The ongoing process of satisfying regulatory KYC requirements is typically slow and very manual. Remediation exercises are arguably the most arduous of all KYC tasks. Internal policy uplifts, new external regulation and senior leadership changes are among the main reasons why the remediation requirement persists.
But surely it makes no sense to conduct these KYC look backs on a book of business in the same manual way? Whether done inhouse or outsourced, applying human resources to the task when only a small proportion of the client base may have risk attached is unnecessarily wasteful of both time and money. Compromising by only reviewing a selection of files based on perceived rather than actual risk isn’t a satisfactory answer.
Far better to use smart technology to automate initial checks, on an overnight batch basis, so that only potential risks are triaged for human review. As an example smartKYC recently undertook a remediation project for a client that had moved from one watchlist screening solution to another and needed assistance in reducing the volume of alerts being generated. smartKYC’s deep expertise in identity matching (the right name AND the right person) meant that it was possible to remove 80% of false positives from the process.
Cultural sensitivity to names and their relevant variants, name origin detection and sophisticated identity matching are combined with highly accurate relevance filters so that remediation exercises are delivered far more quickly and with fewer resources than was previously possible.