Digital, Secure, and Accurate Platform
Xen.AI client Onboarding solution ensures regulatory, legal, and credit-related processes. It includes know your customer (KYC) checks and procedures. Combining identity proofing, identity affirmation and identity compliance, we secure the onboarding process while improving risk assessment, reducing fraud levels, and allowing users to onboard in real time.
Customer Onboarding: CDD/EDD
Irrespective of the institution, customer onboarding is the initial risk that must be mitigated. CDD/EDD is a critical component to any institution. The control processes around the CDD/EDD checklist ensure that the business has the necessary information to open an account with the customer, and the risk level of the customer is accurately identified and determined. Be empowered with focused due diligence during customer onboarding.
The risk assessment processes flow naturally with CDD/EDD procedures. Of the inexhaustible list of procedures and resources utilized to assess risk, sanction lists, Politically Exposed Person (PEP) screening, and adverse media screening are tried and true methods. Customers that fall into this category are considered high-risk customers. The ability to identify and rate the risk accurately is established to determine each customers risk profile and accordingly identify them as low, medium, or high-risk customers.
Customer Risk Factors
Customer Risk factors include type of customers, countries, or geographical areas where they operate,
product and services offered, transactions, and delivery channels.
Customer risk factors are defined as follows:
Customer identification is the most critical point of KYC. The control processes around the KYC checklist ensure that the business has the necessary information to open an account with the customer, and the risk level of the customer is determined.
It is important that the checks made at the beginning of the customer relationship to identify and verify that customers are who they say they are. Thus, before initiating the business relationship, financial institutions create a customer risk profile by collecting personal data and identity documents.
Through Customer Due Diligence (CDD), financial institutions evaluate whether the information given by the customers during onboarding (I.e. address, ID number, and Date of Birth (DOB), Place of Birth (PoB) are correct. CDD checks should be made on an ongoing basis, which requires keeping track of transactions and updating CDD. Customer Due Diligence procedures also include enforcement, Politically Exposed Persons (PEP), and adverse media screening checks. The individuals in this category fall under high-risk customer profiles for companies.
If identified as a high-risk customer, the Enhanced Due Diligence (EDD) process is applied to the customer. If no suspicious or unusual activity is observed in the controls made up to this point, the customer's account is opened. Financial Institutions should continue to make these checks for their customers at regular intervals.
Xen.AI's fully automated customer onboarding solution provides a user friendly, digitally safe and secure platform.
The Onboarding process ensures that all regulatory, legal, and institutions requirements are in full compliance. This includes Identity Verification, Know Your Customer (KYC) checks and Initial Risk Assessment. Combining the above, we provide a safe and secure onboarding process which helps in reducing fraud risk while allowing the user to onboard in real time.
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