Lesson 1Customer due diligence an onboardin controls: KYC, beneficial ownership, screenin, EDD triggers fi high-risk merchants like crypto an gamblinDis section address customer due diligence fi merchants an partners, includin KYC, beneficial ownership, sanctions an PEP screenin, EDD triggers fi high-risk sectors, an ongoing monitorin tailored to payment processor business models good.
Merchant KYC an verification controlsBeneficial ownership identificationSanctions an PEP screenin at onboardinEDD fi crypto, gamblin, an high riskOngoing due diligence an refresh cyclesLesson 2Transaction monitorin an detection rules: typologies fi payments an digital wallets, rule design, thresholds, an scenario developmentDis section focus pon transaction monitorin fi payment processors, coverin typologies fi cards, APMs, an wallets, rule an scenario design, thresholds, alert handlin, tunin, an model governance to detect money launderin an fraud patterns right.
Payment an wallet AML typologiesDesignin rules an scenariosThreshold settin an calibrationAlert triage an investigation flowsModel validation an performance reviewsLesson 3Risk-based approach: risk appetite statements, risk tolerances, segmentation of customers an productsDis section describe how payment processors apply a risk-based approach, includin risk appetite an tolerance statements, customer an product segmentation, scor in methodologies, an alignment of controls an monitorin intensity to risk levels proper.
Draftin AML risk appetite statementsDefinin risk tolerances an limitsCustomer an merchant segmentationProduct an channel risk scorinLinkin controls to residual riskLesson 4Reportin an escalation: internal suspicious activity reportin, senior management an board reportin, regulator communication protocolsDis section cover reportin an escalation fi AML an sanctions, includin internal suspicious activity reports, case escalation, management information fi senior leaders an di board, an communication protocols wid regulators an bankin partners clear.
Internal suspicious activity reportinEscalation criteria an timelinesManagement an board reportin packsRegulator communication protocolsReportin to sponsor banks an partnersLesson 5Sanctions compliance program elements: screenin workflows, watchlist management, false positive tunin, blockin/filin proceduresDis section detail sanctions compliance fi payment processors, includin screenin design, list management, workflow configuration, false positive reduction, an procedures fi blockin, rejectin, reportin, an documentin sanctions-related decisions good.
Sanctions risk assessment fi processorsName an payment screenin designWatchlist sourcin an list governanceFalse positive reduction an tuninBlockin, rejectin, an reportin flowsLesson 6Policies an procedures: AML, sanctions screenin, KYC, enhanced due diligence (EDD), transaction monitorin, data protection, recordkeepinDis section explain how to draft an maintain AML, sanctions, KYC, EDD, monitorin, data protection, an recordkeepin policies an procedures weh are risk-based, operationally realistic, version-controlled, an aligned wid regulatory expectations fi success.
Policy hierarchy an ownership modelCore AML an KYC policy elementsSanctions an screenin proceduresEDD an transaction monitorin SOPsVersion control an approval workflowLesson 7Trainin an competency management: role-based trainin curriculum, frequency, trackin an testin of effectivenessDis section cover role-based AML an sanctions trainin fi payment processors, includin curriculum design by function, trainin frequency, delivery methods, trackin completion, testin effectiveness, an remediation fi low scores or control failures proper.
Trainin needs analysis by role an riskDesignin AML an sanctions curriculaTrainin frequency an refresher cyclesTestin knowledge an measurin impactTrackin completion an remediation stepsLesson 8Governance an organizational structure: Board oversight, Compliance Officer responsibilities, escalation pathsDis section define governance structures fi AML an compliance in payment processors, clarifyin board oversight duties, di Compliance Officer mandate, escalation channels, an committee frameworks weh ensure independent, well-resourced control functions strong.
Board AML an compliance oversight dutiesCompliance Officer mandate an authorityThree lines of defense model in practiceEscalation paths an issue ownershipCompliance an risk committee structuresLesson 9Recordkeepin an auditability: retention requirements, audit trails, change control fi rules an modelsDis section explain recordkeepin an auditability requirements fi AML programs, includin retention schedules, secure storage, audit trails fi key decisions, an change control fi rules, models, an data to support regulator an internal audit reviews good.
Regulatory record retention requirementsDesignin searchable audit trailsEvidence of investigations an decisionsChange control fi rules an modelsData lineage an system-of-record controls
