Who you verify
Your customer is the party you act for: the vendor under a sales agency agreement, the buyer under a buyer's agency agreement. Identify and verify them before the service starts, which for a sale is the engagement, not the settlement. AUSTRAC's real estate guidance explains what, if anything, is expected in relation to the other party to the transaction; follow it and record what you did.
What to collect
- Individuals: full name, date of birth, address, verified against a driver licence or passport.
- Companies: ASIC extract, directors and beneficial owners.
- Trusts and SMSFs: the deed, trustees and beneficiaries.
- The purpose of the relationship, in one or two lines, and the source of funds where the risk is higher.
Rate and schedule
Low, medium or high, from client type, jurisdiction, value, delivery channel and red flags: politically exposed persons, cash, third parties instructing, unclear source of funds. Set a review date by rating.
Keep it
Records for 7 years after the relationship ends. Never delete a client file; archive it.
Questions people ask
- The vendor is overseas and we never meet. What then?
- Verify with certified copies or an electronic verification service, treat non face-to-face as a risk factor and rate accordingly.
This guide is general information for real estate agents, buyers agents, property managers, not legal advice. Check AUSTRAC's current guidance for your situation.