The pandemic has created an unprecedented challenge for banking risk management and KYC, with regulators warning that banks are more exposed than ever to financial crime. To mitigate this within onboarding, banks should:
– Move towards real-time Know Your Customer (KYC)
Real-time KYC enables banks to greatly reduce repetitive, manual work and save valuable time by removing a large population of clients from the periodic review process – effectively lowering the operational burden while improving risk monitoring. Most importantly, reducing the amount of time teams spend on basic KYC checks enables institutions to focus more effort on activities that add value.
– Evolve Financial Crime Compliance capabilities to meet future needs
The demands on financial crime compliance within client onboarding are greater than ever, with new threats evolving rapidly. Many financial organisations are starting to look at bringing separate AML, ABC, Fraud and Cyber teams closer together in order to drive a more joined-up view of FinCrime risk within the onboarding function.
By ensuring that the FCC and Operational functions have shared objectives and clear lines of communication, it is possible to generate a high performing, cross-functional team – one capable of maintaining the high pace and accuracy of decision making necessary to meet the needs of the business and to deliver against volume targets.