Ensure Accurate Account Holder Identification, Matching, and Quality Data For FATCA Compliance
The Foreign Account Tax Compliance Act (FATCA) signed into U.S. law in March 2010 will take effect on January 1, 2014. It will require both U.S. and foreign financial institutions to accurately identify existing customers and account holders subject to FATCA compliance reporting.
In the meantime, banks face significant barriers to meeting FATCA compliance reporting requirements. Among these are:
- Account information stored in numerous systems and databases across different lines of business with little or no documentation of what exists for FATCA compliance analysis
- Legacy source systems, up to 30 years old, with varying data structures and formats
- Data quality errors caused by inaccurate translation, invalid addresses and aliases and data corruption caused by combining similar information across multiple systems
- Incomplete views of entity relationships among existing accounts and account owners across business lines in existing Know Your Customer (KYC) systems
The Informatica Solution for FATCA Compliance
The Informatica solution for FATCA compliance enables you to meet all reporting requirements for FATCA. Powered by industry-leading data integration and data quality software, the solution ensures accurate account holder identification, precise matching, and quality data.
With this solution, you can:
- Streamline access to account holder, tax status, address, citizenship, and payment transaction history as well as other critical data for FATCA compliance reporting, regardless of source system, data structure, or format
- Save time by removing bottlenecks and rapidly exposing data quality errors, including incomplete values and inconsistent or invalid records
- Boost productivity by accurately identifying account holders, regardless of spelling errors and/or input language in the system of record
- Increase efficiency by standardizing and cleansing incorrect or invalid address information for proper identification
Key Capabilities of FATCA Compliance
The custom-developed processes typically used to manage data quality errors, identity matching, or legacy KYC systems are unproven and often prone to error. The Informatica solution for FATCA compliance helps banks to address the complex requirements for identification and the profiling, cleansing, and delivery of data. Leveraging Informatica’s industry-leading data integration, data quality, and master data management software, banks can ensure FATCA compliance and avoid costly regulatory penalties.
Based on a single, comprehensive platform, the Informatica solution for FATCA compliance features the following capabilities:
- Enterprise data integration to access your required account, transaction, payment, and identification data, regardless of source system, database, format, or structure—including PDF documents that may contain required information for FATCA compliance reporting
- Powerful identity matching that employs probabilistic, linguistic, and deterministic algorithms to accurately identify unique individuals, regardless of spelling, local language, or alias
- Data quality discovery and profiling that allow data stewards and analysts to identify data quality errors from upstream systems
- Collaborative data quality rules management to fix identified errors by leveraging a library of prebuilt rules or author-customized rules through a wizard-driven interface
- Global address library including address standardization rules servicing 240 countries
- Single, complete, and master source of customer information across all accounts, enabling the management of relationships between existing account holders and customers across business lines and systems to identify those who may be subject to FATCA compliance reporting