Financial Services

Screening Services for the Financial Services

Financial Services Sector

The Financial Conduct Authority (FCA) maintains a registry of individuals who are prohibited from holding specific positions within financial services.

Background screening of applicants in the financial services sector is a common practice for several reasons, primarily aimed at ensuring the integrity, trustworthiness, and suitability of individuals who will be handling sensitive financial information and making decisions that can impact the financial well-being of clients and the organization itself. 

Background screening in the financial service sector, several reasons why it is implemented

Why is screening implemented?

Regulatory Compliance

Financial service organizations are subject to various regulatory requirements, such as anti-money laundering (AML) and Know Your Customer (KYC) regulations. Background screening helps ensure compliance with these regulations by verifying the identity, background, and qualifications of individuals working in the sector.

Regulatory Reporting Obligations

Some financial service organizations are required to report certain employee information to regulatory bodies. Background screening enables the collection of relevant data, such as criminal records or credit history, to fulfil these reporting obligations accurately.

Risk Mitigation

Financial institutions deal with sensitive customer information, handle significant amounts of money, and have access to critical systems. Background screening helps mitigate the risk of fraud, theft, or misconduct by identifying individuals with a history of criminal activity, financial irregularities, or unethical behaviour.

Reputation and Brand Protection

Financial service organizations place great importance on their reputation and brand image. Hiring individuals with questionable backgrounds or unethical behaviour could damage the reputation and credibility of the institution. Background screening helps prevent such risks by providing a thorough evaluation of an employee’s background before they are hired.

Protecting Client Interests

Clients trust financial service providers to handle their assets and confidential information. Background screening helps safeguard client interests by ensuring that employees have the necessary qualifications, experience, and integrity to fulfil their responsibilities and maintain confidentiality.

Industry Standards and Best Practices

Following industry best practices and standards, many financial institutions have established comprehensive screening processes as part of their hiring procedures. This ensures consistency and a thorough evaluation of all applicants.

Speak to one of our Financial Services Sector screening experts
Call us on 0800 999 7858

Our experts are trained to advise you on the appropriate level of screening you may need depending on your individual  requirements.

It’s important to note that the FCA’s regulatory scope may evolve over time, and there may be additional sectors or activities that fall under its supervision.

The Financial Services Sector encompasses various Sectors Covered by FCA

Banks and Building Societies
Banks and building societies to ensure the stability, integrity, and consumer protection within the banking sector.
Insurance companies and intermediaries to promote fair competition, consumer protection, and financial stability in the insurance industry.
Investment Management
Investment management firms, including asset managers, investment advisers, and collective investment schemes, to protect investors’ interests and maintain market integrity
Financial Market Infrastructure
Financial market infrastructure, such as clearing houses, settlement systems, and trading venues, to ensure their efficient and orderly functioning.
Payment Services

Payment service providers to ensure the safety, efficiency, and transparency of payment systems and protect consumers’ interests in payment transactions.

Mortgage and Home Finance
Mortgage lenders, brokers, and advisers to promote responsible lending practices, protect consumers, and maintain the stability of the mortgage market.
Crowdfunding and Peer-to-Peer Lending
Crowdfunding platforms and peer-to-peer lending platforms to protect investors, ensure transparency, and maintain the integrity of these alternative finance channels.
Consumer Credit
Consumer credit activities, including lending, credit brokering, and debt collection, to protect consumers from unfair practices and promote responsible lending
Financial Advisors and Intermediaries
Financial advisors, wealth managers, and other intermediaries to ensure they provide suitable advice, act in their clients’ best interests, and meet professional standards.