Organizations use electronic identity verification services to identify their client’s authenticity before having them on board. It provides them with automated and technical solutions to mitigate the risk of fraud, money laundering, and terrorist financing. Moreover, it provides an opportunity to have hassle-free onboarding with the user’s self-owned identity verification methods. It offers sharp onboarding and saves staff time, which affects the whole business process and revenue. Companies use the services of EIDV to have successful KYC and AML regulations compliance that enables them to get rid of financial crimes and business decline. As per the report, the revenue for successful customer verification has reached over 1.3 million USD in the year 2022. Companies are moving toward using EIDV service providers to have an efficient identity verification process. This blog post will provide a guide for choosing EIDV service providers for successful KYC and AML compliance to have marvellous security.
Why Do Businesses Replace Manual Verification Methods With EIDV Regarding Identity Authentication?
Electronic verification of identity enables firms to have digital solutions regarding client authentication. It provides a computerized approach to verify an individual’s identity, which empowers companies to have automated cutting-edge technological compliance. EIDV allows regulatory compliance; thus, it provides a legal sphere to ensure the customer’s due diligence process. Moreover, it minimizes the potential risk and cost revenue involved in manual verification. Thus, it provides a streamlined onboarding experience with client satisfaction that empowers business development.
Parameters: For Choosing EIDV Service Providers
Electronic verification of identity is the primary requirement of every industry to know and identify the legitimacy of their clients. It is a crucial step to avoid complexities and have successful business growth. A minor ignorance during identity verification may lead an organization toward business failure. An unexpected ignorance in identity verification may lead organizations to suffer heavy penalties and incredibility. For example, in the case of money laundering, financial institutions may cause loss and reputational damage for being suspected of being involved in illicit activities. Companies must choose extraordinary EIDV service providers with unexceptional identity verification processes to avoid complexities. EIDV service providers must comply with the following characteristics.
EIDV process must be able to provide companies with the following security measures.
- AML Screening
Electronic identification service providers must ensure access to customers’ risk profiles regarding financial sources and transactional history. It enables companies to be careful about future complexities such as money laundering or financial terrorism. Additionally, it helps organizations to get rid of clients with high-risk profiles and criminal records.
- Document Scanning
It empowers to overcome fraudsters who use fake or forged documents to execute their illicit plans. Additionally, it allows access to the authenticity of information providers by the users. Online EIDV document scanning helps to cross-match information over various records, such as real-time face verification data and facts-and-figure in electronic government databases. The EIDV process utilizes optical character recognition technology that enables firms to verify scanned images of documents by fetching data in electronic form.
- Biometric Verification
EIDV service providers who use biometric verification processes facilitate companies to access authentic users as the biological traits can not be replicated and stolen. Spoofing attacks are prevailing, but biometric verification is an efficient solution to overcoming the issue of identity theft.
- Real-Time Face verification
Real-time facial verification provides extra security layers that encourage only authentic clients to face the camera for verification. The captured face is compared against various databases to find a match that processes facial verification. Real-time face verification detects fraudsters who aim to use fake IDs and photo swapping to gain access onboard for illegal actions such as data breaches and financial terrorism.
- Sanction Check
Companies providing EIDV Services are required to acknowledge organizations with sanction details of a particular individual subject to a high-risk profile. It allows businesses to reach individuals who are restricted from certain legal activities such as opening a bank account for financial management.
Due to the rapid increase in digital technology, companies are prone to various frauds such as identity theft, data breach, transactional damage, terrorist financing, money laundering, and scams. They require electronic ID verification service providers to adhere to Know Your Customer’ and ‘Anti Money Laundering compliance to overcome all digital crimes. ID verification is the backbone of business dealings. Hence, companies are required to acknowledge the parameters of highly efficient EIDV service providers. It enables them to overcome all the future complexities and have a successful business experience. It provides a hassle-free onboarding process for both organizations and clients.