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Enhanced due diligence: why some businesses get more questions

When a provider's rules say it takes your industry "with conditions", the condition is often enhanced due diligence: more questions and documents before and after the account opens.

What the law requires

In the UK, the Money Laundering Regulations 2017 oblige a provider to apply extra checks in some cases, including business with high-risk third countries and any case presenting a higher risk of money laundering or terrorist financing.

A relevant person must apply enhanced customer due diligence measures and enhanced ongoing monitoring

Money Laundering Regulations 2017, regulation 33(1) · · Source

examining the background and purpose of the transaction

Money Laundering Regulations 2017, regulation 33(4) · · Source

How providers say it

Providers rarely use the legal term. Their rules name what they review, or say an activity needs their approval first.

We review your licences (VASP, CASP or equivalent), business model, fund flows and counterparties

Clear Junction · · Source

What it means on Banxta

An answer of "With conditions" on a provider page means the provider's own rule accepts the industry subject to something: a licence, an approval or extra checks. The condition is printed beside the quote.

For licensed activities, each industry page lists what licence the providers ask for and where it must come from, when they say.

Basado en las políticas publicadas por los proveedores. Ningún proveedor paga por aparecer. Cada dato lleva la fecha de su última verificación. Las políticas cambian; si una fecha tiene más de 90 días, vuelve a comprobar el dato antes de enviar una solicitud