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[Risks and Methods of Money Laundering and Terrorist Financing]
A new accounts representative recently opened an account for individual whose stated employment is tutoring students.
Which customer action indicates possible money laundering?
Suggested Answer: C
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31 comments · newest first
CA
Carlene
10 months ago
B seems normal to me, why would that be a problem?
SH
Shonda
11 months ago
I think C is the most concerning, transferring all funds like that?
NA
Naomi
11 months ago
Totally agree, A and C both raise red flags!
SI
Sina
11 months ago
Wait, why would a tutor need to move large cash deposits so quickly?
TE
Terina
11 months ago
A is definitely suspicious with those small cash deposits.
VA
Vallie
11 months ago
I recall that moving money quickly after a deposit is a classic sign of money laundering, so I'm leaning towards option C as well.
BU
Buddy
12 months ago
I think option B is a common scenario we practiced, but it feels less suspicious than transferring all funds right after a large deposit.
HE
Hester
1 year ago
I'm not entirely sure, but I feel like frequent small cash deposits could also indicate suspicious activity. It seems like something we covered in class.
GA
Gaynell
1 year ago
I remember discussing how large cash deposits followed by immediate transfers can be a red flag for money laundering. So, I think option C might be the answer.
TO
Tommy
1 year ago
Continually making small cash deposits seems like the most obvious red flag to me. That's a classic money laundering tactic to try to avoid raising suspicion.
IZ
Izetta
1 year ago
Okay, I think the key here is looking for suspicious transaction patterns that could indicate money laundering. I'll review each option and try to identify which one best fits that criteria.
AM
Amber
1 year ago
Hmm, I'm a little unsure about this one. I'll need to think through the different options carefully to make sure I understand the signs of potential money laundering.
HU
Huey
1 year ago
This one seems pretty straightforward. I'm going to focus on the key details about the customer's account activity.
DO
Dominga
1 year ago
I think D is the correct answer because it seems like a normal banking behavior.
ST
Staci
1 year ago
D) Opening a savings account and making frequent transfers from the checking account? Sounds like someone's trying to create a paper trail to cover their tracks.
RO
Roselle
1 year ago
I'm not sure, but I think B could also be a possible answer.
FR
France
1 year ago
Haha, this reminds me of that movie 'The Wolf of Wall Street' where they were shoveling cash into garbage bags. Can't go wrong with the classic approach!
DE
Denny
1 year ago
That's a red flag for sure!
CH
Christene
1 year ago
Depositing large amounts of cash into the account
BU
Bulah
1 year ago
I disagree, I believe the answer is C.
VA
Val
1 year ago
I think the answer is A) Continually making weekly small cash deposits. That's a common way to try and fly under the radar and avoid detection.
CA
Carolann
1 year ago
Hmm, I'm not sure. B) Periodically initiating wire transfers to another account owned by a relative could also be a red flag. Maybe they're trying to move money around to hide the source.
AN
Angelyn
1 year ago
B: That could also be suspicious behavior.
PE
Pete
1 year ago
A: What about if they start sending wire transfers to a relative's account?
NI
Nickolas
1 year ago
B: Yes, that could be a sign of money laundering.
CH
Chan
1 year ago
A: Have you noticed if the customer is making frequent large cash deposits?
WH
Whitley
1 year ago
I think the answer is A.
IL
Ilene
1 year ago
C) Transferring all funds to another bank on the same day of large cash deposits seems fishy to me. That's a classic money laundering tactic.
GO
Goldie
1 year ago
Hermila: It's important to be vigilant and report any suspicious activity to prevent financial crimes.
HE
Hermila
1 year ago
User 2: Definitely, that's a red flag for possible money laundering.
MA
Malissa
1 year ago
User 1: I agree, transferring all funds to another bank on the same day of large cash deposits is suspicious.