Which of the following is a structuring red flag?

• A. Deposits in increasing order daily for a year.
• B. Multiple deposits or withdrawals just below the CTR threshold.
• C. Cash deposits over the CTR threshold.
• D. Deposits to only one account in a single day.

Answer: (B)

Structuring, often called smurfing, is when someone splits cash into smaller amounts to stay under reporting thresholds. The red flag here is multiple deposits or withdrawals just below the CTR threshold. It signals an attempt to avoid triggering currency reporting while moving funds, a classic money-movement tactic tied to trying to conceal origin or ownership. The other patterns don’t directly show evading reporting: steadily increasing deposits over time can have legitimate explanations, a single deposit above the threshold will trigger reporting but isn’t about evading thresholds, and deposits into one account in a single day could reflect consolidation rather than an attempt to dodge reporting rules.