Avoka Wins Best of Show Award at 2018 Small Business: Banking Conference
We are delighted to share that Avoka won the Best in Show Award for our Digital Business Banking KYC demo at the American Banker 2018 Small Biz: Banking Conference in Nashville, TN. The winners were chosen by the event attendees.
Lisa Adams and Chris Howell demonstrated Avoka’s small business account opening experience in Customer Acquisition Journeys for Banking. During the 8-minute demo, Avoka walked the audience all the way through the complete business deposit account opening journey, simplifying what the audience knows is a complicated process for their customers.
Avoka Addresses FINCEN KYC for Business Banking
Account opening and loan applications were a big theme at this year’s small business banking event. Several vendors had excellent user interface designs and showed a friendly format for capturing basic information. Given a crowded field, what was the Avoka difference?
A key to the win, based on comments we received onsite, and a key to the Avoka customer journey, was the inclusion of the Know Your Business/Know Your Customer (KYB/KYC) sequence. With the 2018 establishment of new FINCEN Customer Due Diligence rules, US banks have a much more complex compliance task when onboarding a business customer than an individual retail customer. FINCEN requires that banks identify all the beneficial owners (BO) of more than 25% of the business, either directly or indirectly.
Then the identities of each BO must be validated individually, and records of the validating documents retained for records. This process applies to new-to-bank and existing customers, and even extends to owners of one business with ownership in another. Making the process more complex, banks cannot share personal information across BOs in the same business, so there can be no common application visible to all the BOs on the list. Each owner must be separately identified and validated, then their records privately associated with the business application. Clearly this is not a three minute “get it done in one sitting” exercise, and the knowledgeable bankers in the audience recognized that.
Avoka’s KYC sequence highlighted this process:
- Use an integrated Fintech service to identify the specific business name, identifier, and ownership structure
- List all the beneficial owners on record
- Set up separate threads to digitally identify and validate each BO
- Allow the person completing the main application to enter the email of each BO and push an identity request to each one
- Have each BO receive the email, identify and validate using a driver’s license scan, and have their identity capture as part of the business application without compromising their own Personally Identifiable Information (PII).
- Keep the business application open for the duration of the process, with data encrypted and secure, and then submit the whole complete bundle to the bank once everything is complete.
None of the other demos address this multiple owner situation, and the real-world applicability Avoka showed was what carried the day.
How Avoka Can Help
Avoka helps banks create a digital small business account opening experience that meets the FINCEN KYB/KYC requirements and creates an outstanding customer experience to convert more prospects into customers. Utilizing best-in-class integrations with accounting software, ID verification, fraud detection, facial comparison, and digital signature services, the Avoka demonstration explains how banks can provide business banking customers with prefill business information, financial statements, identification of Beneficial Owners, run KYB and KYC, and produce required documents for retention for the application.
Contact us to request a demo of how Avoka can help you build outstanding customer acquisition journeys for banking.