Source of Funds

Source of funds describes the specific origin and transfer path of money or assets used for a particular account activity or transaction.

Evidence can include bank statements, sale records, payslips, transaction histories, or other documents linking the value to a legitimate origin. It differs from source of wealth, which addresses how a person’s overall wealth was accumulated. A financial platform may request evidence before crediting, transferring, or releasing funds when activity is large, unusual, inconsistent, or otherwise higher risk during compliance review.