Compliance departments outsourcing

[ShillGates]

Some banks seem to have outsourced the compliance to an external provider which - especially in Lithuania - provides these compliance services to multiple banks and emi’s

One problem at one emi will be shared to others - so this causes a problem should you have issues

Anyone knows what compliance services each emi uses - rather who got shared compliance.

Also transferwise offers their currency exchange to partner emi as well, so again - should you do happen to use an emi that uses tw exchange - and your emi causes issues - you can forget about your tw account too

 

[Sir Gelato]

There are a lot of compliance outsourced companies and even for emis it is quite difficult to know. You can always filter the big compliance service companies in Lithuania, make a call saying that you are setting up some kind of emi and if they have experience with them. Maybe they say that they work with Tw and others...

 

[lory]

Would it be a conflict of interest to share a compliance department? they will sooner or later mix the data and misuse it.

 

[ShillGates]

It is not - depends on the country but check transferwise a d revolut for example they refer to information coming from banking partners .

Be aware that yes you might be dealing with 5 different emis but in effect it’s the same compliance as if you deal with one baNK

Also I believe banks get 20 percent bounty of blocked accounts that subsequently get grabbed by authorities