What is non face to face transaction?
A non-face-to-face transaction is where a transaction occurs without a customer having to be physically present. Examples of this type of activity include internet banking, telephone banking, credit cards and online share dealing.
Who is a non face to face customer?
“Non-face-to-face customers” means customers who open accounts without visiting the branch/offices of the REs or meeting the officials of REs. x. “On-going Due Diligence” means regular monitoring of transactions in accounts to ensure that they are consistent with the customers’ profile and source of funds.
What is V CIP in respect of KYC?
“Video-based Customer Identification Process (V-CIP) is an alternate method of customer identification with facial recognition and customer due diligence by an authorised official of the RE by undertaking seamless, secure, live, informed-consent based audio-visual interaction with the customer to obtain identification …
What is the major risk of non compliance with the KYC policy?
This often leads to KYC non-compliant accounts continuing to be operated and making them vulnerable to money- laundering and terrorist financing activities. 2.
How often should KYC be done?
KYC is required to be done once in every two years for high risk customers, once in every eight years for medium risk customers and once in every ten years for low risk customers.
Is PAN mandatory for bank KYC?
The Reserve Bank of India (RBI) has made Aadhaar and PAN cards mandatory for opening bank accounts. The RBI said the updated know-your-customer (KYC) requirement was subject to the Supreme Court’s final judgment on Aadhaar, for which the hearing is under way.
What are the requirements for non-face-to-face operations?
In cases of non-face-to-face operations, the firms are required to: acquire the identification data of the client and the executor and check on a copy – obtained by fax, mail, in electronic format or in a similar way – by a valid identity document, pursuant to current legislation;
What are the challenges of performing CDD?
Perhaps one of the challenges of performing CDD is where critical information is not available, resulting in an inconclusive report. As a prudent measure, analysts should set controls to re-visit the customer’s profile upon the trigger of new information, or on a regular basis, whichever is earlier.
What is CDD and what is its objective?
Definition and objective. CDD is the process where pertinent information of a customer’s profile is collected and evaluated for potential money laundering or terrorist financing risks.
Can MyInfo be used for non face to face verification?
AMLD 01/2018: Use of MyInfo and CDD Measures for Non Face-to-Face… Provides guidance regarding financial institutions’ use of MyInfo as a verified source of identification information. Highlights considerations of using non-face to face verification measures.