Updated
GL-O-03
Glossary · Due Diligence and compliance
Onboarding - the stage where a bank decides whether to open your account
Onboarding — the process of taking on a client at a bank or service: identification, checks and granting access.
01 / In 30 seconds
The short answer
- What it is
- Onboarding — the process of taking on a client
- Where
- At a bank, a payment service, any financial provider
- What it includes
- Identification, checks (KYC/KYB), risk assessment
- Bottom line
- Opening an account and access to services
- How to use it
- Prepare the documents so that intake goes smoothly
02 / In plain words
What Onboarding means
Onboarding is the process through which a client becomes a client: a bank, payment service or other financial provider takes them on, checks them and opens access to its services. It is the first and in many ways decisive stage of the relationship: it is at onboarding that it is decided whether you will be given an account and on what terms.
Onboarding involves several steps: identifying the person (or company), checks under KYC (for individuals) or KYB (for businesses) procedures, assessing the risk profile, screening against sanctions and other lists, and, in cases of higher risk, enhanced due diligence (EDD) examining the source of funds. Only after all stages have been passed successfully is the client taken on and the account opened.
How onboarding goes largely determines the outcome: a complete, transparent document pack and a clear profile speed up intake, while gaps, unclear sources of funds or contentious points lead to delays, additional requests or refusal. We help clients prepare for onboarding in advance — so that intake goes smoothly and first time.
A case from practice
A client applies to open an account with an incomplete pack and a vague description of the source of funds — onboarding drags on with requests. In another case we prepare a complete, transparent pack in advance, with a clear profile and evidence of funds — and intake goes quickly, first time.
Where onboarding takes place
- Opening a bank account
- Connecting to a payment service
- Starting with a broker or exchange
- Taking on a company as a client
- Passing KYC/KYB and risk assessment
- Access to financial services
03 / What it covers
What onboarding covers
Stages
- Identification
- KYC/KYB checks
- Risk profile assessment
Checks
- Sanctions lists
- Source of funds
- With risk — EDD
Bottom line
- Client intake
- Opening an account
- Access to services
What it depends on
- Completeness of documents
- A transparent profile
- A clear source of funds
04 / How it works
How onboarding works
Preparing documents
Passport, address, source of funds; for a company, the ownership structure.
Identification and KYC/KYB
The bank checks the person or company and the beneficial owners.
Risk assessment and screening
Screening against lists and a risk profile assessment.
The provider’s decision
The bank accepts the client, asks for documents or refuses.
Account and access to services
The account is open; from then on the bank monitors transactions.
05 / Key facts
What you need to know
01What it is
Taking on a client
A bank or payment service identifies the client, checks them and opens access to its services.
02What it includes
KYC or KYB and screening
Identity or company checks, a risk assessment, screening against sanctions and other lists.
03At high risk
Enhanced due diligence
Source of funds and wealth are examined more deeply and more documents are requested.
04What speeds it up
A complete file first time
Gaps and an unclear source of funds lead to requests and refusal. A complete file and a clear profile lead to a quick decision.
Common mistakes
Applying with an incomplete file
Ask the bank for its document list and assemble it in full before applying.
Not explaining the source of funds
Attach statements and contracts showing where the money came from.
Hiding awkward points
Disclose them upfront with explanations: the checks will find them anyway.
06 / Expert advice
How to prepare in advance
Onboarding is prepared for in advance: a complete document pack is gathered, a transparent explanation of the source of funds and profile prepared, and the requirements of the particular bank or service taken into account. Contentious points are better disclosed and explained than concealed. Then intake goes smoothly and first time, without unnecessary requests or refusal.
What we do for you. We prepare clients for onboarding so that intake goes smoothly: we gather a complete document pack, prepare a transparent explanation of the source of funds and take into account the requirements of the particular provider. That way the account is opened first time, rather than after a series of requests or a refusal.
Dmitry NagyTax consultant, international taxation and compliance (ex-Big4)
07 / Questions
Frequently asked questions
The process of taking a client on: the bank or service identifies and checks them and opens access to its services. It is the first and in many ways decisive stage of the relationship.
Identification, checks under KYC (for individuals) or KYB (for businesses), assessing the risk profile, screening against lists and, in cases of higher risk, enhanced due diligence (EDD).
The completeness and transparency of the documents and the clarity of the profile. Gaps, unclear sources of funds or contentious points lead to delays or refusal.
Onboarding is taking the client on at the start of the relationship; ongoing monitoring is observing them afterwards, throughout the relationship. They are different stages.
Prepare for enhanced due diligence (EDD): gather detailed evidence of the source of funds and explain contentious points. We help prepare such a file.
Come with a complete, transparent pack, a clear profile and an evidenced source of funds, taking the provider’s requirements into account. We prepare all of this in advance.
INITIAL ASSESSMENT
Tell us what outcome your family needs
We will design a solution for your case, choose the country and the right status, and take the whole process through to the result.
