SWIFT announced Tuesday (February 12) that it opened its Know Your Customer platform, the KYC Registry, to corporate groups.
In a press release, SWIFT said that all 2,000 SWIFT connected corporate groups can join the KYC Registry to upload, maintain and share their Know Your Customer information with banks.
According to SWIFT, enabling corporates to join the KYC Registry will be transformative for the companies that use multiple banks. As it stands, SWIFT said major companies use a range of banks located in different jurisdictions across the globe who are tasked with exchanging information to enable Know Your Customer checks to take place. The data is located in different places and can be incomplete or out of date, making it a time-consuming process for corporates and banks. Adding to the inefficiencies of the current system is a lack of uniformity. The KYC Registry brings it all together providing access to an online portal for financial firms to exchange KYC data with correspondents in a secure and standardized way, SWIFT said in the press release.
By allowing corporates to join the KYC registry, they will be able to upload standard information and exchange other KYC documents that are requested by banks. Banks benefit, said SWIFT, because they will have access to corporate information through the same central repository used for correspondent KYC checks, enabling efficient data sharing via a secure platform. “Corporate treasurers cite KYC as one of the top three challenges they face in their bank relationships,” said Marie-Charlotte Henseval, head of KYC Compliance Services. “We’re pleased to be extending what is already the largest KYC registry for banks in the world to corporate customers. This unique and well-established utility already delivers huge benefits to banks, and its extension to corporates will extend them the same advantages, with a standard agreed by the community and a secure platform enabling efficient data sharing.”