Which of the following is a structuring red flag involving branches?

• A. Paying with a check from a verified source.
• B. Depositing funds in a savings account.
• C. Use of multiple branch locations.
• D. Consolidating funds in a single branch.

Answer: (C)

This question tests recognizing a pattern where funds are moved through more than one branch to avoid detection. Structuring, or smurfing, involves splitting or dispersing activity so that no single branch handles a large amount at once, helping to skirt reporting requirements and make the money trail harder to follow. Using multiple branch locations fits this red flag because it indicates an intent to distribute transactions across several branches rather than processing them through a single, more easily monitored point.

Other activities listed are routine or do not imply dispersing activity across branches, so they don’t signal structuring in this context. Paying with a check from a verified source is normal, depositing funds in a savings account is common, and consolidating funds in a single branch concentrates activity rather than dispersing it, which is the opposite of the structuring signal.