Section 1071 Principal Owners VS. BSA/AML Beneficial Owners
Another wrinkle with the Section 1071 Rule that institutions need to be aware of involves the identification of the Principal Owner(s) (PO). Your lenders need to understand that Principal Owner(s) for 1071 are not necessarily the same people as the Beneficial Owner(s) (BO) under the BSA/AML rules. There will be instances where the POs and BOs are the same and instances where they are not. Lenders must understand the differences to maintain compliance with both requirements.
Find these resources here - https://store.bankerscompliance.com/link/LendingFD
Type "1071" in the search bar to find all your 1071 Resources.
We’ve put together a “Principal Owners vs. Beneficial Owners Comparison Chart (Version 1.0) ” to assist you in understanding the similarities and differences between a Principal Owners for 1071 and a Beneficial Owner for BSA/AML. It is available now in our Free Lending Tools.
Jerod explains the chart more here:
Stay tuned as we have more Section 1071 tools in process!
Published
2024/07/26
![Jerod Moyer](https://blog.bankerscompliance.com/hubfs/Unknown-1.png)
Jerod Moyer
Jerod is the leader of Banker’s Compliance Consulting’s training productions. He is a nationally recognized speaker. Whether it’s a conference, seminar, school, webinar or luncheon, it’s easy to stay engaged when he presents due to the amount of passion and energy he brings to each and every compliance topic. Jerod has spoken on behalf of the American Bankers’ Association, BankersOnline, many state banking associations, private compliance groups and financial institutions. He is a Certified Regulatory Compliance Manager (CRCM) and BankersOnline Guru. Jerod likes to spend his time (between reading regulations and producing compliance training!) relaxing at the lake with his wife and three children, following their activities or engaged in something sports-related!