Hungary’s Fintech Scene: A Growing Concern for Financial Crimes
As Hungary’s financial sector continues to grow, it has become a hotspot for financial crimes such as money laundering and terrorism financing. To combat these threats, it is essential for financial institutions to have robust risk management programs in place.
The Importance of Financial Crime Prevention
Maintaining a good reputation is critical for every business, and financial institutions are no exception. Fraud, money laundering, and corruption can lead to significant damages and high fines, not only harming the institution’s reputation but also putting customers’ interests at risk.
Key Risks
- Reputation damage
- High fines
- Customer interest compromise
Deloitte’s Expertise in Financial Crime Prevention
Our team of experts at Deloitte has extensive knowledge of the industry and the financial crime landscape. We offer a range of services designed to help financial institutions prevent financial crimes, including:
Services Offered
- Regulatory gap assessment: Identifying areas where your institution may be falling short in regulatory compliance
- Risk assessment: Evaluating your institution’s risk exposure and developing strategies to mitigate it
- On-call advisory: Providing expert guidance on a wide range of financial crime prevention issues
- Training activities: Educating your staff on best practices for preventing financial crimes
- Assurance report: Providing assurance that your institution is meeting regulatory requirements
Know Your Customer (KYC) Lifecycle
The KYC lifecycle is a critical component of mitigating money laundering risk. Our experts can help you develop effective processes to cover the entire KYC lifecycle, from customer onboarding and due diligence to ongoing reviews.
Key Steps in the KYC Lifecycle
- Customer onboarding
- Due diligence
- Ongoing reviews
Politically Exposed Persons (PEPs) Screening
As part of client onboarding or as a stand-alone process, financial institutions must analyze their clients and identify PEPs and any exposure related to sanction-imposed individuals or organizations. Our team can help you develop a screening process, review and improve the current process, find optimal data sources, and reduce manual controls.
Benefits of PEP Screening
- Identification of high-risk customers
- Compliance with regulatory requirements
- Reduced risk of financial crime
Transaction Monitoring
Financial institutions manage payment services with millions of transactions, and they must monitor them and identify suspicious transactions. We can help you develop efficient processes, implement effective and appropriate rules, investigate alerts, and reduce your backlog.
Benefits of Transaction Monitoring
- Identification of suspicious transactions
- Compliance with regulatory requirements
- Reduced risk of financial crime
Anti-Money Laundering (AML) Technology
Efficient fight against financial crime is heavily dependent on AML technology. Our team of experts can provide short and long-term solutions to your challenges using our in-house developed Deloitte technology or one of our partners'.
Benefits of AML Technology
- Enhanced detection capabilities
- Improved efficiency
- Compliance with regulatory requirements
Meet Our Experts
Krisztina S. Nagy, Partner-in-Charge at Deloitte Hungary, helps banks transform their Risk Management to enhance the accuracy of their capital and impairment estimates, improve business outcomes, and increase cost-efficiency.
Csaba Horváth, Senior Manager at Deloitte Hungary, has been working for clients in the Financial Services Industry for the last 11 years. He has spent most of his time conducting sanctions, KYC (both CDD and EDD) reviews and FATCA implementation support services.
Contact Us
If you are looking to prevent financial crimes and ensure regulatory compliance, please contact us at Deloitte Hungary. Our team of experts is ready to help you navigate the complex world of financial crime prevention.