Exam CRCM topic 1 question 252 discussion

Question in guide. While all the options listed are important components of an anti-money laundering (AML) program, monitoring cash transactions of less than $10,000 for suspicious patterns is often the most effective method for detecting potential money laundering activities. Many illicit activities involve structuring transactions to avoid triggering reporting thresholds, such as the $10,000 Currency Transaction Report (CTR) threshold. Therefore, monitoring transactions below this threshold for unusual patterns or behavior can help identify suspicious activity that might otherwise go unnoticed. Option D emphasizes proactive monitoring for suspicious patterns, which can help detect and prevent money laundering activities regardless of the transaction amount. It complements other measures such as CTR reporting and Suspicious Activity Report (SAR) filing, which focus on specific transaction thresholds.