E45: How effective are neobanks' financial crime controls?
In 2022, the FCA (Financial Conduct Authority in the UK) raised the possibility that criminals may take advantage of the speedy onboarding process of challenger banks (neobanks), mainly to create money mule networks.
Their report also noted that challenger banks advertise the ability to open accounts quickly, which may lead to insufficient information being gathered on higher-risk customers during the account opening process.
Consequently, the FCA reviewed the financial crime controls of a sample of challenger banks that compete with traditional retail banks.
In this episode, we will…
The skinny
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