
US agencies urge banks to avoid de-risking
US agencies have issued a joint statement reminding banks that no customer type presents a single level of uniform risk or a particular risk profile related to money laundering, terrorist financing, or other illicit financial activity.
Consequently, they say banks should adhere to a risk-based approach to assessing customer relationships and conducting customer due diligence (CDD) according to the statement issued on 6 July by the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the Financial Crimes Enforcement Network, the National Credit Union Administration, and the Office of the Comptroller of the Currency.
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