The Rise of Neobanks and AML

The concept of Neobank has entered our lives recently and has grown popular and growing over time. Neobanks, which have an important place among Fintech trends, continues to be recognized and to increase the number of customers. So what is Neobank first?


Neobanks are entirely digital and online banks that do not have physical assets. Unlike traditional banking, Neobanks reach customers through digital channels such as mobile and web. Neobanka's service without physical branches has reduced their costs, enabling them to provide services at more affordable costs. By offering quick solutions to customers, Neobanks have achieved significant growth in recent years compared to traditional banks. Neobanks have once again demonstrated the importance of improving the customer experience in the financial sector.


Advantages of Neobanks


Neobanks, which have increased its number of customers in the last 10 years, offers various advantages to its customers. Internal costs are very low, as Neobanks provide digital service. In addition to the low-cost services they provide, Neobanks offer its customers an uninterrupted customer experience. In addition, neobanks provide easy-to-use services with the integrations they provide.


Neobanks carry out digital customer onboarding processes for account opening. Unlike all transactional traditional banking required for customer account opening, it takes place through digital channels. With Neobanks, a customer no longer has to go to a bank branch to open a bank account. Customers can open their accounts quickly in minutes with the digital channels, regardless of location.


AML and CTF Compliance for Neobanks


The fact that the Neobanks perform all transactions quickly through digital channels confronts them with financial crime threats. Neobanks need to take various measures to avoid mediating criminal activities such as money laundering, terrorist financing, corruption, bribery and fraud. So, Regulatory organizations, like other financial service providers, regulated Neobanks. For this reason, Neobanks should take precautions to prevent financial crimes and ensure AML compliance without disrupting their processes.

Sanction Scanner offers solutions that enable Neobanks' digital customer onboarding processes to be performed in accordance with AML regulations. Neobanks meet anti-money laundering obligations with Sanction Scanner without delaying customer transactions. Sanction Scanner's global AML data provides financial crime detection. With the powerful API support, Neobanks can integrate Sanction Scanner with their own systems and automate the AML compliance process. All the data of Sanction Scanner is real-time. Neobanks can scan sanction & PEP in real-time data.

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