What is one of the possible indicators of a suspicious transaction?

A substantial down payment in cash can be an indicator of a suspicious transaction due to several factors associated with cash transactions. Cash payments are often less traceable compared to other forms of payment like checks or electronic transfers. This lack of traceability can raise flags, as it becomes difficult to verify the source of the funds, leading to potential concerns regarding money laundering or other illicit financial activities.

In contrast, consistent rental payment records, regular bank transfers, and long-term investment strategies typically suggest stability and transparency in financial dealings. They indicate a pattern of behavior that aligns more with legitimate financial activities rather than the volatility or secrecy that might suggest something suspicious. This makes substantial cash payments a notable exception as an indicator of red flags in a transaction.