Remediation involves the process of cleaning up and updating the details of the customer in their database, to ensure compliance with the latest regulations. This includes:
- Identifying incomplete or outdated information: Reviewing customer profiles to find missing, outdated, or inaccurate data.
- Contacting customers: Reaching out to customers to obtain updated information, such as proof of identity, address, occupation, and source of funds.
- Verification: Customer identity remediation is the process of updating and verifying a customer’s identity information to ensure accuracy and compliance with regulatory standards. This step verifies the authenticity of the information provided by the customer against reliable, independent sources.
- Risk assessment: Reassessing the customer’s risk profile based on the updated information could involve adjusting their risk level and monitoring the intensity of their activities. This process may also include , especially for customers classified as higher risk, to ensure a more thorough understanding of their financial activities and background.
- Documentation and reporting: Updating internal records with the new information and, if necessary, reporting to regulatory authorities.
- Continuous monitoring: Implementing ongoing transaction monitoring processes to ensure continuous compliance. All accounts should be updated on the system once new information is received.
