Lawmakers on Tuesday approved a bill on pushing back the deadline for complying with stricter rules on identifying account ownership from June 26 to October 31.
The requirement affects bank clients who opened accounts before June 27, 2017, when stricter rules to prevent money laundering and the financing of terrorism came into force.
Under the rules, banks are required to have copies of personal identification and proof of residence documents as well as the personal information of their clients. Clients must also make a declaration if they are a politically exposed person.
In the case of corporate clients, documents showing proof of business ownership must be resubmitted.
The bill was tabled by the finance minister at the Hungarian Banking Association’s request to ensure the more than one million bank clients who must still comply are able to do so without hindrance.
Clients who fail to comply by the deadline will not be able to make transactions.