The Bank Secrecy Act (BSA) was established in 1970 and has become one of the most important tools in the fight against money laundering. That requires banks and other financial entities in the United States to maintain records and file reports on currency transactions and suspicious activity with the government. The Bank Secrecy Act (BSA), sometimes referred to as BSA/AML (anti-money laundering).

The FDIC (Federal Deposit Insurance Corporation) is an independent government agency that oversees the banking industry. As worded by FDIC, Bank Secrecy Act / Anti-Money Laundering (BSA/AML) is the common name for a series of laws and regulations enacted in the United States to combat money laundering and the financing of terrorism. The BSA provides a foundation to promote financial transparency and deter and detect those who seek to misuse the U.S. financial system to launder criminal proceeds, finance terrorist acts, or move funds for other illicit purposes. The BSA requires each bank to establish a BSA/AML compliance program. By statute, individuals, banks, and other financial institutions are subject to the BSA recordkeeping requirements.