Qred Bank AB ("Qred") is a bank regulated by the Swedish Financial Supervisory Authority. Qred is thus obliged to comply with the Act (2017:630) on measures against money laundering and terrorist financing (the Money Laundering Act). On this page, we have gathered information about what money laundering means, what the law requires and how it affects you as a customer
What is money laundering and terrorist financing?
Money laundering is to convert money that comes from criminal activities in order to conceal or conceal the illegal origin of the money. Money laundering can also involve trying to hide money earned from legal activities in an attempt to withhold the money from taxation. By laundering the money, criminals can use illegal money without raising suspicions.
Terrorist financing means financially supporting terrorism. This can be done through direct grants, but also indirectly by raising, providing or receiving money to be used for terrorism. It can be done with legal money, but the ultimate purpose, to finance terrorism, is illegal.
Money laundering and terrorist financing pose serious threats to our society. We at Qred AB take our responsibility to prevent money laundering and terrorist financing and must therefore ask our customers certain questions.
Qred AB's obligation to ask questions
The requirements for customer due diligence are high according to the Money Laundering Act. Qred AB is always obliged to obtain information about our customers and assess the risk that our services are used for money laundering or terrorist financing.
Both new and existing customers are subject to the requirement of customer knowledge, as the information should always be kept up to date and up-to-date. Therefore, existing customers may sometimes need to update their information from time to time.
The requirement of customer knowledge means that Qred AB must ensure the identity of the customer, the identity of the beneficial actor, information about PEP and the purpose and nature of the transaction. If we do not get the questions answered, it may result in us not being able to offer our services or having to terminate contracts with existing customers.
What is PEP?
PEP is an abbreviation for Politically Exposed Person, or person in a politically exposed position in Swedish. It is a broad concept that includes a person who has or has held public duties, or a role in the management of an international organization, as well as the person's family and known associates. "Important public function" means:
What is a beneficial owner?
A beneficial owner is the person or persons who ultimately own or control an undertaking or association, or for whom someone else acts or acts in favour. Thus, a beneficial owner is always a natural person.
Owning or controlling an enterprise can take place in different ways, for example by owning more than 25% of the shares in the company or by having the right to appoint or remove more than half of the directors.
If a person owns or controls a limited liability company together with relatives (spouse/cohabitant/registered partner, parents, children and the children's spouses/cohabitants/registered partner), their control shall be taken together. For example, if two spouses own 30% each in a company, their share should be combined. Then the ownership share becomes 60% and both spouses are considered to be the beneficial owner of the company.
If there is no beneficial owner as described above, the Chairman of the Board, CEO, trustee or responsible member shall be identified as the beneficial owner.
Why do we have to state the purpose of the transaction?
When applying for a business loan, you must answer questions about, among other things, the company's operations, turnover and what the money will be used for. The reason is that Qred AB must understand the background to the transaction, what the money will be used for and also where the money comes from when the loan is repaid.
In some cases, Qred AB may need to see additional information such as contracts, receipts, invoices or similar documents.
