Given the increasing complexity and debilitating consequences of money laundering over recent years, financial authorities have sought to put in place numerous efforts to protect banks from financial fraud and reputational damage via compliance rules. Risk assessment has been used as a basis to develop AML programs, highlighting areas of the bank’s risk exposure and any potential gaps in their controls.
In keeping to the stringent compliance guidelines, banks typically pour significant time and money into AML efforts, especially in manual labor. To rationalize cost and increase efficiency and accuracy of AML efforts, there has been a growing focus on implementing automation and intelligence to augment AML procedures.
Navigating Complex AML Compliances with INFOPRO’s Intelligent Solutions
Step 1:
To comply with basic standard FATF rules, our AML solution comes with standard rules-based parameters that can be configured by the users. The configurable parameters allow for quick updates to reflect changes in AML standards or thresholds. This ensures that the rules can be easily and consistently updated, making the solution more robust.
Step 2:
The solution is embedded with escalation and efficient routing processes for review, and provides the vital processes and controls to ensure that cases reported to the central bank of financial authorities are genuine. All relevant evidences are uploaded into the system for easy reference. This allows AML analysts to perform fact-finding efficiently, and to enable quicker alerts upon the identification of suspicious customer behavior.
Step 3:
The solution also comes with an automated risk scorecard builder that is based on powerful statistical analysis, data mining, and machine learning processes. This strengthens the scorecard’s accuracy as the input data grows. Backed by AI engines, the risk scorecard builder helps to build an accurate scoring mechanism for the bank – applicable to both existing and future customers.
Step 4:
Our AML solution also allows banks to link high-risk customers to separate sets of rules and review bodies. A person considered high-risk undergoes a more focused and stringent due diligence process to ensure full compliance to AML rules.
Step 5:
Our solution comes with a true positive AI engine that helps in identifying and flagging true positive customers. This can be done based on the data collected and information received from within the core banking system. AI engines will continuously learn and highlight areas of concern. As a result, the system will be more robust and reflect potential risks with increased accuracy.
Having an automated and intelligent AML system will positively affect the accuracy of efficiency of a bank’s AML processes in identifying financial crime and transactions. An investment into INFOPRO’s advanced AML solution narrows the risk of AML non-compliance while protecting the reputation of the bank.