Customer Documentation
Under a firm's Customer Identification Program (CIP), which information must be obtained before opening an account?
The Customer Identification Program (CIP) requires firms to obtain four pieces of information before opening an account: name, address, date of birth, and identification number (usually SSN). This information is used to
Complete Analysis & Legal Rationale
The Customer Identification Program (CIP) requires firms to obtain four pieces of information before opening an account: name, address, date of birth, and identification number (usually SSN). This information is used to verify identity for anti-money laundering purposes.
Distractor Autopsy (Why Other Options Are Traps)
FINRA exam writers design incorrect distractors using specific calculation mistakes and regulatory misconceptions. Review why each option succeeds or fails:
Matches the verified teaching point in the explanation.
Does not match the governing concept in the explanation.
Does not match the governing concept in the explanation.
Does not match the governing concept in the explanation.
Official Standard: Requires AML programs consistent with Bank Secrecy Act obligations (verify current text).
Official Standard: Outline-level citation pending rule-specific upgrade. Verify against current FINRA Series 7 outline.