Regulation

Sometimes enforcing the rules is only half the battle. Getting business buy-in to combat an invisible threat isn’t always easy, especially if verification methods disrupt the onboarding process. Thankfully, customer ID and address checks can now be done by cross-checking data against reputable online sources. This means that, in most cases, the customer doesn’t need to supply documentary proof, making the ID check experience easier for them while remaining thorough and affordable for you.

Depending on your budget and needs, you can tailor some authentication packages so that you only pay for those elements you need. Experian’s Authenticate, for example, can be supplied in a simple, generic form or delivered as a fully customised solution. This enables you to decide which of Experian’s data sources are most relevant to your products and how best to use them. 

If you’re operating in the UK and overseas, it’s important to ensure that your international customers also comply with KYC regulations. If this sounds like your setup, then Experian’s ProveID may be right for you. It offers access to one billion searchable records from premium data sources from the UK and around the world.

At times, slotting in KYC checks can produce resistance from IT managers, particularly if they’re already managing a full project workload. An online solution that offers direct access or integration options is ideal in these scenarios. Experian’s ProveID offers a flexible way of ensuring you’re covering your KYC obligations without impacting existing business infrastructure.

Having great ID and fraud tools is fine, but if their results are hard to interpret then you’ll struggle to quantify risk. That’s why Experian Authenticate uses a clear index value to summarise the degree of confidence you can have in its findings. It also uses your chosen data sources, desired level of ID verification and decisioning strategy to furnish you with a clear outcome. This includes an overall authentication decision along with any risk factors it finds and confirmation of where address matches have been found.

AML watchlist screening is a highly effective data source to use as part of the ID verification process during customer enrolment. It cross-references applicants against a database of known money launderers, enabling you to take appropriate action if a match is found.

You can also make use of AML watchlists to screen employees working in regulated sectors. This enables you to identify high-risk individuals and helps organisations to fulfil compliance and anti-money laundering (AML) obligations. One option that offers all this functionality is Experian’s Sanctions File Check, which is an invaluable employee screening solution for businesses in the financial sector, as well as any position that involves the handling of money, client accounts or sensitive data.

According to the government, the number of identities being used to commit ID fraud is growing every year in the UK. But by following its best-practice guidelines, you can make sure that customers are who they say they are. A trusted identity authenticator and data provider like Experian can provide ID proofing services that include real-time assessment of personally identifiable information to meet GPG45 and JMLSG Know Your Customer guidance.

It’s also worth considering solutions that enable you to add in extra checks. For instance, you may wish to cross-reference IDs against demographic and credit data or include velocity checks to identify irregularities in purchasing behaviour. You can also use services to investigate linkages – fraudulent or genuine – associated with the claimed ID. A specialist provider like Experian can tailor its ID checks to satisfy the individual needs of your business as well as ensuring you comply with top-level guidance.

GPG45 and JMLSG guidance both stress the importance of authenticating any documents offered by way of ID proof, but how can you do that? Experian’s Document Verification service can process documents from around the world, including government-issued passports, driving licences, residence permits and ID cards, all in real-time. It ensures that the data entered while onboarding matches the customer’s document and provides photo ID verification for total peace of mind.

Complying with GPG45 and JMSLG guidelines includes screening customers or beneficial owners who are deemed to be politically exposed persons (PEPs) or who appear on sanction lists and are not permitted to make financial transactions. It’s important to check for these high-risk individuals during customer onboarding and throughout the customer lifecycle. Experian has tools that can facilitate these checks in a hassle-free, seamless way.  

UK-centric identity proofing systems often struggle to cope with new-to-country customers who have little or no domestic credit history. The answer is to look for evidence outside the UK.  Experian’s International Identity Verification tool can interrogate a pool of global data sources so that you can quickly verify customers coming from across the world, helping you to satisfy GPG45 and JMSLG guidance without adding friction to new arrivals’ ID checks.

Any review of AML compliance must start with a comprehensive audit of the data you hold about your customers. It’s important to reconcile gaps and inconsistencies in your records so that you can have confidence in reports based upon them. Experian can help with this. Its KYC Health Checks authenticate customers from 50 countries worldwide by cross-referencing their details against the UK’s largest consumer and business information bureau. 

Once your data is in good shape, you can begin a programme of continual monitoring using agreed risk policy criteria. This helps you identify new risks in your portfolio brought about by changing customer profiles or switches in a company’s beneficial owners. 

It’s important to use an analytical tool that provides a comprehensive view of your customers. ComplianceIQ, Experian’s web-based portfolio monitoring tool, verifies a wide range of corporate information to give you a 360-degree view of each client. Checks include company name, registered address, trading activity, financial information, adverse legal information, county court judgements and risk measures.

Monitoring with a tool like Experian’ ComplianceIQ enables you to understand the overall risk exposure of your portfolio at a glance. This means you can balance risks against commercial priorities based on hard facts rather than assumptions. 

No two companies have the same approach to risk. That’s why it’s important to use a solution that allows you to set up a unique risk policy in a simple, stress-free way. ComplianceIQ gives you that control with its automatically enforced and fully audited risk policy approval process. It can also track historical changes to risk profiles, improving overall transparency.