Prior to the enactment of the United States Patriot Act, also known as the “Money Laundering Abatement Act,” many financial institutions already had significant obligations to gather information about their customers in order to, among other things, “know their customers.” Current regulations and law require certain covered financial institutions and their associated persons to obtain information from their customers when opening accounts. The “pieces” of information that are required to be gathered may vary depending on both the type of account and “who” or on whose behalf the account is being opened. Effective October 1, 2003, we are required not only to gather certain information about our clients, additionally, we are required to verify certain pieces of this information.
Important Information About Procedures for Opening a New Account: To help the government fight the funding of terrorism and money laundering activities, Federal law requires broker-dealers and other financial institutions to obtain, verify, and record information that identifies each person who opens an account and the source of the funds being deposited in the accounts.
What this means for you: When we open an account or authorize an account for a new type of trading authority, we will ask for the following information in order to confirm the identity of the owners of any such account.
We may also ask to see your driver’s license or other identifying documents such as a passport or even a recent utility bill. We may also utilize certain non-documentary methods of verification such as credit reports or other information resources such as bad check databases.
We realize that some of these activities may appear intrusive and we truly appreciate your cooperation in helping us meet the requirements the United States Patriot Act has placed upon us. With your help, we can continue to keep our firm and your assets safeguarded against illegal activities such as money laundering or identity theft.
As always, we appreciate the privilege of having your business and look forward to continued growth and prosperity with one another.