Unit of competency Outline

Date retreived
23/07/2026 11:35 AM AWST

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Design customer due diligence policies and procedures

Design customer due diligence policies and procedures

Unit of competency
National Code
FNSAML814
State Code
OBR79
TGA Status
Current
DTWD Status
Approved
Current Release Number
1.00
Current Release Date
01/07/2020
View on TGA
State Implementation and Classification
Approved Date
02/10/2020
Field of Education
080101 - Accounting
Original Release Date
02/10/2020
Nominal Hours
70
Description
This unit describes the skills and knowledge required to analyse requirements and design customer due diligence policies and procedures relating to the identification of customers, monitoring of customer behaviour and governance processes and controls for the customer identification process.The unit applies to individuals who use specialised anti-money laundering and counter terrorism financing (AML/CTF) knowledge and skills to evaluate and apply complex information and compliance requirements and apply to relevant tasks. Individuals typically lead and review organisation wide activities, exercise significant autonomy, responsibility and accountability and contribute to the strategic goals and operations of the organisation. They review, critically analyse, consolidate and synthesise knowledge to generate ideas and provide solutions to complex problems.No licensing, legislative or certification requirements apply to this unit at the time of publication.
Notes
Elements and Performance Criteria
1. Design processes for customer identification
  • 1.1 Design processes to collect identification information and documentation from different categories of clients
  • 1.2 Design processes for determining ultimate beneficial owner of assets or funds where client is a trust or fund or wealth management company
  • 1.3 Design a separate process for verifying client information and documentation
  • 1.4 Establish procedures for retention and retrieval of information and documentation from clients
  • 1.5 Design an assurance or oversight process to ensure all collection, verification, retention and retrieval processes comply with relevant AML/CTF rules and regulations
  • 1.6 Design processes for risk rating clients based on evaluating their characteristics, including jurisdiction and nature of business or occupation, with a financial crime specific risk framework
2. Design processes for identifying and monitoring customer behaviour
  • 2.1 Devise a process for determining a customer’s source of wealth
  • 2.2 Specify a control for identifying source of funding for a transaction, where required
  • 2.3 Design a process for analysing products used by a customer and considering how that may impact their risk profile
  • 2.4 Establish a procedure investigating the entities and individuals with whom a client is involved and whether this impacts their risk profile
  • 2.5 Determine risk indicators that may apply to specific customers who represent an increased risk to organisation
  • 2.6 Determine specific monitoring, approval and review controls applicable to different client categories based on risk that they represent for organisation
3. Design governance processes and controls for customer due diligence processes
  • 3.1 Determine assurance governance procedures for client identification and money laundering and terror financing (ML/TF) risk processes
  • 3.2 Determine oversight framework for customer due diligence procedure
  • 3.3 Design a governance framework for customer due diligence policies and procedures
  • 3.4 Design a process for ensuring that client risk assessment is consistent with organisation’s risk appetite
  • 3.5 Specify processes for ensuring that customer due diligence policies and procedures are updated to reflect changes in regulation and organisational risk appetite
  • 3.6 Design and document escalation procedure, including escalation triggers and to whom issues will be escalated
  • 3.7 Design and document exemptions policy and procedure
No information
No information
Replaces
State Code National Code Title Type
AWF28 FNSAML804 Design customer due diligence policies and procedures Unit of competency