Transactions Requiring FinCEN Form 104: CTR | CRCM Exam Preparation

Which Transactions Require Completion of FinCEN Form 104? | CRCM Exam Preparation

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Question

Which of the following transactions requires completion of FinCEN Form 104, a CTR?

Answers

Explanations

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A. B. C. D.

D

The Currency Transaction Report (CTR) is a report that must be filed with the Financial Crimes Enforcement Network (FinCEN) for any transaction involving currency (cash) that exceeds $10,000 in a single business day. The purpose of the CTR is to help prevent money laundering and other financial crimes.

Let's evaluate each transaction:

A. Deposit of checks totaling $12,000 to a checking account: This transaction does not require completion of FinCEN Form 104, a CTR, because it does not involve currency (cash). However, if the deposit was made in cash or a combination of cash and checks that exceeds $10,000 in a single business day, then a CTR must be filed.

B. Cash purchase of a cashier's check for $7,800: This transaction does not require completion of FinCEN Form 104, a CTR, because the amount involved is less than $10,000.

C. Cash withdrawal of $3,000 from a checking account: This transaction does not require completion of FinCEN Form 104, a CTR, because the amount involved is less than $10,000.

D. Cashing of a $14,000 check for a customer: This transaction requires completion of FinCEN Form 104, a CTR, because it involves currency (cash) and exceeds $10,000 in a single business day.

In summary, the only transaction that requires completion of FinCEN Form 104, a CTR, is option D, cashing of a $14,000 check for a customer.