Utility Bill

🔹 Definition

A Utility Bill is an official document issued by a service provider—such as an electricity, water, gas, internet, or phone company—that confirms a customer’s name and residential or business address. In financial services and compliance, utility bills are widely used as proof of address (PoA) during Know Your Customer (KYC) onboarding or account verification processes.

To be accepted, the utility bill must typically be recent (within the last 3 months) and show consistent details with the other identity documents provided.

🔹 Frequently Asked Questions (FAQs)

Q1: Why is a utility bill used in KYC verification?

• Acts as evidence of residential address, supporting the customer’s identity
• Helps assess jurisdictional risk or tax residency
• Required under AML/CFT regulations, FATF Recommendations, and local compliance laws
• Used in customer onboarding, address change updates, and re-verification events

Q2: What types of documents qualify as utility bills?
Acceptable documents may include:

• Electricity bill
• Water supply bill
• Gas bill
• Internet service or landline phone bill
• In some cases: mobile phone bills, if clearly issued by a licensed operator
  Note: Bills must display the customer’s name, full address, issue date, and utility provider logo/contact details

Q3: What are the requirements for utility bill acceptance?

• Issued within the past 90 days
• Must be in PDF, scan, or official e-bill format
• Address shown must match or logically align with the application details
• Name must match other ID documents, or explanation must be provided (e.g., spouse’s name on bill)

Q4: What are common challenges with utility bills?

• Shared households: utility bill may be in a parent’s or spouse’s name
• Non-standard formats from certain countries or small providers
• PO Boxes may be present instead of street addresses
• Inconsistencies between ID documents and proof of address

Q5: Are utility bills acceptable worldwide for proof of address?
Generally yes, but:

• Some countries or regulators may require alternative documents, such as:
  • Bank statements, government-issued letters, or tax assessments
• In jurisdictions with less formal infrastructure, utility bills may be less reliable or unavailable, requiring enhanced verification methods