The GAO recently published the report, Bank Secrecy Act: Derisking along the Southwest Border Highlights Need for Regulators to Enhance Retrospective Reviews. The study was initiated because of reports made by Southwest border residents and businesses having difficulties in accessing banking services in the region. GAO was asked to review if Southwest border residents and businesses were losing access to banking services because of derisking and branch closures.
This report describes the types of heightened BSA/AML compliance risks that Southwest border banks may face and the BSA/AML compliance challenges they may experience; determines the extent to which banks have terminated accounts and closed branches in the region and the reasons for any terminations and closures; and evaluates how regulators have assessed and responded to concerns about derisking in the region and elsewhere, and how effective their efforts have been; among other objectives.
Learn what the GAO recommends and view the full report here.