Certified Bank Secrecy Act Officer (CBSAO) Practice Exam Questions And Correct Answers (Verified Answers) Plus Rationales |2026 Q&A | Instant Download Pdf

Certified Bank Secrecy Act Officer (CBSAO)
Practice Exam Questions And Correct Answers
(Verified Answers) Plus Rationales |2026 Q&A |
Instant Download Pdf


1. The primary purpose of the Bank Secrecy Act (BSA) is to:
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A. Regulate interest rates charged by banks
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B. Prevent insider trading in financial markets
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C. Prevent and detect money laundering and financial crimes
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D. Oversee the FDIC insurance process
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Rationale: The BSA was enacted to help financial institutions detect and
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g prevent money laundering and other illicit financial activities.
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2. Which agency has the primary responsibility for enforcing the Bank
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g Secrecy Act?
g

,A. OCC
B. FinCEN
C. FDIC
D. Federal Reserve g




Rationale: FinCEN (Financial Crimes Enforcement Network) is the U.S.
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g Department of the Treasury bureau responsible for administering
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g and enforcing the BSA.
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3. A Currency Transaction Report (CTR) must be filed when a customer
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g conducts transactions totaling more than:
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A. $5,000 in a single day g g g g




B. $10,000 in a single day g g g g




C. $15,000 in a week g g g




D. $25,000 in a month g g g




Rationale: The BSA requires CTRs for cash transactions exceeding $10,000
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g in one business day.
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4. What is the retention period for BSA records such as CTRs and SARs?
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A. 2 yearsg




B. 5 yearsg




C. 7 yearsg




D. 10 years g

,Rationale: Financial institutions must keep BSA-related records, including
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g CTRs and SARs, for at least five years.
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5. Suspicious Activity Reports (SARs) are required for suspicious transactions
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g involving at least:
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A. $1,000
B. $5,000
C. $10,000
D. $25,000
Rationale: Financial institutions must file a SAR when they detect
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g suspicious transactions involving at least $5,000 or more.
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6. Which of the following is not considered a pillar of an effective BSA/AML
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g compliance program? g




A. Designation of a BSA compliance officer g g g g g




B. Independent testing g




C. Marketing strategies g




D. Ongoing employee training g g




Rationale: The five pillars are internal controls, compliance officer,
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g training, independent testing, and customer due diligence—marketing is
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g not part of them.
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, 7. The Customer Identification Program (CIP) requires banks to collect which
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g of the following?
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A. Customer’s occupation g




B. Employer name g




C. Name, date of birth, address, and identification number
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D. Tax filing history
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Rationale: CIP mandates these four key elements to verify a customer’s
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g identity.



8. Who is responsible for approving the BSA/AML compliance program?
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A. Compliance officer g




B. Risk manager
g




C. Board of directors g g




D. Internal auditor g




Rationale: The board of directors must formally approve the BSA/AML
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g compliance program to ensure oversight and accountability.
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9. Which law expanded the scope of the BSA following the September 11
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g attacks?
A. Fair Credit Reporting Act
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B. Dodd-Frank Act g




C. USA PATRIOT Act
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D. Gramm-Leach-Bliley Act g