One of the world’s largest banks was hit with a record-breaking $9 billion fine for failures relating to sanctions and correspondent banking relationships in 2014. A fine that gives some insight into the problems that correspondent banks face.  

AML compliance processes such as customer due diligence (CDD) and know your customer (KYC) checks are inherently challenging for correspondent banks. This is especially the case when going through the checks required for the Wolfsberg questionnaire.

Correspondent banks are often forced to sacrifice banking relationships – and ultimately revenue – by going down the route of de-risking, cutting out or minimizing its relationships with certain clients, entire groups of clients, and even entire geographic regions that have been identified as too high-risk.

De-risking also negatively impacts financial inclusion and the correspondent banking relationships that banks can offer their customers.

How can correspondent banks stop losing out on revenue through de-risking, without falling foul of sanctions and regulations?

Tune into our upcoming live webinar and learn from our expert panel how to:

• Build more effective and efficient frameworks for CDD, onboarding, and KYC checks
• Operate across jurisdictions without incurring additional risk and cost
• Improve internal risk-based approaches to markets by digitalizing compliance

Register now