Smart Compliance Unveils Key Insights: 55% of Case Loads Require Enhanced Due Diligence, as 6% Opt Out of Technology
Estate agents are grappling with an alarming burden of Anti-Money Laundering (AML) compliance, despite the availability of technology solutions designed to streamline the process. Smart Compliance, the UK’s leading provider of fully managed HMRC guaranteed AML compliance solutions, has unveiled a startling statistic: over 55% of AML checks conducted on behalf of buyers and sellers are referred to their Enhanced Due Diligence team. This demanding process necessitates extensive expertise and specialisation to adhere to the stringent regulatory guidelines set by HMRC.
Of the referred cases, a significant 15% which are flagged for Enhanced Due Diligence, involve transactions with executors and grants of probate. These cases require meticulous identification of all parties involved, in addition to thorough scrutiny of court documents, wills, and certificates. An additional 6% of the overall referred volume comprises of Limited Companies, Trusts, and Complex Corporate Structures, further intensifying the workload. Experienced professionals on the Smart Compliance team diligently perform these checks daily.
Additionally, it has been found that 6% of the overall referred volume opt out of the use of tech preferring traditional methods of compliance, leading to increased efforts on the part of Smart Compliance professionals to ensure meticulous checks are conducted.
Recognising the need to streamline AML compliance procedures for estate agents, Smart Compliance has launched a new App in Reapit’s AppMarket, which agents can access directly through their AgencyCloud CRM. This App enables estate agents to focus on their core business operations while ensuring ongoing compliance with regulatory requirements. The comprehensive compliance pack, inclusive of enhanced due diligence, where necessary, and property title deeds, is automatically saved and readily downloadable in the event of an HMRC audit.
Mark Armstrong, Group CEO at Reapit, said: “AML compliance is one of the biggest issues keeping agents awake in 2023. Fortunately, Smart Compliance’s new app now available on Reapit’s AppMarket will help agents perform their due diligence and meet their compliancy requirements with seamless efficiency.”
Steve Thompson, Director at Thomas Morris, and an early adopter, added: “With increasing legislation and fines within our vulnerable sector, we were keen to have a belt and braces approach, that’s where Smart Compliance came in. We have peace of mind that we are fully compliant, paired with the fact that our app integrates into Reapit for ease of use.”
Find Smart Compliance in the Reapit AppMarket Here
Reapit technology is used by over 78,000 agents in more than 15,000 branches worldwide, with over a million properties under management. For more information, please visit www.reapit.com.