Understanding the Different Levels of KYC on Safe Haven MFB

KYC (Know Your Customer) is a crucial process implemented by financial institutions to verify the identity of customers, assess potential risks, and prevent fraud and money laundering activities. By collecting relevant identification and financial information, organizations can establish the credibility and eligibility of customers for specific services or transactions.

Safe Haven Micro Finance Bank has implemented three main levels of KYC, each having specific customer requirements for opening an account.  This article will thoroughly explain each level, highlighting all key requirements and associated benefits.

KYC Level 1

At KYC level 1, customers are required to provide a Bank Verification Number (BVN). The BVN is a unique identification number tied to an individual's bank account, which helps verify their identity. In addition to the BVN, customers are to provide their personal information, including full name, date of birth, contact information, and occupation. These details are crucial for both the account opening process and maintaining accurate records. Within each KYC framework, Safe Haven MFB has implemented distinct tiers, each assigned specific transaction limits. At KYC level 1 (Tier 1), the single transaction limit is capped at N10,000, while the daily transaction limit is set at N50,000. This tiered structure ensures a secure and well-regulated financial environment.

KYC Level 2

To update to KYC Level 2, customers are to provide the BVN and personal information as mentioned in Level 1. Additionally, they are required to submit their National Identification Number (NIN) slip and a utility bill. The NIN is a unique identification number issued by the National Identity Management Commission (NIMC) in Nigeria. The inclusion of NIN and utility bill further enhances the verification process and ensures a higher level of customer authentication. In this upgraded KYC level (Tier 2), the single transaction limit is increased to N100,000, while the daily limit is set at N200,000.

KYC Level 3

KYC Level 3 is the highest level of customer verification. To upgrade to this level, customers must provide their BVN, personal information, a copy of a government-approved identity card, signature, passport photograph, and a utility bill. This level encompasses more comprehensive customer verification measures, providing a greater degree of confidence in the customer's identity and eligibility. At this KYC level (Tier 3), transaction limits are elevated to a single transaction limit of N1,000,000 and a daily limit of N10,000,000.

The transaction limit on your SafeHaven account is determined by your KYC details. To increase your transaction limit, simply update your KYC information.

It's important to note that all business accounts fall under tier 3, which requires full KYC compliance. This ensures that businesses undergo comprehensive customer verification and adhere to higher transaction limits to accommodate their operational needs.

The establishment of these KYC levels and tiers reflects Safe Haven MFB's commitment to maintaining the necessary due diligence in verifying customer identities and transactions. By implementing such measures, Safe Haven MFB mitigates risks, safeguards against fraudulent activities, and fosters a secure environment that is mutually beneficial.