How does the company get compliant with AML/KYC and PEPs?

Last month LaSoft team had a tough, but the most fascinating task forever.

We had discovered more than 30 different KYC companies all around the world and had chosen our very own TOP-7 among them by using good-ol’ team’s brain shower.

During 2 weeks we had talked with the sales teams of those companies. I’m not gonna say that it was an easy job. And, expect a brief introduction to SDK and API integrations with KYC software solutions, we learned a lot about the difference between the “website form-initial call” process in European and USA companies (if you know what I mean). But that’s a totally different article.

Before we deep down unto the comparison of top-KYC companies, let’s learned about how could you possibly become compliant with AML/KYC and PEPs regulation.

In general, different countries may have a different law that regulates AML/KYC and PEPs regulations. There are examples of a few countries:

• EU Anti Money Laundering Directive,
• UK Money Laundering Regulations,
• FATF and Wolfsberg Group Guidance,
• OFAC Regulations,
• AML and CTF regulations from the world’s principal financial centers.

The Money Laundering Regulations 2017 are the underlying rules that govern KYC in the UK. Many UK businesses use the guidance provided by the European Joint Money Laundering Steering Group along with the Financial Conduct Authority’s ‘Financial Crime: A guide for firms’ as an aid to compliance.

How do we build applications that are compliant with AML/KYC and PEPs regulations?

First of all, you need to integrate one of the existing KYC/AML software or develop it from scratch.
There are a number of services available that can be useful to check a person of business compliance with AML/KYC compliance. Some of those services offer a manual but some of them offer SDK and API.

1. Onfido – one of the leading ID verification companies out there, targeted for enterprises. Ensuring smooth customer retention and new client onboarding, while minimizing risks through improved KYC measures. Onfido offers one of the best API integrations running in the industry today.

Pros: automation with manual uplift, simplified SDK integrations, industry implemented.
Cons: lack of transparent pricing.

2. Shufti Pro – an upcoming and regulatory compliant operator, offering state of the art Artificial Intelligence based KYC and AML screening services globally. Shufti Pro happens to be the rare providers that offer ID and Identity verification services across all languages and in all countries.

Pros: omnichannel support, advanced AML Screening against 1000+ Global Watch Lists, PEPs & Sanctions Lists, industry best 60-second verification time, global language support of all countries, and languages, infinitely customizable, data Extraction via OCR
Cons: AML limited to screening only, no defined risk assessment approach.

3. Trulioo – an industry favorite and currently considered one of the leading Identity verification providers. A neat feature of Trulioo is their business verification carried out in real-time. Trulioo has an edge regarding their connectivity with MNO’s for reliable data gatherings.

Pros: real-time business verification, transparent, and cost-effective pricing, industry-recognized, and preferred.
Cons: minimal customer support, limited AML measure scope, limited Document Verification Checks.

4. Identity Mind provides KYC and AML solutions to clients. They help businesses in fraud prevention by providing services like Sanction Screening and Anti-money Laundering (AML) checks. The company helps businesses comply with the KYC and AML regulatory requirements and mitigate the risks of fraud the industry is prone to. Transaction monitoring and VCRA are also part of services. IdentityMind helps businesses reduce the compliance cost by ensuring customer due diligence practices and identifying the suspicious parties in the overall customer traffic.

5. Jumio is AI-powered, market-leading identity verification, service provider. It powers the online businesses with KYC and AML processes by providing them secure and scalable identity verification service. It helps businesses deter the risks of fraud in the digital world. Jumio employs advanced technologies such as AI, augmented intelligence, biometric authentication, and machine learning. Now businesses can meet the obligations of regulatory authorities by covering a vast range of regulations that include KYC, AML as well as GDPR.

6. Refinitiv helps to meet your regulatory obligations, make informed decisions, and prevent your business from being used to launder the proceeds of financial crime or associated with corrupt practices. The World-Check Risk Intelligence database delivers accurate and reliable information to help you make informed decisions. It has hundreds of specialist researchers and analysts across the globe, adhering to the most stringent research guidelines as they collate information from reliable and reputable sources – such as watch lists, government records, and media searches.

7. LexisNexis® Risk Solutions provides customers with solutions and decision tools that combine public and industry specific content with advanced technology and analytics to assist them in evaluating and predicting risk and enhancing operational efficiency. They use the power of data and advanced analytics to help our customers make better, timelier decisions. Their innovative solutions enable organizations to manage risks like identity theft, fraud, money laundering, and terrorism and prevent financial crimes, and insurance and government benefit scams. They help those without traditional credit histories obtain access to funds, assist agencies to find uncollected revenue, and research ways to improve business outcomes for healthcare companies.

On that note, right to say you have plenty of time to choose between all of them. But in the whole verification process you have to remember two things:

1. Every day costs you hundreds of new clients, those – lost profits.
2. LaSoft is the one and only partner that has all of the resources to become not only your dedicated dream-team but a real web-supported in our new COVID-19 reality.

Think ’bout it ;))