Yes, bank tellers are allowed to ask why you are withdrawing a lot of cash from your account. This is because banks have a responsibility to "Know Your Customer" (KYC) as part of their anti-money laundering and fraud prevention measures [1]. By asking about the purpose of the cash withdrawal, tellers can ensure the legitimacy of the transaction and protect both the customer and the bank from potential scams or fraudulent activities.

Here are some reasons why bank tellers may ask about large cash withdrawals:

1. Fraud prevention: Banks have a duty to protect their customers from scams and fraudulent activities. By asking about the purpose of the cash withdrawal, tellers can identify any suspicious or unusual transactions that may indicate fraudulent behavior [2].

2. Government regulations: Some transactions, especially those involving large amounts of cash, may require additional verification of identification to comply with government regulations. This is done to prevent money laundering and ensure the legitimacy of the transaction [3].

3. Risk management: Banks also have a responsibility to manage risk, both for the customer and for the bank itself. Large cash withdrawals may raise concerns about the safety and security of the funds. By asking about the purpose of the withdrawal, tellers can assess the risk and take appropriate measures to protect the customer and the bank [3].

It is important to note that while bank tellers are allowed to ask about the purpose of a cash withdrawal, customers are not obligated to provide a detailed explanation. However, cooperating with the teller's questions can help ensure a smooth and secure transaction.

Learn more:

1. Are bank tellers allowed to ask why you are withdrawing a lot ...
2. Can a Bank Teller Legally Ask Me Why I Want to Withdraw My Money? - OzBargain Forums
3. Why Tellers Ask About Your Transactions | Security Financial Bank