Several companies conducting money services businesses (MSBs), in collaboration with the American Bankers’ Association (ABA) and other stakeholders, have issued a best-practices guide for MSBs. The guide focuses on best practices related to AML and Bank Secrecy Act (BSA) compliance. Moreover, the guide provides guidance related to virtual currency and fintech companies and their AML obligations.
Note that MSBs are non-bank financial institutions, such as insurance companies, credit card systems, mutual funds, investment advisers, loan-givers, etc. The goal of the published document is to help MSBs develop a compliance program that fulfils all the requirements of the US Treasury Department’s Financial Crimes Enforcement Network.
Another goal of the published document is to help MSBs collaborate with banks and to explain to the banks the business operations and risks related to MSBs.
Source: ABA Banking Journal