New Zealand Legislation: Regulations

18 What must be treated as reasonable efforts under section 204 of Act

• (1) A provider makes reasonable efforts for the purposes of section 204(3)(a) of the Act as set out in the following table:

  Steps for provider	When step constitutes reasonable efforts
  Step 1: make a request to the member that— (a) sets out what the member needs to do for the provider to verify his or her identity (eg, provide documentary evidence); and (b) is in writing; and (c) is sent by post to the address provided by the Commissioner under section 51(3) of the Act (or if only an electronic address is provided, by email to that address); and (d) is sent as soon as practicable after the address is provided.	Until the member complies with the request, the provider has made reasonable efforts. If the member complies with the request at any time (whether before or after any time for compliance set out in the request), the provider must do step 2.
  Step 2: verify the identity of the member as soon as practicable after the member complies with the request.	If the provider does step 2, the provider has made reasonable efforts.

  (2) A reference in the steps in subclause (1) to verifying identity means verifying that identity in the way that would be required under section 6 of the Financial Transactions Reporting Act 1996 if it were not for the exemption in section 204(2) of the Act.