Customer Due Diligence (CDD)

Customer Due Diligence (CDD) is the process of obtaining all relevant information about potential and current customers, which is collected and evaluated for any potential risks, money laundering, or terrorist financing activity.
CDD is an essential step for Know Your Customer (KYC). While KYC requirements vary around the globe, the aim of CDD is to identify customers and their financial activity, generate their customer risk profile, and assess all relevant information with basic CDD, Enhanced Due Diligence (EDD) or Simplified Due Diligence (SDD) for enhanced transaction monitoring and reporting.