Verification: the identity check

Which documents pass first time

Documents pass first time when they are current, complete and photographed flat. For identity you need a valid passport or a national identity document showing your full name, date of birth and photograph, with all four edges inside the frame and no glare across the text. For address you need a recent document in your own name that shows your residential address as you entered it on the form.

The test is legibility, not formality. A photograph taken at an angle, a scan with a shadow across the corner, or a document with a page folded over the address line will be returned even though the document itself is valid. Lay the document on a flat surface in daylight, fill the frame, and check the image on your screen before you upload.

What sends a submission back

A submission comes back when the details on the document do not match the details on the account. That covers a name spelled differently, a maiden name versus a married name, an address that has changed since the document was issued, and an expiry date that has passed. It also covers a document that is cropped, blurred, password-protected or supplied as a screenshot of a screen rather than a photograph or scan of the document.

The second frequent cause is supplying the wrong category. A bank statement proves address, not identity, and a passport proves identity, not address. Sending one document twice in the hope that it satisfies both checks is the most common reason a South African applicant has to start again.

Why finish before the first deposit

Verification gates withdrawals, so an unverified account can take money in but cannot easily let it out. Completing the check before you fund means the first withdrawal request is not the moment you discover a name mismatch, and it means your trading is not interrupted while a document is re-examined. Treat verification as the last step of opening the account rather than an afterthought once you are profitable.

The regulator caveat belongs here too. FxPro is licensed by the FCA and CySEC, and an FxPro entity holds an FSCA licence in South Africa, so check which entity your own account is opened with. Reports of offshore onboarding mean local FSCA oversight and compensation arrangements may not apply to some accounts, which makes knowing your entity and keeping your documents consistent more important, not less.

The legal basis for identity verification on a South African gold trading account

The check exists because South African anti-money laundering law requires it. FxPro, like every financial services provider operating under an FSCA licence, must identify and verify each client before opening a trading account. The Financial Intelligence Centre Act (FICA) sets the framework, and the FSCA supervises how brokers apply it. This is not a marketing preference or an internal policy you can negotiate around; it is a statutory obligation that applies to your XAU/USD account regardless of how small your first deposit might be. The broker cannot waive it, and an account that has not passed verification cannot lawfully be activated for trading.

The law requires two separate things: knowing who you are and knowing where your money comes from. Identity verification covers your name, date of birth and residential address. Source-of-funds checks cover the origin of the money you intend to trade with. Both fall under FICA and both must be satisfied before a broker can give you a live account. The exact documents requested depend on your circumstances, but the underlying requirement is fixed. FxPro is licensed by the FCA (UK) and CySEC, and an FxPro entity holds an FSCA licence in South Africa — check which entity your own account is opened with, because the specific verification process follows the rules of the entity that serves you.

The practical consequence is that verification is a gate, not a formality. Until identity and source-of-funds checks are complete, the broker cannot execute your trades, hold your funds in a trading account, or report your activity to the regulator. That is why the verification page exists at all: it is the point where the legal requirement meets your application. Understanding this changes how you approach it. You are not jumping through a hoop for the broker's benefit; you are completing a step that the FSCA expects the broker to enforce, and that the broker is audited on. Treat the document request as part of opening the account, not an obstacle after it.

Document mistakes that cause rejection even when the document is genuine

A genuine document gets rejected when the image does not let the reviewer read the details the law requires. The most common mistake is a photograph taken at an angle, with glare from a screen or lamp, or with the corners of the document cut off. The reviewer needs to see the full document, all four edges, and every line of text without reflection. A flat scan or a well-lit, straight-on photograph is what passes. If the document is a card, photograph both sides. If it is a page, include the whole page. Cropping to the photo or the number removes the context that confirms the document is intact.

The second frequent rejection is a mismatch between the document and the account details you entered. Your name must appear on the document exactly as you typed it during registration, including middle names and the order of names. A missing middle name, an abbreviated first name, or a maiden name that does not match the account name will send the submission back. The same applies to your date of birth and your residential address: the document must show the same information you provided. If you recently moved and your ID still shows the old address, that is a mismatch the reviewer cannot overlook. Correct the account details first, then resubmit the document that matches them.

The third mistake is submitting a document that has expired or is not on the accepted list. An expired passport or identity card fails even if the photograph is perfect. A document that is not accepted for the purpose, such as a payslip offered as proof of address, also fails. The reviewer is checking that the document is current, that it is the right type for the check, and that it is legible. Before you upload, confirm three things: the document is unexpired, it is one of the accepted types for that check, and the image is clear and complete. Those three checks prevent most rejections.

What happens to money deposited before your verification is approved

A deposit made before approval is held, not traded. The broker receives the funds and credits them to your account, but the account remains restricted until verification is complete. You will not be able to open or close positions, and the funds will not be available for trading. The money is not lost; it sits in your account pending the outcome of the check. The exact treatment depends on the broker's procedures and the entity that serves you, but the principle is consistent: trading access follows verification, not the other way round. Depositing early does not speed up the process, and it does not create an obligation on the broker to approve you.

If the verification is ultimately unsuccessful, the deposited funds are returned to the source. The broker will typically refund the amount to the payment method you used, minus any costs the payment provider charges for the return. The timing depends on the method: a local card or bank transfer in ZAR may take several business days to reflect, while an e-wallet return may be faster or slower depending on the provider. You should not treat a pre-approval deposit as a way to reserve a price or secure a position. The reference price for XAU/USD moves regardless of your account status, and no broker can hold a market price for an unverified account.

The practical rule is to complete verification before you deposit. That avoids the restricted period entirely and removes the risk of a return process if the check fails. If you have already deposited, check your account status in the platform: a restricted account will show that trading is disabled. Do not make a second deposit to try to unlock the first; that only adds to the amount that may need to be returned. Wait for the verification outcome, respond to any document request promptly, and let the process finish. The funds are safe in the account while the check is underway, but they are not working for you until approval.

How the suitability questionnaire shapes your account and what your answers change

The suitability questionnaire determines whether the broker can offer you the full range of products or must apply restrictions. It asks about your trading experience, your financial situation, and your understanding of risk. Your answers do not change the legality of your account, but they do change what the broker is permitted to make available to you. A client who reports limited experience may be offered a more restricted set of instruments or a lower maximum leverage. The questionnaire is not a test you can fail; it is a record of your circumstances that the broker uses to meet its regulatory obligations. Answer it accurately, because the restrictions that follow are based on what you declare.

The most visible effect is on leverage. The maximum leverage available in South Africa is up to 1:200 for retail clients and up to 1:500 for eligible or professional clients depending on the instrument. That is a cap, not a setting to aim at. Your questionnaire answers help the broker decide which category you fall into and whether any additional safeguards apply. For example, at 1:200, a 0.10-lot gold position needs about $85.50 margin. If your answers lead to a lower leverage being applied, the margin required for the same position will be higher. The questionnaire does not set the leverage directly, but it feeds the assessment that does.

Your answers also affect the risk warnings and disclosures you receive. A client who declares a lower risk tolerance or less experience may receive additional prompts before trading volatile instruments such as gold. These are not obstacles; they are the broker's way of documenting that you were informed. If your circumstances change, you can update the questionnaire, and the broker may adjust your profile accordingly. The key point is that the questionnaire is a living record. Answer it honestly at the start, and revisit it if your financial situation or experience changes. Inaccurate answers can lead to a profile that does not match your actual needs, which helps no one.

Accepted proof-of-address documents in South Africa and the recency requirement

South African brokers typically accept a municipal utility bill, a bank statement, or a rates notice as proof of address, provided it shows your name and residential address. The document must be recent, usually issued within the last three months, though the exact window depends on the broker's policy. A document older than that is treated as stale and rejected. The address on the document must match the address you entered on your account. If you live in a rented property and the utility bill is in the landlord's name, that bill will not work; you need a document in your own name. A bank statement is often the simplest option because it is issued monthly and carries your address.

The recency requirement exists because the law requires the broker to know where you live now, not where you lived last year. A three-month-old bank statement is generally acceptable; a six-month-old one is not. The document must be a full statement or bill, not a screenshot of a single transaction. It should show the issuer's name, your name, your address, and a date. If you receive bills electronically, a PDF downloaded from the issuer's portal is usually fine, provided it is the complete document. Photographs of paper bills are accepted if they are clear and complete, but a PDF is less likely to be rejected for legibility.

If you do not have a utility bill in your name, a bank statement is the most reliable alternative. Some brokers also accept a lease agreement or a tax document, but you should check the accepted list for the entity that serves you before submitting. The safest approach is to use a document that is clearly recent, clearly in your name, and clearly shows your residential address. If your address has changed recently, update it on your account first, then submit a document that shows the new address. Submitting a document with an old address after you have updated your account will cause a mismatch and a rejection.

When the name on your ID and the name on your payment card do not match

A mismatch between the name on your identity document and the name on your payment card is a common reason for a deposit to be held or returned. The broker must ensure that the person funding the account is the same person who owns it. If the card is in a different name, the broker cannot confirm that link, and the deposit may be flagged. The solution is to use a payment method that carries your own name. A local card or bank transfer in ZAR from an account in your name avoids the problem entirely. If you must use a card in another name, expect the broker to ask for additional documentation explaining the relationship.

The additional documentation usually takes the form of a signed declaration or a third-party payment form. The broker may ask for proof of the relationship, such as a marriage certificate or a shared address document, and a statement from the cardholder authorising the payment. This is not a routine step, and it can delay your deposit. The cleaner approach is to fund from an account in your own name from the start. If you are using an e-wallet, ensure the wallet is registered in your name and verified to the same identity. A mismatch at the funding stage creates work for both you and the broker, and it can leave your funds in a restricted state while the check is resolved.

If the mismatch is due to a name change, such as a marriage or a legal name change, the broker will need to see the document that links the old name to the new one. A marriage certificate or a deed poll is typically required. Update your account details to the new name first, then provide the linking document. Do not simply use the new name on a card while your identity document still shows the old name; that creates a mismatch the broker cannot resolve without the linking document. The principle is consistency: the name on your identity document, your account, and your funding method should all tell the same story.

How to change your address or name on an approved Karoo Picks account

An approved account is not frozen against change, but every change to your address or name restarts a verification step rather than editing the existing record silently. You contact support from the registered email, state exactly which field is wrong, and supply the supporting document that proves the new detail. For an address that means a fresh proof-of-address document in your name; for a name it means an identity document showing the corrected spelling. The account normally keeps trading while the new document is reviewed, but withdrawals can be held until the file matches again, so raise the change before you need to move money out.

Treat a name change as the heavier of the two. A misspelling, a maiden or married name, or a swapped first and surname all mean the identity document and the account record must be brought back into line, and the broker will compare the new document against what you originally submitted. If the change reflects a legal name change rather than a correction, expect to supply the document that evidences it, not just a request. In South Africa this matters most where your bank account or card is in the new name — a mismatch between the account holder and the payment instrument is exactly the kind of gap that stalls a ZAR withdrawal.

Change your address before it affects a document you rely on. If you move, the proof-of-address document you supplied at onboarding no longer reflects where you live, and a later re-verification will reject it on recency grounds even though it was genuine when submitted. Update it proactively with a current document in your name showing the new residential address, and confirm in writing that the file has been updated. Keep the confirmation, because if a withdrawal is queried months later, that record is what shows the address on file was refreshed rather than left stale. The same discipline applies to a new phone number or email tied to the account.

What a politically exposed person declaration asks and what answering yes changes

A politically exposed person declaration asks whether you hold, or are closely associated with someone who holds, a prominent public function — a senior political role, a senior judicial or military post, a state-owned enterprise executive, or a close family or business relationship with such a person. It is a standard anti-money-laundering question, not an accusation, and answering yes does not bar you from holding an account. What it changes is the level of scrutiny: your account is flagged for enhanced due diligence, which means the broker looks more closely at where your money comes from and may ask for more supporting detail than a non-PEP client would provide.

Answer honestly even where the connection is indirect. The declaration usually captures close family members and known close associates of a PEP, not only the person holding the office, and a deliberately incomplete answer discovered later is treated far more seriously than a disclosed connection. If you are unsure whether a role qualifies, say so in the declaration rather than guessing no — the broker can make the call, and a query raised by you is easier to resolve than one raised by a compliance review. The consequence of a wrong answer is not a penalty on the trade; it is friction on the account, including holds on withdrawals while the file is re-examined.

Expect the practical effects to sit in onboarding and withdrawals, not in your trading. Enhanced due diligence can lengthen the time it takes to approve the account and can mean periodic reviews afterwards, and the broker may ask for source-of-funds evidence that a standard client would not be asked for. It does not change the instrument, the platform, or the margin on a gold position — at 1:200 retail leverage, a 0.10-lot XAU/USD position still needs about $85.50 margin. Keep your declaration current: if you later take up a public role, or a family member does, tell the broker rather than leaving the file stating something that is no longer true.

checked 2026-07-09 · fxscouts.co.za/broker/fxpro; sashares.co.za/fxpro-review; fxpro.com/about/licences