Counterparty Screening
Overview
Counterparty screening is the process of verifying and monitoring the individuals, businesses, or entities an organization engages with to ensure they are not involved in illicit or high-risk activities. It is a core compliance control for preventing financial crime, safeguarding transactions, and meeting regulatory requirements. Screening typically involves checking counterparties against sanctions lists, politically exposed persons (PEP) databases, watchlists, and adverse media sources.This process is essential for banks, fintechs, investment firms, insurers, and other regulated entities to mitigate risks such as money laundering, terrorism financing, fraud, or reputational harm. Counterparty screening is not a one-time activity; it must be continuous, as regulatory lists and business relationships evolve. Automated solutions with real-time data and AI-driven risk scoring are widely used to strengthen compliance and improve efficiency.
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AML Screening
Screen users against Politically Exposed Persons (PEP), watchlists, sanctions lists, adverse media, and more through one-time screening and advanced monitoring.
Business Verification
Verify businesses with reliable documents OCR, EIN checks, UBO data, sanctions screening, global registry checks, and more.
Criminal Screening
Perform thorough background checks and verify criminal records to maintain compliance and strengthen onboarding security.
FAQ
What is counterparty screening?
The process of checking entities against sanctions and risk lists.
Why is it important?
To ensure compliance and avoid penalties for dealing with banned parties.
Who conducts it?
Banks, insurers, payment providers, and corporates.
How is it performed?
Through real-time sanctions and media screening tools.