Is your business ready for the Fifth Money Laundering Directive?
The Fifth Money Laundering Directive (5MLD) comes into force on 10 January 2020, bringing significant changes to the requirements on regulated businesses. Despite the continued political uncertainty around Brexit, firms should continue their 5MLD planning and implementation to ensure they are compliant by this date.
Five Steps to get ready:
Combatting money laundering and all other types of financial crime is a central business practice for regulated firms in the prepaid and fintech sectors. In a 2018 study of the sector, PIF highlighted the range of KYC technologies that regulated firms use to onboard new customers. In this our latest report, PIF members offer their advice on how to prepare for five key aspects of 5MLD:
- Know your Customer Due Diligence requirements
- The reduction in limits for anonymous prepaid cards
- Ensuring acceptance for anonymous cards issued in non-EEA countries
- Operating on a services and establishment basis
- Ensuring diligence on the source of funds for commercial prepaid products
PIF KYC Technology Report – Striking the right balance between compliance and convenience