1. MONEY ORDERS Pacific Area Finance Training February 2008

2. 2 Money Orders (MO) Forms of Payment  Cash  Debit card  Traveler’s check – total purchase is for at least 50% of the value of the traveler’s check. NOTE: Source of revenue for Postal Service: Fees Float of the cash

3. 3 Ordering Money Orders Domestic Money Orders (DMO) Requisition in multiples of 100 each quarter. International Money Orders (MP1) Requisition a minimum of five form sets.  Prepare in duplicate PS Form 17, Stamp Requisition.  Both copies must be legible.  Fill in all required fields.  Send the original to SDO.  Keep the duplicate.

4. 4 Verifying Receipt of Money Order Form Sets  100 to a package.  10 packages (1000) to a box (IRT).  25 packages to a box (POS).  Verify packages by the first serial number shown on the front.  Bundles must be in sequential order.  Do not open packages or boxes just to verify serial numbers.  If number of packages or boxes received does not agree with invoice, report to the SDO in writing and retain a copy for your file.

5. 5 Money Order Log  Green log book – Item 0-137A.  All blank MO sets assigned to all RAs must be recorded and maintained. NOTE: RA acknowledges receipt of blank MO sets by signing PS Form 17, also.  Log – includes MO serial numbers, date received, RA’s printed name and initials.

6. 6 Cashing Money Orders Domestic  Cashed regardless of the issue date.  MO is not on the Missing, Lost, or Stolen US Money Order Form List in most recent Postal Bulletin. International  Has expiration date (on front or back).  No IMO will be paid after expiration date on the IMO.  Only paid if printed in US Dollars.

7. 7 MO – Spoiled or Voided  Spoiled/voided money order must be marked immediately by the RA accountable for the MO serial number.  Submitted as supporting documentation during close-out.  Close-out employee – verification of documents supporting PS Form 1412 entry.  Unit manager/designee must shred actual voided MO.  Do not retain with the close-out documents.

8. 8 Sequentially Omitted MO (SOMO) POS ONE SITES ONLY  POS ONE Procedures Guide 27.12.  Should never be returned to the stock custodian (SC).  Once returned to the SC, Sequentially Omitted Money Order (SOMO) will be considered lost or stolen.  If returned to the SC only the Inspection Service can remove them.  Otherwise SC will be stuck with the SOMO since the system will not allow them to be returned to the SDO.

9. 9 Purchase Limit PB Issue 22201 March 1, 2007. http://www.usps.com/cpim/ftp/bulletin/2007/p b22201.pdf  No daily maximum - $10,000 limit per day per customer is rescinded.  Purchase MO in amounts up to $1,000 each.

10. 10 Bank Secrecy Act (BSA) Anti-Money Laundering Act  Requires USPS to obtain identifying information from customers who purchase MOs totaling $3,000 or more during the same business day.  PS Form 8105-A, Funds Transaction Report (October 2007).  Name, address, social security number, date of birth and photo ID. If customer refuses to complete the PS Form 8105-A, transaction cannot be conducted  All PS Forms 8105-A must be recorded on tracking log.  Mailed to the address on the form.

11. 11 BSA Requirements

12. 12 BSA Requirements (Cont.)  Required to report suspicious activity involving the purchase of MO.  PS Form 8105-B, Suspicious Transaction Report (October 2007).  Mailed to the address on the form. Compliance Failure Civil or criminal penalties. Fine up to $25,000 for each instance.

13. 13 http://blue.usps.gov/formmgmt/8999.htm BSA Requirements (Cont.)

14. 14 BSA Requirements (Cont.)

15. 15 Non-Compliance Report  Non-compliant offices receive monthly report/letter. 2 Categories Missing PS Form 8105-A PS Form 8105-A with errors

16. 16 Non-Compliance Report (Cont.) Missing PS Form 8105-A Submit the Tracking Log to BSA  Mail a copy of the log to: USPS Compliance Office PO Box 771 Hanover PA 17331-0771 Fax to 717-637-0256 or  Scan the log and email to: Robyn.l.smith@usps.gov or alben.j.gillum@usps.gov

17. 17 Non-Compliance Report (Cont.) PS Form 8105-A with Errors Missing Information  Customer name  Customer’s address  Customer’s date of birth  Photo ID  SSN#  RA Signature  Incorrect serial numbers

18. 18 Your Responsibility  Ensure that each RA is trained on the BSA requirements  Refresher training given once a year  Ensure training for EAS employees overseeing the window operation  Compliance with the law  Every form must be completed in its entirety  Close out employee or management must verify Money Order Report for required number of PS Forms 8105-A.  Log all PS Forms 8105-A  Send the forms daily to the address on the form  Management to take appropriate action for non- compliance

19. 19 This is the Money Order Report for the Unit. POS and IRT tell you how many Forms 8105-A you should have for the day. Note that this unit has a process to show the form was sent. POS - IRT Money Order Report

20. 20 Related References http://blue.usps.gov/uspstreasury http://www.usps.com/cpim/ftp/bulletin/200 5/pb22149.pdf