Office of Foreign Assets Control (OFAC) Policy Template

Description

This comprehensive Office of Foreign Assets Control (OFAC) Policy Template is an essential tool for credit unions committed to maintaining compliance with U.S. sanctions programs. Designed by industry experts, this Word-downloadable document provides a robust framework for implementing and managing OFAC compliance procedures within your financial institution.

The template covers all crucial aspects of OFAC compliance, including risk assessment, customer screening, transaction monitoring, and reporting requirements. It outlines clear guidelines for identifying and handling potential matches against OFAC’s Specially Designated Nationals (SDN) list and other sanctions lists.

Key features of this policy template include:

1. Detailed roles and responsibilities for staff members involved in OFAC compliance
2. Step-by-step procedures for conducting initial and ongoing OFAC screenings
3. Guidelines for handling false positives and investigating potential true matches
4. Reporting protocols for blocked transactions and rejected payments
5. Record-keeping requirements and best practices
6. Training recommendations for staff at all levels of the organization
7. Procedures for staying updated on changes to OFAC regulations and sanctions lists
8. Risk-based approach to OFAC compliance, tailored to credit union operations
9. Audit and testing procedures to ensure ongoing compliance
10. Escalation procedures for potential OFAC violations

This template is fully customizable, allowing you to tailor the policy to your credit union’s specific needs, risk profile, and operational structure. It includes placeholders for inserting your institution’s name, relevant personnel titles, and other credit union-specific information.

By implementing this comprehensive OFAC policy, your credit union will demonstrate its commitment to regulatory compliance, mitigate risks associated with sanctions violations, and establish a solid foundation for ongoing OFAC compliance efforts. This template serves as a valuable resource for both new and established credit unions seeking to enhance their sanctions compliance programs.