Pub. 17 2022-2023 Issue 3

Questions, Issues and Strategies Involved In Opening Accounts Online Sharvelle Washington, CAMS BSA/Compliance Officer Bankers' Bank of the West The new era of opening accounts online is here. Over time, more people have opted to open accounts online instead of in person at a branch, as some of us might be used to. And with online account opening come uncertainties in staying compliant with Bank Secrecy Act requirements. Even though the process of account openings has evolved, the requirements for opening accounts remain the same. This raises a question: How can one verify someone’s identity without that person being present? Of course, third-party vendors with solutions can be integrated into the financial institution’s interface to collect all the data needed to open an account. But before the decision to integrate online account openings, it’s important to do some research and resolve some crucial questions. Start by determining your financial institution’s risk tolerance for online account openings. This will hinge, in part, on the products an online applicant could enroll in. Risk tolerance varies from bank to bank and also depends on the products offered by each institution. 14

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