Question

One of the major challenges banking industry is facing these days is money laundering. Which of the following acts/norms are launched by the banks to prevent money laundering in general?

• A. Know Your Customer Norms
• B. Banking Regulation Act
• C. Negotiable Instrument Act
• D. Narcotics and Psychotropic Substance Act

Answer 1

The correct option is A Know Your Customer Norms

KYC stands for Know Your Customers. Money laundering is one of the major challenges faced by banking companies. Know Your Customers norms are launched by the banks to prevent money laundering in general. KYC verifies the identity and other details of the customer.