Reported by FinTech Global

FullCircl, which offers a SaaS platform to support regulatory and verification processes, recently offered a guide on customer due diligence regulations.

Regulatory bodies across the globe mandate and oversee these CDD processes to uphold the transparency and integrity of business dealings. Key players include the Financial Action Task Force (FATF), which sets international standards, and regional frameworks such as the European Union’s Anti-Money Laundering Directives and the USA Patriot Act, which impose stringent CDD requirements. In the UK, the Financial Conduct Authority enforces robust measures under the UK Money Laundering Act to mitigate risks related to money laundering and terrorist activities.

The regulatory landscape of CDD is in constant flux, adapting to the sophisticated nature of financial crimes, FullCircl explained. Recent updates have seen a tightening of regulations with the introduction of stricter penalties for non-compliance and more comprehensive scrutiny of Ultimate Beneficial Owners (UBOs). For instance, the USA’s FinCEN has mandated that financial institutions must now identify and verify beneficial owners of legal entities, a move echoed in several jurisdictions.

Read full report from FinTech Global: https://fintech.global/2024/07/11/navigating-the-complex-world-of-customer-due-diligence-regulations/

Read report from FullCircl: https://www.fullcircl.com/blog/customer-due-diligence-regulation-explained