Discuss Acams CKYCA Exam Topic 1 Question 11

Which customer type represents the highest risk of money laundering to a financial institution?

APayment service provider

BConstruction company

CAccounting firm

DWholesale food distributor

Suggested Answer: A

Payment service providers pose higher money laundering risk because they handle high volumes of transactions, often across multiple jurisdictions, and may process funds on behalf of third parties, increasing the potential for illicit activity.

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15 comments · newest first

Annice 3 months ago

D) Wholesale food distributor seems less risky to me. More regulated.

Jody 3 months ago

C) Accounting firm could also be risky. They handle sensitive financial info.

Laine 3 months ago

True, but construction often involves large sums and less scrutiny.

Glenna 3 months ago

But A) Payment service provider has a lot of anonymous transactions. That's risky too.

Rutha 4 months ago

I agree, Alex. They can easily hide money flows.

Stevie 4 months ago

I think B) Construction company is the highest risk. Lots of cash transactions.

Edmond 4 months ago

I agree with A, but I wonder if B is close behind.

Sabra 4 months ago

Surprised to see D) Wholesale food distributor not mentioned more.

Kimbery 4 months ago

C) Accounting firm? Really? That seems off.

Aleisha 6 months ago

I think B) Construction company is riskier. Lots of cash deals.

Mari 6 months ago

Definitely A) Payment service provider. High volume transactions!

Wai 7 months ago

I remember reading that wholesale food distributors can be involved in money laundering, but I’m not confident about which one is the highest risk.

Cassie 7 months ago

I practiced a similar question, and I think accounting firms might have some risk, but I don’t recall the specifics.

Tequila 7 months ago

I feel like payment service providers could be risky too, especially with all the online transactions. I need to double-check my notes on that.

Joni 7 months ago

I think it might be the construction company, but I’m not entirely sure. I remember something about high cash transactions being a red flag.

Acams CKYCA Exam - Topic 1 Question 11 Discussion