KYC
Meaning
- KYC stands for Know Your Customer, a process used by businesses, particularly in the financial sector, to verify the identity of their clients.
- The procedure helps prevent fraud, money laundering, and other illegal activities by ensuring that companies know who they are dealing with.
Word History
The term KYC originated in the financial industry as regulations evolved to prevent illegal activities, such as money laundering. It became more widespread with the rise of global banking regulations and efforts to combat financial crimes.
Examples
- Banks require KYC verification before opening an account.y
- The company’s KYC process involves submitting proof of identity and address.
- As part of the KYC requirements, you’ll need to provide a government-issued ID.
Synonyms
Customer verification, identity verification, client identification
Related Words
AML (Anti-Money Laundering), due diligence, identity check
Antonyms
Anonymity, privacy, non-disclosure
