Summary: Proposed Rule

Financial Crimes Enforcement Network
Customer Identification Programs, Anti-Money Laundering Programs, and Beneficial Ownership Requirements for Banks Lacking a Federal Functional Regulator

31 CFR Parts 1010 and 1020

Prepared by NASCUS Legislative & Regulatory Affairs Department
August 2016

The Financial Crimes Enforcement Network (FinCEN) issued a proposed rule that would remove an anti-money laundering program exemption for banks that lack a Federal functional regulator, including non-federally insured credit unions. 

Please see the proposal here.  Comments are due to FinCEN on or before October 24, 2016.


The proposed rule would do the following:

  • Prescribe minimum standards for anti-money laundering programs for banks without a Federal functional regulator to ensure that all banks are required to establish and implement anti-money laundering programs.
  • Extend customer identification program and customer due diligence program requirements to banks not already subject to those requirements. 


Comment Request

FinCEN welcomes comment on all aspects of the proposal, but seeks comments on these specific issues:

  • Whether certain banks lacking a Federal functional regulator should be excluded from the proposed rule;
  • Whether there are additional bank categories that should be included in the proposed rule;
  • Whether non-federally regulated banks should be subject to the requirements contained in the CDD rule;
  • If the requirements contained in the CDD rule and under Section 312 are imposed on non-federally regulated banks, what time period should be given to these institutions to implement such requirements; and
  • Whether there are banks that are, in fact, regulated by self-regulatory organizations.