Suspicious Activity Report (SAR)
A Suspicious Activity Report is a confidential filing a financial institution makes with FinCEN about potentially suspicious transactions. For cannabis accounts, banks file Marijuana Limited, Priority or Termination SARs under FinCEN's 2014 guidance.
What a SAR is
A Suspicious Activity Report (SAR) is a confidential report a financial institution files with FinCEN when it detects a transaction that may involve money laundering, fraud or another crime. SARs are a core requirement of the Bank Secrecy Act.
Banks generally must file a SAR within 30 days of detecting suspicious activity. Filings are confidential, and an institution may not tell a customer that a SAR was filed.
SARs for cannabis accounts
Under FinCEN's 2014 marijuana guidance, banks that serve marijuana-related businesses file marijuana-specific SARs:
- Marijuana Limited: for a business the bank believes is following state law and does not raise federal enforcement concerns.
- Marijuana Priority: for a business that may raise one of those concerns.
- Marijuana Termination: when a bank ends a relationship to maintain an effective AML program.
A Marijuana Limited SAR is routine and does not mean the business did anything wrong. Banks typically file continuing reports at regular intervals while the account is open.
What operators can do
- Keep deposits consistent with reported sales and reconcile them regularly.
- Avoid splitting cash deposits to stay under reporting thresholds, which is itself illegal.
- Answer your bank's questions about unusual activity quickly and completely.
How Safe Harbor helps
Safe Harbor's compliance team handles monitoring and reporting for cannabis accounts, and our cash management tools help keep deposits traceable.
Related terms
Currency Transaction Report · Bank Secrecy Act · Full glossary
This page is for general information only and is not legal advice. Last reviewed November 2026.