What is the use of Transaction Reporting? TO PREVENT, CATCH AND INVESTIGATE ANY IRREGULARITIES BEHIND ANY TRANSACTION IN OR OUT OF A BANK THAT COULD BE RELATED TO A CRIMINAL ACTIVITY AND APPREHEND THOSE WHO ARE GUILTY OF NOT ONLY HIDING MONEY FROM THE TAXMAN BUT ALSO MONEY FROM ILL GOTTEN GAINS!
SO HOW DO YOU GO ABOUT THIS?
WHO DOES THIS?
WHO DO THEY REPORT TO?
WHY IS IT SO IMPORTANT?
WHAT TRIGGERS AN INVESTIGATION?
Well it is a simple but complicate way of doing things to make the system work and this is how they do it:
- 1) THE BANKS AND FINANCIAL INSTITUTIONS: all banks and financial institutions should be participating in the report,
They should keep track of all irregular money coming into or leaving a certain account of a group of accounts.
- 2) Usually, they tend to look at large sums and if at regular times and intervals as well as if more than $ 10 000, but can go faster smaller amounts if the transactions don’t make sense or are very peculiar or irregular, here are some examples:
- – large sums of money from the same person to either another person in a different country but no record of the deposited having any income as in a salary
- – smaller amounts by a person also with no income but to different people either large sums or smaller amounts but on regular basis but Transaction Reporting in place
- 3) Large sums of money received but the person who received is known to be either local in the area or someone the bank knows has either no job or earns way less than what is getting deposited
- 4) deposits into an account and that money gets taken out within 24 hrs again!
WHAT CAN A BANK DO?
These reports are done daily and get monitored and if my irregularities are four it gets reported immediately to the correct federal official and they hand to take over the case and even have the right to confiscate that monies if discovered, was gotten through illegal activities or avoiding of taxes
All this can help federal and state officials to not only track down criminals but put them away for a long time behind bars and they will not have access to their monies either