Products and Services Risk

Review your products and services to determine how they might be used to launder money or finance terrorism. Key risk factors might include the ability to pay third parties, complexity or anonymity, or minimal oversight.

The following specific banking products are considered high-risk:

  • Private banking

  • Offshore international activity

  • Deposit taking facilities

  • Wire transfer and cash management functions

  • Transactions where the beneficiary is hidden

  • Loan guarantee schemes (where some or all of the loan is guaranteed by a third party)

  • Travellers cheques, bank cheques, money orders

  • Foreign exchange

  • Trade financing with unusual pricing features

  • Payable through accounts (PTAs)

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