Withdrawing $5,000 Is A Suspicious Activity?

Earlier this week the Department of Justice rolled out an early form capital controls without any one in the media noticing or even reporting on it.

The Wall Street Journal   has reported that the Department of Justice criminal head said that bank may need to go beyond filing suspicious activity reports when they encounter a risky customer.

"The vast majority of financial institutions file suspicious activity reports when they suspect that an account is connected to nefarious activity,” said assistant attorney general Leslie Caldwell in a Monday speech, according to prepared remarks. “But, in appropriate cases, we encourage those institutions to consider whether to take more action: specifically, to alert law enforcement authorities about the problem.” 

She Went on to say, "[W]e encourage those institutions to consider whether to take more action: specifically, to alert law enforcement authorities about the problem, who may be able to seize the funds, initiate an investigation, or take other proactive steps.” 

Simon Banks of International Man explains how this could potentially affect you when you try to withdraw $5,000 instead of getting how money you get a visit from police officers asking you why you wanted to withdraw $5,000. Also in his article he talks about the suspicious activity reports or SARs that all bank are required to file to the government. Banks must meet a minimum quotas of SARs to fill out and submit to the federal government. In 2013 banks submitted 1.6 million SARs to the government. Now the government says that not enough and now wants the bank if they suspect something "suspicious" is going on, they must call the cops 

The question is what exactly constitutes 'suspicious activity'? Well pretty much everything since its said in the handbook of the Federal Financial Institution Examination Council, that bank are required to file SARs when:

“Transactions conducted or attempted by, at, or through the bank (or an affiliate) and aggregating $5,000 or more…”

The government is saying that going to your bank an taking out $5,000 is a suspicious activity. So the next time you go to your bank an withdraw $5,000 or more of your money just remember your government views that as a suspicious activity and the bank must send in a report on you.