Keeping Tabs at the Bank

Opening a new bank account has become noticeably more complicated since the passage and implementation of the USA Patriot Act. Many treasurers and CFOs are unhappy about providing the personal information about corporate signers that their banks now often require. In some cases they are refusing to...

Full description

Saved in:
Bibliographic Details
Published inAFP Exchange Vol. 26; no. 10; p. 30
Main Author Webster, Mark K
Format Trade Publication Article
LanguageEnglish
Published Bethesda Association for Financial Professionals 01.12.2006
Subjects
Bank accounts
Bank officers
Banking
Compliance
Customers
Financial institutions
Personal information
Regulation of financial institutions
USA PATRIOT Act 2001-US
United States > US
Online AccessGet full text

Cover

More Information
Summary:Opening a new bank account has become noticeably more complicated since the passage and implementation of the USA Patriot Act. Many treasurers and CFOs are unhappy about providing the personal information about corporate signers that their banks now often require. In some cases they are refusing to provide requested information such as social security numbers and copies of drivers' licenses for corporate signers, since they believe that the Patriot Act does not require them to provide the information. Unfortunately, the information requests fall under a bank's Customer Identification Program (CIP), rather than any specific language of the act. FIs are given a great deal of flexibility to develop CIPs that are appropriate to their size, market, and customer base. Many banks simply require the collection of identifying information on all corporate singers to ensure that they are in strict compliance with he act.
ISSN:1528-4077