Digital transformation has entered every sphere of our lives owing to the increasing usage of smartphones and high internet penetration – everything has moved online. Be it shopping, buying groceries, booking salon appointments or banking, the world has moved online. It adds convenience, but it also gives 24 hour accessibility to numerous services. Banks have operation timings, and stores shut down, but the online world is forever open for business from the comfort of one’s home.
Thanks to this growing demand for ‘anytime, anywhere convenience, business needs to adapt to changing customer demands. To stay relevant, increase customer retention and improve their business, they need to digitise.
For some industries, digitisation may be easier than for others. Take banking or financial services, for instance – going online for this sector is not a bed of roses. They are more prone to thefts, financial frauds, money laundering and using their money to fund terrorist and illegal activities. This is why customer verification is critical.
To enjoy their existing customers’ loyalty and expand their customer base, companies will need to offer online identity verification solutions such as video KYC, address verification etc., not only for an efficient digital customer but also for a secure, foolproof and compliant one. Online identity verification solutions are crucial to ensuring effective security measures and eliminating cyber frauds. By carrying out digital KYC, they can authenticate the customer against the information and identity proof they provide. Without this validation, they become susceptible to a host of cyber threats and crimes.
Here are three ways online identity verification solutions are essential for customer authentication.
– To get rid of traditional and flawed verification Methods.
Traditional knowledge-based verification is no longer a secure form of authentication. With so much personal information about a persona available on social media and other platforms, verification questions can easily be compromised. Personal information about a person can be easily obtained and misused for malicious activities such as spoofing and identity theft.
Traditional verification checks were also manual and required the customer to physically visit the banks and answer numerous questions repeatedly. This is frustrating for the customer, and they can quickly drop out mid-way if they find the process too cumbersome.
– Online identity verification solutions help to Earn Customer Trust.
The success of a business purely depends on the trust their customers instil in them. After numerous data breaches and information leakages, very few customers actually believe that their data is safe with the company. Re-Building this customer trust has become very important. The online identity verification solution is powered by Artificial intelligence and Machine Learning techniques and uses biometric anti spoof algorithms. They adhere to General Data Protection Regulation requirements and global encryption standards to ensure that the company remains compliant and data remains secure.
Not only are these Online identity verification solutions secure and compliant, but they also make the process seamless and fast. AI-powered Identity verification methods such as geo-tagging, liveness detection, and Optical Character recognition take place in real-time and provide an excellent experience for the customer.
– Identity verification is vital to Detect identity thefts and fraud in real-time.
Online identity verification solutions use large public databases along with their proprietary databases to validate a customer’s digital identity against their physical identification documents. By corroborating that the customers are actually who they are, companies can prevent criminal and fraudulent activities and bad assets and save themselves from being slapped with hefty penalties, fines, and lawsuits. Companies can avert substantial financial scams, identity theft, terror funding, money laundering, corruption, and other crimes by detecting fraudsters.
Adopting these verification methods by tying up with robust online identity verification solutions companies, the organisation commits to protecting customer data and preventing fraud.