Video 2 – Verifying the identity of a client: Credit file method
From: Financial Transactions and Reports Analysis Centre of Canada (FINTRAC)
This video explains how to use the credit file method to verify the identity of a person, which is one of the 5 prescribed methods by the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (the Act) and associated Regulations.
It is intended for businesses, or reporting entities, subject to the Act and associated Regulations.
Video
Video length: 2:58 minutes
Descriptive transcript of the video "Verifying the identity of a client: Credit file method"
| Narration (audio) | On screen description (text or action) |
|---|---|
[Start of video] [Music] At the Financial Transactions and Reports Analysis Centre of Canada (or FINTRAC), we are committed to helping regulated businesses meet their compliance obligations. This includes the fundamental requirement to verify the identity of a client when conducting certain transactions. |
Text on screen: Verifying the identity of a client – Credit file method Text on screen: Financial Transactions and Reports Analysis Centre of Canada Animation: FINTRAC logo with 10 icons representing the following sectors:
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| There are 5 methods you can use to verify the identity of a person. | Text on screen (next to the silhouette of a person):
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| This video explains how to use the credit file method. | Animation: A laptop appears next to the silhouette of a person. On the laptop's screen, there is a document entitled "Credit file" and a Canadian flag in the top right corner. Text on screen (above laptop): 2) Credit file method |
| To use this method, refer to information in a person's credit file. | Animation: The silhouette disappears. Zoom on the laptop. Text on screen (above laptop): criteria |
The credit file must:
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Animation: The laptop moves to the left and 2 text boxes appear on screen. Text on screen: valid, /ˈvaləd/ (adjective) legitimate or authentic and does not appear to have been altered or had any information redacted Text on screen: current, /ˈkərənt/ (adjective) up to date and is not expired when the ID is verified Animation: The Canadian flag on the top right corner of the document is circled while the text "Canadian credit bureau" appears next to the laptop. Animation: Below the title of the document (Credit file) the words "Three years old or more appear" and "Active since August 20, 1999" appear. Animation: The view zooms in closer to the document on the laptop and begins to pan down as more information appears on the document. Text on screen (document on laptop): Personal information:
Text on screen (document on laptop): Tradeline information:
Animation: The view zooms back out as the silhouette of the person appears once again beside the laptop. Text on screen (written across the silhouette):
Animation: A line connects from the information on the document on the laptop to the same information on the silhouette. |
| To use the credit file method, you must conduct the search at the time you are verifying the person's identity. | Animation: Laptop and silhouette blur out of focus. A search bar appears with the words "Credit file". |
| A person cannot provide you with a copy of their credit file, a previously obtained credit file cannot be used, and your organization cannot be one of the derived sources, meaning tradelines, from the credit file. | Animation: The frame divides into 3 parts, each containing a different image. The images are:
As the narrator describes each scenario, the corresponding image is highlighted and crossed through with an X. |
If the name, address, or date of birth, provided by the person does not match the information in the credit file, you cannot use that credit file to verify their identity, unless the inaccuracy is simply a minor discrepancy or typo in the name or address. In this case, you may decide the information matches what the person provided. |
Animation: Zoom in on the laptop with a credit file on its screen. Below the words "Credit file", it now says:
The silhouette appears on the laptop's screen next to the laptop. A checkmark appears between the credit file and the person. The name "Jon Doe" (with no h) in the document (credit file) is circled while the name "John Doe" appears across the silhouette. The address "123 Fintrac Road" (with "Road" instead of "Street") is also circled in the document while the address "123 Fintrac Street" appears on the silhouette. |
| But, if the discrepancy is in the date of birth or is more significant in nature, you are more likely to determine that the information is not a match. | Animation: The date of birth "November 1, 1986" (instead of "1982") in the document (credit file) is circled while a different date of birth (November 1, 1982) appears across the silhouette. The checkmark between the document and the person transforms into a X. |
| In this case, you must use another Canadian credit file from a different provider or use a different method to verify the person's identity. | Animation: The document (laptop) then floats away, and a new document replaces it marked "Credit file from a different provider". Text on screen: "different method" (with a checkmark) |
Use the policies and procedures outlined in your organization's compliance program to meet your requirements. Your organizations policies and procedures must describe:
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Animation: A clipboard marked with the title "Compliance program: policies and procedures" appears in front of the person. The view pans down a checklist as it unfolds on the clipboard:
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| This video series is designed to help businesses understand their identity verification obligations under Canada's federal anti-money laundering/anti-terrorist financing law. | Animation: The clipboard is replaced by a silhouette, which transforms into the FINTRAC logo with 10 icons representing the following sectors:
Text on screen: Proceeds of Crime (Money Laundering) and Terrorist Financing Act |
| Please refer to the PCMLTFA and associated Regulations for the full description of your obligations. | Text on screen: PCMLTFA |
| Together, we can all help to safeguard Canadians and the integrity of Canada's financial system. | Animation: Then the logo morphs into a map of Canada where lines light up as they crisscross and connect various dots on the map. |
[Music fading out] |
Text on screen: For more information about your compliance obligations, including other ways to verify the identity of a client, visit: fintrac-canafe.canada.ca |
| [End of video] | Canada wordmark |
Related links
- Methods to verify the identity of persons and entities
- Video 1 – Verifying the identity of a client: Government-issued photo ID method
- Video 3 – Verifying the identity of a client: Dual-process method
- Video 4 – Verifying the identity of a client: Affiliate or member method
- Video 5 – Verifying the identity of a client: Reliance method
- Date Modified: