KYC: The customer identity verification process
A crucial identity verification process for any entity subject to anti-money laundering and counter-terrorism financing regulations, KYC ensures compliance and mitigates risks. However, reconciling KYC with the customer experience remains a major challenge for businesses.

KYC stands for Know Your Customer
For any financial institution and more broadly for all entities subject to anti-money laundering and counter-terrorism financing regulations (AML and CFT), KYC is a necessary and indispensable process for identifying and verifying a client’s identity.
In simple terms, at the intersection of compliance and customer relationship, this process is the means to know and recognise one’s customers:
Know Your Customer
KYB for Know Your Business
KYB is a mandatory process that verifies the identity, legal structure, and compliance of the businesses you work with. It ensures that your partners meet regulatory requirements for anti-money laundering and counter-terrorism financing (AML-CTF).
- 100% digital process : a fast and seamless integration, fully online, to collect and verify your partners’ legal documents through a customised interface.
- Guaranteed compliance : automated checks to ensure regulatory compliance and enhance your security.
- Significant time savings : reduce administrative workload and speed up your partners’ onboarding with a reliable and efficient system.
Who is concerned about the implementation of KYC?
Article L561-2 of the Monetary and Financial Code (CMF) lists the professionals subject to this obligation, including:
• Institutions in the banking sector
• The Bank of France
• Investment firms
• Credit institutions
• Insurance companies and brokers
• Provident institutions
• Mutual insurance companies
• Unions for insurance
What impact does non-compliance with KYC have?
Beyond the risk that financial institutions face with poorly identified clients whose identities haven’t been verified, they also expose themselves to severe sanctions for non-compliance with KYC regulations, especially if the infraction is repeated.
Concerning these entities, it is necessary to systematise this verification procedure, which is essential before initiating a business relationship and conducting initial transactions.
KYC, an obstacle in the Customer Journey?
Beyond the regulatory obligation and the risk management tool it represents, KYC remains a technical challenge for the entities required to comply with it while preserving the smoothest possible customer experience. A client inconvenienced or even halted in the progression of their journey is potentially a lost client for a company, as they may complete the same process with a competitor.
This is why Xpollens offers a simple, fast, and secure KYC solution. Developed with Netheos (certified PVID), it ensures a perfectly compliant onboarding process while preserving an ultra-smooth customer experience, to be discovered here:
Integrable into your existing tools
KYC, a 5-step process
Client Identification
The client provides basic personal data: name, address, date of birth, and identity document number. These pieces of information are crucial for establishing a reliable identification base.
Collection of Supporting Documents
Control and Validation
Risk Assessment and PEP Identification
Continuous Monitoring
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