The UK Gambling Commission is constantly reviewing and updating the LCCP regulations for operators – but are your identity verification processes up-to-date?
Huge changes to the LCCP first took place in May 2019 (you can read about them here) to ensure safe and responsible gambling throughout the industry, and since then the UKGC have been keeping a close eye on how they can keep operators verifying their customers’ identities accurately and efficiently to comply with the rules.
On 29th July 2020, the UKGC released their latest version of the LCCP – are you complying with the newest rules?
The UKGC declare that they ‘make amendments or additions to take account of developments in the industry or emerging evidence on the most effective means of promoting socially responsible gambling’. With 31.5 million gambling accounts registered in the UK last year, there is a vast amount of customers to be identity checked each day for AML and KYC purposes.
KYC was one of the main focus points for operators when the revised LCCP came into place in May 2019, but it seems that the UKGC are stepping up their requirements again to be even stricter, with operators needing to know even more information about their customers and their income.
A huge area of the LCCP focuses on Know Your Customer (KYC) and Anti-Money Laundering (AML) – and states that operators must know where their customers are getting their funds from in order to gamble. The LCCP states that operators must monitor their customers as an ongoing process to ensure that their business is not at risk of being used for money laundering or terrorist financing – requiring a more in-depth identity check of each customer upon registration.
Individuals in the UK are utilising CRA data in order to create fraudulent accounts. This information is easily accessible, and therefore easy to create accounts in another person’s name. Hello Soda’s solutions can enable you to combat this fraud, mitigating the risk of fraudulent transactions and accounts created.
Ensure accurate KYC checks
The gambling industry should be checking whether their current ID verification and KYC checks are enough – and whether they can implement more accurate and secure checks. For example, are traditional verification methods enough to provide true confidence in verifying a customer, or are they becoming outdated methods?
Operators need to be confident that they are dealing with a real person, that they are over the age of 18, that they are residing in the UK, is the person at the end of the device that they are declaring themselves to be, and clarifying where their funds are coming from.
With the new regulations in place, operators should be looking to more robust and automated methods of verification that they can trust to carry out a higher volume of identity verification checks than previously required. This is where Hello Soda can help. Our one-stop shop, Sodium, enables operators to verify customers in real-time with the in-depth information necessary to pass the regulations.
How we can help
Verify and onboard up to 68% more customers than with traditional identity verification methods, using a single universal API.
With Hello Soda’s one simple, global solution, Sodium, we can enable you to verify your customers in real-time whilst significantly uplifting your customer acquisition. Whether you wish to use document verification, social verification, utility data, dark web checks, traditional CRA data or a combination to verify a user, Sodium is the solution for you.
Learn more about how we can help your organisation to perform instant and automated KYC checks. Book a demo today and see for yourself how powerful our suite of solutions are.