Financial Institutions: – You walk-in a Brick and Mortar Building operating as a Community Bank, Merchant Bank, Consumer Bank, Commercial Bank, Retail Bank, or Wholesale Bank. You meet this so called Personal Financial Advisor (PFA) who apparently gives you a bunch of papers you have to wad through before you can formally open a Bank Account. In addition to those bulky papers, the PFA goes on and on asking for PACRA Registration Papers, ZRA, TIN IDs, National Registration IDs, Physical Address, IP and email address, Phone numbers, Cell/Mobile and Landphones, Mailing address, Power, Water or Cable Bills and a lot more. This Customer Identification Process (CIP) is closely linked to Know Your Customer (KYC) and Customer Due Diligence (CDD). Simply put, CDD is a process where Financial Institutions such as Banks, Insurance Companies, Securities and Broking firms collect, maintain, periodically review and update information and data about their individual clients, corporate, commercial and Institutional customers. Customer Due Diligence (CDD) process is a Legal and Regulatory requirement in most Jurisdictions (Countries, Nations and States) to allow an informed choice to be made whether to on-board a new customer, continue with an existing customer relationship, or provide a new product or service or in worst case scenario, deny/reject the service and exit the relationship and close the Client’s or Bank account. It is also one of the most powerful and available tools available for all Financial Institutions to prevent and deter financial criminals and terrorist financiers from using the banks as conduits to conduct their illegal activities including those who are involved in money laundering activities through mysterious “mushrooming 48 Houses” in Lusaka, Zambia. Stay Blessed.
Published by Kemman
Regulatory and Independent Consulting Professional with expertise in Financial Crime Risk Compliance encompassing Anti-Money Laundering (AML), Countering Terrorism Financing (CTF), Anti-Bribery & Corruption (ABC – FCPA & UKAB), Global Trade & Sanctions, Bank Secrecy Act (BSA), Know Your Customer (KYC) and Customer Due Diligence (CDD), Internal Audit Testing, Reviews, Validation, Risk Assessment. Worked in Asia, Africa, Europe, the Middle East, North America (USA). Banking & FinTech, Anti-Sex & Human Trafficking Advocate, FOREX & Cryptocurrency trading, Travel & Tours, Telecommunications & Energy. View more posts