Estate agents fined average of £12k for AML non-compliance
Recent research has revealed that 11,842 is the average agency fine for supposed anti-money laundering non-compliance.
According to Credas, around 19% of the 100 estate agents surveyed claimed that they received a fine for non-compliance. Approximately a third said they had been fined between £15,000 and £25,000, significantly higher than the average level.
Commenting on the findings was Rhys David of Credas. The Chief Executive of the identification verification firm said: “AML non-compliance is clearly hitting the pockets of agents around the UK. The fact that nearly a fifth have been found non-compliant and some have been fined is really concerning and demonstrates that the sector hasn’t had the time or enough information to prepare properly for these regulations.
“We are also concerned that 32 percent of the agents surveyed are still using a paper filing system to store their AML data. There are so many digital solutions available on the market which will help agents with data storage and management, that there is no need to still depend on an old-fashioned filing cabinet and introduce risk.
He went on to highlight the soon to be implemented GDPR and the need for professionals to ensure that they are prepared.
“This year will be a challenging one for the property sector, with General Data Protection Regulation compliance also on the horizon on May 25, it is more important than ever for agents to look at other ways of complying with regulation and safely storing data.”