Both industry regulators and the Financial Action Task Force (FATF) consider politically exposed persons (PEPs) to pose a higher risk of corruption and involvement in money laundering and/or terrorist financing. To effectively mitigate the potential risks posed by such activities, […]
The accuracy and reliability of data used in politically exposed person (PEP) screening are paramount to its effectiveness. High-quality data ensures relevant PEP profiles are identified accurately, minimizing false positives and negatives. It involves collecting comprehensive and up-to-date information from […]
According to payment systems company ACI Worldwide, 20 percent of global consumers surveyed in 2022 reported losing money to fraudsters within the past four years. Of those surveyed, 27 percent reported being victims of authorized push payment (APP) scams. In […]
The know your customer (KYC) and know your business (KYB) processes are common regulatory requirements for financial institutions (FIs) that require them to establish who their customers are and understand what kind of financial activity they are involved in. Both […]
In 2022, research by customer experience management platform OvationCXM found that 76 percent of businesses have given up while onboarding a financial product or service. Among the top frustrations cited included complicated processes, lengthy waiting times, and working with too […]
Transaction screening and transaction monitoring are both key elements of anti-money laundering and countering the financing of terrorism (AML/CFT) and fraud risk management. Although they differ, they’re complementary: screening is part of the risk process before a transaction is approved, […]
Between 2016 and 2022, broker-dealers suffered significant penalties – some in the millions – for customer due diligence failures. These fines have made it clear that firms dealing in securities are not exempt from global anti-money laundering (AML) regulators’ scrutiny. […]
Even the most advanced anti-money laundering and countering of terrorist financing (AML/CFT) technology depends on a well-conceived underlying governance structure to serve its intended purpose. Indeed, U.S. regulators expect firms to designate specific individuals solely responsible for AML/CFT functions – […]
As firms grapple with adapting to volatile market conditions and economic uncertainties, staying ahead requires making informed decisions and partnering with the right vendors. This is especially true when it comes to Know Your Business (KYB) compliance. Despite small to […]
The Know Your Business (KYB) process refers to the series of due diligence measures completed by a firm to gain a comprehensive understanding of its corporate customers. The primary objective of the KYB process is to ensure organizations do not […]
The background of PSN02 lies in the Monetary Authority of Singapore’s (MAS) commitment to maintaining the integrity and security of the financial system against money laundering and terrorism financing risks. By implementing the notice, MAS aims to strengthen the overall […]
Several key factors are driving the growing demand for know-your-business (KYB) solutions, including the rise of digital and online transactions, which have expanded the scope and complexity of business relationships. Another critical factor is the increasing prevalence of shell companies […]
