The training department is conducting awareness training for unusual customer identification scenarios. Which two indicators should be included? (Choose two.)
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A. B. C. D. E.CD
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When conducting awareness training for unusual customer identification scenarios, there are several indicators that the training department should consider including. The two indicators that should be included are:
B. The customer opens the account in the name of a family member who begins making large deposits.
This scenario is often referred to as "third-party deposits." It occurs when a customer opens an account in the name of a family member or friend and then begins making large deposits into the account. This can be a red flag for money laundering, as the customer may be using the account to hide the true source of the funds.
E. The customer's internet protocol address does not match the identifying information provided during online registration.
This scenario involves a customer registering for an account online but providing false or misleading information. One way to identify this is to compare the customer's internet protocol (IP) address with the identifying information provided during registration. If the IP address does not match the identifying information, this could be a red flag for money laundering or other illegal activity.
It's worth noting that the other answer options are also potential indicators of unusual customer identification scenarios and could be included in training as well. For example:
A. The customer's name and home address cannot be verified.
This scenario can be a red flag for identity theft or fraud. If a customer's name and home address cannot be verified, this could indicate that the customer is using false or stolen identification information.
C. The customer requests payment of proceeds to an unrelated third party.
This scenario can be a red flag for money laundering or terrorist financing. If a customer requests that proceeds be paid to an unrelated third party, this could be an attempt to conceal the true source of the funds.
D. The customer frequently exchanges small bills for large bills.
This scenario can be a red flag for structuring, which is the practice of making small transactions to avoid reporting requirements. If a customer frequently exchanges small bills for large bills, this could be an attempt to avoid detection and hide the true source of the funds.
In summary, when conducting awareness training for unusual customer identification scenarios, it's important to consider a range of potential indicators and provide detailed explanations of each. By doing so, employees can better identify and respond to suspicious activity, ultimately helping to prevent money laundering and other illegal activity.