ARM JANUARY NEWSLETTER

Banks and lenders’ compliance team can go home every day with the peace of mind that they have operational compliance under control!

ARM’s Newsletter covers the latest events related to Automated Regulatory Monitoring, the Regtech innovation ecosystem and regulatory news.

What’s new about ARM?

Vulnerability:

ARM selected by the FCA and the City of London to pilot our platform aimed at financial firms to identify drivers and characteristics of vulnerability and provide a series of preventative measures to avoid negative outcomes for consumers.

Legal Partners:

ARM selected to CMS equIP programme for innovative companies in the Regtech space. CMS is a legal firm that works with some of the biggest names in finance as well as up and coming disruptors.

Automated review of statements and notifications:

Review in 24 hours what would take months. ARM’s platform verifies notifications were sent timely, information required was included and information provided accurate.

Read ARM’s Case Study:

If you want to know how ARM has already helped some financial institutions improve their compliance and quality assurance controls, go to our website and download our Case Study.

Digital Sandbox Pilot

ARM’s “Treating Vulnerable Customers Fairly” module will be tested during the trial.

ARM is one of the few innovative firms that will participate in the FAC’s Digital Sandbox Pilot and we are looking for mentors and collaborators… JOIN US at https://www.digitalsandboxpilot.co.uk/

Close to 50% of financial firm’s customers are potentially vulnerable following the FCA’s Financial Lives survey 2020. It is expected that the financial industry will incur an annual expense of £1.4 billion in relation to approaching treating vulnerable customers fairly.
Therefore, financial firms face a huge challenge to adapt to post-COVID times. The FCA has recognized the size of the challenge and it is promoting innovation to tackle this problem. The Digital Sandbox Pilot is one of its main initiatives.

ARM will be showcasing an easy-to-use platform to analyse the entire customer portfolio daily. The platform provides detailed reports with potentially vulnerable customers, vulnerability characteristics identified and tailored action plans for each customer. Our platform turns a compliance challenge into better customer service and risk management.
Get in touch with us if you want to know more about our platform or want to mentor our team for the Digital Sandbox Pilot!

Get in touch with us if you want to know more about our platform or want to mentor our team for the Digital Sandbox Pilot!
info@armonitoring.co.uk

Annual Statements, NOSIAs & SNOSIAs

ARM can review thousands of notifications and statements in a few hours to find regulatory risks.

ARM has added 37 new tests to review Annual Statements, NOSIAs and SNOSIAs to verify compliance with the Credit Consumer Act (CCA) before or after they are sent to improve quality assurance.

In the previous years, financial institutions had to reimburse millions of pounds to borrowers as their agreements became unenforceable due to missing or incorrect information in their communications with them. The most onerous example for consumer credit lenders was Annual Statements, NOSIAs and SNOSIAs.

Financial firms spend countless hours manually reviewing notifications to prevent or remediate any impact on the final consumer timely and avoid further sanctions. These reviews slow down operations and increase the cost to service their customers.

ARM provides a plug and play platform that performs detailed reviews of thousands of notifications daily in just a few hours. The platform incorporates predefined tests tied to regulatory rules to provide detailed reports identifying what is the issue identified (e.g. notification not sent when required) and the customers impacted (e.g. customers that haven’t received the notification). As a result, financial firms can quickly prevent any further issues.

Get in touch with us if you want a demo of our detailed tests and reports!
info@armonitoring.co.uk

Barclays fined for poor treatment of vulnerable borrowers

The FCA imposed a fine of £26m to Barclays over the treatment of borrowers in arrears. The bank has also paid £273m in redress to at least 1.5 million customers.

The regulator said the bank failed to properly contact customers who fell into arrears and did not have appropriate conversations about their individual circumstances.

The FCA said the bank ended up offering unaffordable or unsustainable payment plans that could put these borrowers under pressure to prioritise their debt with Barclays over “priority debt” — such as a mortgage, child support payment or utility bill.

Read the article here.

Automated Regulatory Monitoring