Which term is a Money Services Business regulated by FinCEN?

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Multiple Choice

Which term is a Money Services Business regulated by FinCEN?

FinCEN regulates a Money Services Business under the Bank Secrecy Act. The term used to label these entities is MSB, or Money Services Business. An MSB is a business that engages in specific money services activities such as money transmission, check cashing, currency exchange, and the issuance of money orders or traveler’s checks, as well as prepaid access providers. Banks and other traditional depository institutions aren’t MSBs, even though they must comply with BSA requirements through their regular banking regulation. Money Transmission describes one of the activities that can make a business an MSB, rather than the regulatory category itself. The other terms don’t denote the regulated category FinCEN uses. So the term that identifies a Money Services Business regulated by FinCEN is MSB (Money Services Business).

FinCEN regulates a Money Services Business under the Bank Secrecy Act. The term used to label these entities is MSB, or Money Services Business. An MSB is a business that engages in specific money services activities such as money transmission, check cashing, currency exchange, and the issuance of money orders or traveler’s checks, as well as prepaid access providers. Banks and other traditional depository institutions aren’t MSBs, even though they must comply with BSA requirements through their regular banking regulation. Money Transmission describes one of the activities that can make a business an MSB, rather than the regulatory category itself. The other terms don’t denote the regulated category FinCEN uses. So the term that identifies a Money Services Business regulated by FinCEN is MSB (Money Services Business).

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