Under what circumstances are credit unions required to file a SAR?

When assessing the requirements for credit unions to file a Suspicious Activity Report (SAR), the focus is on specific criteria set forth in regulatory guidance. The correct approach aligns with the obligation to report suspicious transactions when certain thresholds are met.

Credit unions must file a SAR when they become aware of a transaction that involves criminal violations aggregating to $5,000 or more, provided there is an identified suspect. This requirement emphasizes the significance of both the monetary threshold and the presence of a suspect, acknowledging the potential risks and implications of identified illicit activities. By focusing on known individuals, the SAR filing facilitates further investigation by authorities into potentially criminal conduct, ensuring that credit unions contribute to broader financial crime prevention efforts.

In contrast, the other options do not accurately represent the requirements. Reporting solely based on a transaction amount, such as $10,000 or $2,000, lacks the necessary inclusion of identifying a suspect, and reporting only for unknown individuals with transactions over $1,000 disregards the requirement to link the suspicious activity to a known suspect. The emphasis is on the combination of monetary thresholds and the culpability of individuals when determining the necessity for SAR filings.