Bank asking too many questions

My banker always asks me to verify my information, which is now a nuisance and harassment. Why can’t banks keep records well? Why should customers be bothered by numerous verification questions whenever they require banking services? This was not our experience in the past.  Please guide me on the action I can take against the bank.
MX, Dar es Salaam

We are sorry to hear about this experience. The terms ‘nuisance’ and ‘harassment’ have significant legal implications, and such conduct could result in civil liability. We hope you used these terms to describe the negative impact of the verification process.

In any case, banks are required to verify customer information as part of banking and anti-money laundering regulations, known as Know Your Customer (KYC). KYC is a standard practice in the banking sector worldwide. The frequency of these verifications may depend on the type of customer, the service you require, or if the transactions you have conducted are considered suspicious. It is important to note that this does not imply you are a criminal; rather, banks implement these measures as part of a risk-based approach to prevent potential crimes.

This risk-based approach requires that every customer and transaction of a particular nature be viewed as a potential risk until proven otherwise. Internal risk management guidelines and policies also mandate that banks conduct frequent verifications. With the rise in criminal activities and advancements in technology, banks are required to adopt strict legal measures to maintain the integrity of the banking system. This is why verification was not as frequent in the past. While you haven’t specified how often this has occurred, we hope the bank’s actions were genuine and compliant with legal requirements. You have the right to voice your complaint through the bank’s customer service or designated complaint centres. Your lawyer can provide further guidance on this matter.