Panamanian Bank Cuts Reporting Time with CRS/FATCA One
A prominent bank in Panamá, with a client base primarily from Latin America, proactively addressed the challenges posed by the introduction of the Common Reporting Standard (CRS). While they first faced minimal issues with FATCA reporting due to a limited number of US clients, most became reportable under the new regulations. This proactive approach led them to seek a more efficient and effective solution for the increased complexity, demonstrating their commitment to compliance and efficiency.
The bank's initial approach to managing FATCA and CRS reporting was highly resource-intensive. A team of 10 individuals from various departments manually gathered and reported the necessary data. Many of these team members were unfamiliar with the requirements for FATCA and CRS reporting, making the training process challenging and time-consuming. This manual process consumed significant resources and heightened the risk of errors. When errors did occur, identifying and correcting them required a detailed, client-by-client review, further complicating the reporting process.
Choosing Trans World Compliance's CRS/FATCA One solution
Recognizing the need for a more streamlined and reliable approach, the bank strategically sought out a solution that could better manage the complexities of both FATCA and CRS reporting. Their decision to choose Trans World Compliance's CRS/FATCA One solution, an integrated tool designed to automate and simplify the entire reporting process, underscored their commitment to efficiency and compliance.
One of the most significant benefits of the CRS/FATCA One solution was its ability to automatically identify and suggest remedies for reporting errors. This feature eliminated the need for manual client-by-client reviews, drastically reducing the time and effort required to ensure compliance. As a result, the bank reduced the reporting workload from a team of 10 people working for three months to just one person completing the FATCA report in five days. While specific data on CRS reporting time reductions wasn't provided, it's reasonable to infer that similar efficiencies were achieved.
The bank also recognized the importance of improving the quality of the data they reported under CRS. While the CRS/FATCA One solution greatly simplified the reporting process, the bank identified gaps in the data, such as missing cities and addresses for some clients. To address this, they plan to implement a project next year to gather the necessary information from their clients, demonstrating their dedication to continuous improvement and accuracy in their reporting.
In conclusion, adopting Trans World Compliance's CRS/FATCA One solution significantly allowed the Panamanian bank to streamline its FATCA and CRS reporting processes. By reducing the time and resources required for reporting, enhancing accuracy, and improving compliance, the bank is now better equipped to manage the increasingly complex regulatory landscape. This case illustrates the critical role that advanced compliance solutions play in helping financial institutions meet their reporting obligations efficiently and effectively.
