Chase to Require I.D. for Cash Deposits to Ease Money Laundering Risks

Chase to Require I.D. for Cash Deposits to Ease Money Laundering RisksTellers at Chase branches are starting to inform customers that the bank will require a form of identification for cash deposits starting next month, as the nation’s largest bank tightens anti-money laundering controls.
The new policy requires customers who want to make a cash deposit to show a driver’s license or other identification, and they also must actually be listed on the account.
This requirement likely marks the beginning of the end of anonymous cash deposits. JPMorgan Chase is believed to be the first of the big U.S. banks to require IDs for cash deposits.
Branch representatives are telling customers to expect the new policy starting February 1, but the new rule is not expected to be strictly enforced until March 3, Chase told FOX Business.
“We are making this policy change for cash deposits only to combat misuse of accounts, including money laundering,” a Chase spokesperson told Fox.
Chase is one of several big banks targeted by U.S. regulators and the Justice Department for lax money laundering controls.
Under an agreement with federal prosecutors, JPMorgan Chase has agreed to pay $1.7 billion to the victims of Bernard Madoff’s multibillion-dollar Ponzi scheme.
The bank will be criminally charged with two violations of the Bank Secrecy Act and will admit to the violations.
Enacted 44 years ago, the Bank Secrecy Act requires U.S. financial institutions to assist U.S. government agencies to detect and prevent money laundering.
According to the U.S. Treasury’s anti-money laundering unit, the law requires financial institutions to “keep records of cash purchases of negotiable instruments, file reports of cash transactions exceeding $10,000 (daily aggregate amount), and to report suspicious activity that might signify money laundering, tax evasion, or other criminal activities.”

7 thoughts on “Chase to Require I.D. for Cash Deposits to Ease Money Laundering Risks

  • January 21, 2014 at 1:38 pm

    What happens to a Mom who wants to put money in her child’s account to help with an emergency???!!
    Went to the bank and the over zealous staff decided to go ahead and “enforce the policy ahead of time to get people used to it” and refused to let me put $1000.00 in my sons account because I did not have an account there….they told me I could deposit a check and the funds from that would clear after one week.
    A week does not cut it in an emergency. After some back and forth with the teller, the manager came over and agreed to go ahead and deposit the funds because it does not go into effect until Feb 1st.
    I had just been talking to the Manager about moving $50k from my current bank to Chase….after this experience I will be going elsewhere and having my son move his money to my bank.!

  • March 3, 2014 at 12:03 pm

    Went in to make my normal deposit to my savings account to cover my mortgage payment that is due 1st of each month. Been doing this for over 6 years. Between $750.00 and $800.00 in cash each month. Deposited check on month from an in town bank and they held up availability of funds for 2 day’s. Amazing. Went back to cash. Anyway’s upon pulling up to the drive up and sending in cash deposit the teller informed me that they needed my I.D.. I asked for what. She informed me anytime I make a cash deposit into my account they needed my I.D.. I then told her to send my deposit back out. She sounded surprised and ask “do what”. I reiterated to send my deposit back to me I was coming in. With that, I got my money and headed for the lobby of the bank. I really got lucky. They had the branch manager running a teller window so when his window became available I stepped right up to it. I ask what was the deal requiring me to produce my id when depositing cash into my account. He informed me that it was “a new regulation that was going into effect March 1 and that all cash deposits require identification”. I ask is this a FDIC regulation or a federal regulation and I want to see that regulation. He then ask that I step into his office with him so he could explain it to me. I told him absolutely not. We could discuss it right here. He then flipped a little piece of paper stating that this is the requirment. It had nothing but a statement form JPMorgan/Chase saying that this was now a requirment to produce id when making a deposit to customers account. He explained that this was JPMorgan leading the way to prevent money laundering. Been a big problem on California and Colorado. Real truth is that JPMorgan had just been slapped with a 2.6 billion lawsuit for their lack of monitoring that is required in the “Madoof” case. I told him I was not producing my I.D. . They already had it on file. I had to provide I.D. when I established my two accounts which is required by CIP regulation and that I provided I.D. when I established my mortage. So pull my I.D. up. He told me that he could not be brought up on their teller system only on the new account system and they did not talk to each other. I thought that was funny and told him that it appears that this hugh bank needs to update their systems to accommodate the customer. I informed him that Bank of Springfield and Williamsville State bank both had that ability. Big old JPMorgan can’t keep up with the little guys. Were just an I.D. and not a customer to them. Told him it was inconvenient for me to provide my i.d. each time I make a deposit. He then ask why. That was the worst thing to ask an upset customer. I told him I was just getting off of work, wanted to make my deposit and go home. I did not want to pull out my billfold, pull out my i.d. and then wait to get my i.d. back, put it in my billford and return my billfold to my purse. He then told me he would do this deposit this time since it did not go into effect till March 1. I was really annoyed now. Took my receipt then left. I then contacted two other banks to get their take on this new regulation. They both had never heard of it. I than contacted JPMorgan’s 800 number. Amazing how that goes. Ask for complaince department, gentlemen on the phone said they didn’t have one. Really a bank without a complaince department. Told my husband I was getting nervious dealing with a bank without a complaince dept. Hung up called another number ask for compliance dept. This guy said oh sure and transfered me. This time I went to fraud prevention. Well at least this lady had some sense. I told her I ask for compliance and got her. Told her about the situation that I was involved with and ask who I needed to talk to regarding this new regulation going into effect so I could get the regulation number. She wanted to know what regulation. I told her the one that requires the customer to produce I.D. each time they make a cash deposit into their account. She exclaimed it is not a regulation it is a new JPMorgan policy that goes into effect March 1 on both cash and checks that are deposited into a customers account. Wow. New policy. I was just beside myself. I gave her my opinion of this and that it is my goal to be a non customer of JPMorgan’s. She said she was sorry I felt that way. I then called the branch where I had first gone to make my deposit and ask for the man that I had spoken to when I came in. I informed him that he better be careful of what he was telling a customer. It was not in fact a federal regulation only a bank policy. He continued to try and overtalk me. I finally let he have his speech. Once done I went back to say that this was insane. He needs to learn how to talk to customers and know what he is talking about. He then got short and try to get me off of the phone. I told him he had his two minutes and now it was mine and that he better not hang up on me. I finished by telling him this was determinal to the customer and that proper notice should have been given. With that I hung up. Bottom line. JPMorgan needs to own up to their inablility to take care of the real customer and stop paying large amounts out in lawsuits that they deserve for their own greed. BTW-I have been in banking for over 39 years. No compliance dept. Too funny.

  • March 21, 2014 at 8:37 pm

    This is the stupidest policy I’ve hear of yet. I tried to deposit a check for $50 and a $20 bill today. The teller wanted my ID to deposit the cash. I wasn’t the person driving and brought no ID. She managed to get the transaction approved by her supervisor. This one time only. I asked if this was a bank policy or a federal policy. She said it was both and that Chase was implementing it ahead of other banks, although all credit unions were already doing it. I don’t think the teller intentionally lied, just passed on the information she was told to pass on. I feel sorry for the tellers because they’re the front line for pissed off customers. I’ll be checking with other banks to see if they’ll be doing it too and will then move my account.
    She did say I could deposit cash in an ATM using my debit card. Trouble with that is I once saw a tray of ATM deposit envelopes brought into a Chase branch without dual custody. Meaning one person took them out of the machine (which is off-premise) and brought them into the office by themselves. That person can do anything he wants with those envelopes. When I worked at BofA we used dual custody to remove deposit envelopes and process them. You have 2 people handling the deposits and the likelihood of stealing is lessened. I do not put cash into an ATM machine – ever.
    Asking for ID does nothing to deter money laundering and only alienates honest customers. This sounds more like another government invasion into my privacy. Chase could at least put add a high minimum dollar amount to the policy. No one is going to launder $20! Can you imagine everyone in a long line on pay day adding a $1.00 bill to their deposit?

  • October 22, 2014 at 7:43 pm

    I just experienced this today 10/22/14. Was shocked, surprised and disappointed in this bank. They treated me like family, remembering my name, etc and now requesting to input my driverslicense into the computer with a small cash deposit. MUCH TOO INCONVIENT for me. This must be the reason last Saturday was full of customers trying to get through the lines. I’ll be looking for another bank.

  • October 25, 2014 at 1:10 pm

    Today i went through the same.. what a ridiculous policy. it it very incovenient to say the least. They rather have unhappy customers that to find a way to do it right. We the people must let them know that we are not gonna take it anymore… we have choices.. Please speak up and let them know.

  • December 28, 2014 at 8:06 am

    My son was working for a defense contractor overseas trying to come home for Christmas he ran out of emergency cash fund, and asked me if I can deposit cash in his account to be available immediately. I went to his bank Chase after withdraw $500.00 in cash from my bank. at 9:00 am as soon as they opened I went in and asked to deposit $500.00 in cash in my son account I gave them 2 pieces of ID Driver License and military ID both of which is a photo ID. they refused to accept the deposit. I explained that this is an Emergency situation , no go .
    I was lucky that my daughter was on the account since my son was in harms way, she left work just to make the deposit. Thank God my son is home safe, I for one will take whatever legal campaign to stop any bank from doing the same Chase has been penalized by the federal Government for so may violation that cost the bank billions of dollars and now they trying to gain the upper hand, I think that Chase bank customer need to be aware of those emergency situation. they need to close their account. let us see how long Chase can maintain business without customer deposits.

  • March 11, 2015 at 10:26 am

    This is over-kill. Seems like there should be a limit on when Chase “needs to see ID”. I too have a child in college that frequently needs help with money. So stupid to have to show ID but even more ludicrous is having to show ID to put cash of $800 into my checking when I have 3 other accounts tied to my checking( my savings and an IRA) and have been a long time customer, obviously I am not laundering money. Plus I gave the teller my printed deposit slip and my ATM card–not good enough, she wanted a “photo ID” which I did not bring into the bank with me because all the other times, I only needed my ATM card for the teller to swipe and the deposit was made.
    Chase should revise their “photo ID” rule to something realistic, i.e frequent cash deposits (assuming you are not a retail business) and the amount, hassling people over a $20 cash deposit is stupid and piss-poor customer service!
    I also found other locations of Chase not following this rule so it depends where you are and apparently the demographics of the area as to whether the Chase branch will follow the photo ID rule.
    It makes no sense at all that I can take a photo of a check and make a deposit to my account but cold cash is questioned. I would think a fraudulent check would be more scrutinized than cash.
    I have a stock portfolio my “personal banker” has been asking me to switch to Chase NO WAY!

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