When used in this chapter and
in forms prescribed under this chapter, where not otherwise distinctly
expressed or manifestly incompatible with the intent thereof, terms
shall have the meanings ascribed in this subpart. Terms applicable
to a particular type of financial institution or specific part or
subpart of this chapter are located in that part or subpart. Terms
may have different meanings in different parts or subparts.
(a) Accept. A receiving
financial institution, other than the recipient’s financial institution,
accepts a transmittal order by executing the transmittal order. A
recipient’s financial institution accepts a transmittal order by paying
the recipient, by notifying the recipient of the receipt of the order
or by otherwise becoming obligated to carry out the order.
(b) At one time. For purposes
of section 1010.340 of this part, a person who transports, mails,
ships or receives; is about to or attempts to transport, mail or ship;
or causes the transportation, mailing, shipment or receipt of monetary
instruments, is deemed to do so “at one time” if:
(1) That person either alone, in conjunction
with or on behalf of others;
(2) Transports, mails, ships or receives
in any manner; is about to transport, mail or ship in any manner;
or causes the transportation, mailing, shipment or receipt in any
manner of;
(3) Monetary
instruments;
(4) Into
the United States or out of the United States;
(5) Totaling more than $10,000;
(6) (i)
On one calendar day; or
(ii) If for the purpose of evading the
reporting requirements of section 1010.340, on one or more days.
(c) Attorney General. The Attorney General of the United States.
3-1700.1
(d) Bank. Each agent,
agency, branch or office within the United States of any person doing
business in one or more of the capacities listed below:
(1) A commercial bank or trust company
organized under the laws of any State or of the United States;
(2) A private bank;
(3) A savings and loan
association or a building and loan association organized under the
laws of any State or of the United States;
(4) An insured institution as defined in
section 401 of the National Housing Act;
(5) A savings bank, industrial bank or
other thrift institution;
(6) A credit union organized under the law of any State or of the
United States;
(7) Any
other organization (except a money services business) chartered under
the banking laws of any state and subject to the supervision of the
bank supervisory authorities of a State;
(8) A bank organized under foreign law;
(9) Any national banking
association or corporation acting under the provisions of section
25(a) of the Act of Dec. 23, 1913,
* as added by the Act of Dec. 24,
1919, ch. 18, 41 Stat. 378, as amended (12 U.S.C. 611-32).
(e) Bank Secrecy Act. The Currency and Foreign Transactions Reporting Act, its amendments,
and the other statutes relating to the subject matter of that Act,
have come to be referred to as the Bank Secrecy Act. These statutes
are codified at 12 U.S.C. 1829b, 12 U.S.C. 1951-1959, 18 U.S.C. 1956,
18 U.S.C. 1957, 18 U.S.C. 1960, and 31 U.S.C. 5311-5314 and 5316-5332
and notes thereto.
(f) Beneficiary. The person to be paid by the beneficiary’s bank.
(g) Beneficiary’s bank. The bank or foreign bank identified in a payment order in which
an account of the beneficiary is to be credited pursuant to the order
or which otherwise is to make payment to the beneficiary if the order
does not provide for payment to an account.
3-1700.11
(h) Broker or dealer in securities. A broker or dealer in securities, registered or required to be registered
with the Securities and Exchange Commission under the Securities Exchange
Act of 1934, except persons who register pursuant to section 15(b)(11) of the
Securities Exchange Act of 1934.
(i) Business day. As used in this chapter with
respect to banks, business day means that day, as normally communicated
to its depository customers, on which a bank routinely posts a particular
transaction to its customer’s account.
3-1700.2
(j) Commodity. Any good, article, service,
right, or interest described in section 1a(4) of the Commodity Exchange
Act (“CEA”), 7 U.S.C. 1a(4).
(k) Common carrier. Any person engaged in the
business of transporting individuals or goods for a fee who holds
himself out as ready to engage in such transportation for hire and
who undertakes to do so indiscriminately for all persons who are prepared
to pay the fee for the particular service offered.
(l) Contract of sale. Any sale,
agreement of sale, or agreement to sell as described in section 1a(7)
of the CEA, 7 U.S.C. 1a(7).
(m) Currency. The coin and paper money of the
United States or of any other country that is designated as legal
tender and that circulates and is customarily used and accepted as
a medium of exchange in the country of issuance. Currency includes
U.S. silver certificates, U.S. notes and Federal Reserve notes. Currency
also includes official foreign bank notes that are customarily used
and accepted as a medium of exchange in a foreign country.
(n) Deposit account. Deposit
accounts include transaction accounts described in paragraph (ccc)
of this section, savings accounts, and other time deposits.
(o) Domestic. When used
herein, refers to the doing of business within the United States,
and limits the applicability of the provision where it appears to
the performance by such institutions or agencies of functions within
the United States.
3-1700.21
(p) Established customer. A person with an account with the financial
institution, including a loan account or deposit or other asset account,
or a person with respect to which the financial institution has obtained
and maintains on file the person’s name and address, as well as taxpayer
identification number (e.g., social security or employer identification
number) or, if none, alien identification number or passport number
and country of issuance, and to which the financial institution provides
financial services relying on that information.
(q) Execution date. The day on which
the receiving financial institution may properly issue a transmittal
order in execution of the sender’s order. The execution date may be
determined by instruction of the sender but cannot be earlier than
the day the order is received, and, unless otherwise determined, is
the day the order is received. If the sender’s instruction states
a payment date, the execution date is the payment date or an earlier
date on which execution is reasonably necessary to allow payment to
the recipient on the payment date.
(r) Federal functional regulator.
(1) The Board of Governors of the Federal
Reserve System;
(2)
The Office of the Comptroller of the Currency;
(3) The Board of Directors of the Federal
Deposit Insurance Corporation;
(4) The Office of Thrift Supervision;
(5) The National Credit
Union Administration;
(6) The Securities and Exchange Commission; or
(7) The Commodity Futures Trading Commission.
3-1700.3
(s) FinCEN. FinCEN
means the Financial Crimes Enforcement Network, a bureau of the Department
of the Treasury.
3-1700.31
(t) Financial institution. Each agent, agency, branch, or office
within the United States of any person doing business, whether or
not on a regular basis or as an organized business concern, in one
or more of the capacities listed below:
(1) A bank (except bank credit card systems);
(2) A broker or dealer
in securities;
(3) A
money services business as defined in paragraph (ff) of this section;
(4) A telegraph company;
(5) (i) Casino. A casino or gambling casino that:
Is duly licensed or authorized to do business as such in the United
States, whether under the laws of a State or of a Territory or Insular
Possession of the United States, or under the Indian Gaming Regulatory
Act or other Federal, State, or tribal law or arrangement affecting
Indian lands (including, without limitation, a casino operating on
the assumption or under the view that no such authorization is required
for casino operation on Indian lands); and has gross annual gaming
revenue in excess of $1 million. The term includes the principal headquarters
and every domestic branch or place of business of the casino.
(ii) For purposes of this
paragraph (t)(5), “gross annual gaming revenue” means the gross gaming
revenue received by a casino, during either the previous business
year or the current business year of the casino. A casino or gambling
casino which is a casino for purposes of this chapter solely because
its gross annual gaming revenue exceeds $1,000,000 during its current
business year, shall not be considered a casino for purposes of this
chapter prior to the time in its current business year that its gross
annual gaming revenue exceeds $1,000,000.
(iii) Any reference in this chapter,
other than in this paragraph (t)(5) and in paragraph (t)(6) of this
section, to a casino shall also include a reference to a card club,
unless the provision in question contains specific language varying
its application to card clubs or excluding card clubs from its application;
(6) (i) Card club. A card club, gaming club, card room, gaming room,
or similar gaming establishment that is duly licensed or authorized
to do business as such in the United States, whether under the laws
of a State, of a Territory or Insular Possession of the United States,
or of a political subdivision of any of the foregoing, or under the
Indian Gaming Regulatory Act or other Federal, State, or tribal law
or arrangement affecting Indian lands (including, without limitation,
an establishment operating on the assumption or under the view that
no such authorization is required for operation on Indian lands for
an establishment of such type), and that has gross annual gaming revenue
in excess of $1,000,000. The term includes the principal headquarters
and every domestic branch or place of business of the establishment.
The term “casino,” as used in this chapter shall include a reference
to “card club” to the extent provided in paragraph (t)(5)(iii) of
this section.
(ii)
For purposes of this paragraph (t)(6), “gross annual gaming revenue”
means the gross revenue derived from or generated by customer gaming
activity (whether in the form of per-game or per-table fees, however
computed, rentals, or otherwise) and received by an establishment,
during either the establishment’s previous business year or its current
business year. A card club that is a financial institution for purposes
of this chapter solely because its gross annual revenue exceeds $1,000,000
during its current business year, shall not be considered a financial
institution for purposes of this chapter prior to the time in its
current business year when its gross annual revenue exceeds $1,000,000;
(7) A person
subject to supervision by any state or Federal bank supervisory authority;
(8) A futures commission
merchant;
(9) An introducing
broker in commodities; or
(10) A mutual fund.
3-1700.4
(u) Foreign bank. A bank organized under foreign
law, or an agency, branch or office located outside the United States
of a bank. The term does not include an agent, agency, branch or office
within the United States of a bank organized under foreign law.
(v) Foreign financial agency. A person acting outside the United States for a person (except for
a country, a monetary or financial authority acting as a monetary
or financial authority, or an international financial institution
of which the United States Government is a member) as a financial
institution, bailee, depository trustee, or agent, or acting in a
similar way related to money, credit, securities, gold, or a transaction
in money, credit, securities, or gold.
(w) Funds transfer. The series of transactions,
beginning with the originator’s payment order, made for the purpose
of making payment to the beneficiary of the order. The term includes
any payment order issued by the originator’s bank or an intermediary
bank intended to carry out the originator’s payment order. A funds
transfer is completed by acceptance by the beneficiary’s bank of a
payment order for the benefit of the beneficiary of the originator’s
payment order. Electronic fund transfers as defined in section 903(7)
of the Electronic Fund Transfer Act (15 U.S.C. 1693a(7)), as well
as any other funds transfers that are made through an automated clearinghouse,
an automated teller machine, or a point-of-sale system, are excluded
from this definition.
(x) Futures commission merchant. Any person registered or required
to be registered as a futures commission merchant with the Commodity
Futures Trading Commission (“CFTC”) under the CEA, except persons
who register pursuant to section 4f(a)(2) of the CEA, 7 U.S.C. 6f(a)(2).
(y) Indian Gaming Regulatory
Act. The Indian Gaming Regulatory Act of 1988, codified at 25
U.S.C. 2701-2721 and 18 U.S.C. 1166-68.
3-1700.41
(z) Intermediary bank. A receiving bank other
than the originator’s bank or the beneficiary’s bank.
(aa) Intermediary financial
institution. A receiving financial institution, other than the
transmittor’s financial institution or the recipient’s financial institution.
The term intermediary financial institution includes an intermediary
bank.
(bb) Introducing
broker-commodities. Any person registered or required to be registered
as an introducing broker with the CFTC under the CEA, except persons
who register pursuant to section 4f(a)(2) of the CEA, 7 U.S.C. 6f(a)(2).
(cc) Investment security. An instrument which:
(1) Is issued in bearer or registered form;
(2) Is of a type commonly
dealt in upon securities exchanges or markets or commonly recognized
in any area in which it is issued or dealt in as a medium for investment;
(3) Is either one of
a class or series or by its terms is divisible into a class or series
of instruments; and
(4) Evidences a share, participation or other interest in property
or in an enterprise or evidences an obligation of the issuer.
3-1700.5
(dd) Monetary instruments.
(1) Monetary instruments include:
(i) Currency;
(ii)
Traveler’s checks in any form;
(iii) All negotiable instruments (including
personal checks, business checks, official bank checks, cashier’s
checks, third-party checks, promissory notes (as that term is defined
in the Uniform Commercial Code), and money orders) that are either
in bearer form, endorsed without restriction, made out to a fictitious
payee (for the purposes of section 1010.340), or otherwise in such
form that title thereto passes upon delivery;
(iv) Incomplete instruments (including
personal checks, business checks, official bank checks, cashier’s
checks, third-party checks, promissory notes (as that term is defined
in the Uniform Commercial Code), and money orders) signed but with
the payee’s name omitted; and
(v) Securities or stock in bearer form
or otherwise
in such form that title thereto passes upon delivery.
(2) Monetary instruments
do not include warehouse receipts or bills of lading.
(ee) [Reserved]
3-1700.51
(ff) Money services business. A person wherever
located doing business, whether or not on a regular basis or as an
organized or licensed business concern, wholly or in substantial part
within the United States, in one or more of the capacities listed
in paragraphs (ff)(1) through (ff)(7) of this section. This includes
but is not limited to maintenance of any agent, agency, branch, or
office within the United States.
(1) Dealer in
foreign exchange. A person that accepts the currency, or other
monetary instruments, funds, or other instruments denominated in the
currency, of one or more countries in exchange for the currency, or
other monetary instruments, funds, or other instruments denominated
in the currency, of one or more other countries in an amount greater
than $1,000 for any other person on any day in one or more transactions,
whether or not for same-day delivery.
(2) Check casher.
(i) In general. A person that accepts checks (as defined in the Uniform Commercial
Code), or monetary instruments (as defined at section 1010.100(dd)(1)(ii),
(iii), (iv), and (v)) in return for currency or a combination of currency
and other monetary instruments or other instruments, in an amount
greater than $1,000 for any person on any day in one or more transactions.
(ii) Facts and circumstances; limitations. Whether
a person is a check casher as described in this section is a matter
of facts and circumstances. The term “check casher” shall not include:
(A) A person that sells prepaid access in exchange for a check (as
defined in the Uniform Commercial Code), monetary instrument or other
instrument;
(B) A person
that solely accepts monetary instruments as payment for goods or services
other than check cashing services;
(C) A person that engages in check cashing
for the verified maker of the check who is a customer otherwise buying
goods and services;
(D)
A person that redeems its own checks; or
(E) A person that only holds a customer’s
check as collateral for repayment by the customer of a loan.
(3) Issuer or seller of traveler’s checks or money
orders. A person that
(i) Issues traveler’s checks or money
orders that are sold in an amount greater than $1,000 to any person
on any day in one or more transactions; or
(ii) Sells traveler’s checks or money
orders in an amount greater than $1,000 to any person on any day in
one or more transactions.
(4) Provider
of prepaid access.
(i) In general. A provider of prepaid access is the participant within a prepaid
program that agrees to serve as the principal conduit for access to
information from its fellow program participants. The participants
in each prepaid access program must determine a single participant
within the prepaid program to serve as the provider of prepaid access.
(ii) Considerations for provider determination. In the absence of registration as the provider of prepaid access
for a prepaid program by one of the participants in a prepaid access
program, the provider of prepaid access is the person with principal
oversight and control over the prepaid program. Which person exercises
“principal oversight and control” is a matter of facts and circumstances.
Activities that indicate “principal oversight and control” include:
(A) Organizing the prepaid program;
(B) Setting the terms and conditions of the
prepaid program and determining that the terms have not been exceeded;
(C) Determining the other
businesses that will participate in the prepaid program, which may
include the issuing bank, the payment processor, or the distributor;
(D) Controlling or directing
the appropriate party to initiate, freeze, or terminate prepaid access;
and
(E) Engaging in activity
that demonstrates oversight and control of the prepaid program.
(iii) Prepaid program. A prepaid program is an
arrangement under which one or more persons acting together provide(s)
prepaid access. However, an arrangement is not a prepaid program if:
(A) It provides closed loop prepaid access to funds not to exceed
$2,000 maximum value that can be associated with a prepaid access
device or vehicle on any day;
(B) It provides prepaid access solely to funds
provided by a Federal, State, local, Territory and Insular Possession,
or Tribal government agency;
(C) It provides prepaid access solely to funds from pre-tax flexible
spending arrangements for health care and dependent care expenses,
or from Health Reimbursement Arrangements (as defined in 26 U.S.C.
105(b) and 125) for health care expenses; or
(D)
(1) It provides prepaid access solely to:
(i) Employment benefits, incentives,
wages or salaries; or
(ii) Funds not to exceed $1,000 maximum value and from which
no more than $1,000 maximum value can be initially or subsequently
loaded, used, or withdrawn on any day through a device or vehicle;
and
(2) It does not permit:
(i) Funds or value to be transmitted internationally;
(ii) Transfers between
or among users of prepaid access within a prepaid program; or
(iii) Loading additional
funds or the value of funds from non-depository sources.
(5) Money transmitter.
(i) In general.
(A) A person that provides money transmission services. The term
“money transmission services” means the acceptance of currency, funds,
or other value that substitutes for currency from one person and the transmission of currency, funds, or other value that substitutes
for currency to another location or person by any means. “Any means”
includes, but is not limited to, through a financial agency or institution;
a Federal Reserve Bank or other facility of one or more Federal Reserve
Banks, the Board of Governors of the Federal Reserve System, or both;
an electronic funds transfer network; or an informal value transfer
system; or
(B) Any other
person engaged in the transfer of funds.
(ii) Facts and circumstances; limitations. Whether a person is a
money transmitter as described in this section is a matter of facts
and circumstances. The term “money transmitter” shall not include
a person that only:
(A) Provides the delivery, communication,
or network access services used by a money transmitter to support
money transmission services;
(B) Acts as a payment processor to facilitate the purchase of, or
payment of a bill for, a good or service through a clearance and settlement
system by agreement with the creditor or seller;
(C) Operates a clearance and settlement system
or otherwise acts as an intermediary solely between BSA regulated
institutions. This includes but is not limited to the Fedwire system,
electronic funds transfer networks, certain registered clearing agencies
regulated by the Securities and Exchange Commission (“SEC”), and derivatives
clearing organizations, or other clearinghouse arrangements established
by a financial agency or institution;
(D) Physically transports currency, other
monetary instruments, other commercial paper, or other value that
substitutes for currency as a person primarily engaged in such business,
such as an armored car, from one person to the same person at another
location or to an account belonging to the same person at a financial
institution, provided that the person engaged in physical transportation
has no more than a custodial interest in the currency, other monetary
instruments, other commercial paper, or other value at any point during
the transportation;
(E)
Provides prepaid access; or
(F) Accepts and transmits funds only integral to the sale of goods
or the provision of services, other than money transmission services,
by the person who is accepting and transmitting the funds.
(6) U.S. Postal Service. The United States
Postal Service, except with respect to the sale of postage or philatelic
products.
(7) Seller of prepaid access. Any person that
receives funds or the value of funds in exchange for an initial loading
or subsequent loading of prepaid access if that person:
(i) Sells
prepaid access offered under a prepaid program that can be used before
verification of customer identification under section 1022.210(d)(1)(iv);
or
(ii) Sells prepaid
access (including closed loop prepaid access) to funds that exceed
$10,000 to any person during any one day, and has not implemented
policies and procedures reasonably adapted to prevent such a sale.
(8) Limitation. For the purposes of this section,
the term “money services business” shall not include:
(i) A bank
or foreign bank;
(ii) A person registered with, and functionally regulated or examined
by, the SEC or the CFTC, or a foreign financial agency that engages
in financial activities that, if conducted in the United States, would
require the foreign financial agency to be registered with the SEC
or CFTC; or
(iii)
A natural person who engages in an activity identified in paragraphs
(ff)(1) through (ff)(5) of this section on an infrequent basis and
not for gain or profit.
(gg) Mutual fund. An “investment company”
(as the term is defined in section 3 of the Investment Company Act
(15 U.S.C. 80a-3)) that is an “open-end company” (as that term is
defined in section 5 of the Investment Company Act (15 U.S.C. 80a-5))
that is registered or is required to register with the Commission
under section 8 of the Investment Company Act (15 U.S.C. 80a-8).
(hh) Option on a commodity. Any agreement, contract, or transaction described in section 1a(26)
of the CEA, 7 U.S.C. 1a(26).
3-1700.6
(ii) Originator. The sender of the first payment
order in a funds transfer.
(jj) Originator’s bank. The receiving bank to
which the payment order of the originator is issued if the originator
is not a bank or foreign bank, or the originator if the originator
is a bank or foreign bank.
(kk) Payment date. The day on which the amount
of the transmittal order is payable to the recipient by the recipient’s
financial institution. The payment date may be determined by instruction
of the sender, but cannot be earlier than the day the order is received
by the recipient’s financial institution and, unless otherwise prescribed
by instruction, is the date the order is received by the recipient’s
financial institution.
(ll) Payment order. An instruction of a sender
to a receiving bank, transmitted orally, electronically, or in writing,
to pay, or to cause another bank or foreign bank to pay, a fixed or
determinable amount of money to a beneficiary if:
(1) The instruction does not state a condition
to payment to the beneficiary other than time of payment;
(2) The receiving
bank is to be reimbursed by debiting an account of, or otherwise receiving
payment from, the sender; and
(3) The instruction is transmitted by the
sender directly to the receiving bank or to an agent, funds transfer
system, or communication system for transmittal to the receiving
bank.
(mm) Person. An individual, a corporation, a partnership, a trust
or estate, a joint stock company, an association, a syndicate, joint
venture, or other unincorporated organization or group, an Indian
Tribe (as that term is defined in the Indian Gaming Regulatory Act),
and all entities cognizable as legal personalities.
3-1700.61
(nn) Receiving bank. The
bank or foreign bank to which the sender’s instruction is addressed.
(oo) Receiving financial
institution. The financial institution or foreign financial agency
to which the sender’s instruction is addressed. The term receiving
financial institution includes a receiving bank.
(pp) Recipient. The person to be paid
by the recipient’s financial institution. The term recipient includes
a beneficiary, except where the recipient’s financial institution
is a financial institution other than a bank.
(qq) Recipient’s financial institution. The
financial institution or foreign financial agency identified in a
transmittal order in which an account of the recipient is to be credited
pursuant to the transmittal order or which otherwise is to make payment
to the recipient if the order does not provide for payment to an account.
The term recipient’s financial institution includes a beneficiary’s
bank, except where the beneficiary is a recipient’s financial institution.
3-1700.7
(rr) Secretary. The
Secretary of the Treasury or any person duly authorized by the Secretary
to perform the function mentioned.
(ss) Security. Security means any instrument
or interest described in section 3(a)(10) of the Securities Exchange
Act of 1934, 15 U.S.C. 78c(a)(10).
(tt) Self-regulatory organization:
(1) Shall have the same meaning as provided
in section 3(a)(26) of the Securities Exchange Act of 1934 (15 U.S.C.
78c(a)(26)); and
(2)
Means a “registered entity” or a “registered futures association”
as provided in section 1a(29) or 17, respectively, of the Commodity
Exchange Act (7 U.S.C. 1a(29), 21).
(uu) Sender. The person giving the
instruction to the receiving financial institution.
(vv) State. The States of the United
States and, wherever necessary to carry out the provisions of this
chapter, the District of Columbia.
3-1700.71
(ww) Prepaid access. Access to funds or the
value of funds that have been paid in advance and can be retrieved
or transferred at some point in the future through an electronic device
or vehicle, such as a card, code, electronic serial number, mobile
identification number, or personal identification number.
(xx) Structure (structuring). For purposes of section 1010.314, a person structures a transaction
if that person, acting alone, or in conjunction with, or on behalf
of, other persons, conducts or attempts to conduct one or more transactions
in currency, in any amount, at one or more financial institutions,
on one or more days, in any manner, for the purpose of evading the
reporting requirements under sections 1010.311, 1010.313, 1020.315,
1021.311 and 1021.313 of this chapter. “In any manner” includes, but
is not limited to, the breaking down of a single sum of currency exceeding
$10,000 into smaller sums, including sums at or below $10,000, or
the conduct of a transaction, or series of currency transactions at
or below $10,000. The transaction or transactions need not exceed
the $10,000 reporting threshold at any single financial institution
on any single day in order to constitute structuring within the meaning
of this definition.
(yy) Taxpayer Identification Number. Taxpayer Identification Number
(“TIN”) is defined by section 6109 of the Internal Revenue Code of
1986 (26 U.S.C. 6109) and the Internal Revenue Service regulations
implementing that section (e.g., social security number or employer
identification number).
(zz) Territories and Insular Possessions. The Commonwealth of Puerto
Rico, the United States Virgin Islands, Guam, the Commonwealth of
the Northern Mariana Islands, and all other territories and possessions
of the United States other than the Indian lands and the District
of Columbia.
(aaa) [Reserved]
(bbb) Transaction.
(1) Except as provided in paragraph (bbb)(2)
of this section, transaction means a purchase, sale, loan, pledge,
gift, transfer, delivery, or other disposition, and with respect to
a financial institution includes a deposit, withdrawal, transfer between
accounts, exchange of currency, loan, extension of credit, purchase
or sale of any stock, bond, certificate of deposit, or other monetary
instrument, security, contract of sale of a commodity for future delivery,
option on any contract of sale of a commodity for future delivery,
option on a commodity, purchase or redemption of any money order,
payment or order for any money remittance or transfer, purchase or
redemption of casino chips or tokens, or other gaming instruments
or any other payment, transfer, or delivery by, through, or to a financial
institution, by whatever means effected.
(2) For purposes of sections 1010.311,
1010.313, 1020.315, 1021.311, 1021.313, and other provisions of this
chapter relating solely to the report required by those sections,
the term “transaction in currency” shall mean a transaction involving
the physical transfer of currency from one person to another. A transaction
which is a transfer of funds by means of bank check, bank draft, wire
transfer, or other written order, and which does not include the physical
transfer of currency, is not a transaction in currency for this purpose.
(ccc) Transaction
account. Transaction accounts include those accounts described
in 12 U.S.C. 461(b)(1)(C), money market accounts and similar accounts
that take deposits and are subject to withdrawal by check or other
negotiable order.
3-1700.8
(ddd) Transmittal of funds. A series of transactions beginning with
the transmittor’s transmittal order, made for the purpose of making
payment to the recipient of the order. The term includes any transmittal
order issued by the transmittor’s financial institution or an intermediary
financial institution intended to carry out the transmittor’s transmittal
order. The term transmittal of funds includes a funds transfer. A
transmittal of funds is completed by acceptance by the recipient’s
financial institution of a transmittal order for the benefit of the
recipient of the transmittor’s transmittal order. Electronic fund
transfers as defined in section 903(7) of the Electronic Fund Transfer
Act (15 U.S.C. 1693a(7)), as well as any other funds transfers that
are made through an automated clearinghouse, an automated teller machine,
or a point-of-sale system, are excluded from this definition.
(eee) Transmittal order. The term transmittal order includes a payment order and is an instruction
of a sender to a receiving financial institution, transmitted orally,
electronically, or in writing, to pay, or cause another financial
institution or foreign financial agency to pay, a fixed or determinable
amount of money to a recipient if:
(1) The instruction does not state a condition
to payment to the recipient other than time of payment;
(2) The receiving financial
institution is to be reimbursed by debiting an account of, or otherwise
receiving payment from, the sender; and
(3) The instruction is transmitted by the
sender directly to the receiving financial institution or to an agent
or communication system for transmittal to the receiving financial
institution.
(fff) Transmittor. The sender of the first transmittal
order in a transmittal of funds. The term transmittor includes an
originator, except where the transmittor’s financial institution is
a financial institution or foreign financial agency other than a bank
or foreign bank.
(ggg) Transmittor’s
financial institution. The receiving financial institution to
which the transmittal order of the transmittor is issued if the transmittor
is not a financial institution or foreign financial agency, or the
transmittor if the transmittor is a financial institution or foreign
financial agency. The term transmittor’s financial institution includes
an originator’s bank, except where the originator is a transmittor’s
financial institution other than a bank or foreign bank.
3-1700.81
(hhh) United States. The
States of the United States, the District of Columbia, the Indian
lands (as that term is defined in the Indian Gaming Regulatory Act),
and the Territories and Insular Possessions of the United States.
(iii) U.S. person.
(1) A United States citizen;
or
(2) A person other
than an individual (such as a corporation, partnership or trust),
that is established or organized under the laws of a State or the
United States. Non-U.S. person means a person that is not a U.S. person.
(jjj) U.S. Postal
Service. The United States Postal Service, except with respect
to the sale of postage or philatelic products.
(kkk) Closed loop prepaid access. Prepaid
access to funds or the value of funds that can be used only for goods
or services in transactions involving a defined merchant or location
(or set of locations), such as a specific retailer or retail chain,
a college campus, or a subway system.
(lll) Loan or finance company. A person
engaged in activities that take place wholly or in substantial part
within the United States in one or more of the capacities listed below,
whether or not on a regular basis or as an organized business concern.
This includes but is not limited to maintenance of any agent, agency,
branch, or office within the United States. For the purposes of this
paragraph (lll), the term “loan or finance company” shall include
a sole proprietor acting as a loan or finance company, and shall not
include: A bank, a person registered with and functionally regulated
or examined by the Securities and Exchange Commission or the Commodity
Futures Trading Commission, any government sponsored enterprise regulated
by the Federal Housing Finance Agency, any Federal or state agency
or authority administering mortgage or housing assistance, fraud prevention
or foreclosure prevention programs, or an individual employed by a
loan or finance company or financial institution under this part.
A loan or finance company is not a financial institution as defined
in the regulations in this part at 1010.100(t).
(1) Residential
mortgage lender or originator. A residential mortgage lender
or originator includes:
(i) Residential
mortgage lender. The person to whom the debt arising from a residential
mortgage loan is initially payable on the face of the evidence of
indebtedness or, if there is no such evidence of indebtedness, by
agreement, or to whom the obligation is initially assigned at or immediately
after settlement. The term “residential mortgage lender” shall not
include an individual who finances the sale of the individual’s own
dwelling or real property.
(ii) Residential
mortgage originator. A person who accepts a residential mortgage
loan application or offers or negotiates terms of a residential mortgage
loan.
(iii) Residential mortgage loan. A loan that
is secured by a mortgage, deed of trust, or other equivalent consensual
security interest on:
(A) A residential structure that contains
one to four units, including, if used as a residence, an individual
condominium unit, cooperative unit, mobile home or trailer; or
(B) Residential real estate
upon which such a structure is constructed or intended to be constructed.
(2) [Reserved]
(mmm) Housing government sponsored enterprise.
(1) A “housing government sponsored
enterprise” is one of the following “Regulated Entities” under 12
U.S.C. 4502(20) subject to the general supervision and regulation
of the Federal Housing Finance Agency (FHFA):
(i) The Federal
National Mortgage Association;
(ii) The Federal Home Loan Mortgage
Corporation; or
(iii) Each Federal Home Loan Bank.
(2) The term “housing government sponsored
enterprise” does not include any “Entity-Affiliated Party,” as defined
in 12 U.S.C. 4502(11).
