I was talking to our sister bank about OFAC compliance on non-customers for the sale of money orders, cashiers checks, etc. and they said their money orders are personal money orders that the bank does not sign. They sell to the customer, stamp the amount and let the customer sign. I have never heard of this. Has anyone else ever heard of this practice. It would make it impossible to check against the OFAC list if they don't know who the payee is. Maybe someone could comment on this.

I think they are walking a fine line here. "They sell to the customer" says it all; they should still be checking, because at the point of "SALE" they have completed a transaction. Regardless if they know who the payee is or not, they must check who they are selling it to.

Thanks happygilmore for your reply. That was what I was thinking but I am getting a lot of resistence from management on this.