Updated
GL-S-03
Glossary · Due Diligence and compliance
SDN List - the main US sanctions list that banks worldwide check
SDN List — the OFAC (US) list of specially designated nationals: people and companies with whom transactions are prohibited for US persons and those under US jurisdiction.
01 / In 30 seconds
The short answer
- What it is
- The SDN List — OFAC’s list of specially designated nationals (USA)
- Who is on it
- People and companies under US sanctions
- What it means
- US citizens and persons under US jurisdiction are prohibited from dealing with them
- Consequences
- A hard stop for accounts, passports, business
- How to use it
- Check that you are not on the list during due diligence
02 / In plain words
What SDN List means
The SDN List (Specially Designated Nationals and Blocked Persons List) is the key sanctions list kept by OFAC, the US Treasury’s Office of Foreign Assets Control. It includes people, companies and organisations subject to US sanctions: US citizens and residents, and persons under US jurisdiction, are prohibited from doing business with them, and their assets in that jurisdiction are blocked.
Although it is an American list, its influence is global. Because of the role of the dollar and the US financial system, most international banks and organisations around the world check against the SDN List and avoid dealing with those on it — otherwise they risk falling under secondary sanctions themselves. That is why being on this list is one of the most serious obstacles in international finance.
In the context of investment migration, being on the SDN List is a hard deal-breaker: no serious bank will open an account, and no reputable programme will issue a passport to a person under US sanctions. Sanctions screening in due diligence always includes a check against this list. As with other sanctions, false name matches are possible and need to be cleared properly. We check this in advance.
A case from practice
During a check, a client’s name matched a person on the SDN List — a namesake from another country. Without an explanation no bank would have dealt with them. We identify the match in advance and prepare documents proving that it is a different person — and the check goes through cleanly.
Where the SDN List matters
- Sanctions screening in due diligence
- Opening bank accounts
- International payments and business
- Checking clients and partners
- Sanctions risk assessment
- Clearing false name matches
03 / What it covers
What matters about the SDN List
What it is
- The OFAC list (USA)
- Specially designated nationals
- Under US sanctions
Ban
- Transactions prohibited
- Assets blocked
- For persons under US jurisdiction
Effect
- Global influence
- Because of the role of the dollar
- Banks avoid them
Keep in mind
- A hard deal-breaker
- Checked in DD
- False matches are possible
04 / How it works
How to take the list into account
A preliminary SDN check
We look for your name on the list before applying.
Sanctions screening
Checks against the SDN and other lists.
Reviewing matches
Date of birth, nationality, documents.
Clearing false positives
We prove the match is not you.
A clean result
The bank and the programme see a clean result.
05 / Key facts
What you need to know
01What it is
The OFAC list
Kept by the US Treasury's Office of Foreign Assets Control. It lists people, companies and organisations under US sanctions.
02What it means
A ban on dealings
Persons under US jurisdiction may not deal with those listed, and their assets are blocked.
03Reach
Global
Because of the dollar, banks worldwide avoid listed persons so as not to face secondary sanctions.
04For an applicant
A hard stop
No account and no passport from a serious programme. A false name match is cleared with documents.
Common mistakes
Thinking the list does not matter outside the US
Remember that banks around the world check it.
Not checking yourself in advance
Run an SDN check before applying.
Ignoring a match with a namesake
Prepare documents showing it is a different person.
06 / Expert advice
How to prepare in advance
Before a serious check it makes sense to confirm that you are not on the SDN List by checking yourself against the OFAC database in advance. If a false name match with a sanctioned person arises, documents are prepared proving that it is not you. Real sanctions status cannot be concealed, and a false match needs to be cleared. We carry out such a preliminary check and the explanations.
What we do for you. We check you in advance against the SDN List and other sanctions databases to avoid surprises in due diligence. In the event of a false name match, we prepare documents that settle the question. That way you pass one of the strictest sanctions filters cleanly, and the process is not held up by a namesake.
Klara RihterBanking compliance and source of funds specialist
07 / Questions
Frequently asked questions
The Specially Designated Nationals List — OFAC’s (the US Treasury’s) main sanctions list: people and companies under US sanctions, transactions with whom are prohibited for persons under US jurisdiction.
Yes, its influence is global. Because of the role of the dollar, most international banks check against the SDN List and avoid dealing with those on it, fearing secondary sanctions.
One of the most serious barriers in finance: assets blocked in the US jurisdiction and banks and programmes around the world refusing to deal with the person.
Yes, it is a hard deal-breaker: a reputable programme will not issue a passport to a person under US sanctions, and a bank will not open an account for them.
Yes, false name matches with a namesake on the list are possible. They must be cleared properly with documents — otherwise the process will be held up.
By checking against the OFAC database before applying. We carry out a preliminary check and, in the event of a false match, prepare explanatory documents.
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.
