Chapter 2 Standards for Identifying Abnormal Accounts (Account Numbers) and Notification Procedures |
Section 1 Deposit Accounts |
| Article 3 |
The criteria for identifying abnormal deposit accounts or transactions suspected of involvement in fraud are as follows:
1. The applicant frequently applies to open a deposit account or to set up designated accounts over a short period of time without reasonable explanation.
2. The transaction functions applied for are obviously inconsistent with the account holder’s age or background.
3. The contact information provided by the account holder cannot be verified by using reasonable measures.
4. The deposit account has been reported by a financial institution or a member of the public as being used by someone suspected of criminal activities.
5. The deposit account has been used with frequent small-amount inward and outward remittances suspected of being probing activities.
6. The user makes frequent use of electronic services or facilities of deposit business institutions within a short period of time in a manner that is obviously at variance with the normal transaction activities of the account holder.
7. An inactive deposit account with unexpected unusual transactions.
8. A deposit account whose account holder provides the same mobile phone number as that provided by the account holder of another watch-listed deposit account at the same deposit business institution, and which is suspected to be used for criminal activity.
9. The virtual account linked to the deposit account has been listed as a watch-listed virtual account several times within a certain period of time.
10. A non-Taiwanese person who is found by a deposit business institution to have had relevant identity certification documents, such as resident certificates provided for verification upon opening a deposit account, revoked prior to expiration, to have overstayed, or to have been reported as missing.
11. An account holder who is verified by a deposit business institution to have been reported as a missing person.
12. A domestic deposit account listed by a judicial police authority as suspected of involvement in fraud.
13. A deposit account with transactions suspected of involving fraud, as listed in the Model Guidelines for Banks' Anti-Money Laundering and Counter-Terrorism Financing Policies and Procedures.
14. Other abnormal deposit accounts or transactions determined by the competent authorities or deposit business institutions to be suspected of involvement in fraud. |
| Article 4 |
Deposit business institutions shall implement enhanced due diligence to verify the identity of the account holder in cases of abnormal deposit accounts suspected of involvement in fraud, and may adopt the following ongoing due diligence measures:
1. Obtaining the approval of senior management before establishing or entering a new business relationship.
2. Taking reasonable measures to understand the sources of wealth and the source of funds of the account holder. The aforementioned source of funds refers to the substantial source from which the funds are generated.
3. Conducting enhanced ongoing monitoring of the business relationship. |
| Article 5 |
When deposit business institutions implement control and management measures provided for in the latter part of Paragraph 1, Article 8 of the Act with respect to abnormal deposit accounts suspected of involvement in fraud, or when it is necessary to identify transactions suspected of involving fraud, they may send inquiries to other deposit business institutions, electronic payment institutions, credit card business institutions, or virtual asset service providers by telephone, e-mail, the fraud prevention platform, or other means acceptable to the recipient to obtain information about such abnormal deposit accounts suspected of involvement in fraud.
The recipient of the inquiry shall provide the following information as requested by the inquiring institution:
1. Where the recipient of the inquiry is a deposit business institution, it shall provide:
(1) Name of the deposit account holder and account opening date.
(2) The age and occupation of the account holder and the purpose of the account opening or transaction.
(3) Whether there are any abnormal transactions in the deposit account and whether the account is being monitored.
2. Where the recipient of the inquiry is an electronic payment institution, it shall provide:
(1) Name of the electronic payment account holder and account opening date.
(2) The user's age.
(3) Whether there are any abnormal transactions of the electronic payment account and whether the electronic payment account is being monitored.
3. Where the recipient of the inquiry is a card issuer, it shall provide:
(1) Name of the cardholder and card approval date.
(2) The age and occupation of the cardholder.
(3) Whether there are any abnormal transactions on the credit card and whether the card is being monitored.
4. Where the recipient of the inquiry is a virtual asset service provider, it shall provide:
(1) Name of the customer holding the virtual asset account and opening date of the virtual asset account.
(2) The age and occupation of the customer and the purpose of the virtual asset account opening or transaction.
(3) Whether there are any abnormal transactions in the virtual asset account and whether the account is being monitored.
In addition to the information specified in the preceding paragraph, the recipient of the inquiry may also provide other necessary information requested by the inquiring institution to implement the control measures provided for in the latter part of Paragraph 1, Article 8 of the Act or to identify transactions suspected of involving fraud.
The recipient of the inquiry shall provide the requested information within five business days. However, this shall not apply if there are practical operational difficulties, the recipient has explained such difficulties to the inquiring institution within the preceding period, and both parties agree to extend the period for providing the requested information.
Where the recipient of the inquiry is a deposit business institution, the key points or other procedures for the recipient to confirm the identity of the inquiring institution under this Article shall be formulated by the Bankers Association of the Republic of China and reported to the competent authority for record. |
Section 2 Electronic Payment Accounts |
| Article 6 |
The criteria for identifying abnormal electronic payment accounts or transactions suspected of involvement in fraud are as follows:
1. The applicant frequently applies to open an electronic payment account over a short period of time without reasonable explanation.
2. The transaction functions applied for are obviously inconsistent with the user's age or background.
3. The contact information provided by the user cannot be verified by using reasonable measures.
4. The electronic payment account has been reported by a financial institution or a member of the general public as being used by someone suspected of criminal activity.
5. The electronic payment account has been used with frequent small-amount inward and outward remittances suspected of being probing activities.
6. The user makes frequent use of electronic services or facilities of electronic payment institutions within a short period of time in a manner that is obviously at variance with the normal transaction activities of the user.
7. An inactive account with unexpected unusual transactions.
8. An electronic payment account whose user provides the same mobile phone number as that provided by the user of another watch-listed electronic payment account, and which is suspected to be used for criminal activity.
9. A non-Taiwanese person who is found by an electronic payment institution to have had relevant identity certification documents, such as resident certificates provided for verification upon opening an electronic payment account, revoked prior to expiration, to have overstayed, or to have been reported as missing.
10. A user who is verified by an electronic payment institution to have been reported as a missing person.
11. A domestic electronic payment account listed by a judicial police authority as suspected of involvement in fraud.
12. Accounts with transactions that show signs of involvement in fraud, as set out in the Template for Directions Governing Anti-Money Laundering and Counter-Financing of Terrorism of Electronic Payment Institutions.
13. Other abnormal electronic payment accounts or transactions determined by the competent authority or electronic payment institutions to be suspected of involvement in fraud. |
| Article 7 |
Electronic payment institutions shall implement enhanced due diligence to verify the identity of users in cases of abnormal electronic payment accounts suspected of involvement in fraud, and may adopt the following ongoing due diligence measures:
1. Obtaining the approval of senior management before establishing or entering a new business relationship.
2. Taking reasonable measures to understand the source of funds of the user. The aforementioned source of funds refers to the substantial source from which the funds are generated.
3. Conducting enhanced ongoing monitoring of the business relationship. |
| Article 8 |
When electronic payment institutions implement control and management measures provided for in the latter part of Paragraph 1, Article 8 of the Act with respect to abnormal electronic payment accounts suspected of involvement in fraud, or when it is necessary to identify transactions suspected of involving fraud, they may send inquiries to other deposit business institutions, electronic payment institutions, credit card business institutions, or virtual asset service providers by telephone, e-mail, the fraud prevention platform, or other means acceptable to the recipient to obtain information about such abnormal electronic payment accounts suspected of involvement in fraud.
The recipient of the inquiry shall provide the following information as requested by the inquiring institution:
1. Where the recipient of the inquiry is a deposit business institution, it shall provide:
(1) Name of the deposit account holder and account opening date.
(2) The age and occupation of the account holder and the purpose of the account opening or transaction.
(3) Whether there are any abnormal transactions in the deposit account and whether the account is being monitored.
2. Where the recipient of the inquiry is an electronic payment institution, it shall provide:
(1) Name of the electronic payment account holder and account opening date.
(2) The user's age.
(3) Whether there are any abnormal transactions of the electronic payment account and whether the electronic payment account is being monitored.
3. Where the recipient of the inquiry is a card issuer, it shall provide:
(1) Name of the cardholder and card approval date.
(2) The age and occupation of the cardholder.
(3) Whether there are any abnormal transactions on the credit card and whether the card is being monitored.
4. Where the recipient of the inquiry is a virtual asset service provider, it shall provide:
(1) Name of the customer holding the virtual asset account and opening date of the virtual asset account.
(2) The age and occupation of the customer and the purpose of the virtual asset account opening or transaction.
(3) Whether there are any abnormal transactions in the virtual asset account and whether the account is being monitored.
In addition to the information specified in the preceding paragraph, the recipient of the inquiry may also provide other necessary information requested by the inquiring institution to implement the control measures provided for in the latter part of Paragraph 1, Article 8 of the Act or to identify transactions suspected of involving fraud.
The recipient of the inquiry shall provide the requested information within five business days. However, this shall not apply if there are practical operational difficulties, the recipient has explained such difficulties to the inquiring institution within the preceding period, and both parties agree to extend the period for providing the requested information.
Where the recipient of the inquiry is an electronic payment institution, the key points or other procedures for the recipient to confirm the identity of the inquiring institution under this Article shall be formulated by the Electronic Payment Association of R.O.C. and reported to the competent authority for record. |
Section 3 Credit Cards |
| Article 9 |
The criteria for identifying abnormal credit cards or transactions suspected of involvement in fraud are as follows:
1. The applicant frequently applies for credit cards over a short period of time without reasonable explanation.
2. The credit card has been reported by a financial institution or a member of the general public as being used by someone suspected of criminal activity.
3. The credit card has been used with frequent small transactions suspected of being probing activities.
4. The user makes frequent use of credit card transactions within a short period of time in a manner that is obviously at variance with the normal transaction activities of the cardholder.
5. An inactive credit card with unexpected unusual transactions.
6. A credit card whose holder provides the same mobile phone number as that provided by a cardholder of another watch-listed credit card settlement number in the same issuer, and which is suspected to be used for criminal activity.
7. A non-Taiwanese person who is found by a card issuer to have had relevant identity certification documents, such as resident certificates provided for verification upon the issuance of a credit card, revoked prior to expiration, to have overstayed, or to have been reported as missing.
8. An account holder who is verified by a card issuer to have been reported as a missing person.
9. A credit card with transactions that show signs of involvement in fraud, as set out in the Template for Directions Governing Anti-Money Laundering and Counter-Financing for Credit Card Business Institutions.
10. Other abnormal credit cards or transactions determined by the competent authorities or issuers to be suspected of involvement in fraud. |
| Article 10 |
Card issuers shall implement enhanced due diligence to verify the identity of the cardholder in cases of abnormal credit cards suspected of involvement in fraud, and may adopt the following ongoing due diligence measures:
1. Obtaining the approval of senior management before establishing or entering a new business relationship.
2. Taking reasonable measures to understand the sources of wealth and the source of funds of the cardholder. The aforementioned source of funds refers to the substantial source from which the funds are generated.
3. Conducting enhanced ongoing monitoring of the business relationship. |
| Article 11 |
When card issuers implement control and management measures provided for in the latter part of Paragraph 1, Article 8 of the Act with respect to abnormal credit cards suspected of involvement in fraud, or when it is necessary to identify transactions suspected of involving fraud, they may send inquiries to other deposit business institutions, electronic payment institutions, credit card business institutions, or virtual asset service providers by telephone, e-mail, the fraud prevention platform, or other means acceptable to the recipient to obtain information about such abnormal credit cards suspected of involvement in fraud.
The recipient of the inquiry shall provide the following information as requested by the inquiring institution:
1. Where the recipient of the inquiry is a deposit business institution, it shall provide:
(1) Name of the deposit account holder and account opening date.
(2) The age and occupation of the account holder and the purpose of the account opening or transaction.
(3) Whether there are any abnormal transactions in the deposit account and whether the account is being monitored.
2. Where the recipient of the inquiry is an electronic payment institution, it shall provide:
(1) Name of the electronic payment account holder and account opening date.
(2) The user's age.
(3) Whether there are any abnormal transactions of the electronic payment account and whether the electronic payment account is being monitored.
3. Where the recipient of the inquiry is a card issuer, it shall provide:
(1) Name of the cardholder and card approval date.
(2) The age and occupation of the cardholder.
(3) Whether there are any abnormal transactions on the credit card and whether the card is being monitored.
4. Where the recipient of the inquiry is a virtual asset service provider, it shall provide:
(1) Name of the customer holding the virtual asset account and opening date of the virtual asset account.
(2) The age and occupation of the customer and the purpose of the virtual asset account opening or transaction.
(3) Whether there are any abnormal transactions in the virtual asset account and whether the account is being monitored.
In addition to the information specified in the preceding paragraph, the recipient of the inquiry may also provide other necessary information requested by the inquiring institution to implement the control measures provided for in the latter part of Paragraph 1, Article 8 of the Act or to identify transactions suspected of involving fraud.
The recipient of the inquiry shall provide the requested information within five business days. However, this shall not apply if there are practical operational difficulties, the recipient has explained such difficulties to the inquiring institution within the preceding period, and both parties agree to extend the period for providing the requested information.
Where the recipient of the inquiry is a card issuer, the key points or other procedures for the recipient to confirm the identity of the inquiring institution under this Article shall be formulated by the Bankers Association of the Republic of China and reported to the competent authority for record. |
Section 4 Virtual Asset Accounts |
| Article 12 |
The criteria for identifying abnormal virtual asset accounts or transactions suspected of involvement in fraud are as follows:
1. The applicant frequently applies for virtual asset accounts over a short period of time without reasonable explanation.
2. The transaction functions requested by the customer are obviously inconsistent with the customer's age or background.
3. The contact information provided by the customer cannot be verified by using reasonable measures.
4. The virtual asset account has been reported by a virtual asset service provider, financial institution, government agency, or a member of the general public as being used by someone suspected of criminal activity.
5. The virtual asset account has been used with frequent small-amount inward and outward remittances suspected of being probing activities.
6. The customer makes frequent use of the services or facilities of virtual asset service providers within a short period of time in a manner that is obviously at variance with the normal transaction activities of the customer.
7. An inactive virtual asset account with unexpected unusual transactions.
8. A virtual asset account whose holder provides the same mobile phone number as that provided by the customer of another watch-listed virtual asset account in the same virtual asset service provider, and which is suspected to be used for criminal activity.
9. A non-Taiwanese person who is found by a virtual asset service provider to have had relevant identity certification documents, such as resident certificates provided for verification upon the opening of a virtual asset account, revoked prior to expiration, to have overstayed, or to have been reported as missing.
10. A customer who is verified by a virtual asset service provider to have been reported as a missing person.
11. A domestic virtual asset account listed by a judicial police authority as suspected of involvement in fraud.
12. A virtual asset account with transactions that show signs of involvement in fraud, as set out in the Anti-Money Laundering, Counter-Terrorism Financing, and Anti-Fraud Crime and Industry Joint Defense Mechanisms and other self-regulatory rules of the Taiwan Virtual Asset Service Provider Association.
13. Other abnormal virtual asset accounts or transactions determined by the competent authority or virtual asset service providers to be suspected of involvement in fraud. |
| Article 13 |
Virtual asset service providers shall implement enhanced customer due diligence to verify the identity of the customer in cases of abnormal virtual asset accounts suspected of involvement in fraud, and may adopt the following ongoing customer due diligence measures:
1. Obtaining the approval of senior management of the virtual asset service provider before establishing or entering into a new business relationship.
2. Taking reasonable measures to understand the sources of wealth and the source of funds of the customer. The aforementioned source of funds refers to the substantial source from which the funds are generated.
3. Conducting enhanced ongoing monitoring of the business relationship. |
| Article 14 |
When virtual asset service providers implement control and management measures provided for in the latter part of Paragraph 1, Article 8 of the Act with respect to abnormal virtual asset accounts suspected of involvement in fraud, or when it is necessary to identify transactions suspected of involving fraud, they may send inquiries to other deposit business institutions, electronic payment institutions, credit card business institutions, or virtual asset service providers by telephone, e-mail, the fraud prevention platform, or other means acceptable to the recipient to obtain information about such abnormal virtual asset accounts suspected of involvement in fraud.
The recipient of the inquiry shall provide the following information as requested by the inquiring institution:
1. Where the recipient of the inquiry is a deposit business institution, it shall provide:
(1) Name of the deposit account holder and account opening date.
(2) The age and occupation of the account holder and the purpose of the account opening or transaction.
(3) Whether there are any abnormal transactions in the deposit account and whether the account is being monitored.
2. Where the recipient of the inquiry is an electronic payment institution, it shall provide:
(1) Name of the electronic payment account holder and account opening date.
(2) The user's age.
(3) Whether there are any abnormal transactions of the electronic payment account and whether the electronic payment account is being monitored.
3. Where the recipient of the inquiry is a card issuer, it shall provide:
(1) Name of the cardholder and card approval date.
(2) The age and occupation of the cardholder.
(3) Whether there are any abnormal transactions on the credit card and whether the card is being monitored.
4. Where the recipient of the inquiry is a virtual asset service provider, it shall provide:
(1) Name of the customer holding the virtual asset account and opening date of the virtual asset account.
(2) The age and occupation of the customer and the purpose of the virtual asset account opening or transaction.
(3) Whether there are any abnormal transactions in the virtual asset account and whether the account is being monitored.
In addition to the information specified in the preceding paragraph, the recipient of the inquiry may also provide other necessary information requested by the inquiring institution to implement the control measures provided for in the latter part of Paragraph 1, Article 8 of the Act or to identify transactions suspected of involving fraud.
The recipient of the inquiry shall provide the requested information within five business days. However, this shall not apply if there are practical operational difficulties, the recipient has explained such difficulties to the inquiring institution within the preceding period, and both parties agree to extend the period for providing the requested information.
Where the recipient of the inquiry is a virtual asset service provider, the key points or other procedures for the recipient to confirm the identity of the inquiring institution under this Article shall be formulated by the Taiwan Virtual Asset Service Provider Association and reported to the competent authority for record. |