What is KYC?
KYC means Know Your Customer. It is an onboarding process used to identify and verify the user's identity. This is to confirm that the person is indeed real and to prevent crimes linked to money laundering and terrorism funding.
A KYC check will normally involve providing:
- A national photo identification card, passport or driver's license
- A utility bill or bank statement as proof of address
You may also be asked to provide biometric or face verification (selfie). It is mandatory that a KYC check takes place when opening an account.
If a person's identity cannot be verified then the bank or financial institution may refuse to open the account.