A money services business files a suspicious activity report (SAR) with FinCEN no later than 30 calendar days after it first detects facts that may be a basis for one (31 CFR 1022.320(b)(3)). It applies to transactions of at least $2,000 that it knows or suspects are suspicious. For ongoing violations that need immediate attention, it also calls law enforcement immediately.
When a transaction is reportable
A transaction conducted or attempted by, at or through your business is reportable if it involves or adds up to at least $2,000 and you know, suspect or have reason to suspect that it, or a pattern it's part of (31 CFR 1022.320(a)(2)):
- Involves funds from illegal activity, or is meant to hide or disguise them
- Is designed to evade Bank Secrecy Act requirements, for example by structuring
- Has no business or apparent lawful purpose, and you know of no reasonable explanation after looking at the facts
- Uses your business to facilitate criminal activity
When the clock starts
The 30 days run from the date you first detect facts that may be a basis for filing, not from the date of the transaction. They're calendar days, so weekends and holidays count.
Urgent cases
For violations that need immediate attention, such as an ongoing money laundering scheme, call an appropriate law enforcement authority immediately, and still file the SAR.
Keep it confidential
Don't disclose a SAR or anything that would reveal one exists, including to the people involved (1022.320(d)). If you're subpoenaed or asked for one, decline, cite the rule and tell FinCEN about the request.
Keep the records
Keep a copy of every SAR and the original or business record equivalent of the supporting documents for 5 years from the date you file. Supporting documents count as filed with the SAR and go to FinCEN or law enforcement on request.
Currency transaction reports
A separate report, the currency transaction report, covers each cash transaction of more than $10,000, whether or not it's suspicious (31 CFR 1010.311). It's due within 15 days of the transaction (1010.306(a)).
The deadlines that are on a calendar
SARs and currency transaction reports come when something happens. The recurring ones, such as the FinCEN registration renewal, the NMLS renewal and the MSB Call Report, are in the US money transmitter checklist.
Get reminded before each deadline
Regmindr sets up your compliance calendar from a template in about two minutes, and emails your team before each deadline is due.
Sources
- 31 CFR 1022.320: Reports by money services businesses of suspicious transactions
- 31 CFR 1010.311: Filing obligations for reports of transactions in currency
- 31 CFR 1010.306: Filing of reports
This page is a summary, not legal or regulatory advice. The rules in the sources above take precedence.