Common Compliance Interview Questions (With Sample Answers)

Whether you're applying for an AML analyst position, KYC onboarding role, or financial crime investigation profile, compliance interviews are known for being both technical and scenario-based. To help you prepare, we've compiled a list of the most commonly asked compliance interview questions — along with sample answers that can help you stand out.

This guide is especially useful for professionals listed on ComplyRegistry or holding a CRP ID, as it can further strengthen how you present your verified credentials during interviews.

1. What is the difference between AML and KYC?

Sample Answer:
KYC (Know Your Customer) refers to the process of verifying a customer's identity before onboarding and during the customer lifecycle. AML (Anti-Money Laundering), on the other hand, involves monitoring and detecting suspicious activities to prevent money laundering. KYC is a component of AML, focused on initial due diligence and risk categorization.

2. How do you perform Customer Due Diligence (CDD)?

Sample Answer:
I start with identity verification using government-issued documents, followed by screening for PEP and sanctions matches. I collect business-related documents (like incorporation, UBO, and source of funds) and assess risk level to determine whether enhanced due diligence (EDD) is required.

3. What would you do if you found a suspicious transaction?

Sample Answer:
First, I would document and escalate the transaction to the compliance officer or MLRO. Then, I would assist in further investigation, collect supporting evidence, and if necessary, draft a Suspicious Transaction Report (STR) or Suspicious Activity Report (SAR) for submission to the regulator or FIU.

4. Can you explain what PEP and sanctions screening is?

Sample Answer:
PEP (Politically Exposed Person) screening is used to identify individuals with high political influence who may pose a higher risk. Sanctions screening checks customers against global watchlists like OFAC, UN, EU, and others. Both are crucial for risk mitigation and global compliance adherence.

5. What is your experience with transaction monitoring tools?

Sample Answer:
I’ve used tools like Actimize and in-house systems to flag unusual transaction patterns such as structuring, round-tripping, and rapid fund movement. I am familiar with threshold setting, alert review, case documentation, and escalation protocols.

6. How do you stay updated on regulatory changes?

Sample Answer:
I follow regulatory updates through FATF, FinCEN, SEBI, and EU AMLD. I also subscribe to industry platforms like Comply Focus and attend webinars, training sessions, and read whitepapers published by accredited bodies like ONRIGA and GO-AKS.

7. How do you handle high-pressure situations in compliance?

Sample Answer:
I prioritize clarity, documentation, and escalation. In time-sensitive cases such as a transaction hold or fraud alert, I remain calm, review data systematically, consult internal protocols, and coordinate with relevant departments to ensure regulatory timelines are met.

8. Why should we hire you for this compliance role?

Sample Answer:
I bring a combination of hands-on experience, global certification, and a CRP ID-backed verified profile. I’m not just qualified on paper — I’m also recognized and listed publicly as a compliance professional, which shows my long-term commitment to the field.

Pro Tip: Show Your CRP Profile

At the end of your interview, share a direct link to your CRP profile. It acts as instant proof of your qualifications, certifications, and verified status — giving you a huge edge over others who can only talk about their achievements.

Get Your CRP ID Before Your Next Interview

Tags:

compliance interview questions, AML KYC interview, compliance job prep, suspicious transaction answer, due diligence interview, compliance scenario questions, compliance job 2025, CRP ID interview advantage, compliance hiring guide, PEP sanctions screening, AML onboarding interview, compliance interview India UAE UK, risk compliance analyst interview, financial crime job questions