ALEXANDRIA, Va.–NCUA, along with the Financial Crimes Enforcement Network and three other federal depository institutions regulators, has issued a joint statement encouraging depository institutions to explore innovative approaches to meet their Bank Secrecy Act and anti-money laundering compliance obligations and to further strengthen the financial system against illicit financial activity.
The joint-agency statement recognizes that private sector innovation, including new ways of using existing tools or adopting new technologies, can help combat money laundering, terrorist financing, and other illicit financial activity, the agencies said.
“Depository institutions are encouraged to implement innovative approaches responsibly where appropriate,” the regulators said. “The statement also makes clear that regulators are committed to continued engagement with the private sector to modernize and innovate in their BSA/AML compliance programs.”
‘No Supervisory Expectations’
NCUA said it is establishing no new supervisory expectations related to the use of innovative strategies or technology like those discussed in the joint-agency statement and a credit union’s participation in such innovations related to BSA/AML compliance will not affect the agency’s assessment.
The regulators said they also welcome industry feedback on how they can best support innovative efforts through supervisory processes, regulations, and guidance.
Those wishing to share such feedback in writing may do so by sending their submission electronically to FinCEN at innovation@fincen.gov.