There’s no denying that technology plays a role in the financial growth of the company and building a credible connection with customers. Unfortunately, everything has disadvantages, and science is also subjected to flaws. Criminal activities such as trafficking, laundering, synthetic ID fraud, identity theft, and other heinous crimes are increasingly being performed online as technology improves.
Advanced identity verification techniques are guaranteeing that companies are strapped with state-of-the-art tools to battle crime and safeguard their consumers’ data from hackers in the cyber world we now live in. Let’s take a look at the identity verification methods in-depth to learn more about the many types of businesses that can profit from them.
What is Remote Identity Verification?
Remote identity verification is the practice of evaluating users’ documentation in order to register only authentic persons as clients. Firms are enjoying the benefits of technological advancements in order to streamline their work processes. Companies today don’t necessarily have to put their employees under extra hardship by increasing their workload and diminishing their output.
The Underlying Significance of Remote IDV
Firms, regardless of their industry, are depending on digital ID authentication services now more than ever. Firms are acquiring the services of digital platforms to screen incoming customers. These firms belong to the sectors ranging from ride-hailing and sharing, healthcare and banking to travel and tourism. Conversely, some businesses are continuing with the practice of doing manual identification checks.
Why it Fits the COVID-19 Environment?
The global business industry is heavily impacted by COVID-19 and for this reason, in the future, traditional IDV methods will no longer suffice. Identity verification tools speed up the consumer onboarding process by removing unnecessary constraints such as visiting the verification place or submitting documents physically. This verification method has a number of advantages and not many disadvantages. One begs the question as to how businesses validate their clients’ ID information when a substantial amount of fraud cases come ashore every day?
Criminals are able to inject their claws into a plethora of customer data as more and more firms go online, which they may use to commit crimes such as making fraudulent insurance claims and many more the list goes on as the technology is taking new turns every day. This presents a crucial question: how can organizations increase the security of their identity verification online procedures while providing maximum usability?
Why Has Online ID authentication Become Mandatory?
Hackers have now infiltrated every type of business in every sector. Every industry has to deal with criminal efforts in some form, and they must be sufficiently equipped with advanced tools to do so. For secure and successful business activities, every sector must carry out a remote procedure for the verification of identity. The payment industry operating in the online space is expected to increase at a rate of over 16 percent per year by 2025, with projections of reaching $10 million.
With the explosive growth of the identity authentication industry, it’s more important than ever for banks to precisely determine their user’s identities and differentiate them from fraudsters.
Electronic ID verification services can aid businesses in speeding up, securing, and validating their client identity information during user onboarding. Customer Due Diligence measures must be fulfilled as well. Ongoing KYC and transaction monitoring are also very important which can be conducted through electronic identity verification tools.
Few Benefits of Remote ID Validation
Some financial organizations in the current marketplace had already bolstered their operations with AI-based identity authentication solutions even before the CoronaVirus pandemic wreaked havoc on the world. But many other firms are ignoring it by not implementing these procedures completely. For illustration, a customer may begin the account opening process over the internet and then complete it by visiting a business and submitting the appropriate paperwork in person.
Companies will be able to shift to the post-COVID-19 situation more easily and quickly if they instead spend on automated IDV solutions. Facial biometric verification service combined with AI document checking technologies present themselves as appealing features for confirming user IDs, also including the following:
- Significantly reduce the likelihood of user mistakes.
- Adequately address your client’s needs and requirements.
- Cutback on needless operational costs.
- Improve your regulatory compliance with measures like KYB, KYC, and AML.
Wrapping it up
Implementing a customer-centric IDV strategy necessitates a thorough understanding of verification procedures, methodologies, and technology. Remote user onboarding is an inescapable component of the good customer experience, and it is no longer exclusive to the banking or government sectors. In every industry, consumer identity verification is now a required aspect of registration with a particular business. Soaring fraud, tough laws, and customer needs for online services are all driving this trend in consumer due diligence.