Due Diligence
KYC: Your understanding and cooperation in this process help us maintain a secure and compliant environment for all members. We appreciate your support in helping us meet our regulatory obligations.
Understanding Due Diligence at CICSA Co-operative Credit Union
At the Cayman Islands Civil Service Association Co-operative Credit Union (CICSA), we prioritize the safety and compliance of our financial services. This page is dedicated to explaining Know Your customer or “KYC” due diligence documentation, why it’s necessary, and what information we require from our members
Welcome to Our Due Diligence Information Page
What is Due Diligence?
Due diligence refers to the comprehensive process of investigating and verifying information to ensure compliance with regulatory standards. For financial institutions, this includes gathering relevant information about members to prevent fraud, money laundering, and other illicit activities.
Why Do We Conduct Due Diligence?
Regulatory Compliance: We are obligated to follow laws and regulations that govern financial institutions. This includes conducting regular reviews of member accounts to maintain the integrity of our services.
Risk Management: By understanding our members and their financial activities, we can identify and mitigate potential risks that could affect the Credit Union and its members.
Protecting Our Community: Ensuring that our financial services are not misused helps safeguard the interests of all members and the broader community.
What Information Do We Need?
To comply with due diligence requirements, we ask our members to submit specific documents, including:
Identification: Certified copies of a valid passport and driver’s license or other Government issued photo ID.
Source of Funds: Documentation to support the origin of funds in your account. This could include job letters, business licenses, financial statements or proof of pension.
Source of Wealth: Proof of source of wealth is similar to the above and it explains or substantiates how wealth/net worth has been generated over time. This may be required if different from source of funds.
Physical Address Confirmation: Utility bills, employment letters, or rental agreements to confirm your current address.
Completed Forms: Necessary forms such as the Member Update Form, Self Certification Form and Beneficiary Form, which can be found in our Member Updates Package.
Consequences of Non-Compliance
It’s essential to submit the requested information by the specified deadline. If we do not receive your documents by the due date, you may incur:
A non-compliance fee of $75.00 per month.
Possible restrictions on your account until the required documents are submitted.
In extreme cases, the termination of services if compliance is not met.
Documents Requiring Certification
We understand that navigating due diligence can be complex. If you have any questions or need assistance with the document submission process, please do not hesitate to contact us at [email protected].
Documents Requiring Certification
Certain forms and documents—identified within the forms themselves or referenced in the sections above—require certification before submission. These requirements help us meet our compliance obligations and ensure the integrity of the information provided.
Suitable Certifiers
A “suitable certifier” is an individual such as a lawyer, accountant, director, or manager of a regulated entity/Financial Services Provider, a notary public, a member of the judiciary, or a senior civil servant who can validate your documents.
These certifiers must confirm that copies are “true copies of the original,” sign and date each copy, clearly print their name, state their position or capacity, and provide a contact address and phone number. For photo ID, they must also include the statement:
“I hereby certify that the photograph bears a true likeness to the individual.
Assistance with Certification
If you need support in certifying your documents, please contact us at [email protected]. Our staff can assist you in scheduling an appointment for certification.
Due Diligence FAQ's
The Credit Union is legally required to know its customers, including identifying and verifying the source of funds of its members. This includes when cheques/drafts drawn on another financial institution are being deposited by a member. Although the relevant financial institution has the equivalent obligation to know its customers, the Credit Union is not able to rely on the due diligence measures of that institution and is legally required to conduct its own due diligence checks.
The Credit Union is legally required to know its customers and verify their identity in accordance with the Anti-Money Laundering Regulations and CIMA Guidance Notes. Collecting your identification documents is a part of this process.
Providing information about your source of funds and wealth helps us comply with legal requirements aimed at preventing money laundering and fraud. It also allows us to better understand your financial profile and ensure the integrity of our services.
If you are unable to provide certain documents, please reach out to us for assistance. We may offer alternative solutions.
If you have trouble obtaining certified copies, please reach out to us. We can help guide you through the certification process or assist in finding suitable certifiers. You can also set up an appointment with our staff for support.
You will need to provide a self declaration letter indicating your income which is derived from your business activities, and supporting documentation to verify this declaration.
Due diligence reviews are conducted periodically as required by regulatory standards. The frequency may vary based on factors such as accounting activity and risk assessment.
