Photographic Proof of Identity

[Shaggymon]

I've been dealing with a financial company for a few months which is regulated, among other things, by the goverment in relation to money laundering offences under the Money Laundering Regulations 2003, the proceeds of Crime Act 2002 and the Terrorism Act 2000. They have written to me (and all their other customers) asking for a certified copy of my passport or driving licence in prder to "formally dentify everyone they deal with". Can they do this? Can they do this with new customers? Are human/civil rights, data protection and privacy laws involved here? Since I've bee dealing with them for a while can they move the goalposts now?

[Lord Panda]

Yes, they can do this. You will find the same thing with just about every organisation which may be in some way involved in a financial transaction, so not just banks but accountants, solcitors and even some estate agents.

Without getting too technical, it is to do with regulations to prevent money laundering. If the organisation does not verify your identity and you commit such a crime, the person who you have dealt with there could be jailed - this has already happened to at least two solicitors.

Sorry, but you have no option but to prove that you are who you say you are if you want to keep dealing with them.

[stevie21]

" Are human/civil rights, data protection and privacy laws involved here?"

Mother of Mary...

[Shaggymon]

Thanks Lords P. Stevie21 and oneeyeddic - it's nice to see that even children are allowed to contribute!

[stevie21]

The fact that they are so closely regulated and have written to ALL of their customers would very strongly imply that, yes, they can do this and are in fact required to do so. Required possibly against their will as it is costly to them (time and money).
If you open an account with them they need to identify you. If you carry out a transaction with them, they need to identify you. If they have insufficient ID they'll write you one of these letters.

All above board and nothing as exciting and suspicious as your "human rights" being impinged upon.
Methinks you should tone down the melodrama. Dad.

[Oneeyedvic]

When my dad passed his driving test, seat belts weren't compulsory.....

now that he has to where one, are his human rights being impinged? Can they move the goalposts? Its just outrageous!

[stevie21]

Oi ! "Impinged" is my word. Get your own fake magniloquence.

[jenstar]

Financial companies' terms and conditions generally do explicitly state that they CAN move the goalposts.

[hkcarmic]

This is a legal requirement in the UK now to prevent mainly money laundering. If the company in question proceeds without taking these precautions it could be prosecuted and lose it's licence to operate.

It does seem to be a bit over the top but since the sophistication of fraudsters is often ahead of current controls,  these laborious measures will stay in place until smarter fraud and money laundering protection methods are defined, designed and accepted at government and parliamentary level.