FinCEN Temporarily Suspends Beneficial Ownership Requirements for Automatic Renewal Products

Responding to concerns raised by the American Bankers Association and others in the banking industry, the Financial Crimes Enforcement Network announced today that it is temporarily suspending the application of the beneficial ownership requirements for certificate of deposit rollovers and loans that renew automatically. FinCEN Director Ken Blanco made the announcement during a House Financial Services subcommittee hearing on the implementation of the new customer due diligence rule, which recently took effect.

The relief is retroactive to the May 11 compliance date and will continue until August 9, 2018. During that time, FinCEN will re-evaluate the requirement to determine if more permanent relief is needed. For more information, contact ABA’s Rob Rowe.