I've worked for banks that also did this:
We ask for full CIP, Occupation, etc... the first time any non customer cashes an on us check. The reason is that our BSA system will need this information for CTR aggregation purposes. Every subsequent time we just enter the customer ID# or name to log the $ in the BSA system.
HubbaBubba,
You referred to it as "CIP," but your bank is likely doing this so that it has the information on file in the event a CTR needs to be filed for aggregated transactions. It's just data collection for a possible future event. Teller systems that I've looked at allow for lowering the threshold from $10,000 to any dollar amount to cause tellers to collect the information on non-customers.
There have been many times that this feature enabled us to file a CTR with all the necessary information for non-customers hopping around to different branches. I actually had a non-customer complain to the FRB about this at one bank. We responded to the complaint and the FRB advised the non-customer that we were not breaking any law. They fully supported our efforts to have such a policy to enable us to meet our CTR filing obligations.
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TryingToComply
CRCM