LU 5

Which of the following is not a included in KYC?

• Knowing the source of funds

• Knowing what constitutes reasonable account activity

• Knowing the number of dependents of your customer

• Making every reasonable effort to determine the true identity and beneficial ownership of accounts

Which of the following is not a pillar of KYC?

• Customer identification procedure

• Risk management

• Monitoring of transactions

• Anti-money laundering

Who among the following cannot be accepted as a bank's customer?

• Politically exposed person

• Minor

• Lunatic

• Shell companies

Which of the following statements are false with respect to small accounts?

• Account holders's signature must be obtained by the designated employee

• Prisoners cannot open small accounts.

• 12 months time is given for submitting OVD

• Foreign remittance is allowed

Which of the following is not a part of deemed OVD?

• Electricity bill

• Property tax receipt

• Rental agreement

• Registered sale deed

Which of the following is not a OVD?

• PAN Card

• Aadhar Card

• Passport

• Driving license

In which of the following situations KYC need not be done?

• Commencement of account based relationship

• International money transfer of walk in customer

• Additional account opening of existing customer

• Carrying out transactions equal or above Rs. 50000 for a non-account customer

Identify the false statement

• Account can be opened without OVD if there is an reference received from an existing customer

• Cash transaction reports have to report every deposit above Rs. 10 lakh

• Suspicious transaction report is filed with RBI

• KYC need not to be done for the agents who sell third party products

Who among the following is a high risk customer?

• HNI

• NRI

• PEP

• Pensioner

Identify the correct statement

• Risk categorization has to be reviewed periodically

• Any cross border transaction of Rs. 1 lakh and above is scrutinized centrally

• Transactions which are made below the threshold are suspicious

• An account that is inoperative is low risk