Compliance Consultancy
Consultancy and management firm

Customer Due Diligence

Compliance Consultancy Financial Crime Customer Due Diligence

The Customer Due Diligence (hereafter “CDD”) investigation is required by EU jurisdictions for the prevention of the use of the EU financial system for the purposes of money laundering and terrorist financing.

Based on Chapter II of the EU Directive 2015/849
“Member States shall prohibit their credit institutions and financial institutions from keeping anonymous accounts or anonymous passbooks. Member States shall, in any event, require that (…) passbooks be subject to CDD measures as soon as possible and in any event(...)”.


What do Customer Due Diligence measures consist of ?


  • identification and verification of the customer (and the representative of the customer, if any) through his ID, passport or other reliable documentation.
  • identification and verification of the beneficial owner of the customer, in order to be clear who has control of the entity.
  • gathering of information regarding the nature of the business relationship.
  • continuous monitoring of the transactions of the business relationship in order to reassure that the existing information is up-to-date.

The EU legal framework refers to two types of CDD: the Standard CDD and the Enhanced CDD.


The new Directive 2018/843, has made it clear that Enhanced CDD is required regarding transactions involving high-risk countries. The business relationship should be continually monitored for trigger events which may imply special requirements for further CDD investigation in the future.

Aside from the elevated risk of financial system abuse by criminals, non-compliance with CDD is a danger that is to be taken seriously by financial institutions considering the large administrative and criminal sanctions and measures in force. Be sure that your business is compliant with its CDD obligations whenever it is involved in a transaction or business relationship that requires so.


Was this service page helpful ?  
Sanctions and Embargoes - Compliance Consultancy
Sanctions and Embargoes

Due to globalisation, companies are increasingly exposed to the risk of sanctions, op...

Common Reporting Standard - Compliance Consultancy
Common Reporting Standard

Where does the Common Reporting Standard (CRS) idea comes from ?The concept of agreei...

Anti Money Laundering - Compliance Consultancy
Anti Money Laundering

Anti-Money Laundering (hereafter "AML") compliance regulation is a challenge ...

Insider Dealing - Compliance Consultancy
Insider Dealing

Insider dealing (the term "insider trading" is also frequently used) arises w...

Terrorist Financing - Compliance Consultancy
Terrorist Financing

The financing of terrorism is defined as the distribution or collection of funds, in ...

Politically Exposed Persons - Compliance Consultancy
Politically Exposed Persons

It is essential that your financial company understands the concept of Politically Ex...

MiFID MiFIR - Compliance Consultancy
MiFID MiFIR

The Directive 2014/65/EU (hereafter the "Directive") on markets in financia...

Know Your Customer - Compliance Consultancy
Know Your Customer

Financial institutions must be able to identify and verify the identity of their cus...

Anti Bribery and Corruption - Compliance Consultancy
Anti Bribery and Corruption

Fighting against dumping and bribery is required for any company. Suspicions of corr...

FATCA - Compliance Consultancy
FATCA

Do you know FATCA?The Foreign Account Tax Compliance Act ("FATCA") was enacte...

Customer Due Diligence - Compliance Consultancy
Customer Due Diligence

The Customer Due Diligence (hereafter “CDD”) investigation is required by EU juri...

Screening - Compliance Consultancy
Screening

Are you familiar with the term "screening" or are you wondering what does it ...

Cybersecurity - Compliance Consultancy
Cybersecurity

Faced with the outbreak of highly targeted attacks and a highly regulated environment...

Anti Fraud - Compliance Consultancy
Anti Fraud

Fraud is one of the most damaging risks your business can faceWe are in a persistent ...

Payment Service Directive 2 - Compliance Consultancy
Payment Service Directive 2

The idea behind the Payment Service Directives (PSD) aims at simplifying the lives of...

Market Abuse - Compliance Consultancy
Market Abuse

Market Abuse is a concept that encompasses unlawful behaviour in the financial market...

Cryptocurrencies - Compliance Consultancy
Cryptocurrencies

What are the dangers of cryptocurrencies?Cryptocurrencies are virtual or digital curr...

Get in touch with us - Compliance Consultancy
Get in touch !

We'll present you the technology to stop money laundering and terrorist financing

Europol defines Financial Crime as "illegal acts committed by an individual or a group of individuals to obtain a financial or professional advant...

Return to financial crime
Discover Pideeco Compliance Services and Business solutions for your operational business needs
Domain Experts
Piet De Vreese - Pideeco Network Partner
Piet De Vreese
Managing Director
Discover
Anastasia Bidjocka - Pideeco Network Partner
Anastasia Bidjocka
Junior Consultant
Discover
Oscar Canario da Cunha - Pideeco Network Partner
Oscar Canario da Cunha
Associate Director
Discover
Vasiliki Karamousali - Pideeco Network Partner
Vasiliki Karamousali
Senior Consultant
Discover
Intro to DLU4: Foreign accounts and Fiscal Regularisation
Vasiliki Karamousali

What is DLU and how has it evolved through the years?DLU stands for "Déclaration Libératoire Unique", which is a Single Discharge Declaration. By introducing the DLU concept, the scope of the Belgian tax authority was to give a chance, to people with assets in foreig...

Read more Author What else ?
Intro to DLU4: Foreign accounts and Fiscal Regularisation - Pideeco Journal