Regtech (Regulatory Technologies) can be explained as platforms that combine regulations with technology. In addition, we can express Regtech as technologies created to facilitate the process of compliance with regulations and to serve users in-process monitoring. Regulatory Technologies, which is an ever-growing part of the Fintech world, is becoming more and more popular today with legislation and regulations based on increasing information systems.
The global Regtech market has been growing every year since 2015. The biggest reason for this is the increase in the obligations of financial institutions. The increasing number of regulations and audits on financial systems shows that the Regtech market will also grow.
One of the areas Regtech provides solutions for is Anti-Money Laundering compliance. Anti-Money Laundering represents all efforts to detect and prevent financial crimes. There are many global and local regulations regarding AML. AML regulations have been a headache for businesses in the past. But nowadays, Regtech solutions accelerate and strengthen companies' processes to meet their AML obligations. AML solutions reduce the workload of companies by automating AML controls.
In the continuation of the article, we will explain four AML solutions that facilitate companies' AML compliance processes.
AML Screening Software
Although AML regulations vary by region and country, the main components are the same. According to AML regulations, institutions under obligation have to implement control to customers during customer onboarding processes. These are "Know Your Customer" and "Customer Due Diligence" procedures. The purpose of these procedures is to determine the risk level of the customer to whom the companies will open an account.
According to AML regulators, sanctions lists, PEP lists and adverse media data are important components that affect the customer's risk level. Therefore, sanction, PEP and adverse media data is very important. Sanction, PEP and adverse media screening software makes it easy for companies to scan their customers in this AML data. There are thousands of sanctions and PEP lists published around the world. There are also hundreds of thousands of adverse media data published. The number of these data changes day by day. The dynamic structure of these data makes manual controls impossible.
AML Screening software from Sanction Scanner provides companies to control their customers in global comprehensive and real-time AML data. Sanction Scanner database consists of sanction, PEP and adverse media data of more than two hundred countries. With our AML screening software, companies can control their customers in seconds with web, API or batch screening options.
AML Transaction Monitoring Software
Financial institutions are responsible for detecting and preventing suspicious transactions. Financial institutions mediate a large number of customer transactions throughout the day. So how do financial institutions control the large number of transactions taking place during the day?
It is impossible for financial institutions to manually control the financial transactions they mediate during the day. There are banks and financial institutions that perform thousands of transactions in the same minute. Transaction monitoring software provides that all these mediated transactions are automatically controlled according to certain rules and scenarios. If the rules are triggered, the software generates an alarm and the alarm generated transaction is controlled by AML compliance officers. Thus, AML compliance officers do not manually control all transactions (this is already impossible) so, they only focus alarmed transactions.
Sanction Scanner's AML Transaction Monitoring software has been developed with the latest technology and meets the financial institutions' AML obligations in transaction monitoring processes end-to-end. With the dynamic rule creation feature, companies can create rules and scenarios suitable for their own risk level and thus reduce false positives. With the Advanced Sandbox Test Environment feature, companies can test the changes they will make in their rules with your existing transactions. Companies can make their control processes more efficient with real-time alarm management and case management dashboards and many more.
Transaction Screening Software
We have said that financial institutions mediate many transactions during the day and cannot control them manually. Another factor that financial institutions control in the transactions they mediate is the receiver or the sender. There are several data published around the world, including thousands of sanctions, banned and PEP lists. No company wants to mediate the transfer of money sent to a banned person who has been sanctioned. Because sanction violations have severe penalties. There are also a large number of "terrorist wanted lists" published. Similarly, no financial institution wants to mediate the terrorist financing.
Our Transaction Screening Tool provides financial institutions to check the receiver and sender in the transaction they mediate in sanctions, PEP, terrorists wanted lists and adverse media data. With API, all control process takes place automatically and transactions are not delayed. Thus, the companies continue their activities by meeting their AML obligations.
Anti-Money Laundering Solutions from Sanction Scanner
Sanction Scanner is a regtech startup. We provide AML compliance solutions. We believe that companies of all sizes need AML compliance software to combat financial crime. As Sanction Scanner, we have developed cost-effective solutions for small and medium-sized businesses.
Let's fight with financial crimes together!