The Federal Communications Commission on April 9, 2026 released a draft proposal to tighten “Know Your Customer” (KYC) rules for voice service providers, aiming to make it harder for scammers to place illegal robocalls through legitimate phone networks. The FCC is scheduled to vote on the proposal at its April 30 open meeting.
KYC, short for “Know Your Customer,” refers to the steps a phone company must take to verify who is using its network to place calls. The FCC already requires some KYC practices, but the agency said in a fact sheet that the current system falls short because “some originating providers do not do enough.”
Under the proposed rules, voice service providers that originate calls would need to collect more detailed information from their customers, including government-issued identification. They would also need to verify that information against supporting documents, not just accept it at face value.
Providers would be required to retain KYC records for up to four years after a customer relationship ends. If unusual activity is detected, such as a sudden spike in call volume, providers would need to re-verify customer data.
The proposal introduces per-call penalties for providers that fail to follow the rules. According to the ABA Banking Journal, this structure is designed to tie penalties directly to the volume of illegal calls, and therefore the harm caused.
For small businesses that use automated or high-volume calling for marketing, appointment reminders, or customer outreach, the practical effect is straightforward. Your phone service provider will likely ask for more documentation when you sign up or renew your account. That could include a copy of a government-issued ID or business registration records, plus details about how you plan to use the service.
Businesses that make a large number of calls may face extra scrutiny. The FCC’s proposal would require providers to collect information about service usage, such as whether calls are for marketing or political campaigns, and potentially technical details like IP addresses.
These rules are still a proposal, not final. The FCC will vote on whether to formally issue the rulemaking at its April 30 open meeting. If approved, a public comment period will follow before any rules take effect. Small businesses that rely on phone-based outreach should watch for the vote and any new requirements from their providers in the months ahead.
