A PropTech firm is marketing anti-money laundering audit checks for agents to help the industry comply with tighter regulation.
Identity verification business Credas claims that to help agencies comply with mandatory audits required under new legislation, it will provide agents with a full review of their anti-money laundering processes and procedures, and help them identify gaps in compliance.
“When the 4th Anti-Money Laundering Directive was introduced in 2017 it fundamentally changed the way businesses handle money, and one part of this directive which is often overlooked is the need for an independent audit of AML processes to be carried out every year” says Credas chief executive Rhys David.
Rhys added: “We have always developed technology out of customer need, and it has become clear in recent months that the AML audit is an aspect of compliance that often goes under the radar, despite the 4th Directive being in place for two years. Failing to carry out these important checks can easily result in an investigation and subsequent fine from HMRC, so it’s vital that property agents cover themselves against any unnecessary risk.
The 5th AML Directive is coming into force in January 2020 and Credas is urging all property agents to re-assess their identity checks thoroughly in this time, as if they are not already compliant with the legislation it will be extremely difficult to catch up.
The need for an audit as well as risk assessments on customers and staff will continue to be significant.
Credas claims its technology allows companies to carry out simple, secure and compliant identity verification checks. It uses multi-factor authentication and an extensive database of insights to verify over 4000 types of global identification to help estate agents comply with Anti-Money Laundering legislation.