Practice Test Geeks(ACAMS) Association of Certified Anti-Money Laundering Specialists Practice Test
← All ACAMS Flashcard Decks

Basic Flashcards

7 cards from real ACAMS practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Basic flashcards as text

  1. Under the Bank Secrecy Act, at what dollar threshold must a financial institution file a Currency Transaction Report (CTR)?

    Answer: $10,000

    The BSA requires a CTR to be filed for any cash transaction exceeding $10,000 in a single business day.

  2. Which international body is primarily responsible for setting global AML/CFT standards and conducting mutual evaluations of member countries?

    Answer: The Financial Action Task Force (FATF)

    FATF issues the 40 Recommendations that form the international framework for combating money laundering and terrorist financing.

  3. What is 'tipping off' in the context of AML compliance?

    Answer: Alerting a subject that they are under investigation or a SAR has been filed

    Tipping off is the prohibited act of disclosing to a suspect that a SAR has been filed or that they are under scrutiny.

  4. The FinCEN 314(a) program allows which of the following?

    Answer: Law enforcement to request financial institutions to search records for named subjects

    Section 314(a) of the USA PATRIOT Act permits law enforcement to send requests to FinCEN, which then notifies financial institutions to search their records.

  5. What is the primary purpose of a Suspicious Activity Report (SAR)?

    Answer: To alert financial intelligence units to potentially illicit activity

    SARs are filed with FinCEN to flag transactions or behaviors that may indicate money laundering, fraud, or other criminal activity.

  6. In correspondent banking, what is a 'nested' correspondent relationship?

    Answer: A bank using another bank's correspondent account to access financial services

    Nesting occurs when a respondent bank allows third-party banks to transact through its correspondent account, creating additional layers and risk.

  7. Which of the following best describes the concept of a 'risk-based approach' in AML compliance?

    Answer: Allocating resources and controls proportionate to the level of money laundering risk identified

    A risk-based approach focuses more intensive due diligence and monitoring on higher-risk customers and transactions while applying standard controls to lower-risk ones.