TD Bank will roll out additional tools in 2025 to identify and remediate suspicious activity linked to money laundering after the U.S. Department of Justice fined it $3 billion in October.  

The bank appointed an independent compliance monitor approved by the Department of Justice and the Financial Crimes Enforcement Network as part of its anti-money laundering plan, according to its fiscal first quarter earnings presentation today.  

TD has also centralized investigative cases into a single case management system and implemented improvements to transaction monitoring, President and Chief Executive Leo Salom said during the earnings call, noting that remediation is a “multiyear process.” 

“We have designed machine learning tools to help analyze customer data more effectively to detect potential activity of interest with speed,” Salom said. “We expect to begin implementing these capabilities in Q3. Building these capabilities will enable us to detect, escalate and report potential activity of interest earlier and more effectively.” 

The bank reported tech expenses of $477 million during the quarter, up 7% year over year, according to the company’s earnings report.

Digital banking adoption grows

TD in Q1 reported 65.9% digital adoption for its Canadian P&C segment and 52.7% for its U.S. Retail segment, up 2.6% YoY and 1.9% YoY respectively.

The bank also reported:

• 8.2 million Canadian P&C mobile users, up 6.5% YoY; and
• 5.1 million U.S. Retail mobile users, up 2& YoY.

Digital adoption among home and auto insurance customers surged 11.1% YoY to 71.9%.

Shares of Toronto-Dominion Bank [NYSE: TD] were trading up 0.10% at market close today at $59.79. TD has a market capitalization of $104.6 billion.