Non-U.S. Businesses

Do not open accounts for non-U.S. businesses without significant, viable, documented ties or operations in the U.S.

U.S. Businesses

Proof of legal status is required for business accounts. This varies by type of business entity and the U.S. state of organization. Use these documents and/or methods for proving active legal status for entities organized under U.S. state law: 

• Corporation
  • Articles of Incorporation filed with the Secretary/Department of State office
• Limited Liability Entity
  • Certificate/Articles of Organization as filed with the Secretary/Department of State office or county of organization
• General Partnership
  • Partnership agreement
• Sole Proprietorship
  • Fictitious/Assumed/Trade name filing with the Secretary of State’s office (if applicable)
  • Business license, if applicable
• Trust
  • Trust agreement
• Associate/Club/Unincorporated organization
  • By-laws, meeting minutes, letter of authorization, or other document supporting the validity and existence of the organization

For traditional business accounts, the legal documentation must be examined to determine if it appears genuine, has not expired, has not been altered, and otherwise meets the requirements per policy.

Fiduciary accounts are accounts held by fiduciaries appointed by an individual, a contract, and an agency, or a court to administer funds belonging to others. Click here for fiduciary account types.

Determine proof of legal status by using one or more of the following methods:

• Court order
• Escrow agreement
• Fiduciary agreement
• Letter of Administration
• Letter of Authorization from the Social Security Administration or advice reflecting Representative Payee status
• Letter of Guardianship
• Form authorizing receipt of campaign contributions, campaign committee organization, and/or campaign depository

For traditional business accounts, also examine the legal documentation to determine if it appears genuine, has not expired, has not been altered, and otherwise meets the requirements per policy.

As needed, use non‐documentary verification when:

• You see an unfamiliar ID type presented
• Account documentation is completed outside of a bank office
• Risk level is elevated based on the initial risk assessment
• Specific procedures allow you to do so 

As needed, use one or more of the following methods: 

• Business active status -- Verify a business’s active status on the Secretary/Department of State website
   
• Contact client -- Call or mail client prior to or after the account is opened at his/her residence, place of business, or place of employment 
   
• Financial statement 
   
• Fraud and bad check databases -- Compare the identifying information against fraud and bad check databases to see if any of the information is associated with known incidents of fraudulent activity
   
• Logical consistency -- Analyze the identifying information, such as the client’s name, street address, ZIP code, telephone number, date of birth, and social security number; does it make sense for these things to be found together?
   
• Site visit
   
• Trusted third-party source -- Compare the identifying information with information from a trusted third-party source, such as a consumer reporting agency

As needed, use non-documentary verification in place of documentary verification for:

• Accounts opened in Online Banking 
• Specialized products where accounts are not opened in a bank office 

To perform non-documentary verification for non-traditional accounts, do one or more of the following: 

• Query third-party verification services 
• Obtain reports from consumer reporting agencies 
• Obtain reports from fraud databases 
• Use logical verification (For example: does the provided information make sense together?)