During a post-application update, a risk reviewer encounters a Fraud Detection and Reporting issue. Which response should select the answer that fits the governing requirement?
Correct Answer
B) Do not tell the borrower whether a SAR will be filed
SAR rules require reporting or escalation of suspicious activity and prohibit tipping off subjects. The best answer is "Do not tell the borrower whether a SAR will be filed".
Why This Is the Correct Answer
SAR rules require reporting or escalation of suspicious activity and prohibit tipping off subjects. The best answer is "Do not tell the borrower whether a SAR will be filed".
More Ethics & Fraud Questions
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A processor asks how to handle a file where an outside party asks for borrower bank statements without a permissible basis. Which response is most accurate?
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