In FlexFinance, it is possible to compare new customers and existing customers against various lists when a loan application process is initiated. This is to prevent a customer who has a problematic credit rating, known dubious behaviour, a criminal record, is on a blacklist, is involved in legal disputes or whose business has failed, from receiving credit.
This information about the customer is kept either within the bank or by external service providers and displayed to the user. The request for the lists and display of the results can be integrated into FlexFinance and the result of the query can be included in the processing of the application.
Blacklists
Blacklists contain persons for whom mandatory restrictions on business relationships exist in accordance with a bank's internal rules. It is usually not possible for these people to obtain credit. FlexFinance can evaluate this information and prevent the application from being processed further in accordance with the stored rules.
Warning lists
Warning lists provide a user with customer information that has to be taken into account in the further processing of a loan application, in accordance with the rules set out by the bank or those stored in the software. This includes further checks on the customer or the loan application or decisions on the application by employees with the appropriate authority.
Politically exposed person (PEP)
Politically exposed persons are natural persons who hold or have held an important public office in the last 12 months, their immediate family members and persons known to be close to them. They are subject to stricter requirements than ordinary citizens with regard to preventive measures "to prevent the use of the financial system for the purpose of money laundering and terrorist financing". According to Section 6 of the Money Laundering Act (GwG), a bank must create internal security measures for this purpose. By checking against lists supplied by an external service provider, a user can conclude that a person can be a politically exposed person and be dealt with accordingly.