Does anyone have a checklist that was used when your financial institution selected AML software? I have information on four different vendors to consider and would like to put it in a consistent format. Thanks.

Regarding the software portion of your due diligence see
this:

http://www.fdic.gov/news/news/financial/2004/fil12104.html

Get other people involved (especially IT) in the project, they'll have questions that you wouldn't ask.

Make a table or spreadsheet and compare what each software package includes, such as:

How does it detect suspicious activity?

What does it include in its search/rules/queries/reports? (i.e., wire transfers, monetary instrument log, cash deposits, CTRs, cash in\cash out, patterns of activity, customer profile, etc.)

Does it have an OFAC module? Is it automatically downloaded when updates occur, or do you have to download it? Can it perform 314a searches, PEPs?

Does the system include automated SAR & CTR filings?

Have a demo of each software product.

Is the software user friendly?

Background of the company.

Costs (initial & annual)

Does initial set-up include customization, if needed?

Contact other banks that use the product for their assessment (The only problem here is that they provide you with the list, which would probably exclude any banks that had problems with installation.)

Compare the benefits and shortcomings of each product and make a decision.

I'm sure that this list not all-inclusive, but I hope it's a start.

We had 23 categories. Somes included:
Functional requirements met
Regulatory Requirements met
overall technical requirements met
corporate security requirement met
Offer application process interface technology
Hardwarre requirekent (scalable, flexible
Ability to interfact with (our) current and future applications
audit log/retention of regulatory lists
etc., then we had a weight code 4=required need (must have)
3=desired (high weight) 2=desired (medium weight, 1= desired (low weight).
next we had a rating 4=fulfills requirement and more (outstanding), 3= fulfills full requirement, 2= fulfills most of the requirements, 1= fulfills part of the requirements or key requirement are missing.
We had a cast of thousands (ok maybe 20-25) at the presentation. They included our International Dept, wire dept, systems people from both groups as well as our IT systems people, auditors, compliance folks, foreign exchange, project manager, etc. We all had input.

Thank you so much for you input.