According to the Basel Committee on Banking Supervision standards, which statements best describe sound practices in relation to customer due diligence (CDD) policies and procedures? (Choose three.)
A.
Banks should identify its customers based on a general-rules based assessment without considering the expected size and use of the account.
B.
Banks should never allow for verification to be completed after the establishment of the business relationship since it would not be essential for the normal conduct of business.
C.
Banks should take into consideration the occasional banking transaction or the size/level of assets to build an understanding of the customer's profile and behavior.
D.
Banks should develop and implement clear acceptance policies and procedures to identify the types of customer that are likely to pose a higher risk of financing terrorism or money laundering.
Most Votes
E.
Banks should implement enhanced due diligence measures for entering business relationships with high-risk customers, such as approval by senior management.
Most Votes
F.
Banks should use CDD procedures based in another bank's standards when subject to the same criteria for handling funds of a shared customer.
Answer:
A, C, E
User Votes:
A 31 votes
50%
B 18 votes
50%
C 70 votes
50%
D 92 votes
50%
E 96 votes
50%
F 17 votes
50%
Discussions
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tinaguha
1 year, 3 months ago
Banks should develop and implement clear acceptance policies and procedures to identify the types of customer that are likely to pose a higher risk of financing terrorism or money laundering. Banks should implement enhanced due diligence measures for entering business relationships with high-risk customers, such as approval by senior management. Banks should take into consideration the occasional banking transaction or the size/level of assets to build an understanding of the customer's profile and behavior.
Sorak
1 year, 2 months ago
CDE are correct
AnaA.
1 year, 1 month ago
B. Les banques ne devraient jamais permettre que la vérification soit effectuée après l'établissement de la relation commerciale, car elle ne serait pas essentielle à la conduite normale des affaires. C. Les banques devraient prendre en considération les transactions bancaires occasionnelles ou la taille/niveau des actifs pour mieux comprendre le profil et le comportement du client. D. Les banques devraient élaborer et mettre en œuvre des politiques et procédures d'acceptation claires pour identifier les types de clients susceptibles de présenter un risque plus élevé de financement du terrorisme ou de blanchiment d'argent.
adnan_shaikat
6 months, 4 weeks ago
A. Banks should identify its customers based on a general-rules based assessment without considering the expected size and use of the account. D. Banks should develop and implement clear acceptance policies and procedures to identify the types of customer that are likely to pose a higher risk of financing terrorism or money laundering. E. Banks should implement enhanced due diligence measures for entering business relationships with high-risk customers, such as approval by senior management.
linhnguyen1811
6 months, 2 weeks ago
Ofcource, C, D & E
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Banks should develop and implement clear acceptance policies and procedures to identify the types of customer that are likely to pose a higher risk of financing terrorism or money laundering. Banks should implement enhanced due diligence measures for entering business relationships with high-risk customers, such as approval by senior management. Banks should take into consideration the occasional banking transaction or the size/level of assets to build an understanding of the customer's profile and behavior.
CDE are correct
B. Les banques ne devraient jamais permettre que la vérification soit effectuée après l'établissement de la relation commerciale, car elle ne serait pas essentielle à la conduite normale des affaires.
C. Les banques devraient prendre en considération les transactions bancaires occasionnelles ou la taille/niveau des actifs pour mieux comprendre le profil et le comportement du client.
D. Les banques devraient élaborer et mettre en œuvre des politiques et procédures d'acceptation claires pour identifier les types de clients susceptibles de présenter un risque plus élevé de financement du terrorisme ou de blanchiment d'argent.
A. Banks should identify its customers based on a general-rules based assessment without considering the expected size and use of the account.
D. Banks should develop and implement clear acceptance policies and procedures to identify the types of customer that are likely to pose a higher risk of financing terrorism or money laundering.
E. Banks should implement enhanced due diligence measures for entering business relationships with high-risk customers, such as approval by senior management.
Ofcource, C, D & E