Regulators: Don’t be afraid to innovate when it comes to BSA compliance

Federal financial regulators, including the NCUA, recently issued a joint statement encouraging banks and credit unions to “consider, evaluate and where appropriate responsibly implement innovative approaches” to meet their BSA compliance obligations.

Here are my takeaways, but please read the memo and decide for yourself how best to integrate this joint statement into your compliance framework if you think it’s appropriate.

  • Developing technology, such as artificial intelligence, is well-suited for helping credit unions enhance their BSA programs.
  • Far from discouraging innovative approaches, regulators are encouraging pilot programs to test and validate the effectiveness of these new approaches.


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