What is FICA?

So you’ve heard about this thing called FICA but what is it all about and what’s it got to do with iKhokha?

Breaking down FICA

The Financial Intelligence Centre Act (FICA) is a law that protects against fraudulent transactions and other illegal financial dealings such as money laundering, corruption, terrorism financing, and tax evasion.

QUICK NOTE: FICA is a legal requirement. Until you are FICA approved, we cannot, by law, dispatch your card machine. Don't worry, though. The process is quick and easy!

 


Why do we FICA? 

As part of the FICA process, all Financial institutions and companies that handle their customers’ finances are required to conduct an exercise called Know-Your-Customer (KYC) on all of its customers. Taking the time to FICA helps to curb illegal activities and keep the money of South African citizens safe.

FICA protects you from financial crimes such as:

  • Money laundering
  • Corruption
  • Terrorism financing; and
  • Tax evasion.

Consequences of non-compliance:

Since FICA is a legal requirement, consequences for you and iKhokha for non-compliance are:

  • A R100 million penalty or up to 15 years imprisonment for your company's directors.
  • iKhokha may also either be fined Rl00 million or lose its FICA license.

By law, iKhokha has a responsibility to FICA you according to the Financial Intelligence Centre Act (38 of 2001). This means we need to verify each merchant's identity and bank account before we can allow them to start trading and receive payment.

 


How do you FICA?

Every new iKhokha merchant is, by law, required to upload or supply a few legal. These documents will vary depending on whether you're applying as an individual or on behalf of a business.

 

QUICK NOTE: Please note that legally we cannot dispatch your iKhokha card machine until you are FICA approved. Take a look at the infographic below to find out which documents are required for your business. 

 

FICA Requirements

To activate your iKhokha card machine, our agent will ask you to provide the following documents based on your company structure:

 

 Sole Proprietors:   Business (PTY, CC, Inc): 
  • Business name
  • Contact number
  • Type of business (e.g. hair salon, bakery, etc.,)
  • Clear picture of your original ID
  • Selfie holding your ID open on the first page
  • Bank statement or Account Confirmation Letter
  • Proof of address with your name (Municipal Bill, Bank Statement, Rental Agreement or Affidavit)
  • Device serial number (Check SN on the back of your device) 
  • Business name
  • Director’s contact number
  • Type of business (e.g. retail store, restaurant, etc)
  • Copy or clear picture of a director's original ID
  • Selfie of e director holding their ID open on the first page
  • Business bank statement or business Account confirmation Letter
  • Proof of business address , Municipal Bill, Bank Statement, Rental Agreement or Affidavit
  • CIPRO or Business Registration Docs
  • Device serial number Check SN on the back of your device
 Business (NPO, NPC):   Trust, Partnership, legal entity or other legal persons: 
  • Business name
  • Director's contact number
  • Type of business (e.g. social or recreational club, trade, charity)
  • Copy or clear picture of a director's original ID
  • Selfie of the director holding their ID open on the first page
  • Business bank statement or business Account Confirmation Letter
  • Proof of business address (Municipal Bill, Bank Statement, Rental Agreement or Affidavit)
  • CIPRO or business registration docs
  • Constitution/Finding Docs
  • Device Serial number (Check SN on the back of your device) 
  • Business name
  • Director's contact number
  • Type of business (e.g. school, church, social club, etc.)
  • Copy or clear picture of a director's original ID
  • Selfie of a director holding their ID open on the first page
  • ID copies of all board members/ directors
  • Business bank statement or business Account Confirmation Letter
  • Proof of business address (Municipal Bill, Bank Statement, Rental Agreement or Affidavit)
  • CIPRO or Business Registration Docs
  • Constitution/Founding Docs
  • Device serial number (SN on the back of your device)

 


How to get FICA Approved

You can submit your company's documents through our following self-service option with these easy steps:

  1. Create an iKhokha profile on https://profile.ikhokha.com
  2. Login complete your profile
  3. Enter your settlement information
  4. Carefully read the terms and conditions then
  5. Agreed to them
  6. Upload your company's documents (see FICA requirements above)
  7. Click next

The verification process will begin and then you will get confirmation of your FICA status.

Alternatively you can share these documents with your I call car sales representative and we'll do the rest

If you have any FICA related questions, we're here to help! Call us on 087 222 7000 or send an email to support@ikhokha.com