Ongoing monitoring
Due diligence doesn’t stop after a customer has been onboarded to the business. CDD for banks and financial services must include ongoing monitoring for changes in customer status (movement between risk categories), changing fraud signals emitted by customer identities, as well as ongoing transaction monitoring for suspicious activities.
Investigation and reporting
All suspicious activity must be investigated which may involve requests for additional information from the customer; for example, the source of funds for a transaction. If a bank or financial service firm has suspicions that money laundering is taking place, these must be flagged to the regulator in a suspicious activity report.
Tips for building trust in your business
Build trust with customer due diligence
In the digital market for banking and financial services, trust has brand value. Approaching due diligence as a feature of your customer experience makes good business sense and can help to build trust with customers, partners and regulators.
The right balance of personal identifiers, identity documents, biometrics, behaviours and signals, at the right touchpoints, is an opportunity to establish reciprocal trust between the customer and financial service provider instilling a greater degree of consumer confidence from onboarding onwards.
Choose a configurable KYC solution
The best KYC solutions for banking and financial services are configured to match your business needs and risk profile and built to automatically accept, decline, or refer applications, speeding up the due diligence process for legitimate customers who represent a low risk.
These solutions combine risk management engines that search for customer risk signals using accurate trust scoring algorithms with a range of identity data verification and document proofing and biometric authenticating technologies.
Customer journeys dynamically adjust at key decisioning points to offer greater speed and lower friction or higher security as required
Balance due diligence with customer experience
Speed and convenience matter as much as security for successful brands looking to build customer relationships based on trust. A great experience and a safe experience are indivisible for customer acquisition and business growth.
Intelligent digital identity verification solutions can be integrated into your existing processes quickly and easily, ensuring your business only gets genuine customers through the door and blocks fraudsters, without impacting the customer experience.
Frequently asked questions
What is Anti-Money Laundering?
Anti-money laundering (AML) refers to a wide set of laws and regulations mandating steps that financial institutions and other regulated industries must take to prevent criminals from laundering money or any property derived from or obtained, directly or indirectly, through the commission of an offence. Regulated businesses must not knowingly or unknowingly aid these activities.
What is Know Your Customer?
Know your customer (KYC) is a requirement for regulated industries. It refers to the customer due diligence (CDD) and enhanced due diligence (EDD) activities that companies must carry out to ensure their customers are genuine and do not pose an individual risk to the business at the point of onboarding and as part of continuous monitoring during the business relationship.
