Accelerate Account Opening: Leverage Parallel Markets' KYC Technology

Partner Spotlight: Parallel Markets

Partners are crucial! Together we excel in technology delivery, service provision, and ultimately enhancing value for our customers.

We are thrilled about our collaboration with Parallel Markets (parallelmarkets.com ), a leading provider of automated KYC/KYB and AML solutions, to accelerate the account opening process.

Challenges of manual KYC Process for financial firms

A few key challenges include:

• Processing KYC data/documents manually is time-consuming due to the need for extensive collection and verification before further processing.
• The high volume of KYC documents makes meticulous checking and data entry into systems challenging. Moreover, the unstructured format of KYC data increases the likelihood of errors.
• Customers may experience inconvenience if account opening procedures are prolonged due to data processing challenges.

What does Parallel Markets provide

Parallel Markets Inc.’s (“Parallel”) Identity Product fulfills foundational aspects of the Know Your Customer (“KYC”)/Customer Due Diligence (“CDD”) regulatory requirements. This includes customer identification and validation procedures, enabling a risk-based approach to account opening decisions.

Parallel remains current with regulatory guidance and technological advancements to ensure state-of-the-art outputs aligned with the highest industry standards in AML (Anti-Money Laundering) compliance.

The tool aims to safeguard investment platforms and offerings of financial services partners from misuse in money laundering activities. It also enhances understanding of customers and their financial activities, facilitating effective AML risk management. Key protocols include customer identification and verification, ongoing data monitoring and updates, and comprehensive recordkeeping for regulatory/audit purposes.

Integration Process

The integrated solution seamlessly incorporates Parallel's KYC/KYB capabilities into Forms Logic's new client account onboarding process. This integration eliminates the need for cumbersome third-party systems and manual data re-entry, ensuring a smooth experience for both financial institutions and their clients.

Here’s how it works: When a new client account is created in Forms Logic (directly or via CRM), an automatic request is sent to Parallel Markets. Based on the provided data, Parallel conducts a search in their database for a client match.

If no issues are found with the client, Forms Logic displays an immediate message indicating “No Issues Found”. The processing team can proceed with confidence to submit the new account request.

If issues are identified, the message changes to indicate "Issues Found." In this case, the processor can directly access Parallel Markets' system to conduct the necessary analysis for client validation/qualification and to resolve any issues.

Below is a summary of client information that can be entered directly or may require records to upload.

Once you’ve made your updates in Parallel and have determined that the current flags/matches were not correct, you can approve the transaction. The information comes back into Forms Logic as either:

• No Issues Found: All identify issues were resolved by additional data or review by processor
• Issues Found but manually reviewed: Processor reviewed a match and identified a mismatch and approved it

In either case, the client and account have been approved for processing.

The solution is now generally available, with current clients successfully utilizing it. If you require a reference, we can provide one upon request. For further details about the solution, please contact your Forms Logic representative or email us at [email protected] .