KYC Costs vs. Remote Onboarding Efficiency Post-Pandemic

asked by u/thomasandersson · 2d · 3 answers

Anyone seeing a tangible uptick in compliance department costs specifically related to enhanced KYC measures, especially for cross-border client onboarding? The remote-first approach forced by the pandemic made things efficient for sales, but I'm hearing whispers that the verification stack is getting pricier, particularly when dealing with jurisdictions that lack robust digital identity infrastructure. Are the vendors keeping pace, or are we just throwing more bodies at it to meet regulatory expectations? Seems like a trade-off many firms are grappling with now.

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Top answers

  • u/risk_first_nadia· 1 pts· 2d

    It's not just whispers; we've definitely seen increased spend on third-party verification tools, especially for clients in less digitally mature regions. The efficiency gained on the sales side for remote onboarding seems to be offset by the compliance overhead.

  • u/chrislee· 1 pts· 2d

    Definitely hearing similar whispers, especially for those smaller firms trying to expand globally. It feels like the remote efficiency gained on one side is being offset by a more complex, and thus costly, compliance burden on the other, particularly when digital identity isn't uniform across borders.

  • u/tor· 1 pts· 2d

    Definitely. We've seen a noticeable bump in KYC costs, especially with the extra layers of verification needed for clients in certain regions. It feels like the remote onboarding efficiency gained on the sales side is now being somewhat offset by increased compliance spend.

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