What is a primary objective of the Bank Secrecy Act (BSA)?

The primary objective of the Bank Secrecy Act (BSA) is to combat money laundering and terrorism funding. Enacted in 1970, the BSA requires financial institutions to assist government agencies in detecting and preventing money laundering activities. This includes measures like reporting suspicious activities and maintaining records of cash transactions. By establishing a framework for monitoring financial transactions, the BSA plays a crucial role in identifying and preventing financial crimes that could support criminal activities or terrorism.

The other choices focus on aspects that are not central to the BSA's purpose. Enhancing customer service strategies or protecting personal data may be important for financial institutions, but they do not align with the legislative intent of the BSA. Regulating interest rates for loans falls under a different set of regulations and is not related to the Act's focus on financial crime prevention. The BSA specifically targets the transparency and integrity of financial systems to reduce illicit activities, making the combat against money laundering and terrorism funding its central objective.