Question & Answer

Question: The tier II exemption procedures for BSA appear to use a different definition of transaction accounts than that in Regulation D. Can we exempt money market deposit accounts and savings accounts?

Answer: No. FinCEN has opined that only checking accounts are eligible for exemptions. If you have exempted MMDAs or other savings accounts you should take steps to immediately revoke that exemption and begin filing CTRs for reportable transactions involving those accounts.

Copyright © 1999 Compliance Action. Originally appeared in Compliance Action, Vol. 4, No. 9, 7/99