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September 28, 2022 9:06 AM
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Before the development of technology, companies used in-person meetings or paper documentation to confirm their clients. Here, the characteristics were name, address, picture, and birthdate. But as the globe changed, so did the need for prison space for offenders. High levels of human error occur during the conventional verification process, and difficulties and lines are additional problems.

As a result, companies are seeking more sophisticated, encrypted solutions, such as online KYC document verification. It verifies the data so thoroughly that it can spot holograms, watermarks, and other modifications. Companies won’t need to call customers for physical verification if they use these services. Nevertheless, selfies and images of documents taken using electronic devices will also function.

KYC Document Verification – Understanding of Scanning Process

Services built based on artificial intelligence are integrated into the platforms to perform online KYC document verification. Real-time requests for images of customers’ official identification are made by the system when customers begin the onboarding procedure after registering. For face identification, it is also necessary to take a selfie and upload it. Following submission, the OCR technology extracts data and performs verification scans. KYC document verification services retrieve results and display them to clients within a short period of time. It also stores information in the back office database. Therefore, a customer is onboarded or not, depending on whether the information is accurate and matches.

Driving licenses, passports, card statements, and ID cards are among the identity documents used in this context. When documents are scanned, the system looks for signs of forgery or fraud and rejects the entry if it is found. Criminals employ a variety of these documents, including:

Stolen Documents

In order to commit crimes or commit fraud, people who are not who they claim to be are They do not actually possess forged documents. However, they create them in order to avoid identity checks.

Forged Documents

These are completely fake. Additionally, they are devoid of distinguishing features like holograms, watermarks, stamps, and signatures. 

Tempered Documents

In order to make fake documents look real, criminals alter original paperwork. They either alter the writing style, birthdate, the name, or font. Fraudsters are able to bypass the KYC document verification process in this way. 

An Effective KYC Document Verification Solution

Businesses can improve customer satisfaction, avoid fraud, and meet regulatory requirements by authenticating documents. Companies can benefit from AI-based technologies in a variety of ways. Due to the quick verification process, it won’t take long for the services to detect repeated attacks and breaches. Here are a few instances of how supporting your business with digital identity verification can look. 

Enhance Customers’ Experience

According to the PWC study’s findings, customers are more drawn to features like a quick and easy process. If the process is not successful, clients will give up. Manual verification is a laborious process that carries several risks, chief among them being human error. A document verification system, on the other hand, speeds up onboarding while providing seamless identification. It needs an ID card, a license, a passport, and an address verification as well as other supporting documentation. Using their devices, customers can easily upload these to the website. 

Ensured KYC/AML Compliance

Businesses can onboard clients digitally from their homes by using online KYC document verification. However, they are powerless to overturn KYC/AML regulations. To comply with federal regulations and ensure customer onboarding, companies rely on AI-based solutions to reduce friction and provide instant results.

Handle Fake Documents

Utilizing OCR technology, verification solutions extract data that subsequently tried to match with data from the database. The system additionally recognizes any document tampering. There is a reduction in the fight against fake identification documents.

Real Customers’ Onboarding with Lower Risk

Businesses are expanding as a result of digitization, and to support this growth, they require reliable solutions. However, manual verification had a number of drawbacks, including a lengthy procedure, human error, and less accurate identification. In addition, the lack of transparency makes customers more likely to give up on the process. On the other hand, digital KYC document verification guarantees data security and privacy. It enhances customers’ experiences and prevents fraud. 

Geographical Barriers and Restrictions

Gaining a significant number of customers is a business’ top priority. The KYC document verification solution has eliminated geographical barriers. The e-commerce sector, for example, is growing to serve international customers. Therefore, document verification online is a reliable method for conforming to regulations and serving customers.

Conclusion

Working behind the scenes is digital document verification. KYC document verification verifies identities after customers upload documents; OCR extracts data. It examines the data and determines whether there has been any document tampering. There are specific industries that are more vulnerable to risk, such as finance and banking, e-commerce, and others. The authentic onboarding process will be backed by digital solutions, however, which will fuel growth.

By Ruchir

My name is Ruchir and i am a professional blogger.I have searched out different niches and brought up with amazing results. My posts are on famous blogs like norstrats.net. Contact me via e-mail- ruchirgp@gmail.com

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