This essential course delves into the critical processes of Customer Due Diligence and Know Your Customer requirements that form the foundation of effective AML/CFT compliance. Participants will learn practical approaches to customer identification, verification, and risk assessment across different customer types and business relationships. The course covers both basic and enhanced due diligence procedures, providing hands-on techniques for gathering and analyzing customer information. Through real-world scenarios and interactive exercises, learners will develop the skills needed to implement robust CDD/KYC programs that meet regulatory expectations.
Customer Due Diligence (CDD) and Know Your Customer (KYC) Essentials
Anti-Money Laundering AML/CFT
October 25, 2025
Introduction
Objectives
Key Learning Objectives:
- Master the core components of effective CDD and KYC processes
- Learn customer identification and verification best practices
- Understand risk-based customer due diligence methodologies
- Develop skills in customer risk profiling and categorization
- Learn to identify beneficial ownership structures
- Understand ongoing monitoring requirements and techniques
- Master documentation and record-keeping standards
- Learn to recognize red flags during customer onboarding
- Develop practical skills for dealing with high-risk customers
Target Audience
- Front-line banking and financial services staff
- Compliance officers and MLROs
- Relationship managers and account officers
- Customer onboarding specialists
- Risk management professionals
- Fintech and payment service providers
- Audit and internal control personnel
- Legal and corporate services professionals
Methodology
- Practical customer onboarding simulations
- Case studies of CDD failures and successes
- Group exercises in risk assessment
- Document verification practical sessions
- Role-playing customer interviews
- Individual research on ownership structures
- Interactive quizzes on regulatory requirements
Personal Impact
- Enhanced customer risk assessment capabilities
- Improved due diligence documentation skills
- Stronger analytical thinking for complex customer relationships
- Increased confidence in dealing with high-risk scenarios
- Better understanding of regulatory expectations
- Career advancement in compliance roles
Organizational Impact
- Reduced customer-related compliance risks
- More efficient and effective onboarding processes
- Enhanced regulatory compliance and examination readiness
- Improved customer risk management
- Stronger anti-financial crime defenses
- Better resource allocation through risk-based approach
Course Outline
Unit 1: CDD/KYC Fundamentals and Regulatory Framework
Core Concepts and Requirements- Definition and importance of CDD/KYC
- Regulatory requirements and expectations
- Risk-based approach principles
- Legal basis and enforcement mechanisms
- Identity verification standards
- Documentation requirements and validation
- Digital identity verification methods
- Non-face-to-face customer onboarding
Unit 2: Customer Risk Assessment and Profiling
Risk Categorization Methodology- Customer risk scoring models
- Geographic risk factors and assessment
- Product and service risk analysis
- Behavioral and transaction pattern risks
- Low, medium, and high-risk categorization
- Dynamic risk assessment techniques
- Periodic review requirements
- Risk mitigation strategies
Unit 3: Beneficial Ownership Identification
Ownership Structure Analysis- Definition of beneficial ownership
- Legal entity customer requirements
- Complex ownership structure mapping
- Trust and foundation considerations
- Documentary verification methods
- Corporate registry searches and validation
- PEP identification and screening
- Ongoing beneficial ownership monitoring
Unit 4: Enhanced Due Diligence Procedures
High-Risk Customer Management- EDD triggers and requirements
- Source of wealth and funds verification
- Enhanced monitoring techniques
- Senior management approval processes
- Politically Exposed Persons (PEPs)
- Non-resident customers and cross-border relationships
- Cash-intensive businesses
- Correspondent banking relationships
Unit 5: Ongoing Monitoring and Record Keeping
Continuous Monitoring Framework- Transaction monitoring integration
- Customer behavior analysis
- Trigger events and re-screening requirements
- Periodic review schedules and execution
- Record-keeping requirements and timeframes
- Document retention policies
- Audit trail maintenance
- Management reporting and oversight
Ready to Learn More?
Have questions about this course? Get in touch with our training consultants.
Submit Your Enquiry