AI in KYC Automation: What Every Business Needs To Know

This blog post will take us through how a business which need to ensure customer due diligence (CDD) can automate the KYC (Know Your Customer) processes using deep learning and computer vision based solutions. But before we get started, let's familiarise ourselves with some basic terminology. Customer Due Diligence - CDD involves verifying that your customers are who they say they are and assessing the risks associated with each customer like the possibilities of fraud, money laundering, terrorism financing, etc. This includes verifying your customer's name, address, photograph by analysing bank documents, utility bills, etc. Anti Money Laundering - AML refers to a set of laws, regulations and procedures meant to prevent criminals from disguising illegally obtained assets and funds as legitimate income by safeguarding against trading illegal goods, tax evasion, market manipulation, corruption of public funds, etc. Know Your Business - KYB involves vetting a business trying to establish a relationship with a bank by determining their Ultimate Beneficial Owners (UBO) and enforcing compliance by assessing risks associated with the business. You can learn more about beneficial ownership structures and a risk based approach to counter laundering here.