Know your customer (KYC) regulations in Financial services industry

What is KYC?

• An interactive form of customer verification used by banks

• A One Time Password (OTP)

• An unalterable document of customer verification

• A tool used by banks to identify money laundering

When must a KYC verification be updated?

• Monthly

• Quarterly

• Yearly

• 2 years

What regulatory body owns KYC regulations?

• The FSMF

• The FCA

• The SEC

• The FSA

What is an e-KYC?

• A tool used to identify fake customers

• An electronic form of KYC

• A physical form of KYC

• A tool used to detect money laundering

Which organizations are required to abide by KYC regulations?

• Cities

• Banks

• Travel agencies

• Restaurants

Which government organization created KYC?

• FBI

• US Department of Treasury

• Whitehouse

• IRS

What is the purpose of KYC?

• Reporting suspicious activity

• Identifying terrorist groups

• Preventing money laundering

• Collecting customer data

What is the penalty for failing to comply with KYC regulations?

• Fines

• Jail time

• Suspension of license

• All of the above

What constitutes a KYC customer identification process?

• Collecting the customer's name and contact information

• Collecting an ID or passport

• Physically verifying customer information

• Sending a copy of the customer's signature

Which documents might a bank request for KYC document verification?

• Proof of Address

• Utility bills

• Manager's approval

• Information about customer's employment