KYC (Know Your Customer)

Definition

The KYC or “Know your customer” can be translated into French as “Know your customer”. It is a verification process intended to identify and authenticate the identity of an organization's customers. Essential in financial and regulated sectors, it aims to ensure regulatory compliance, prevent money laundering, terrorist financing, and reduce the risk of fraud.

How does the process work?

It is based on several key steps. First, customer identification is carried out using official documents such as an ID, passport, or driver's license. Then, an address check is carried out through supporting documents such as utility bills or bank statements. Finally, a risk assessment is conducted to identify suspicious activities, verify links to sanctions lists or high-risk jurisdictions, and understand the origin of the funds. This process can be complemented by continuous monitoring to detect any anomalies after customer integration.

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