Industries // Finance
FINANCE
SOFTWARE.
We build transaction monitoring and compliance systems that catch real risk instead of generating false positives.
// The Problem
Banks and fintechs drown in false positives. A typical BSA/AML transaction monitoring system flags 95-98% of alerts that turn out to be benign. Compliance analysts spend their days closing non-issues while actual suspicious activity patterns slip through static rule sets. FinCEN fines hit $5.6B in 2024 across the industry.
We build adaptive monitoring systems that combine rule-based detection with behavioral analytics. Instead of hard-coded thresholds, our models score transactions against peer group baselines and historical patterns. One regional bank we worked with reduced false positive rates from 96% to 41% while increasing SAR filing accuracy by 30%.
Beyond AML, we build real-time risk scoring for lending decisions, automated regulatory reporting (Call Reports, FR Y-9C), and reconciliation engines that match transactions across core banking, payment rails, and general ledger systems within minutes instead of days.
// Capabilities
BSA/AML Transaction Monitoring
Adaptive detection that scores transactions against peer group behavior rather than static thresholds. Alert prioritization routes high-risk cases to senior analysts. Case management tracks investigations from alert through SAR filing with full audit trails.
Real-Time Risk Scoring
Credit and fraud scoring models that run at transaction time, not in batch. Sub-100ms response times for lending decisions integrating bureau data, application data, and behavioral signals. Models retrain on a defined cadence without downtime.
Regulatory Reporting Automation
Automated generation of Call Reports, FR Y-9C, HMDA LAR, and CRA data. Source data validated against FFIEC schemas before submission. Reconciliation checks flag discrepancies between GL and regulatory aggregates before filing deadlines.
Payment & Ledger Reconciliation
Cross-system matching engines that reconcile core banking transactions against payment processor settlements, ACH files, and wire logs. Breaks surface within minutes instead of end-of-day batch runs. Exception queues route unmatched items for manual review.
// Frequently Asked
How do you reduce false positives in AML transaction monitoring?
We replace static dollar thresholds with behavioral baselines. Each customer gets scored against their peer group—same industry, same account type, same geography. Transactions that deviate from that baseline get flagged. This typically cuts false positives by 50-60% without reducing detection sensitivity.
What regulatory frameworks do you build for?
BSA/AML (FinCEN), OFAC sanctions screening, FFIEC examination requirements, HMDA, CRA, and Reg E/Z dispute management. We build the data pipelines and reporting outputs; your compliance team owns the policies and thresholds.
Can you integrate with core banking systems?
Yes. We've built integrations against FIS, Fiserv, Jack Henry, and Temenos cores. For modern systems we use published APIs. For legacy cores that only expose flat-file exports or batch extracts, we build CDC pipelines that capture changes in near-real-time.
How long does a transaction monitoring system take to build?
A production-ready MVP covering one product line typically takes 16-20 weeks. That includes data pipeline buildout, initial rule and model configuration, alert management UI, and SAR filing workflow. Tuning the models to your institution's specific patterns takes another 2-3 months of production data.
// Related Work
FinTech & Crypto
BSA/AML Transaction Surveillance Pipeline
Our BSA/AML transaction surveillance platform replaces brittle rule-based monitoring with a hybrid approach combining scenario-based rules (required for regulatory defensibility) with machine learning models that detect previously unknown laundering patterns. The platform reduces false positive alerts by 70% compared to legacy systems while simultaneously improving suspicious activity detection rates by 3.2x, enabling compliance teams to focus investigative effort on genuinely suspicious behavior rather than drowning in noise. Automated SAR narrative generation and FinCEN BSA E-Filing integration reduce the time from alert disposition to SAR filing from 12 days to under 48 hours.
// Related Services
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