Process and Due Diligence glossary
Browse the site's published reference terms and opted-in content.
5 entries in this view.
A
AML CheckGlossary term
Screening a client against sanctions lists, PEP databases, and other relevant sources to identify red flags before or during a business relationship. An AML check is one part of the broader CDD process.
C
CDD (Customer Due Diligence)Glossary term
The process of finding out who your client is, verifying that identity, and understanding what they do and why they want your services.
E
EDD (Enhanced Due Diligence)Glossary term
A more thorough version of CDD applied to higher-risk clients. Where standard CDD establishes who a client is, EDD goes further: examining the background of the engagement, the source of funds, and the purpose of specific transactions. It is mandatory for PEPs, clients linked to high-risk third countries, and any client or transaction flagged as elevated risk.
I
IDV (Identity Document Verification)Glossary term
The process of confirming that a client's identity documents are genuine and actually belong to them. This can be done manually or through electronic tools. Electronic IDV is faster and increasingly the norm, but the obligation to properly verify identity remains the same either way.
K
KYC (Know Your Client)Glossary term
The overall process of building a clear picture of who your client is, before and throughout the relationship. KYC covers identity, the nature of their business, their source of funds, and why they need your services. It is the foundation that CDD is built on.