Customer Screening and Monitoring for AML

Customer screening and customer monitoring are the key procedures to a risk-based approach AML policy. Companies serving under the AML obligation are required to implement customer screening and customer monitoring procedures. In this article, we will explain the importance of customer screening and monitoring and how companies can make customer screening and monitoring processes more efficient.


Why Is Customer Screening Important?


The customer onboarding process is very important for companies in terms of customer experience. Companies want their customers to experience a fast and seamless onboarding process. However, companies must protect themselves from risks and meet the AML obligations in customer onboarding processes. So, companies have to detect their customers' risks in their customer account opening processes and implement an AML program suitable for their risk levels. Risky customers can damage the company's reputation and endanger the company with financial crime risks.


Why Is Customer Monitoring Important?


Customer risk levels may change over time. So, companies must periodically conduct risk assessments to detect and take action against customer risks. In the customer monitoring process, companies should apply the controls they implement during the customer onboarding process and classify the customers again according to their risk levels.


What Are Customer Screening and Customer Monitoring Procedures?


The purpose of customer screening and customer monitoring is to identify customer risks by making a risk assessment. The procedures implemented for this purpose are generally called "Know Your Customer" and "Customer Due Diligence" procedures. Know Your Customer (KYC) procedures are the processes in which customer information is collected, and customer information accuracy is checked. After the accuracy of the customer information is confirmed, Customer Due Diligence procedures are implemented.


Some of the controls implemented for risk assessment in customer screening and monitoring processes are sanction, PEP, and adverse media screening. Regulators have made it compulsory for companies to apply sanctions, PEP, and adverse media scanning to their customers during customer account opening processes and customer monitoring processes.


How to Make Customer Screening and Monitoring Processes Effective?


We live in the age of technology, and manual methods are wasting time for companies. Our AML Name Screening solution, developed with the latest technology, makes the customer screening and monitoring processes of businesses faster and easier. Our database contains sanction, PEP, and adverse media data from more than two hundred countries. Thus, companies using our AML Name Screening software perform a global comprehensive risk control.


Our product provides manual query, batch query, and query options via API. The query processes of companies that provide integration with the API are performed automatically in the background. Thus, there is no delay in the customer onboarding process, and AML obligations are fulfilled.


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