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The Customer Identification Program is intended to enable the bank to form a reasonable belief that it knows the true identity of each customer. The CIP must include new account opening procedures that specify the identifying information that will be obtained from each customer.
A front office application is any software that has a direct relation to customers. It provides functionality and data necessary to take orders, configure complex products and provide effective service and support to customers. It includes customer relationship management (CRM), sales force automation, customer support and field service.
The digital customer profile is also checked instead of field visits. There can be a lot of information available about the customer because of the presence of credit Bureaus. If the customer has some kind of banking history that can be obtained from the Bureau. Credit scorecard models are used to accept or reject the customer's loan application.
If linked to a customer shop account, some retailers' point-of-sale systems also allow the salesperson to see a complete record of the customer's buying history. A receipt (or a copy of a receipt) is the proof of purchase usually needed to make a return and often plays a vital part in a company's return and exchange policy. [citation needed]
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For commercial banks and large finance companies, "loan agreements" are usually not categorized although "loan portfolios" are often broadly characterized into "personal" and "commercial" loans while the "commercial" category is then subdivided into "industrial" and "commercial real estate" loans.
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