Office of Foreign Assets Control (OFAC)

Question 1

The office of foreign assets control OFAC is a department of the US treasury department that enforces, economic and trade sanctions against targeted hostile foreign countries and their agents

Answer 1

True

Question 2

A credit Union must check the office of foreign assets control OFAc sanctions list when a member joins the credit union, opens a new account sends a bank wire, and or buys a credit union check payable to a foreign payee

Answer 2

True

Question 3

OFAC likely applies to a credit union when members want to wire money overseas

Answer 3

True

Question 4

If a member comes into the credit union’s office and wants to wire a large sum of money to a bank account overseas, the credit union should
1. Check the current list of OFAC blocked countries.
2. Place a block or freeze on the funds if the country appears on the list and
3. File a report of the block within 10 days.

Answer 4

True

Question 5

If a credit union uses OFAC software, it will have no liability under OFAC

Answer 5

False

Question 6

If the credit union files and OFAC report, it must retain the report indefinitely

Answer 6

False (6years)

Question 7

If a credit Union violates the OFAC requirements it can lose its NCUA insurance coverage

Answer 7

True

Question 8

Only credit unions doing international wires, and transactions are subject to OFAC

Answer 8

False

Question 9

OFAC requires credit unions that have filed reports to conduct annual audits and file annual reports of blocked property

Answer 9

True

Question 10

OFAC provides a website and a toll, free compliance hotline to answer questions

Answer 10

True