According to the World Bank, remittance flows to low- and middle-income countries (LMICs) were estimated to reach $669 billion in 2023. To meet the growing demand for frictionless and reliable remittances globally, we recently expanded the cross-border remittance capabilities in the Alviere HIVE platform with configurable Know Your Customer (KYC) tiers. This configurable approach to KYC safeguards enterprises offering embedded remittances while enabling a smooth onboarding process for end users.
How does it work?
A tiered approach to KYC allows Alviere’s enterprise clients to progressively provide access to a wider range of financial services, and increase send limits. Along the way, customers must provide additional information, as required under current regulations. As a regulated financial entity in the United States, Alviere adheres to best practices outlined by the Money Services Business Association (MSBA) throughout its Anti-Money Laundering (AML) program.
Know Your Customer (KYC) "Limited"
For pass-through transactions like remittances, the identity verification process is streamlined, enabling consumers to onboard with 50 percent fewer steps. Pass-through transactions are those that do not require opening a new account. Instead, an existing card or bank account can be debited and the funds are “passed through” to the recipient, without being held.
We’ve seen with live client programs that additional steps in customer onboarding can create unnecessary friction — preventing consumers from starting to transact and use money services they find most useful, like remittances. After completing a limited version of KYC, end-users can send remittances funded by existing cards, accounts, or even cash. Through our money transmission licenses (MTLs), Alviere can uniquely enable in-store cash loading capabilities for tailored client programs, or provide access to a network of tens of thousands of retail locations for cash loading through an integrated partner ecosystem.
Full KYC
Over time, customers can create full demand deposit accounts (DDAs) with the same remittance capabilities, with adjusted KYC tiers to meet the regulatory requirements for additional identity verification. Before gaining access to the U.S. financial system with their own account, end-users must complete a more in-depth KYC process by providing their Social Security Number (SSN) or ITIN, and potentially a form of identification, like a passport or driver’s license. This nuanced, tiered approach to KYC verification is flexible and scalable for enterprises that are launching new financial programs, with Alviere’s team of experts ensuring strict adherence to compliance standards as programs evolve.
Configuring bespoke, compliant solutions
By integrating critical features into the HIVE platform, Alviere saves enterprise clients from having to identify additional service providers, vendors, or partners to launch financial programs or features. Offering multiple tiers of KYC is one of the ways that we help enterprises configure risk levers in their program, instead of following a one-size-fits-all approach to platform configuration that can limit a brand’s ability to deliver an optimal user experience.
Throughout program design and implementation, we strictly adhere to state and federal regulations to ensure a viable program and in compliance with Alviere's status as a licensed financial institution. Money transmission licenses (MTLs) provide a crucial safety system that helps ensure a licensed provider like Alviere runs a reliable operation, as approved and supervised directly by regulatory authorities.
For more on the strategic approach Alviere takes to configure compliant solutions, read the Launch Guide: Expert guidance for enterprise embedded finance programs. To learn about our commitment to security & compliance, see here.
