CommBank Asks About Cash at Home

Commonwealth Bank of Australia (CBA) has begun issuing stricter “know-your-customer” (KYC) questionnaires, warning that clients who do not respond within seven days may see their accounts restricted or closed. As reported by Sky and News.com.au, one recent email was sent to long-time customer and analyst Louis Christopher. The email requested fresh personal details, including the reason he keeps any significant amount of cash at home, under threat of account suspension.

The request reflects an industry-wide shift toward enhanced customer-due-diligence after a series of high-profile anti-money-laundering breaches and fines. While banks are encouraged to verify source-of-funds and source-of-wealth information only when risk is elevated, the depth of those checks is apparently up to each institution’s own risk-based framework.

CBA, Australia’s largest retail lender, appears to be deploying an aggressive interpretation of that guidance by asking for more information than the baseline rules explicitly require. The new survey requires customers to confirm employment details, the origin of their wealth, the purpose of their banking relationship, and the amount of cash they hold at home. Failure to comply triggers a staged response that can culminate in the account being closed and any residual balance returned by bank cheque.

CBA says the measures are designed to deter fraud, money laundering and terrorism financing. The bank’s approach comes after multi-billion-dollar enforcement actions against several major lenders over the past decade, a backdrop that has made retail banks far less tolerant of incomplete customer records.

Reactions on social media suggest some clients view the questions (particularly about household cash reserves) as intrusive. Others report receiving similar notices and scrambling to supply the information within the week-long deadline. Although the bank’s email template cites “regulatory obligations,” Documentation shows that identifying the source of wealth is mandatory only in higher-risk scenarios. CBA is therefore going beyond the minimum threshold set by the regulator, a strategy that may reduce compliance risk but tests customer goodwill.

For everyday account holders, the incident is a reminder that Australia’s retail banks now run continuous KYC reviews rather than treating identity checks as a one-off exercise. Customers who ignore requests for updated data risk losing access to digital banking, direct debits and even branch services.

As global regulators keep tightening AML standards, similar friction is likely to surface again. The balancing act for banks is clear: Detect illicit activity without alienating ordinary savers who simply prefer to keep a little cash in the bottom drawer.

So far, the questions appear limited to cash. CBA has not, at this point, asked customers to disclose holdings of gold, silver or other precious metals kept at home. Precious metals remain a tangible store of value, offering both security and a financial safe haven in uncertain times.