OK for savings bank to ask my net worth?

Chrisco52

The bank I've held a couple of bonds with for some years emailed me yesterday saying they required extra information about me by March 2nd. I phoned to check this wasn't a scam. Satisfied their request was genuine, I proceeded to answer their questions - until they asked me to tell them my net worth. When I declined to do this, they emailed back saying "Not providing the required information will result in restrictions in accessing the account and in re-investing." Has anyone else encountered this? Is this the new normal?

cloud_dog

Who is it?

EdSwippet

cloud_dog wrote: »

Who is it?

... and how would they know if you told them the truth or not?

colsten

They want it for their Marketing purposes only. You can give them any number you like but you can equally decline the request. If they insist, take your money elsewhere. Who is it, anyway?

Malthusian

It is fairly normal for banking application forms to ask for some details of income / assets. Anti money laundering rules require them to identify unusual transactions which are outside of the pattern they would expect. E.g. if someone with an income of £10,000 a year wants to deposit £500,000, that would raise red flags for further investigation. But they usually ask for vague bands (0-15k, 15k-30k, etc) rather than exact amounts.

The suggestion that you might be unable to withdraw the money ("accessing the account") if you don't tell them your net worth is nonsense. If they failed to do AML when they took your money in the first place that's their problem.

Like Colsten, I suspect this is more about marketing than money laundering given AML should have been done before they accepted your money.

If you don't want to provide the requested information then don't, and put your money with someone else if and when they refuse to allow you to re-invest.

Albermarle

The bank I've held a couple of bonds

'Bonds' can mean almost anything in the financial world
Just for clarity could you say what they are ? Do you mean a fixed rate/term savings 'bond'

cloud_dog

The reason I asked who it was, was that I was wondering if the OP has investments with the same and whether these investments might come under the 'high net worth individual' warning and the organisation in question might be doing due diligence (or additional)?

If that is not relevant then yes, it is for their own marketing requirements.

Albermarle

investments might come under the 'high net worth individual' warning

That is why I also asked about exactly what the bonds were:)

C_Mababejive

Well banks do legally own our money once we pay it over the counter..

Chrisco52

The Bank is Al Rayan Bank PLC , a Sharia-compliant bank whose UK HQ is in Birmingham.

Chrisco52

I have a fixed term deposit with Al Rayan Islamic Bank whose UK HQ is in Birmingham.