Dutch Neobank Integrates Sentinels’ RegTech Solution for AML Scaling

Dutch neobank, Brand New Day has tapped the services of Sentinels, a regtech firm, for scaling its anti-money laundering (AML) controls.

The integration of the regtech solution would save the resources of the neobank on the Sentinels’ automated development of client risk profiles, proving the neobank’s compliance Compliance In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a In finance, banking, investing, and insurance compliance refers to following the rules or orders set down by the government regulatory authority, either as providing a service or processing a transaction. Compliance concerning finance would also be a state of being following established guidelines or specifications. This designation can also encompass efforts to ensure that organizations are abiding by both industry regulations and government legislation. Understanding ComplianceCompliance is a Read this Term offers a clear and immediate overview of customer activity.

“We’re excited to be working with Sentinels, benefitting from its industry-leading position and commitment to providing workable and futureproofed compliance solutions that are tailored to our core business goals and processes,” said the CIO of Brand New Day, Gerjan de Lange.

“We look forward to growing together, safe in the knowledge that our regulatory needs are being met, that false positives will not increase exponentially as we scale, and that our operational costs are kept low while our internal compliance standards are high.”

Booming Fintechs

Brand New Day obtained a banking license in 2017 and is one of many neobanks in the European fintech space.

The integration came in line with the growing customer base of the neobank that spurred the need for a transaction monitoring and compliance solution. The neobank now has more than 200,000 customers and holds over €4.5 billion in customer funds and assets.

“Neobanks like Brand New Day are committed to disrupting conventional wisdom to create stronger services, making them an increasingly popular choice for end-users. However, this disruption comes with intense regulatory scrutiny, particularly for those operating using their own banking licenses.,” said Joost van Houten, the CEO of Sentinels.

In addition, the integration was pushed by the growing false positives on fraud monitoring that lead to the yearly industry-wide loss of around £3 billion, the neo bank pointed out.

Sentinels is using artificial intelligence-based technology for its AML transaction monitoring. The platform was recently acquired by Fenergo, a provider of digital solutions for know your customer (KYC Know Your Customer (KYC) Know Your Customer (KYC) is the process via which the broker is verifying the true identity of its clients in order to comply with multiple regulations. KYC is used to assess the suitability of customers when it comes to anti-money laundering regulations, any type of financial fraud and determining whether they are potentially risky for the brokerage.In particular, KYC guidelines in financial services mandate that individuals make a cohesive effort to verify the identity, suitability, and risks Know Your Customer (KYC) is the process via which the broker is verifying the true identity of its clients in order to comply with multiple regulations. KYC is used to assess the suitability of customers when it comes to anti-money laundering regulations, any type of financial fraud and determining whether they are potentially risky for the brokerage.In particular, KYC guidelines in financial services mandate that individuals make a cohesive effort to verify the identity, suitability, and risks Read this Term) and client lifecycle management (CLM), for an undisclosed sum.