Business Credit Reports has solutions to many of your regulatory compliance needs.
Customer Identification Program (CIP) Requirements
All financial service providers are required to establish programs to catch potential corrupt practices, such as identity theft and terrorism funding. Lenders must verify the identities of potential clients and suppliers, while keep detailed records of their vetting processes to comply with a plethora of regulatory actions, including the Foreign Corrupt Practices Act (FCPA), USA PATRIOT Act, Sarbanes-Oxley, Bank Secrecy Act and others.
The Department of Justice and U.S. Securities and Exchange Commission have said that companies can avoid prosecution by implementing an effective, functioning compliance program that includes a strong Know Your Customer (KYC) policy.
The credit reports and background checks provided by BCR qualify as accepted tools under federal KYC, CIP, AML, Sarbanes-Oxley, USA PATRIOT Act and OFAC guidelines. Let BCR help you maintain proper ethical transparency and due diligence practices.
Credit Data Reporting Requirements
The Small Business Administration requires that all SBA loans are to be reported to the commercial credit bureaus on a quarterly basis. Both current and delinquent accounts must be reported.
Visit our Data Reporting page to learn how easy it is to report your data through BCR.
Data reporting is just one requirement the SBA has placed on its lenders. To view all Standard Operating Procedures required by the SBA, visit the SBA website.
While Sarbanes Oxley applies to publicly traded companies with a market cap greater than $75 million, its requirements provide a model of best practice for avoiding fraud that any company can follow. It requires companies to document their procedures, to assess the effectiveness of its controls and to disclose this information to company executives. Using a variety of credit risk assessment tools and applying consistent decision-making rules for approving credit accounts for new customers and reviewing existing customers helps keep companies compliant.
Regular periodic review of all customers is one of those practices. Pulling a credit report on every existing customer is not necessary. A more efficient way of reviewing your entire customer base is batch portfolio scoring done on an annual, quarterly or monthly basis. Learn more about portfolio scoring and account monitoring on our Portfolio Management page.
For new customers and vendors, you’ll want to review a credit report that is appropriate for the amount of risk exposure. For low-exposure customers, a Business Verification Report may be all you need. For large-exposure accounts, an Advantage Pro report is your best option. Vendors should be vetted too. Our Vendor Verification Report is designed for just that purpose.
Business Owner Credit
The credit of sole proprietorships is regulated under Fair Credit Reporting Act (FCRA), which protects consumer credit information. FCRA regulations do not apply to the credit records of incorporated companies. Under FCRA, credit issuers must prove “permissible purpose” to access the consumer credit record of a small business owner. The credit experts at BCR can help you determine whether you have permissible purpose and will advise you on how to gain access to business owner credit information. Contact us so we can help. Sample Authorization / Release for personal credit information.
International transparency is an issue with even some of our top trading partner countries, including but not limited to Mexico, China and Brazil. Here are some of the top international compliance issues:
- Studies show punitive fines, enforcement actions, and reputational risks are driving increased regulatory compliance concerns (KPMG Global AML 2014 Survey)
- Total investment in Anti-Money Laundering (AML) increased at an average rate of 53%
- 88% said AML is a priority for senior management
- 70% received a regulatory visit which focused on Know Your Customer (KYC)
- Implementing adequate controls and processes can be complex – current solutions are expensive, incomplete, and / or difficult to integrate
- No single tool or source of data enables seamless compliance
Since BCR has partnerships with several of the best international business information providers, you can access all of them in one place. One provider may have strength in one country your company trades with while a different provider may be the leader in another country you work with. Or, you may want to get multiple perspectives on the same company, just as you would on U.S. companies. BCR enables you to do both. Learn more about our international solutions on our International Reports page.
If you need to access our background checks, business owner credit reports or credit reports for employment or tenant screening, please fill out the attached forms and we will help you pass compliance. We are here to assist and facilitate your compliance authorization. Please print and complete the attached forms and fax to 800 748 5512 or scan and email to firstname.lastname@example.org.
Any forms, templates or sample documents (collectively “Information”) made available by Business Credit Reports, Inc., (“BCR”) through this website are solely intended to provide its customers with helpful credit tools to manage your business. Users of the Information are advised to discuss the use of any such Information with your own legal counsel and management since their effectiveness/enforcement will vary by state. The Information is provided “As Is” without any representations or warranties of any kind. BCR expressly disclaims any representations and warranties, including without limitation, the implied warranties of merchantability and fitness for a particular purpose. BCR shall have no liability in connection with the use by its customers of the Information, including without limitation, any claimed loss or injury caused, in whole in part, by BCR’s actions or omissions, or any decision made or action taken in reliance by user on the Information furnished herein.