Bank and credit unions have an additional six months to reformat how they process transactions as part of an effort to enforce government blacklists, the rule-making body for electronic payment systems said. The Herndon, Va.-based National Automated Clearinghouse Association (NACHA), which supervises the automated clearing house (ACH) electronic payment network, said in March that financial institutions must distinguish transactions received from outside of the United States as an international transaction. The new rule, which is intended to ease compliance with the U.S. Treasury Department's economic sanctions lists, also requires that payments have the Bank Secrecy Act's so-called "travel rule" information,...
Border banks are accepting potentially fraudulent copies of cash declaration forms to justify bulk cash deposits by individuals traveling from Mexico into the United States, say law enforcement officials.
Finding themselves locked out of some large U.S. banks because of compliance concerns, third-party payment processors are increasingly turning to small- and mid-sized institutions for financial services, say consultants.
Some banks have yet to comply with new rules on international automated clearing house transactions nearly five months after a regulatory deadline for implementation has passed, according to consultants.