Beneficial Ownership FAQ’s
What is a beneficial owner?
- Any individual who owns, either directly or indirectly, 25 percent or more equity interest in a legal entity.
- Any individual with significant responsibility for managing the legal entity. Examples include: a CEO, CFO, COO, President, Vice president, Treasurer, or a managing partner. Generally this would be considered someone who has the authority to act on behalf of the legal entity to make financial decisions.
What personal information is required for individuals named as Beneficial Owners?
- For each person named on the certification we are required to obtain: Legal name, physical address, Date of Birth, Driver’s License/Photo ID, and their Social Security Number.
- For non U.S. citizen’s we will require a copy of your passport or government issued ID, or an ITIN/TIN number.
Why is Inwood National Bank being asked to collect this information?
- The U.S. Government has passed regulations requiring all financial institutions to obtain this information in an effort to prevent financial crimes such as money laundering, terrorist financing, tax evasion, corruption, fraud, and other financial crimes.
I have personal accounts with Inwood National Bank. Will Inwood National Bank also collect Beneficial Ownership information on these accounts?
- No. The collection of this information only applies to legal entity accounts.
Will this affect my existing business accounts?
- This change should not impact your existing legal entity accounts. If new accounts or financial services are established in the name of your existing legal entity, you will be required to provide Beneficial Ownership information at that time.
What if my company is publicly traded?
- Beneficial Ownership information is not required to be collected for government agencies, publicly traded companies, sole proprietorships, or voluntary unincorporated associations (i.e., youth sports leagues or Scout troops).
What will Inwood National Bank do with this information?
- We are required to maintain this information as part of our records that are associated with your legal entity. We treat this information with the same high level of privacy and security as we do all of our customer information.
Will I have to provide this information on a regular basis?
- New accounts opened for existing Inwood National Bank legal entity customers may also be required to provide additional information for beneficial ownership if the information has not previously been obtained.
Who from my company should complete the certification?
- The individual requesting the account be opened or the loan be granted is the person to complete the certification. This could be the same individual named as the individual with significant management responsibility, or someone who has been designated by that individual to establish bank relationships on behalf of your legal entity. Either way, the person who completes the certification will sign it indicating the information is accurate to the best of his or her knowledge.
Can I provide this information directly to my account representative?
- Yes. If you are more comfortable providing information to your Inwood National Bank account officer or representative, please reach out to them directly.
- For any additional questions or information concerning Beneficial Ownership, please feel free to contact Customer Service directly at (214) 3517330 for assistance.