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Anthropic·Software Engineer·Onsite - System Design / Architecture·Senior

Senior
Jun 2026

Summary

Anthropic SWE interview threw a pretty gnarly in-memory banking design problem at me. The scope was way broader than I expected for a single session, covering everything from timestamped balance history to pending transfers and merge semantics.

Questions Asked (4)

Q1

Design an in-memory banking service that supports timestamped account creation, deposits, payments, transfers with a two-phase accept mechanism, account merges, and historical balance queries. You need to specify data structures, return values for invalid operations, time/space complexity per operation, and a testing plan covering the merge and activity edge cases.

System DesignAlgorithms & Data StructuresData Modeling
Author's notes

This was a lot.

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AI HintsAI Generated

Suggested Approach

Start by clarifying the core requirements and constraints, then design a minimal but extensible data model using hash maps and balanced trees to support timestamped operations and historical queries. Walk through each operation with its data structures, return values, and time/space complexity, and finish with a testing plan that covers merge and activity edge cases.

Pro tip: Emphasize immutability and versioning for historical queries—use persistent data structures or event sourcing to avoid mutating past states, which also simplifies merge logic and testing.

1. Clarify requirements and constraints

Ask about expected scale, concurrency, timestamp granularity, and whether operations must be atomic. Confirm the exact semantics of two-phase accept and merge (e.g., what happens to pending transfers).

2. Design data model and structures

Propose a global timestamped event log or versioned state. Use a hash map for account lookup, a balanced BST or skip list for timestamp-ordered balances, and a pending transfers map for two-phase accept.

3. Define operations and return values

For each operation (create, deposit, pay, transfer, accept, merge, getBalance), specify inputs, outputs, error codes for invalid cases (e.g., insufficient funds, account not found, duplicate accept), and time/space complexity.

4. Outline testing plan

List unit tests for each operation, integration tests for merge and two-phase transfers, and edge cases: merging accounts with pending transfers, querying balance before/after merge, concurrent operations, and timestamp collisions.

Key Points to Mention

  • Use of timestamped event log or versioned data structures to support historical balance queries efficiently.
  • Two-phase accept mechanism: pending transfers stored separately, with atomic commit/rollback and idempotency.
  • Merge semantics: how to combine balances, pending transfers, and historical records without data loss or inconsistency.
  • Return values for invalid operations: clear error codes or exceptions, and how to handle partial failures.
  • Time/space complexity per operation: O(1) for create/deposit, O(log n) for balance queries, O(n) for merge, etc.
  • Testing plan: property-based tests for invariants, edge cases like merging accounts with pending transfers, and concurrency tests.

AI-generated suggestions, not part of the candidate's original notes. May be inaccurate — verify before relying on them.

Q2

For the top_activity query, how do you efficiently compute, at a given timestamp t, the k accounts with the highest activity where activity is the sum of absolute operation amounts occurring exactly at t?

Algorithms & Data StructuresSystem DesignTechnical Trade-offs
Author's notes

I blanked for a second here.

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AI HintsAI Generated

Suggested Approach

Start by clarifying the data model and constraints (e.g., number of accounts, operations per timestamp, update frequency). Then propose an efficient solution using a hash map to aggregate activity per account at timestamp t, followed by a selection algorithm (e.g., min-heap or quickselect) to find the top k. Discuss trade-offs between time and space, and consider real-time vs. batch processing.

Pro tip: Mention that if queries are frequent for the same timestamp, precomputing and caching the top k per timestamp can be beneficial, but be mindful of memory and update costs. Also, highlight that the choice of algorithm depends on k relative to the number of active accounts.

1. Clarify requirements and constraints

Ask about the scale (number of accounts, operations per timestamp), whether operations are streaming or batch, and if multiple queries for the same timestamp occur. This determines the optimal approach.

2. Aggregate activity per account

Use a hash map to accumulate the sum of absolute operation amounts for each account that has operations exactly at timestamp t. This takes O(m) time where m is the number of operations at t.

3. Select top k accounts

Use a min-heap of size k to find the k accounts with highest activity in O(m log k) time, or quickselect for O(m) average time. Discuss trade-offs: heap is simpler and works well for small k; quickselect is faster but modifies the array.

4. Optimize for repeated queries

If the same timestamp is queried often, consider precomputing and storing the top k for that timestamp. Alternatively, maintain a global data structure (e.g., balanced BST) that supports dynamic updates and top-k queries, but note the overhead.

5. Discuss trade-offs and edge cases

Address memory vs. speed, handling ties, accounts with zero activity, and the impact of k being close to the number of active accounts. Also mention concurrency if operations are being added in real-time.

Key Points to Mention

  • Hash map for aggregation: O(m) time, O(a) space where a is number of active accounts at t.
  • Min-heap for top-k: O(m log k) time, O(k) space; good when k is small.
  • Quickselect: O(m) average time, O(1) extra space, but worst-case O(m^2).
  • Caching/precomputation for frequent queries on the same timestamp.
  • Trade-offs between real-time processing and batch processing.
  • Handling ties and ensuring deterministic output.

AI-generated suggestions, not part of the candidate's original notes. May be inaccurate — verify before relying on them.

Q3

What exact return values should each operation produce for invalid inputs, such as depositing to a non-existent account, paying with insufficient funds, or querying a merged account at a timestamp after the merge?

API & IntegrationsTechnical Trade-offs
Author's notes

Easier part of the question but I still fumbled the merge case.

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AI HintsAI Generated

Suggested Approach

Start by clarifying that the exact return values depend on the API contract and error-handling philosophy—whether to return error codes, exceptions, or result objects. Then propose a consistent, predictable scheme for each invalid input scenario, justifying your choices with principles like idempotency, clarity, and client usability. Finally, discuss trade-offs and how you would document and test these behaviors.

Pro tip: Show that you think about error handling from the client's perspective: consistent, actionable errors reduce integration friction and support burden. Mention that you'd align with existing API conventions (e.g., HTTP status codes, gRPC status codes) to avoid surprising consumers.

1. Clarify the API contract and error model

Ask whether the API uses exceptions, error codes, or result types, and whether it follows REST, gRPC, or another style. This determines the shape of return values.

2. Define behavior for each invalid input

For depositing to a non-existent account, propose a clear error (e.g., 404 Not Found or AccountNotFound). For insufficient funds, suggest a specific error (e.g., 400 Bad Request or InsufficientFunds). For querying a merged account after merge, decide whether to return the merged account's state or an error (e.g., 410 Gone).

3. Ensure consistency and idempotency

Use the same error format across operations and consider idempotency keys for deposits to avoid duplicate errors on retries. For merged accounts, define a deterministic rule (e.g., always return the surviving account).

4. Justify with trade-offs

Explain why you chose specific codes or exceptions: e.g., 404 vs 400 for non-existent account, or returning merged data vs error for historical queries. Discuss impact on clients and debugging.

5. Document and test

Emphasize that these behaviors must be documented in the API spec and covered by unit and integration tests to prevent regressions.

Key Points to Mention

  • Use standard HTTP status codes (e.g., 404, 400, 410) or equivalent gRPC codes for consistency.
  • Return structured error responses with machine-readable codes and human-readable messages.
  • Consider idempotency for deposit operations to handle retries safely.
  • For merged accounts, define whether queries return the merged entity or an error, and document the timestamp semantics.
  • Align with existing API conventions and client expectations to reduce integration friction.
  • Discuss trade-offs between strict error handling and graceful degradation (e.g., returning partial data).

AI-generated suggestions, not part of the candidate's original notes. May be inaccurate — verify before relying on them.

Q4

Walk through a unit testing plan that specifically covers the merge and activity edge cases in this banking service.

System DesignTechnical Trade-offsAdaptability & Ambiguity
Author's notes

I structured this as a few scenario groups: basic lifecycle tests, then merge edge cases (re-creation after merge, querying the gap period, dst balance continuity), then activity boundary tests (same-timestamp multi-operation sums, merged accounts excluded from top_activity).

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AI HintsAI Generated

Suggested Approach

Start by clarifying the merge and activity edge cases in the banking service, then outline a structured unit testing plan that covers each case with specific test scenarios. Emphasize isolation, mocking, and edge case coverage while discussing trade-offs and adaptability.

Pro tip: Demonstrate maturity by discussing not just how to test but also why certain edge cases are critical for financial correctness and how you prioritize them based on risk.

1. Clarify Requirements and Edge Cases

Ask clarifying questions to understand the merge and activity edge cases, such as concurrent merges, partial failures, and activity logging during merges. Identify the specific behaviors that need testing.

2. Design Test Strategy

Outline a unit testing strategy that isolates the merge and activity logic using mocks for dependencies like databases or external services. Plan for both positive and negative test cases.

3. Enumerate Test Scenarios

List specific test scenarios for merge edge cases (e.g., merging accounts with overlapping transactions, merging during an active transaction) and activity edge cases (e.g., logging activities during merge, handling missing activity data).

4. Implement and Automate Tests

Describe how you would implement these tests using a unit testing framework, ensuring they are fast, repeatable, and integrated into CI/CD. Mention techniques like parameterized tests for multiple edge cases.

5. Review and Iterate

Explain how you would review test coverage, possibly using mutation testing or code coverage tools, and iterate to cover newly discovered edge cases or changing requirements.

Key Points to Mention

  • Use of mocks and stubs to isolate the unit under test
  • Coverage of concurrency issues and race conditions in merges
  • Testing idempotency and atomicity of merge operations
  • Validation of activity logging and audit trails
  • Handling of partial failures and rollback scenarios
  • Integration with CI/CD and test automation best practices

AI-generated suggestions, not part of the candidate's original notes. May be inaccurate — verify before relying on them.