Businesses should not just think about making money! They need to know who they are doing and be able to identify their customers. These days, identifying customers has become an important issue in business, and most companies and organizations, from banks to retailers, must consider it as an important principle. In this article, we are going to discuss what KYC or customer identity identify and how to use it in business.
KYC or customer identity stands for the word Know Your Customer and means “Know Your Customers”.
“KYC” or customer authentication to the steps carried out by a financial institution or business to determine customer identity, understanding the nature of customer activities and monitoring their activities to assess money laundering risk and prevent other criminal activities in accordance with anti -money laundering laws (AML) Governments are said. KyC, like a catalyst, increases the growth and progress of businesses! In fact, it doesn’t matter what industry and field you work in is the first step to achieving sustainable business growth is customer recognition.
Before we look at what KYC is, it is better to write a little about its history. The history and root of the KYC dates back years. When banks and financial institutions sought a way to prevent money laundering, fraud, financing terrorism and financial corruption. These follow -up continued to combat financial corruption until the September 9 incident made the United States more sensitive to financing terrorism and passed laws that all banks and financial institutions were required to make their customers more accurately. Identify and verify. In this post we are going to discuss the reasons for the importance of KYC for businesses, and then introduce E-KyC with digital authentication as well as the process of customer identification for banks, which are one of the most important and sensitive organizations in any country. .
KyC helps you know the specifications and needs of your customers.
If businesses know their customers correctly, they can provide them with better solutions and services. The process of finding reality in KYC helps businesses to obtain useful information such as age, employment status and purchasing power of their users.
These data can be used by businesses to provide customers with proprietary solutions and better meet their needs. This will get customer satisfaction and this will be very effective for business growth.
Doing a legitimate business is important because it prevents businesses from responding to the laws of anti -money laundering or the fight against corruption that is happening in the financial world today.
In other words, if you know that your customer business with you using immoral methods, it is best to cut interactions with that customer than you want to violate the law.
Legitimacy means that:
“You are working safely and securely”
And this makes your business achieve good name and reputation and potential customers.
KYC provides the main details of customer information such as their names, authorized signatures, the real or legal status of individuals and business owners.
These controls are carried out in KYC to identify theft, prevent terrorism, money laundering and financial fraud. The impact of this is more visible where illegal businesses are removed from afar, and legal businesses can continue to grow in an appropriate environment.
