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FinCEN Calls on Banks to Heighten Screening of Payment Processors
By Brian Monroe
printFinancial institutions may need to update anti-money laundering controls, due diligence and screening associated with their third-party payment processor customers, particularly those based internationally, according to U.S. Treasury guidance issued Monday. Banks should drill deeper into who owns the payment processor, who their customers are, how long they have been in business and if they have been linked to any federal investigations, according to the Financial Crimes Enforcement Network (FinCEN) guidance. In issuing the guidance, FinCEN said that a number of payment processors are the subject of consumer complaints and have been associated with fraud and the unauthorized creation of...
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