How to Augment Your Business with Risk Management APIs

Application programming interfaces, known in short as APIs, are changing the way banks, financial institutions, and other organizations are enhancing their operational efficiency by providing fast and easier access to risk intelligence customer data.

APIs provide quick access to critical data required in a wide range of processes including digital ID verification, monitoring of transactions, risk screening, and many more. They help in boosting operational efficiency and risk prevention in financial transactions and KYC processes.

Let’s look at some of the key benefits of using APIs to augment risk management procedures in financial and other institutions.

APIs Provide Access to Quick, Efficient, and Cost-Effective Technology

One of the biggest benefits of APIs is the fact that they provide in-house developers with the capacity to add newer and more innovative features and functionalities to existing systems using custom mobile applications, voice recognition technology, smart chatbots, and much more.

Better still, the innovations and features can be added to an existing ecosystem in just a few days or weeks instead of months or years.

APIs allow developers to integrate, modify, or roll out new products at a significantly lower cost and less time compared to other siloed systems.

In these COVID-19 pandemic times, remote interactions have become the new norm. A recent U.S survey revealed that 40% of people in a sample of 1,000 respondents only shop online while 45% stated that they only interact with their banks via the Internet.

It, therefore, makes sense to use APIs as the most cost-effective, timely, and efficient way of screening and verifying identities to improve the control over all transactions made through digital platforms, while also complying with AML rules. This is especially valid where some might use crypto currency to purchase goods and services in order to re-sell them and launder money.

Saving Time, Exponentially

As digital tools help business and interactions scale, it would be unmanageable to manually onboard every single customer while applying financial crime control protocols.

You would have to manually or semi-automatically check each customer’s details using a series of document verification, human screening, and data collection tools. Having to manually source each customer’s data in the customer relationship management system before you start the manual verification process would mean spending hours on a single customer alone.

For financial institutions or digital platforms that handle thousands of customers every day, the manual process would not only be tedious and more expensive but would also slow down operations and possibly result in huge overheads.

Thankfully, you can now use AI services through the functional and non-functional API features.

APIs Streamline Compliance Checks

Using Screena APIs, you no longer need to reinvent the wheel. Our APIs are structured and organized around the REST architectural style that allows quick and easy integration of your risk management systems with searching and screening endpoints.

Screena provides you with all the building blocks to streamline name-matching, whether you want to reduce False Positives or to develop your own large-scale end-to-end screening solutions.

When you use Screena APIs, you get the ability to fetch an entire customer database and perform millions of name verifications digitally at the click of a button and within minutes. The results will be seamlessly integrated with your internal systems or AML/KYC vendors.

More than just running a filtering process, the APIs provide you with the ability to continuously monitor multiple entities that your institution has onboarded. You can schedule screening at regular intervals, as the circumstances of your entities change, to confirm that the relationship remains permissible. With periodic screening, Screena also ensures redundant matches do not occur.

Speed – measured by throughput and latency – and scalability are key considerations when it comes to efficiency and resilience. The APIs you choose to integrate with your existing system not only need to deliver accurate data but also do so within seconds or even milliseconds, rather than minutes or hours, especially if your organization deals with a heavy load of daily transactions. All should go through controls yet remain uninterrupted.

Using Screena APIs provides you with quick and efficient processing as well as elastic scalability to cater to customers’ changing needs, all for a fraction of the cost of clunky, monolithic KYC solutions.