Customer due diligence
Identifying a customer and the people who own or control it, verifying who they are, and understanding the purpose of the relationship.
Customer due diligence, or CDD, happens at onboarding and continues for as long as the relationship lasts. It covers identification and verification, beneficial ownership, the nature and purpose of the business, and a risk rating that decides how closely the relationship is watched.
For trusts and companies, the hard part is usually the ownership chain: reaching the natural persons behind the structure and keeping that picture current.
Where the rules use it.
- GFSC Handbook on Countering Financial Crime (AML/CFT/CPF)The Bailiwick's AML/CFT/CPF rules and guidance for financial services businesses and prescribed businesses, issued under the Criminal Justice (Proceeds of Crime) regulations.Guernsey · 8 controls
- JFSC AML/CFT/CPF HandbookHandbook for the prevention and detection of money laundering, terrorist financing and proliferation financing under the Money Laundering (Jersey) Order 2008.Jersey · 8 controls
- UK Money Laundering Regulations 2017The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017.United Kingdom · 8 controls
- FATF RecommendationsThe 40 Recommendations — the international standard every national AML/CFT/CPF regime is measured against.Global · 8 controls