Beneficial Ownership Requirements Overview
Your business relationship is important to us. Our goal is to make the business account process an efficient and enjoyable experience for you. Effective May 11, 2018, all financial institutions are subject to new rules under the Bank Secrecy Act imposed by the United States Department of Treasury. This new federal requirement is aimed at making financial institutions safer for their customer and protecting the country's financial system.
The Beneficial Owner Form
When opening a lending, deposit, or safe deposit box account for a covered Legal Entity at HCN Bank, we will be required to ask you for identifying information (Name, Physical Residential Address, Date of Birth, and Social Security), as well as identification documentation for:
NOTE: It is possible that the control person may also be a Beneficial Owner.
If you are opening an account on behalf of a Legal Entity, modifying signer on an existing account, renewing a Certificate of Deposit or adding a service to your account, you will be required to provide the appropriate documentation and to certify that this information is true and accurate to the best of your knowledge.
In order to make this process as efficient as possible, we suggest that you obtain the above, bulleted information, along with a copy of the current Driver's License, State ID or other identifying document for EACH identified individual that is not present. Please keep this information current and available to present EACH time you come in to establish a new account or make changes to an existing account.
If you have questions about Beneficial Ownership requirements for Legal Entities, please contact your branch, relationship manager, or Call Client Services during business hours at (951) 766-4100.
Beneficial Ownership | FAQ
What types of Legal Entities are covered by this regulation?
Legal Entity does not include sole proprietorships, unincorporated associations, trusts (with some exceptions), publicly traded companies, and most financial institutions, among others.
Who has to complete the Certification of Beneficial Owner(s) form?
The person authorized to open an account on behalf of the Legal Entity.
NOTE: It is possible that the control person may also be a beneficial owner.
Prior to opening a new lending, deposit or safe deposit account for both new and existing Legal Entity customers.
YES, HCN Bank is required to verify name, address, date of birth and Social Security Number for all beneficial owners. We verify that information by obtaining ID, unless the individual is an existing customer and HCN Bank already has ID on file.
YES, if there are changes to the beneficial ownership structure we must obtain a new Beneficial Ownership Certification. There may also be times when the Bank learns of beneficial ownership changes from sources other than the customer and will need the entity to complete a new Certification.
If there are no owners with 25% or more ownership, either because all of the owners own a smaller percentage or because it is a nonprofit organization that has no owners, then only the information for the person who controls or manages the Legal Entity will be entered on the Control Section of the Certification.
Customers should contact their respective branch, relationship manager or contact Customer Service at (951)766-4100.