SendPay Business
Team collaborating around a laptop in an office

The three stages of money laundering, and how payment firms spot them

By SendPay Business · · 2 min read

Ask about this page:Ask ChatGPTAsk ClaudeAsk Perplexity
A quick ID check
  1. Add your photo ID
  2. Add proof of address
  3. Checked and verified

Money laundering is the process of making money from crime look like it came from a legitimate source. It's usually described in three stages: placement, layering and integration. Knowing them helps payment firms spot suspicious activity.

The three stages

Tap to explore

Tap each one to see what it means.

Placement

getting criminal cash into the financial system, such as through cash deposits or cash-heavy businesses.

Layering

moving the money through many transactions, accounts or countries to hide where it came from.

Integration

bringing the money back as if it were legitimate, such as through property, business income or investments.

Woman in a grey jacket

Red flags payment firms look for

Rapid movement of money in and out, many transfers just under reporting limits, payments that don't fit the customer's stated business, and links to high-risk countries or known money mule accounts.

Try it

Name your platform and watch it come to life

Type a name, tap a colour and pick what it does. The phone changes as you go.

Colour

What it does

Build mine

Design and preview your whole platform free, then launch when you are ready.

How firms respond

Regulated firms check customers' identities, monitor transactions, screen against sanctions lists and report suspicions to the authorities. In the UK, reports go to the National Crime Agency as suspicious activity reports.

Woman smiling while working on her laptop

Where SendPay fits

SendPay platforms give your customers GBP, EUR and USD accounts, transfers and branded Visa cards under your own brand, powered by licensed partners who run the required checks.

Man in a suit on the phone at a desk

How it works

Your own money app
  1. Name it and pick your colours
  2. Choose what it does
  3. Launch when you are ready

Why sign up

Create your free SendPay account

It's all about creating your own financial platform with ease. Start with a free account today.

  • A free business accountOpen it in about a minute with your business name, email, password and mobile. No card and no documents to start.
  • Get paid from day oneTake card payments, and share your own payment link and invoices so customers pay in a click.
  • A free business websiteFree to build, free to publish and free to keep, with unlimited visits.
  • Your own financial platformDesign and preview your whole platform free, then launch when you are ready.
Create a free business account Create a free websiteStart building your platform

SendPay Business is a technology company, not a bank. Accounts, cards and payments are powered by licensed partners.

Questions people ask

What are KYC and AML?

The checks that stop money laundering.

KYC and AML →
What is transaction monitoring?

Watching payments for suspicious patterns.

Transaction monitoring →
What is a money mule?

Someone who moves money for criminals.

What is a money mule? →

Read next

Spotted a mistake or something out of date? and we'll fix it. How our guides are made

This guide is general information, not legal or financial advice. SendPay Business is a technology company, not a bank, and does not take deposits; regulated services on the platforms are provided by licensed partners. Other companies named in this guide are reference points only and are not affiliated with SendPay Business.