A money services business registered with FINTRAC must do more than register: under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA) and its regulations it must implement a compliance programme from the first day of operation. FINTRAC examines the programme, and deficiencies lead to administrative monetary penalties that are published. This guide explains the five elements of the programme and what our MSB compliance add-ons deliver.
The guide is general information, not legal advice. Registration and examinations are FINTRAC's; nobody can guarantee a registration.
The five elements of a compliance programme
- A compliance officer — a person appointed to be responsible for implementing the programme, with the knowledge, authority and access to senior management the role needs.
- Written, up-to-date policies and procedures — client identification, record keeping, reporting (suspicious transactions, large cash and large virtual currency transactions, electronic funds transfers), the travel rule for transfers, ministerial directives, sanctions and politically exposed persons.
- A documented risk assessment — of the business's clients, products, delivery channels, geography and new technologies, with the measures taken for high risks.
- An ongoing training programme — written, for every employee and agent who deals with clients or transactions.
- A two-year effectiveness review — at least every two years, an internal or external review of the policies, the risk assessment and the training, reported to senior management (PCMLTFR s. 156(3)).
Our add-ons
- FINTRAC compliance programme — : policies and procedures, risk assessment and training programme, written for your services;
- designated compliance officer — appointment — : the appointment documents and the description of the duties;
- risk assessment and two-year effectiveness review — : the review required by PCMLTFR s. 156(3), with a report for senior management.
The programme and the compliance officer are added automatically with a new MSB registration (), because an MSB without them is not compliant from day one. The registration itself is renewed every two years: see FINTRAC registration renewal and Canada MSB registration.
What you receive
- a compliance programme covering all five elements, ready for a FINTRAC examination;
- the compliance officer's appointment;
- where ordered, the effectiveness review report.
Prices are starting prices confirmed in a written quote and exclude VAT. FINTRAC charges no fee for MSB registration. All communication takes place by email.
Ready to start? Choose the new MSB registration: the compliance programme and officer are added automatically. Open the quote form.
Frequently asked questions
What are the elements of a FINTRAC compliance programme?
A compliance officer, written and up-to-date policies and procedures, a documented risk assessment, an ongoing written training programme, and an effectiveness review at least every two years.
How often must an MSB review its compliance programme?
At least every two years (PCMLTFR s. 156(3)). The review covers the policies and procedures, the risk assessment and the training programme, and is reported to senior management.
Related guides
More on this topic: Canada MSB.