KYC processes are often a thorn in the side of financial institutions, as the data they need is difficult to find within highly complex, manual workflows that are made even more complicated by outdated technology. Here are six top pain points of institutions working to ensure compliance:
- Siloed data: Siloed data that is not readily accessible to all teams prolongs onboarding and causes frustration for employees and customers alike.
- Balancing risk and improving auditability: Financial institutions need an efficient way to assess customer information and make informed decisions to avoid unnecessary risks.
- Relevance of information: Financial organizations often find themselves sifting through mounds of irrelevant information to get to what they need.
- Fragmented processes: Inefficient processes take longer than they need to, diverting time and energy from value-driven tasks.
- Manual tasks: Manual tasks make the KYC and customer onboarding process longer than necessary, taking time away from other business-building activities, like prospecting and servicing customers.
- Evolving regulations: Keeping pace with evolving regulations happens in parallel with abiding by corporate policies. Adapting to these changes requires flexibility, which legacy technology doesn’t always allow.
These challenges have a lasting impact on a financial institution’s overall onboarding process, customer experience, and employee productivity. They limit growth opportunities and increase the risk of hefty compliance fines.
Simplify KYC with low-code.
There is a solution for these common challenges: a low-code KYC solution. Built with financial institutions’ KYC needs in mind, low-code addresses each of the six pain points mentioned above. Here’s how:
- Siloed data → data fabric. Legacy systems that aren’t built to be open limit data availability across systems. Low-code solutions bring data within disparate legacy systems into one place with prebuilt connectors and integrations that pull data into a single view, so it’s easy to make data-based decisions.
- Lack of auditability → easily accessed documentation. Having a holistic view of customer information is critical, and it’s exactly what financial institutions get with a low-code KYC solution. Customer data and workflow history are available so teams can make informed decisions to better manage risk levels and grow the business with ease.
- Irrelevant information → mission-critical data at the forefront. Low-code solutions bring the most pertinent information to the fingertips of your operations teams, so not only are they more informed, but decision-making time is cut down dramatically.
- Fragmented processes → seamless workflows. Time is wasted when tasks require toggling between systems and sourcing inaccessible data. Low-code solutions bring data and systems together, making it easier and faster to check off a to-do and get to the next one.
- Manual tasks → automated tasks. Without a low-code platform, staff is left to sift through documents and keep processes moving with no assistance. This slows down workflows and increases risk of human error. Low-code platforms have native automation functionality that drives mundane, repetitive processes forward without human intervention.
- Evolving regulations → agility and flexibility. As regulations continue to tighten and more is expected of financial institutions, agility is critical. Low-code lets financial organizations adapt to change as needed, quickly, and with minimal disruption.
Low-code offers financial institutions a way to future-proof their KYC operations and enact positive changes within their existing workflows. Get a full picture of low-code solutions and how they help financial organizations better manage KYC compliance efforts in our eBook, Powering Seamless KYC Operations with a Modern Low-Code Solution.