The new NACHA Rules state that as of September 18, 2009, all IAT entries must be screened to comply with the sanctions policies of the U.S. Treasuryâs Office of Foreign Assets Control (OFAC) in their ongoing effort to fight terrorism, money laundering, drug trafficking and other criminal activity. FinScanâs comprehensive IAT OFAC screening solution integrates easily into the existing operations of ACH originators, receivers, processors and software vendors.
The mission of accurately matching transactions against the OFAC and other sanctions lists is complicated by the fact that the data in the lists is generally of poor quality, including different formats, different name sequences, misspellings and other anomalies. FinScan overcomes these difficulties and improves matching accuracy by carefully cleansing and parsing the names on the lists, reformatting them and creating alias fields. This process is performed using the sophisticated methodology developed by serving the rigorous data quality needs of dozens of the worldâs largest financial institutions.
âFrom working with financial institutions around the world, we know that complying with sanctions list screening regulations can present huge challenges in terms of administration, infrastructure and training,â said Murray Dickman, FinScan COO. âWith FinScan, weâve worked to relieve our clients of those burdens by offering them a solution that is at once comprehensive and easy to implement, and minimizes the time required to review potential matches.â
FinScan simplifies IAT OFAC compliance for organizations by providing an end-to-end compliance solution. In addition to the screening process itself, FinScan continually monitors and updates the OFAC and approximately 30 other sanctions lists available for screening, and automatically produces the audit and due diligence reports required by the regulations. It also streamlines the often costly and time-consuming task of reviewing suspect matches with a Web-based Case Management Tool.