Every Money Transfer And Remittance Term You Need To Know: Letter K

Last updated: October 05, 2022

Know Your Customer (KYC)

Know Your Customer (KYC) is a methodology whereby financial institutions collect identification information from you to confirm your identity, as well as ensure that you are who you claim to be. KYC is a key ingredient in ensuring that your account is owned and operated by you, and not by someone else claiming to be you.

KYC is a standard practice followed by banks and money transfer companies. When you sign up with a remittance company, you will be asked to upload proofs of address, photo IDs, etc. In many cases, you will also be asked for proof of the source of funds you are sending overseas.

All this ensures yours as well as the money transfer company's safety, so there is nothing to worry, and you should cooperate and comply with all legal and safety guidelines that your money transfer operator has in place.

Also see: Anti-Money Laundering (AML)