What is identity verification?
Under the Bank Secrecy Act (BSA) all US financial institutions are required to have a risk-based AML program in place, consisting of appropriate customer due diligence (CDD), record-keeping and ongoing monitoring, in order to detect, deter, prevent and disrupt money laundering and terrorist financing.
Identity verification checks are a vital part of any risk-based AML program and must be completed on all customers at the onboarding stage to ensure they are who they say they are. The identity verification process therefore needs to confirm three key things; firstly, that the details provided by the customer are that of a legitimate person, secondly, that the person providing the details is that legitimate person, and thirdly, that those details are not associated with any illicit activities.
What does the USA Patriot Act say about identity verification?
The USA Patriot Act lays out several requirements to prevent and detect money laundering and terrorist financing. Relating to the verification of identification, the USA Patriot Act determines that a Customer Identification Program or ‘CIP’ sets out the minimum standards that apply to Financial institutions when onboarding a customer relative to its size and the type of business it engages in. These standards enable the institution to ensure it knows the true identity of each customer.
We can answer your questions about identity verification
Get the help you need
For the most quick and reliable identity verification system, choose SmartSearch. Our innovative online platform will help you meet all your BSA/CDD Final Rule requirements ensuring you always stay FinCEN compliant.
The unique three-stage system uses global credit reference data, the Dow Jones watch list and the latest facial recognition technology to enable you to run full KYC checks - with adverse media, sanctions and PEP screening - and ID fraud checks to ensure the customer data and the person providing it match. We host all search data on the platform and monitor it every night for compliance and audit purposes, meaning you need just one system for all your KYC needs.
That’s where we come in
See it in action
Let one of our highly-trained sales team demonstrate
the multi-award winning SmartSearch AML product