Anyone seen PSPs tightening KYC on payout methods recently?

Been noticing a trend where some of our PSPs are implementing significantly more stringent KYC checks, specifically on outbound payouts to less common alternative methods. It's moving beyond just verifying the account holder and starting to feel like a full re-verification of the beneficial owner for the receiving entity, even for relatively small amounts. This adds noticeable friction to our operational flow and can cause delays when a client isn't expecting to provide extensive documentation for a withdrawal they've made successfully before.

Is this a widespread regulatory push, or are individual PSPs just getting more conservative with their risk profiles? Curious if others are experiencing similar challenges and how they're managing client expectations around it, especially when dealing with international clients whose local banking options might be limited.