KYC Essentials for Estate Agents and Real Estate Salespersons in Singapore
Estate Agents (EAs) and Real Estate Salespersons (RESs) in Singapore are required to collect and record their customers’ identities and verify them against independent, reliable source documents, data, or information. In this infographic, we elaborate upon the information to be obtained during the identification process and the source documents required for verification of a customer before the onboarding process based on the nature of the customer and their associated parties. Let’s take a look at the KYC Essentials for Estate Agents and Real Estate Salespersons in Singapore.
KYC of a Customer Who Is an Individual by EAs and RESs
When dealing with a customer who is an individual, EAs, and RESs must obtain and record the customer’s name, NRIC/passport, or any other ID number, date of birth, nationality, occupation, and any other information that the EA/RES deems relevant.
Such information must be obtained using reliable and independent source documents, data, or information, such as a passport/work permit or any other permissible identity card bearing picture of the customer.
KYC Requirements for EAs and RESs When Dealing with a Third Party on Whose Behalf the Customer is Acting
In cases where a customer claims to act on behalf of a third party, EAs, and RESs are required to verify the identity of such third party and obtain documents authorising the customer to act on behalf of such third party.
This identity verification can be performed by verifying the customer information against their passport or any other permissible identity card bearing picture of the third party, and their relationship can be established through an authorisation letter/power of attorney or any such Equivalent Document Authorising the Customer to Act on Behalf of the Third Party.
KYC Obligations of Estate Agents and Real Estate Salespersons Where Their Customer is a Legal Entity or Legal Arrangement
When dealing with a customer that is a legal entity or legal arrangement, Estate Agents (Prevention of Money Laundering and Financing of Terrorism) Regulations 2021 requires Estate Agents and Real Estate Salespersons to undertake reasonable measures to understand the nature of the customer’s business and its ownership and control structure. For this, Estate Agents and Real Estate Salespersons must obtain the following information:
- Name
- Legal Form
- Proof of Existence
- Constitution/Instrument under which the customer is constituted
- Registration Number
- Main Business Activity
- Identity of Director(s)/most senior executive/Managing Official
- Registered Office Address/Principal Place of Business
- Country of Registration
- Identity of Beneficial Owners in relation to the entity
For verifying such information, Estate Agents and Real Estate Salespersons can rely on Certificate of Incorporation Issued by the Accounting and Corporate Regulatory Authority (ACRA), Information Shared by the Customer, like the customer’s organisation chart, Information available on the customer’s website, Annual Reports published by the customer, Publicly Available Information about the Customer, like annual returns and fillings with ACRA, Customer’s business profile available on Bizfile+, and Information obtained from reliable sources, like research reports or third-party service providers, or other research.
Identification and Verification of Beneficial Owner of the Legal Entity or Legal Arrangement for Sale and Purchase or Rental Transactions
When dealing with a legal entity or legal arrangement, Estate Agents and Real Estate Salespersons are required to take reasonable measures to verify the identity of the beneficial owners in relation to the legal entity or arrangement.
For this purpose, EAs and RESs must obtain the Beneficial Owner’s Name, NRIC/Passport/ Any Other ID Number and Identification Type, Date of Birth, Nationality, and Occupation from the beneficial owner’s Identity Card/Passport/Work Permit or Any Other Permissible Identification Document.
AML Singapore’s Key Takeaways on KYC Essentials for Estate Agents and Real Estate Salespersons in Singapore
Estate Agents and Real Estate Salespersons in Singapore are required to obtain a customer’s identifying information and verify the same against reliable and independent sources before carrying out any agency work for the customer or entering into an agreement setting out terms of business relationship with such customer or for acquisition or disposal of property. With this infographic, EAs and RESs in Singapore can collect and obtain the relevant information required using reliable and independent sources set out in the law.
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