Financial Crime World

BANKING REGULATORY COMPLIANCE CHECKLIST: A MUST-HAVE FOR FINANCIAL INSTITUTIONS

As financial crimes and cybercrimes continue to evolve, banks and other institutions involved in the movement of funds and processing of personal information are increasingly vulnerable. Regulatory scrutiny has intensified, making compliance a top priority.

ENSURING COMPLIANCE

To ensure adherence to regulatory requirements, we have compiled a comprehensive banking regulatory compliance checklist that covers essential aspects of Anti-Money Laundering (AML) and Customer Due Diligence (CDD).

INDEPENDENT TESTING AND REVIEW

  • Conduct independent testing and review at least annually
  • Review policies and procedures for compliance with existing regulations
  • Test internal controls to ensure effectiveness
  • Evaluate training program elements and records

CUSTOMER DUE DILIGENCE (CDD) OR IDENTITY VERIFICATION

  • Conduct CDD processes and procedures to understand customer relationships
  • Identify higher-risk customers and apply enhanced due diligence measures
  • Establish accurate customer information, including:
    • Name
    • Address
    • Date of birth
    • Identification number
    • Beneficial ownership
    • Business nature

POLITICALLY EXPOSED PERSON (PEP) STATUS

  • Determine PEP status for customers and apply appropriate measures, such as Enhanced Due Diligence (EDD)
  • Conduct PEP screening at onboarding and throughout the business relationship
  • Identify any changes in PEP status

SARbanes-Oxley AND DODD-FRANK ACT COMPLIANCE

  • Implement effective internal controls and risk assessment procedures
  • Ensure accurate financial reporting and disclosure
  • Maintain independence of audit committee members

PCI DSS AND GDPR COMPLIANCE

  • Limit cardholder information and data access to necessary personnel
  • Implement administrative controls that track account activity
  • Assess specific risk profile and design a robust compliance program

23 NYCRR 500 COMPLIANCE

  • File annual certification detailing compliance efforts
  • Design a comprehensive risk management program
  • Ensure senior management oversight of compliance activities

U.S. FEDERAL LAWS AND REGULATIONS

  • Comply with Americans with Disabilities Act (ADA)
  • Implement fair and accurate credit reporting practices
  • Disclose credit terms and conditions transparently
  • Protect consumer data from unauthorized access

CONCLUSION

In today’s complex regulatory environment, it is crucial for financial institutions to prioritize compliance. Our banking regulatory compliance checklist provides a comprehensive guide to ensure your institution meets the necessary requirements. By implementing these measures, you can mitigate risks and maintain confidence in your institution.

To learn more about our banking compliance software and how it can help you achieve AML program excellence, contact us today.