Customer Experience in a digital world - Equifax

Customer Experience in a digital world - Equifax

CUSTOMER EXPERIENCE IN A DIGITAL WORLD An extract from Perspective: The understanding your customer issue Essential insights into the issues facing ...

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CUSTOMER EXPERIENCE

IN A DIGITAL WORLD

An extract from Perspective: The understanding your customer issue Essential insights into the issues facing your industry today

Customer experience in a digital world

John Marsden, Identity and Fraud Consultant at Equifax, explores the balancing act between compliance and customer experience in a digital world. Today, a lot of the interaction between

Ensuring these checks are done as

is a balancing act. On the one hand,

seamlessly as possible is imperative for

you want to give your customers a quick

a good digital experience.

and smooth experience; on the other hand, you need to make sure that you ‘know’ the

An onerous process to comply with

customer you’re taking on and complete the

Anti-Money Laundering (AML) regulation

necessary checks. The key is to know when

can make the customer journey less

there are good reasons for manual checks,

efficient, thereby causing frustration and

such as in the cases of suspected fraud or

increasing the likelihood of a customer

a ‘Sanctioned Entity’.

walking away.

businesses and their customers, both

It’s critical to ensure your organisation

consumers and businesses, takes place

Boarding a customer in an environment that

has the right processes in place to meet

online. Increasingly savvy customers expect

requires compliance with AML regulation

regulatory requirements.

a safe, instant and efficient service.

can be complex. Keeping abreast of evolving EU directives, Money Laundering

The problems

Online efficiency

regulations, sanctions regimes and

One of the reasons the UK financial sector is

If a digital customer journey has too

expanded Politically Exposed Persons (PEP)

more exposed to criminality than the same

many perceived barriers for customers

definitions may seem burdensome when

sector in many other countries is its size

to get what they want, it can hinder

balanced with the day-to-day challenges

and complexity. This has led to an increased

the delivery of its products or services,

of running the wider organisation.

focus from the government to address

and it’s likely to lose valued customers.

the issue of anti-money laundering in the

However, many organisations have a

Finding the balance

past decade, with increased and more

responsibility to make sure certain checks

Making the decision to move a potential

stringent regulations being put into practice.

are carried out before a customer can

customer from a digital, automated

be accepted or a purchase finalised.

boarding process on to a manual one

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Customer experience in a digital world

This has put more pressure on organisations

With the introduction of the 4th Money

to implement robust processes in order to

Laundering Directive (MLD4), there is a

comply with the new rules.

requirement for a more robust, effective and efficient screening service against sanction

Let’s look at some of the challenges that

files and the identification of PEPs.

organisations in the UK currently face: Solutions such as Equifax Watchlist Check •C  ustomers want instant access to products and services

can help you maintain a smooth online experience and minimise your false positive rates, whilst also letting you assess the AML

• Interlacing various processes and systems

risk associated with an individual or entity.

to fulfil instant acceptance is expensive and complicated

Of course, businesses will still need to (and choose to) deploy an offline process

•F  alse positives can cost customer

where there is a need for additional

drop-offs and take a lot of human

verification, but the trick is to minimise this

resource to review

costly, manual intervention, board more customers instantly, in a compliant way and

•R  egulatory requirements are high and

satisfy more end customers in the process.

non-compliance costly, both in terms of fines and brand reputation

Idea in brief THE SITUATION Boarding a customer in an environment that requires compliance with AML regulation can be complex. THE CHALLENGE Making the decision to move a potential customer from a digital, automated boarding process onto a manual one is a balancing act. THE TAKE AWAY Solutions such as Equifax Watchlist Check can help you maintain a smooth online experience and minimise your false positive rates, whilst letting you assess the AML risk associated with an individual or entity.

For more information on Equifax Watchlist Check and the work we do to help

•M  anaging multiple suppliers and

organisations comply with regulations,

relationships to help achieve compliance

please get in touch with John by emailing

is time-consuming

[email protected] or call

CLICK HERE FOR MORE ARTICLES

07789 996 557.

Electronic verification and customer screening Advancements in electronic verification and customer screening provide a range of tools designed to support compliance in the digital age.

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