02 — Capability · BC-1770.10
Customer Due Diligence
Know who every customer is, who ultimately owns and controls it and how risky the relationship is, before it begins and for as long as it lasts, and exit relationships the firm cannot accept. Account opening itself is deposits and accounts.
- KYC
- Know Your Customer
- CDD
In scope
- Customer identification, verification and beneficial ownership
- PEP determination and adverse media assessment
- Customer risk rating and enhanced due diligence
- Periodic and event-driven reviews and relationship exits
Out of scope
- Opening the account once checks pass (see BC-1710.20)
- Third-party and supplier due diligence (see BC-640.40)
- Customer master data in general (see BC-410.30)
Realized by · 0
- No product in the catalog yet.
Used in · 7
Build it · 0
- Nothing in the library points here yet.
Decomposes into · 5
- BC-1770.10.10Customer Identity VerificationConfirm that each person or entity is who it claims to be with documentary and electronic evidence before the relationship begins.
- BC-1770.10.20Beneficial Ownership IdentificationIdentify and verify the people who ultimately own or control a legal entity customer, and keep that picture current.
- BC-1770.10.30Customer Risk RatingRate each customer's money laundering and terrorist financing risk from its profile, products, geography and behavior, and re-rate when they change.
- BC-1770.10.40Enhanced Due DiligenceGather and assess source of wealth, source of funds and purpose for high-risk customers, and require senior sign-off before accepting or keeping them.
- BC-1770.10.50Periodic Due Diligence ReviewRefresh customer due diligence on a schedule set by risk and on trigger events, and exit relationships that no longer meet the firm's standards.