Tamper-Proof Customer Screening AML Solution

Tamper-Proof Customer Screening AML Solution

The KYC/CDD processes by AML-TRACE incorporate the latest technologies for providing end-to-end customer life-cycle risk coverage: customer on-boarding, ongoing due diligence, & enhanced due diligence. So, when we say that you will know your customer, we mean it. Read on to know the ins and outs of why we came up with this software.

A lot goes into establishing a business and conducting operations seamlessly. External and Internal threats loom large at all times. In the wake of these, it becomes crucial for companies to continuously keep tabs, identify loopholes and take appropriate corrective measures for ensuring growth.

Knowing that there are negligible chances of financial risk goes a long way in boosting employee productivity and thus, company growth. Once this is achieved, the next step for all stakeholders is to set the stage for the company to keep growing at an exponential rate. That is where Know Your Customer/Customer Due Diligence procedures come into the picture.

These controls help firms identify the potential risks of the entities or parties, with whom they conduct (or are planning to conduct) business transactions. 

Need for AML screening software 

  1. The first brush that a customer has with the dealing of a company is through his onboarding process. It plays a significant role in determining his perception of the organizational ethic. This directly impacts his work performance.
  2. Politically Exposed Persons come under the category of high-risk people. That’s because they have more opportunities to earn illegal income. Thus, PEP screening is done by businesses to control their transactions. Therefore, regulations that are put in place minimize the chances of a company facing financial crime risks. 
  3. In fact, the regulatory authorities of all countries have made it compulsory for some businesses to detect PEPs & control their transactions. Those firms that fail to comply with these regulations are accordingly penalized as per the financial risk posed.
  4. The AML-TRACE software supports & conducts watchlist checks—including names mentioned in internal or external data—to validate the authenticity of all customer credentials. In this way, our CDD/KYC solution implements an enterprise-wide consistent Risk-Based Approach.

Need for Enhanced Due Diligence

Risky customers & large transactions are a greater risk to business outcomes. CDD procedures cannot detect these. The EDD process is a notch ahead of the Customer Due Diligence process. While CDD assesses the present financial risk of customers, EDD is an advanced KYC that ensures further risk investigation. 

Enhanced Due Diligence Factors

In certain legal situations, EDD procedures are vital:

  1. Politically Exposed Persons or family members or close spouses in a comprehensive investigation process
  2. Any company in a country on the High-Risk Third Countries list in the high-risk jurisdiction
  3. Certain relationships such as Shell banks
  4. In sectors having a greater money laundering risk, like gambling
  5. Blacklisted countries funding terrorist activities or recognized for common levels of corruption by reliable sources, and
  6. Correspondent & private banking.

The AML-TRACE software does all this while reducing false positives & the business workload. Further, businesses can configure the screening parameters by either Nationality, Name Matching Percentage, Date of Birth, or a combination of all three, and any other parameters set by you.