What Is A Due Diligence Information Packet?

What is a due diligence packet? and why should you spend time in preparing for one now? What purpose does it serve?


Hello, my name is Faisal Khan. I am a banking and a payment consultant and I’m answering your questions today. The question I got today is what is a due diligence information packet. Well very simply a due diligence information packet is a set of documents that is required by a licensed financial institution to be able to do due diligence on you.

What’s the name of your company. Where are the copies of your passportPassport . Can we see some I.D. What’s your full name. Can you show proof of billing address. Can you show the incorporation documents of your company. Can you show the audited statements. Who are the beneficial owners. What are their shareholdings. Where are you registered. Where are you living. Where are you doing work. Can we see an audited statement. Are you on a terrorist list. Are you on a politically exposed persons list. Do you have any AML compliance program. Have you ever been convicted. All these questions etc. are part of the due diligence information packet.

Now, it makes sense for you to undergo this exercise and complete the due diligence packet because once you’re applying to financial institutions for access to a bank account. Once you try to work with nonbanking financial institutions for partnering up with them once you’re establishing correspondent routes or tie-ups etc with MTOs or MNOs, mobile money network operators worldwide, they will require a due diligence packet.

So the work done on a due diligence packet in the initial phase, it’s a little bit of work but once you get all that packet ready it’s nothing more than scanned documents, notarized documents, original copies, references on web etc where you can search the company by tax number or it’s registration number. Those things will save you time when you are doing your business communication with banks or non banking financial institutions in a partnership agreement. So whether you want to become a client or a solution provider or an equal peer due diligence documents will play a huge role. Invest into them today and they will definitely benefit to you tomorrow.

I hope I was able to answer the question if you have any more, please feel free to comment below and I’ll be happy to look at it. Till next time, take care.

This page was last updated on December 14, 2021.