Due Diligence (DD)

What an enhanced due diligence report should contain, what the EU AMLR, UK MLR, MAS Notice 626 and FATF require EDD to cover, and a 12-section EDD report template.

Correspondent banking concentrates risk: you are providing services to an institution whose customers you never see. This guide covers the Wolfsberg CBDDQ, the nested relationship problem, how to monitor a respondent’s activity meaningfully, and how to make a de-risking decision defensible.

Source of Funds is the origin of the specific money entering an account; Source of Wealth is the origin of the customer’s entire net worth. Both are EDD requirements, but they are documented and verified differently — and regulators routinely find that firms confuse the two. This guide explains the distinction, the documentation each requires, and how to operationalize collection at scale.

When EDD is required, what source-of-funds and source-of-wealth investigation actually looks like in practice, and how to evidence enhanced due diligence to a regulator.

Customer Due Diligence is the FATF-mandated process of identifying customers, understanding their risk, and monitoring them over time. This guide covers the three CDD tiers — simplified, standard, and enhanced — and the six steps every compliance team should run.