Anyone have experience with KYC (Know Your Customer)?

I am creating a website that will take wagers and will be required to do KYC (USA only).

Anyone have experience with this and can point me in the right direction of how it should be properly handled?

This really depends in the industry your operating within. It's not only about collecting the correct details but also handling certain processes properly, e.g. payouts should only be made to a bank account which is owned by the user, etc.

If you want to simplify your onboarding process I have seen quite a few services use a company call Onfido - it might be worthwhile checking them out.