Financial

Customer Onboarding KYC Verification

Automated regulatory compliance solution that validates identity documents, screens against watchlists, and applies risk-based due diligence for financial customer onboarding.

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Solution

This KYC verification system streamlines financial customer onboarding through multi-layered risk evaluation and identity verification. It calculates customer risk scores based on geographic location, politically exposed person status, business type, and transaction amounts. Document validation ensures appropriate credentials match the assigned risk level, preventing acceptance of expired or insufficient documentation for high-risk scenarios.

The system performs thorough watchlist screening against sanctions lists, PEP databases, and adverse media sources, automatically triggering rejection for sanctioned individuals. Based on risk assessment, it determines the appropriate due diligence level (standard, enhanced, or blocked) and specifies exactly which additional verification requirements apply, such as source of funds documentation or face verification. This reduces compliance costs while ensuring regulatory requirements are met across all customer risk profiles.

How it works

The decision graph applies a systematic approach to KYC verification:

  1. Customer Risk Scoring: Evaluates customer data including location, PEP status, business type, and transaction values to generate a risk score and classification.
  2. Document Verification: Validates ID documents against the assigned risk level, ensuring appropriate documentation types for each risk category.
  3. Watchlist Screening: Checks customer information against sanctions lists, PEP databases, and adverse media sources.
  4. Due Diligence Determination: Calculates the appropriate due diligence level based on risk factors and watchlist results.
  5. Additional Requirements: Identifies specific verification requirements like source of funds documentation or enhanced monitoring.
  6. Verification Result: Produces a final decision (approved, pending, or rejected) with clear next steps for each customer.

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