For those that don't know the acronym 'KYC' is 'ķnow your customer' and a core principle of Anti-Money Laundering (AML) laws. The idea is that if you know your customer, for example age, occupation etc, than you can--and are obligated by law to--flag suspicious financial activity to authorities.
For example, large and infrequent international wire transfers to say Bermuda may look suspicious if your 'KYC' information tells you the account is owned by a teenager in Utah with no ties to Bermuda. This wouldn't look suspicious for someone in their 50s who has a business and family based in Bermuda.
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For those that don't know the acronym 'KYC' is 'ķnow your customer' and a core principle of Anti-Money Laundering (AML) laws. The idea is that if you know your customer, for example age, occupation etc, than you can--and are obligated by law to--flag suspicious financial activity to authorities.
For example, large and infrequent international wire transfers to say Bermuda may look suspicious if your 'KYC' information tells you the account is owned by a teenager in Utah with no ties to Bermuda. This wouldn't look suspicious for someone in their 50s who has a business and family based in Bermuda.