In your opinion, what is the greatest danger we face?
We are having a misunderstanding at my financial institution about the USA PATRIOT Act. We were first opening corporate accounts and gathering identification documentation and social security numbers on all the signers on corporate accounts. We were then instructed that it was unnecessary to obtain this information on the signers. Then about a year later we were instructed that the USA PATRIOT Act does require us to get this information. Does BSA or the PATRIOT Act require financial institutions to get ID for signers on corporate accounts as of 2007? If it does not, where can I find this information?
Do you have to keep identifying your customers over and over again after you have positively identified them per the Customer Identification Program Section 326 of the USA Patriot Act? Furthermore, is it required to even ID existing customers as they continue to do business?
I have been unable to locate a concise list reflecting the Regulations that require mandatory annual employee training. Would you be able to direct me on how I would obtain such a list?
We have a customer (a funeral home) that would like to open numerous "pre-need" accounts for their customers. The owner of the funeral home has his customer's name and social security number, but in a lot of cases, no identification (some of his customers are in nursing homes and the accounts are requested by family members.) The accounts would be titled "ABC Funeral Home FBO John Doe," using the person's SS#. Our question: To comply with the USA PATRIOT Act and our CIP policy, how do we positively identify the customer if they do no personally come into our bank AND if the funeral home does not have identification on file for them to present to us at the time of account opening? Since the account is set up in the name of the funeral home for benefit of the customer, as long as we positively identify the funeral home as a business and the funeral director as the signer of the account, have we met the requirements for positively identifying our customer? We hate to refuse to open the accounts but we don't want to violate our own CIP policy which states that all accountholders must present valid ID in person. Help please!
John S. Burnett, BOL Guru
Regarding FinCen 314 (a) requests. If we have a system that is able to keep a database of all FinCen inquiries and scan new accounts to that list, is that allowed? Or are we supposed to just scan our current clientele and not worry about any new accounts after the check date?
Is it a current rule within the USA PATRIOT Act that our CIP require a social security number for non business, non interest bearing accounts? I have read section 326, but it's unclear to me that this proposal was actually passed.
If a sole proprietorship account is styled Jane Doe dba Jane's Jeans, we would use Jane Doe's SSN for the tax ID. If Jane's Jeans has its own EIN, should the account be styled the same? I always understood the first name on the legal title should match the tax ID number.
I recently heard at a meeting that there are 5 banking regulations that it is mandatory to have training on. Which regulations are they?