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KYC/CDD (Know Your Customer/Customer Due Diligence)
An AI agent that automates and enhances key stages of the Know Your Customer (KYC) and Customer Due Diligence (CDD) process. This includes intelligent data capture from customers, automated verification of identity documents, screening against various watchlists and adverse media, performing initial risk scoring, and flagging cases for further investigation or enhanced due diligence (EDD) by compliance analysts.
Process Details
Inputs
- Customer-provided information (application forms, questionnaires)
- Identity documents (digital copies or scanned images)
- Business registration documents (for corporate customers)
Outputs
- Comprehensive KYC/CDD summary report with all supporting evidence
- Complete and auditable record of all KYC/CDD activities and decisions
Systems
Describe it in English.
It runs deterministically.
This use case solution follows these general steps at a high level.
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01
Customer information is captured through a Digital Onboarding Portal. This includes personal identifiable information (PII) for individuals or company details for entities
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02
- Ingests customer-submitted identity documents (e.g., passports, driver's licenses, national IDs, articles of incorporation, utility bills) via the portal.
- Performs document authenticity checks (e.g., verifying security features like holograms, checking against known templates, looking for signs of tampering), and Validates document expiration dates
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03
Cross-references and validates submitted data against trusted external data sources.
- Government databases (e.g., company registries for business verification, vital records for individuals where permissible).
- Credit bureaus (for identity attribute verification, address verification).
- Utility databases or other public records for address confirmation.
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04
Applies predefined rules to calculate an initial customer risk score
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05
Ensure that all collected data, documents, verification steps, screening results, risk assessments, analyst decisions, and communications are securely logged and timestamped, creating a comprehensive audit trail for regulatory reporting and internal reviews
Frequently Asked Questions
What specific information is captured in the audit trail to ensure defensibility?
The audit trail is a complete, timestamped record of the entire KYC/CDD journey for each customer. It includes:
All data and documents submitted by the customer.
The results of every verification check (document authenticity, external database lookups).
The exact screening lists that were checked and the detailed results of any potential matches.
All data and documents submitted by the customer.
The results of every verification check (document authenticity, external database lookups).
The exact screening lists that were checked and the detailed results of any potential matches.
What is the process for implementing this agent into our existing digital or branch-based onboarding channels?
The agent can be integrated via APIs into your existing digital onboarding systems, creating a seamless customer journey. For branch-based onboarding, employees can use an internal portal to upload customer documents, which then triggers the agent's automated verification and assessment process in the background.
How are exceptions and high-risk cases handled?
The agent automates the clear-cut cases and intelligently escalates the complex ones. When a case is flagged for manual review (e.g., failed document check), it is automatically routed to the appropriate compliance analyst. The agent provides the analyst with a complete case file containing all the information and results it has already gathered, allowing the analyst to start their investigation immediately without having to collect the data themselves.
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