SmartSearch is here to make AML compliance easy

According to the Financial Action Task Force (FATF) - the independent inter-governmental body that develops and promotes policies to protect the global financial system against money laundering and terrorist financing – Red Flags can be divided into four categories: client, source of funds, professional advice and the nature of the transaction.

Encouraged by both the FATF and the FCA, a risk-based approach requires that firms thoroughly assess the money laundering threat posed to their business, and deploy an appropriate amount of resources to counter it. This is a proactive approach which should enable companies to detect and diffuse any risk of money laundering before it can take place, whilst using resources efficiently.

AML checks, or Anti-Money Laundering checks, are a crucial part of the financial system and are required by various regulatory bodies around the world. These checks are designed to prevent money laundering, terrorist financing, and other illegal activities. The specific AML checks required may vary depending on the jurisdiction and the nature of the business.

AML controls, also known as anti-money laundering controls, are measures put in place by financial institutions to detect and prevent money laundering activities. These controls aim to ensure that the institution is not unknowingly facilitating or participating in illegal financial transactions. AML controls typically involve the implementation of strict customer identification and verification procedures, monitoring of customer transactions for suspicious activities, and reporting of any suspicious transactions to the relevant authorities.

If you choose SmartSearch as your AML provider, you will no longer need to use originals or store copies of documents such as passports and driving licences. This is because to perform an electronic AML check, you only need the name, address and date of birth of a customer. However, for ease, you may want to still use traditional documents. For example, our app, SmartAML can perform an AML check just by scanning a driving licence or passport. Electronic verification can be used instead of, or as supplementary to, traditional documents.

Under the Money Laundering Regulations, to perform “Customer Due Diligence” you must “verify” on the basis of documents or information obtained from a reliable source, independent of the person whose identity is being verified. The Fifth Money Laundering Directive stipulates that electronic verification should be used where possible and all regulators recognise the use of electronic verification. Therefore, you can be confident you are fully compliant by using SmartSearch.

Electronic verification is widely recognised by regulators, product providers and professional bodies as probably the most reliable, secure and efficient source of information for identity solutions. Regulators need to remain impartial so don’t recognise any particular supplier.

SmartSearch is the only AML platform that is able to verify individuals and corporate clients in the UK and anywhere in the world, with full Sanction and PEP screening and ongoing monitoring. No other provider offers this level of depth and breadth of functionality, making SmartSearch unique in the marketplace and the essential “one stop shop” for all your KYC and CDD needs.

With SmartSearch you will never need to upgrade your AML solution. By constantly evolving, we can guarantee we are always up to date with the changes in AML legislation. We are always well ahead of the curve and will update the system to ensure compliance with the regulations before they actually happen.

SmartSearch is fully GDPR compliant please feel free to contact us if you need to see any specific GDPR compliant policy documents.

There are many different AML checks to carry out when you’re vetting a potential client or customer, starting with KYC and initial checks. These should be performed before any business dealings take place between yourself and your client, to ensure that you don’t jeopardise your AML compliance.