CKYCA Certified Know Your Customer Associate Questions and Answers

subsidiary company.

special purpose vehicle.

shell company.

holding company.

hold the older information for one year and then destroy any records in line with data privacy requirements.

hold the information for a period of time, as specified by the policies of the bank, and in line with the EU AML Directives.

maintain only the current information, because data privacy regulations require old information be destroyed when updated.

keep records of the changing circumstances for as long as the customer holds an account with the bank.

Inform the relationship manager about the election of the client's spouse

Make a note on the client's account of this fact and continue operations as usual.

File a suspicious transaction report because the client did not notify the financial institution.

Update the client's information to reflect that the client is related to a politically exposed person.

Notify the Board of Directors and obtain the Board's approval for filing a STR.

Refer internally for a potential suspicious transaction report

Establish internally the existence of a criminal violation.

Prepare to close the customer’s account.

Mandatory periodic review should occur on at least an annual basis

Simplified monitoring should occur on a yearly basis.

Enhanced monitoring may be decided on by the business line manager.

Simplified monitoring is required per the customer risk criteria.

Information on source of wealth for CDD clients must always be collected.

The client is establishing a business relationship with a private company whose benefit surpasses 10 million USD.

The client's senior manager is deemed to be an ultimate beneficial owner.

The number of business relationships involving high-risk third countries or politically exposed persons increases.

onboarding team for the assessment of risk

management team for approval or denial of risk

head of the KYC team for approval or denial of risk.

privacy officer for the assessment of risk

Review the account activity with respect to the transaction profile of the customer.

Review the business activities and update where necessary.

End the business relationship due to wiring money to a high-risk country.

Report a suspicious transaction with respect to wiring money to a high-risk country.

Accept the customer without any evidence for the customer’s source of wealth.

Condition the acceptance of the customer on receiving evidence for the customer's source of wealth

Reject the customer on the basis of being a PEP and possibly corrupt

Accept the customer and request source of wealth evidence during next year’s updating procedures.

Documenting pictures of the customer holding the identification stored in the customer profile

Notations within the customer profile that the identity was checked

Storingtranscripts inthe customer's profile of dialogues that take place during onboarding

Incorporating copies of documentation and writtencommunication in the customer profile

Have the profile start with a picture of the customer followed by key numbers, such as expected turnover.

Record customer information using abbreviations, explain adjectives, and provide a narrative to follow.

Document customer information in a standardized way that is defined by the customer's jurisdiction

Avoid adjectives and exaggerations, put the information into context, and be precise and unambiguous

The company registry lists only one director of the customer.

The company's place of business is a gatekeeper address.

The company name includes the word "holding'.

The company was incorporated three weeks ago.

The client amends their narrative as they are unable to provide supplementary information.

The client is unable to provide bank statements relating to a redundancy pay-out 15 years ago.

The client has no online presence, despite significant wealth.

The client's online career profile does not mention their significant property investments.

incorporate only higher risk customers into its risk profile.

adjust customers’ EDD processes independent from the institution's risk profile.

incorporate customer risks into the business line risk profiles, but not into the institutional risk profile

adjust the extent and depth of EDD monitoring in line with their risk profile.

Verifying the identity of the customer after the establishment of the business relationship

Monitoring an account's transactions based on a monetary threshold

Obtaining information on the source of wealth of the customer

Identifying the purpose and nature of the business relationship