KYC compliance refers to adhering to the Know Your Customer (KYC) regulations. These regulations require businesses, especially financial institutions, to verify the identities of their customers before doing business with them. The KYC compliance process involves confirming personal information, verifying identity documents, assessing risks associated with customers, and ongoing transaction monitoring - plus reporting anything suspicious to authorities. Effective KYC compliance helps businesses prevent fraud, money laundering, terrorist financing, and other financial crimes, ensuring regulatory compliance and building trust in their own institution as well as in the banking system as a whole.
Use case/ examples for KYC compliance
Banking compliance: Verifying user identity at onboarding and conducting CDD using Mitek's document and biometric tools to meet global AML and KYC requirements.
Ongoing activity monitoring: Maintaining institutional compliance through continuous customer screening against sanctions lists and other available information.
Fintech platforms: Automating eKYC processes to ensure secure onboarding and demonstrate adherence to regulations and requirements.
