Opening an account and passing verification

Verification is the broker's check that a person is who they say they are and lives where they say they live. It is not a formality. ASIC requires brokers to identify clients before an account can be used, so the request comes from the licence, not from the broker's preference. The documents are the evidence that supports that check.

The core set is usually three items. A primary identity document, such as a passport or an Australian driver licence. A proof of address, such as a bank statement or a utility bill, usually dated within the last three months. Sometimes a second identity document, or a tax residency form, if the answers given at sign-up point to more than one country.

The list is not identical everywhere. A broker may accept a Medicare card where another does not. A proof of address may need to show a full name and a residential address, not a post office box. Because the accepted set varies between brokers and between countries, the only reliable list is the one shown in the account portal at the time of application.

A check has stages. The document is received, read, matched against the name and date of birth already on the application, and then compared with the address given. If any field disagrees, the file is returned to the applicant. That return is the main cause of delay, and it restarts the queue.

The common causes are simple to avoid. A photograph that is cropped at the edges. A glare across the text. A document that expired last month. A name written as 'Bill' when the passport says 'William'. A bank statement used as proof of address when the statement shows only a postal address. Each of these sends the application back, and the clock restarts from the moment the replacement arrives.

Timing also depends on the broker's own review queue and on the time of day the file is sent. A document sent on a Friday evening may not be opened until the next business day. The broker should give a written estimate in the portal. If it does not, that is information about the broker, not about the applicant. No deposit should move until the portal shows the account as open.

An application in review is not a trading account. A deposit can usually be made, because the payment reference is tied to the applicant, but the trading function stays locked until the checks are complete. The money is not lost. It sits in the account and cannot be used for a trade.

The payment methods offered in Australia include PayID, BPAY and cards. Each has its own arrival time. PayID is often near-instant between Australian banks. BPAY can take one or two business days. A card payment may be authorised immediately but settle later. None of these speeds up the verification check itself, because the two processes are separate.

A first deposit of A$200 is a common starting amount. If that money is sent before verification is finished, the account may show a balance while the trade button remains inactive. The safer order is to upload clear, current documents, wait for written confirmation that the account is open, and only then send the deposit. That order removes the wait that follows a blocked trade.