Question & Answer

Question: Our bank is concerned about a high number of cash transactions. We have a lot of customers and non-customers who bring in cash to purchase a check. Can we require that they deposit the cash into an account?

Answer: Yes. In fact, this is one way you can make it harder for the criminal element to launder money. Requiring them to have an account would really serve as a deterrent.

There is another benefit to this policy. Many of the non-customers who purchase negotiable instruments have never had a bank account and are reluctant to take that step. With the right customer service approach, you can bring some of these individuals into the customer base. So a restrictive policy such as this can also be used to sell as long as it is presented well to the customer.

Copyright © 1998 Compliance Action. Originally appeared in Compliance Action, Vol. 3, No. 17, 12/98