GP's tenses are both correct. It has that reputation today, as a lingering effect of how it didn't pry historically. The industry is hanging on for the time being, probably thanks to network/incumbent effects, inertia, and some limited observance of the old ways, for clients whose countries will allow it.
there is the "are you a US citizen or a green card holder" question on every application form. probably there are two separate workflows depending on the answer.
If airlines could be fooled, you'd think at least Swiss banks would do some KYC