Best sanctions screening software for modern compliance in 2026
- azakaw
- Oct 1
- 11 min read
You've just onboarded a high-value customer and are wondering if you've done your due diligence. Failing to flag even one name on a sanctions list can lead to huge fines, reputational damage, or even jail time.
Additionally, it's no longer possible to do all your compliance checks manually or on spreadsheets. Advanced screening software is required to protect your institution. It will also ensure you stay on the right side of the law.
In this guide, we will explain what sanctions and client screening software do. We will also cover essential features and walk you through the best sanctions screening software.
What is sanctions screening software?
Sanctions screening software is are compliance tool that helps you meet your regulatory obligations.
The aim is to check names against OFAC, EU, and UN sanctions lists. It also includes PEP databases and internal watchlists before onboarding a customer or completing a transaction.
If it finds a match or a potential match, the transaction is blocked pending further investigation. These checks are mandatory for banks, fintechs, and other businesses.
They fall under anti-money laundering (AML) and combating the financing of terrorism (CFT) regulations.
You know how important these controls are. Processing a transaction for someone on a blocked list makes you legally liable. However, "screening" can also mean more than just sanctions checks; it includes PEP Screening and client risk screening.
PEP screening
PEP stands for Politically Exposed Person, and it refers to individuals who aren't necessarily criminals but have a higher risk of being involved in money laundering or bribery.
Because of this extra risk, these individuals need more checks than ordinary customers.
The categories that fall under PEP vary by jurisdiction. However, they may include government officials, judges, military personnel, and their close family members.
Client risk screening
Client risk screening evaluates customers based on factors like their industry or country of origin, which may make them a high-risk customer.
Core features to look for in a sanctions screening solution
When looking for sanctions and client screening software, don't be swayed by fancy presentations. Instead, focus on specific features before deciding on software for your business.
Real-Time vs. Batch Processing
There's no room for delay when onboarding new clients; waiting 24 hours could be too costly. It's essential that all sanctions screening during onboarding must take place in real-time.
The software should check a client's data against sanctions list screening tools at the exact time they sign up or make their first transaction. It must be able to block the transaction instantly if there's a hit.
However, batch processing still has some relevance, mainly for the purpose of running an overnight re-screen of your entire customer database for any newly published sanctions. Still, only real-time screening will suffice for onboarding.
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Global sanctions and watchlist coverage
The effectiveness of your software depends largely on the data it has access to. At a minimum, any high-end solution should cover the 'Big Three' lists: OFAC, EU Consolidated Sanctions List, and UN Sanctions List. However, it shouldn't stop there.
You should also consider including the UK HMT Sanctions List, Interpol Red Notices, and World Bank Debarred Firms List.
This depends on your area of operation. Whatever you do, ensure your tool automatically updates these lists.
If you have to update sanctions manually via CSV files every week, you're inviting trouble regarding compliance.
Reducing false positives and fuzzy matching
Your compliance staff might have mixed feelings about this feature.
To a certain extent, it is important that they carry out sanctions screening using fuzzy matching. This is because it's common for fraudsters to use slightly altered versions of their names compared to those found on official documents.
Thus, a good sanctions screening system should be able to identify 'Mohammad' as 'Mohammed' or 'Muhamad'. However, if you use fuzzy matching screening that is too sensitive, you will encounter countless 'false positives'. These are innocent clients wrongly flagged by the system.
What you really need is an AI-based sanctions screening solution. This can intelligently determine true matches from partial name matches, thereby saving your compliance team a lot of time.
PEP Screening and adverse media monitoring
It's important to remember that screening doesn't just involve checking known criminal lists. It also considers an entity's overall reputation.
For this reason, your sanctions and client screening software should be able to identify not only politicians but also their families and close associates.
In addition, you also need Adverse Media and PEP screening. It checks major news sources globally for any negative publicity associated with your client.
This can give you a heads-up even before official government lists are updated. This is especially useful in situations where the client has not been formally sanctioned but was detained for being part of a large business fraud scheme in a foreign country.
What are the best sanctions screening software?
The best sanctions screening software includes highly customizable, end-to-end solutions like azakaw, which competes alongside data leaders such as World-Check, ComplyAdvantage, and Dow Jones.
We have done an analysis of these products so that you can select which one will suit your institution’s particular risk profile & budget.
azakaw
azakaw is a UAE-based company that offers a fresh approach to AML compliance that is more user-friendly than its rivals'.
We offer "no-code" customization. If your compliance team wants to change a rule or workflow, they don't have to wait for a developer. They can make the change themselves in real-time.
Because azakaw's software was created with the global regulations in mind, it includes a built-in digital KYC solution and digital business verification (KYB). It also offers transaction monitoring and risk scoring, plus many other features.
azakaw uses AI-driven automation to reduce the workload on your compliance team, helping them get more done in less time.
Rather than offering set pricing packages, which may or may not suit your needs, azakaw prefers to talk to you first. This allows them to create a tailor-made quote based on your specific requirements.
This approach works well for fintech startups as well as established banks.
We believe that our global and local knowledge and user-friendly approach to AML compliance make us the best sanctions screening software.
Pros:
'No-code' customization means rules can be changed on the fly without IT help
UAE-ready workflows
Modular: Only pay for the features you need
Uses AI for greater automation & faster onboarding
Complete KYC, KYB & AML in one platform
Provides continuous monitoring
Offers tailored pricing for start-ups and large banks alike
Cons:
• No standard pricing packages; you have to contact sales for a quote
End-to-End AML Compliance Solution
Streamline compliance from identity and business verification to corporate compliance and AML transaction monitoring, reducing costs and complexity so you can scale with confidence.
World-Check
As part of the London Stock Exchange Group (LSEG), World-Check is a data powerhouse. Its resources are employed by companies across the compliance sector.
Whether you're looking for individuals who pose a higher-than-average risk of money laundering (PEPs), trying to avoid dealing with sanctioned individuals or those subject to adverse media coverage, or simply want to know more about someone, World-Check's database might be what you need.
For companies specializing in enhanced due diligence (EDD), World-Check is widely viewed as the gold standard.
However, World-Check has one major drawback: it is not a standalone AML software package. When you sign up, you gain access to their database. You will still need to purchase separate transaction monitoring, case management, and KYC onboarding software for practical use.
Many compliance software providers, including azakaw, integrate World-Check's data feed into their platforms.
This offers users the best of both worlds: World-Check's extensive database coupled with an easy-to-use interface for simple KYC and AML checks, and that's why it is one of the best sanctions screening software
Pros:
It's the industry standard for watchlist data.
It has the world's biggest database of PEPs, sanctions, and adverse media.
The quality and depth of its data for enhanced due diligence are unmatched.
It integrates seamlessly with third-party screening platforms.
Excellent for checking high-risk entities where data depth is critical.
Cons:
It's not a full software solution; it provides data only.
You must purchase separate systems for case management and monitoring.
ComplyAdvantage
ComplyAdvantage is a leading provider of SaaS-based risk intelligence in the financial industry.
Its platform uses global data to help businesses prevent and detect financial crime. This includes money laundering, terrorist financing, and fraud.
ComplyAdvantage also offers transaction monitoring for companies operating in the UAE.
To get these features, you need to upgrade to the Enterprise package. Prices for this plan aren't published and are available upon request from the sales team.
Pros:
Easy-to-Use SaaS Platform
Affordable startup pricing
Strong data for global screening
Continuous monitoring
Offers transaction monitoring
Cons:
Starter Plan limits monitoring to 2,000 Entities
Payment screening requires an enterprise plan
Dow Jones
A giant and one of the best sanction screening solutions is Dow Jones Risk & Compliance.
Leveraging its vast editorial resources, Dow Jones provides high-quality risk data. Many consider this data more reliable than what you'll find elsewhere. This includes comprehensive sanctions lists and PEP/SIP data.
Its adverse media coverage is also difficult to beat, thanks to Factiva. This platform gives Dow Jones access to thousands of licensed news sources worldwide.
Because of its size and reputation in the industry, Dow Jones caters more toward large enterprises. This doesn't mean that's the best sanctions screening software for your business; always consider your business needs.
It is less suitable for small businesses or startups.
Pros:
It has an extensive international database on sanctions,
PEPs and SOCs
Their API is very reliable and easily integrates with internal systems.
The brand name is well recognized by regulators worldwide
The data is very detailed, helping to reduce false positives.
Editorial-quality data you can trust
Cons
It's very expensive
Not suitable for small businesses or startups
LexisNexis
LexisNexis Risk Solutions is a well-known data company. It provides services to various sectors such as banking, insurance, gaming, and cryptocurrency.
They offer AML compliance solutions focused on digital identity verification. They also provide physical identity cross-checks for better accuracy in fraud detection.
Their “Risk Orchestration” platform integrates different risk assessment tools into one workflow. This is useful for large, complex operations dealing with high volumes of information from many sources simultaneously.
However, like other high-end solutions, the cost isn't readily available on their website. You'll need to contact them and request a custom quote based on your needs.
Pros:
Allows integration of multiple risk assessment tools in one workflow
Provides a unified view of digital and physical identities
Serves several industries beyond finance, such as gaming & insurance
Uses advanced analytics for better fraud detection. Reliable enough for enterprise-level customers
Cons:
The cost is only available upon request & may be out of reach for small businesses
Potentially too complex for small companies and startups
Comparative overview of leading tools
When deciding among several AML providers, it really comes down to what works best with your current system(s).
azakaw offers great overall value for companies all over the world, including in the UAE and GCC countries. It is a powerful, flexible, and easy-to-use product.
Since it's “modular”, you only pay for what you need. Its “no-code” design means you don't need a developer or special skills to get started.
World-Check and Dow Jones provide the highest-quality data for those who have already invested in an engine. However, they won't help much with workflows. Start-ups can get going fairly cheaply with ComplyAdvantage’s transparent pricing for its basic package, but be cautious.
How to choose the right sanctions screening software for your business
Choosing a sanctions screening solution is much more than choosing the one that looks nice or has lots of features.
What matters most is whether those features actually fit your needs. This means there’s no point paying extra for features you’ll never use.
They might even cause legal issues if not properly implemented.
Compliance requirements based on your jurisdiction
Geography is the primary factor to consider. If you are operating at a global level, azakaw should be a top pick. It shouldn't just be a matter of having software that's compliant with US OFAC rules. For example, it comes with “UAE readiness out of the box.”
Generally, software has built-in features for monitoring and managing UN & EU sanction lists, but how many products address this at a local level? Additionally, in some regions, tight data residency requirements apply.
A cloud-based SaaS solution from across the globe could be breaking the law under these circumstances.
So, always check where your data will be stored. Also, verify how it will be screened against lists specific to your regulatory environment.
Business types
The type of business you operate affects which compliance software is right for you.
For example, a bank might need to screen millions of existing clients' names. In contrast, a cryptocurrency exchange could require real-time checks that integrate with its customer sign-up process.
Many solutions on the market today are tailored for either financial institutions or online retailers. Ensure the solution is suitable for your business type's needs.
Sometimes it's better to stick to your industry and get what works.
Scalability & automation
It is important to consider not only your current compliance needs. You should also think about what they might look like further down the line.
In particular, if you expect rapid growth, scalability should be top-of-mind. This applies if you plan to grow from around 500 customers today to 50,000 in a year or two.
Ensuring any new software has “no-code” capabilities is a key factor. This helps your team avoid relying on highly skilled developers every time something needs to be changed.
Another potential problem arises from the pricing structure. If it's based on per-check rates, costs will climb accordingly as your customer numbers soar and you conduct more compliance checks.
Integration with Onboarding and KYC flow
Why pay for the best sanctions screening software if it doesn't integrate well? When choosing your solution, look for one that fits seamlessly with your customer onboarding and verification processes, or a tool that offers an end-to-end AML approach.
This is particularly important when customers upload IDs. There's often an immediate need to check for sanctions or PEPs at this stage of the process. Introducing any manual step here increases the chance of human error.
For example, if names must be copied from a CRM system into the compliance tool. Instead, opt for full suites that incorporate both KYC and KYB alongside screening within a single interface.
They let you do everything needed without switching between different apps. This is also important for maintaining good overall workflows.
Frequently asked questions
What is sanctions screening in compliance?
Sanctions screening is an automated check performed against government-issued lists (OFAC, UN), terrorist lists, or entities operating within or owned by sanctioned countries. Organizations use this when dealing with individuals or companies to avoid money laundering and stay compliant with these laws.
What’s the difference between PEP and sanctions screening?
Sanctions screening involves identifying individuals or entities on government lists. These are people with whom financial institutions should not deal.
PEP screening, on the other hand, involves identifying politically exposed persons (PEPs) and their close associates.
Is client screening mandatory for fintech and crypto platforms?
Yes. Customer screening is necessary in most regulated jurisdictions.
Fintech companies and crypto exchange platforms, much like conventional financial institutions, are obliged to implement comprehensive measures to prevent money laundering and terrorist financing.
How do sanctions screening tools reduce false positives?
Advanced sanctions screening software uses fuzzy matching along with artificial intelligence. It studies elements like name variations and DOB to reduce false positives. Instead of generating an alert for every “John Smith,” it cross-references various secondary identifiers. Only then does it trigger an alarm for investigation purposes.
Which sanctions lists are normally included in screening software?
Leading software products cover the top global sanctions lists. This includes OFAC, the EU Consolidated Sanctions List, the UN Sanctions List, and the UK HMT Sanctions List. Depending on the solution provider, it may also incorporate other important lists.
Can screening software integrate with onboarding systems?
Indeed, most up-to-date client screening solutions integrate with APIs. This integration allows them to be combined within your onboard platform. They can then perform automatic real-time checks when customers provide and submit their data for processing.
Conclusion
The risks associated with manual compliance are too high. Sophisticated criminals will find ways past your defenses if they're not airtight, and regulators expect them to be.
Luckily, it's not all bad news for those tasked with keeping financial crime at bay. Proactive screening can make a huge difference.
In today's fast-moving marketplace, compliance needs to work for businesses, not against them. That's why many are turning toward a "screening-first" approach. This enables them to speed up onboarding while also ensuring high-risk clients don't slip through their net.
However, doing this effectively requires robust technology with flexible (no-code) rules. A perfect solution is Azakaw. It caters specifically to companies looking for a quick turnaround on compliance issues without compromising security or accuracy.
If you think this might be useful for your business, book a demo today with one of our experts. They will tailor dynamic methods used within the azakaw platform to your particular commercial needs.
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