The KYC/AML hamster wheel for new fintechs
Anyone else feeling like they're spending more time on KYC/AML compliance for their own business than actually onboarding clients? We're a small outfit, just launched a niche payment solution, and the hoops we've jumped through with tier-1 banks and various PSPs for our own corporate accounts have been legendary. Each one wants a slightly different flavour of due diligence, often duplicating efforts. It's like they've all got bespoke anti-money laundering departments run by ex-librarians with a penchant for obscure documents.
I'm curious about strategies for streamlining this. Are there any specific red flags that just endlessly trip up smaller fintechs when dealing with established financial institutions? It feels like we're constantly proving we're not a shell company for an obscure dictator, which, frankly, takes away from the time we could be spending on, you know, building the actual business.
Ah, the joys of modern finance. It's almost as if the banks are subtly trying to discourage new competition by making the onboarding process feel like an Olympic decathlon, isn't it? Just wait until you get to the part where you need to explain your business model to someone who still thinks 'fintech' is a new brand of fish sticks.