Regulators have shown a heightened focus on AML and OFAC recently, with large fines leveled against financial institutions -- such as HSBC and Standard Chartered -- that fail to comply. Clearly, the risks are high for financial institutions if they fail to ensure a proper screening process in their AML operations. Most organizations deploy solutions to analyze large amounts of data in real-time to track transactions and keep up to date with the latest regulatory requirements. With sanctions lists being constantly updated with new names and entities, the number of false positives produced in the screening process are going to increase, adding extra costs and workload for even the best compliance programs. To minimize risk and costs banks will have to analyze data within proper context, a new white paper by BankersAccuity argues. Here are 6 steps the paper offers to help reduce false positives in AML screening.
Jonathan Camhi has been an associate editor with Bank Systems & Technology since 2012. He previously worked as a freelance journalist in New York City covering politics, health and immigration, and has a master's degree from the City University of New York's Graduate School ... View Full Bio