the company. On an assessment, an examiner will review a licenseeвЂ™s financial condition, along with conformity along with state and federal foibles. The licenseeвЂ™s deals are going to be evaluated to make certain conformity with federal reporting and recordkeeping requirements underneath the Bank Secrecy Act. Administration should be examined to make certain they may not be operating the ongoing business in a fashion that could show to be unsafe for Washington customers. In the event that licensee holds a loan that is small, agreements and client files may be evaluated to make sure conformity with all the Truth-in-Lending Act and armed forces financing guidelines. Rejected credit files should be evaluated to make certain compliance because of the Equal Credit chance Act. The examiner will even review conformity with different the rest of this Check Cashers and Sellers Act, and also other state that is applicable federal laws and regulations. The on-site assessment can simply just take anywhere from just about every day to many months, with respect to the complexity associated with the licenseeвЂ™s operations, willingness to produce required paperwork, and general degree of conformity.