This refers to the acronym for the phrase, “Know Your Customer”. KYC is a protocol strictly implemented by a number of financial firms and institutions to safeguard their integrity against money launderers. The process is administered in the institutions’ compliance to international anti-money laundering laws.
The processes vary depending on the company the KYC Protocol is performed. At times only a photo and copies of the user’s credit or debit cards would be required; at times a video recording would be asked from the client that shows him or her with the requirements. These account well for the security of both the client data and the firm’s system. Once the client’s identity is verified through the KYC Protocol, he or she would be allowed to perform transactions with the financial firm.