Here are some thoughts about how often you need to review and update customer profile information. 

Obviously, there is a legal requirement in most countries to review and update account information for all high-risk and PEP customers and re-evaluate them.

But what about the standard or low-risk customers? How often do you need to look at them? 😏

As a baseline, I recommend using the following triggers for periodic account review regardless of whether the original verification was with the original documents or via an electronic database. The triggers for account review should normally be based on whether or not ongoing activity has some risk indications or transactional inconsistencies, for example:

• Significantly increased activity volumes, high volumes or significant change in the transactional patterns, a high proportion of transactions with high-risk countries;
• Awakening of a dormant account;
• Increased level of disputed transactions, claims, or chargebacks;
• Complaints received or police inquiry received about the account;
• A mismatch between the customer name registered and the name of the owner of a funding instrument used for initiating a payment (e.g. potential attempt to use your service by a different person);
• Change of a business line (for example, this can be found by changes on the customer website or the average transaction size or the nature of the transactional messages);
• Adding or changing website URL or including language associated with risky or possibly illegal activity into the transactional message;
• Change in the ownership structure, board of directors, media news indicating possible mergers and/or acquisitions;
• Inconsistency of geo-location indicators: IP address where the customer logged in from, registered phone, inconsistency between the card billing address used for payments and the customer account address; 
• Linkages to confirmed existing high-risk customers or attempts to send funds to known criminal or illegal actors;
• Adding new funding instrument/withdrawal instrument/payment destination to an account.

Hope it helps! 🤩

If you’d like to learn more about best practices for customers onboarding, download my FREE DIGITAL ONBOARDING GUIDE.