What does KYC mean?

KYC means “KKnow Your Customer.” It describes the process of verifying the identity of (new) customers. The KYC process is performed to prevent illegal activities such as money laundering or fraud, in return protecting both company and client. Why does KYC matter? Who needs KYC? How does KYC work? Why does KYC matter?

Do financial institutions need KYC?

KYC is required for any financial institution that deals with customers while opening and maintaining financial accounts. When a business onboards a new client, or when a current client acquires a regulated product, standard KYC procedures generally apply. Financial institutions that need to comply with KYC protocols include:

What is know your client (KYC)?

The SEC requires that each new customer provide detailed financial information before opening an investment or banking account. 1 The Know Your Client (KYC) rule is an ethical requirement for those in the securities industry dealing with customers during the opening and ongoing maintenance of accounts.

What is KYCC & how does it work?

KYCC is a derivative of the standard KYC process, that was necessitated from the growing risk of fraud originating from fraudulent individuals or companies, that may otherwise be hiding in second-tier business relationships. i.e. (a customer's customer).