Enhanced Due Diligence
Enhanced Customer Due Diligence
Usually ECDD will come into play after the initial onboarding and CDD process. This is because during the initial KYC process, many of the risk factors that drive the requirements for ECDD are discovered.
ECDD can be used as an extension of CDD, or it can used as part of your ongoing customer due diligence processes. Either way, ECDD involves taking a slightly harder look at your client, their transactions, and their operations, because your risk assessment meant that there is a higher likelihood that your services or products can be used to launder the proceeds of crime, or divert legitimate funds to funding terrorism.
At MVSI we have standard processes for ECDD, that support your compliance measures to the AML laws of the country you operate in.
We can also help design your ECDD program, across a variety of areas, such as:
- Operations within sanctioned countries
- Types and size of transactions
- Nature and location of directors, owners and affiliated companies.
- Who the business counts as clients
- Non typical operating practices
Ultimately, compliance with AML law in terms of ECDD comes down to your profiling of your target market, and client type, the profile fit to your risk matrix, and your documented decisions. All areas that MVSI can assist with.