Documents needed to comply with AML Act
Recent changes to the law mean that from July 1 this year, finance professionals (amongst other ‘reporting entities’ such as lawyers and real estate agents) must conduct due diligence on their customers and maintain appropriate records, as part of complying with the Anti-Money Laundering Act. In essence, we must identify the beneficial owner of any business before lending services can proceed.
To do this, we must run background checks on prospective and existing clients, obtaining and verifying information. For businesses, this means providing information about the company, including the people associated with it – such as directors, shareholders, trustees and beneficiaries.
To ensure that we comply with the AML Act, we will be likely to ask you to provide one or more sources of photo identification (some funding providers may ask for more). The following documents meet the requirements:
- NZ passport
- Overseas passport
- NZ Certificate of Identity
- NZ Drivers License
- NZ Firearms License
We will also ask you to provide proof of your personal address, a recent utility bill should suffice such bill should be no more than 2 months old at time of provision.
One of our business partners, recently had a case for motor vehicle finance that had six parties that needed identifying – the company director, three shareholders, as well as the accountant and solicitor who were trustees. However, now that this has been done, any future lending for this company with the same lender won’t require this identification process.
And remember, we at Finance New Zealand will do what we can to ensure meeting the compliance requirements of the AML Act is not too onerous for you.