The Challenge: Relying on a manual BSA/AML solution and missing suspicious activity
Smaller financial institutions often think they can manually handle the daily transaction monitoring required by the Bank Secrecy Act (BSA), but the truth is those institutions are bigger targets for financial crime. As criminals get smarter and use technology to their advantage, smaller community institutions need an automated anti-money laundering (AML) system as much as the larger ones. Additionally, regulatory expectations have risen above the old manual ways. Manual transaction monitoring is time-consuming and leaves too much room for error, allowing nefarious actors to use the U.S. financial system to launder their illicit gains.
Staci Angel, Senior Vice President Compliance Officer and Deposit Operations Manager, relied on a manual process for reviewing transactions when the Bank of Austin first opened in July 2017. Having used an automated system at a previous institution, she knew how important it was for them to automate their AML system as quickly as possible, no matter their size. Without reports to analyze, scenarios to run or alerts to review, it was apparent to Staci that there could be activity that was going undetected and leaving her institution at risk.