It is the process of identify the business and also verify the client’s identity and is known as Know Your Customer (KYC). This is also used to refer to many anti money laundering and banks regulations which deals in governing these activities. The main objective of this term is prevention of Banks from intentional or unintentional use from criminal activities related to money laundering. This helps in better understanding the customer and their other financial dealings. The KYC polices framed by the banks mainly includes some key elements like Customer Acceptance Policy, Identification Procedures of Customer, Managing Risk and Transaction Monitoring.
