The growing severity of data breach account takeovers and identity theft makes it vital for businesses to use identity verification software. The goal is to confirm that users are whom they say they are, and persons without transactional authority do not play mischief.
Identity carries risks for both the consumer and company. The ID verification risk rises when businesses go fully digital in the Metaverse, where verification is primarily remote and rarely in person and on-premise.
Identity verification software is the backbone of robust anti-money laundering (AML) measures, and stricter Know your Customer (KYC) compliance. Where human expertise falters, verification software tackles the stricter challenge of protecting scaling, soaring companies with a global footprint.
The ability of a company to verify and identify quickly, accurately, and without adverse customer experience ensures that the business doesn’t stumble in its expanding growth trajectory. It is essential for customers to feel they can trust your company, and airtight safeguards are in place that protects transactions and customer assets.
The traditional and physical methods of identifying customers are slow-moving and incapable of verifying transactions that onboard tens of thousands of customers.
According to experts executing the KYC verification solution by Passbase, identity verification is moving to digitally superior, forward-thinking, scalable software leveraging Artificial Intelligence algorithms.
Verification technology can provide auto extraction and data classification, the auto listing of high-risk accounts, automatic scanning and cross-checking of ID documents with a massive database, and biometric techniques like voice recognition, face recognition, and life detection.
Table of Contents
5 Key Features Making Identity Verification Software Indispensable
It’s worth noting that one doesn’t adopt verification technology purely for fraud prevention because the software has much more to offer to grow businesses.
1. Identity Verification Software Ensures Regulatory Compliance And Guards Businesses Against Penal Action
Governments are known to impose heavy fines on companies that breach regulatory practices and fail to protect customers against fraud and privacy violations.
Businesses that do not comply with global regulatory directives expose directors and operations executives to damaging criminal liability charges and fines docking millions of dollars.
- eIDAS, meaning electronic identification, authentication, and trust services, is an EU system for recognizing, accepting, and authenticating digital identities.
- The Pan-Canadian Trust Framework (PCTF) lays down the rules of engagement in Canada for businesses operating people-centric digital identity services.
- GDPR (the EU data protection regulatory framework) mandates the identity verification requirements that prevent spammers from violating user privacy.
- PSD2 or revised Payment Services Directive is the European Union security architecture for processing electronic payments and protecting financial data.
- Know Your Customer (KYC) & Anti Money Laundering (AML) Compliance protocols prevent fake profiles and spurious accounts from weakening financial systems.
- The HIPAA act standardizes the handling of patient identity and biomedical information and penalizes illegal disclosure.
It makes sense to allow the Identity Verification Software to micromanage regulatory compliance without damaging the user experience.
2. Identity Verification Software Provides A Secure Platform For Gated High-Value Client Services
All over the world, the legal, security, and privacy aspects of regulatory frameworks are constantly changing, and businesses need software that upgrades and internalizes regulatory changes automatically without human intervention.
Secure platforms enable businesses to offer gated services to the high-value clientele.
Such services are available only on secure platforms meeting global standards such as GDPR and PSD2 directives.
3. Identity Verification Software Delivers Scalability For Modernizing Businesses
Inflexible solutions are unsuitable companions on a global growth journey. Identity verification offers the flexibility to take in your stride multiple constraints like regulatory compliances, business and financial considerations, and engineering challenges that companies must overcome to scale and grow globally.
A state-of-the-art technology platform comprehensively manages the customers’ trusted digital identities, returns results in seconds, and optimizes the company’s responsiveness from the onboarding stage through every upgrade to achieve peak customer satisfaction.
4. Identity Verification Software Sets You Up For Unparalleled Global Coverage
When businesses go global, they confront the challenge of high variation in ID documents between countries, and the differences extend to customer expectations, attitudes to privacy, speed, and security.
The software platform provides seamless access to international markets and databases that are with Governments and private entities. Companies gain the capability to deliver trustworthy and secure services regardless of the nationality of their customers.
5. Identity Verification Software Taps Engineering Capabilities And Backups, Boosting Applications Development
You might have the best talent at your beck and call or the architecture of a cloud-ready application blazing its niche in cyberspace, but you can’t keep looking over your shoulder wondering where you’re failing.
Identity verification software is your permanent backup, hand-holding you through every stage of the applications development process, ensuring that you don’t make the wrong choices. Even if you do, you get solutions that nip problems in the bud.
Verification software is a gateway opening up a universe of engineering excellence and solution finding available 24/7.
Identity Verification Software: Why Optical Character Recognition (OCR) Is The Ice-Breaker
OCR is a scavenging tool for Artificial Intelligence (AI) that scans identification documents, print texts, PDFs, and images, harvests numbers and letters, and converts them into storable editable data.
OCR by itself is a burden on human faculties, but OCR working in tandem with AI is very accurate in discerning patterns in IDs and for classifying and assigning risk to IDs under the investigating scanner.
OCR bestows 99 percent accuracy to facial recognition and spearheads Adobe, Abbyy, Google Vision, and Microsoft Azure solutions. OCR integration gives Identity verification software a 70 percent performance boost.
Conclusion
A data breach can make you lose customer confidence and business. Anti Money Laundering non-compliance levies heavy penalties and threatens licensing approvals. KYC non-compliance exposes your system to infiltration by users with spurious profiles who open fake accounts.
If your company grapples with serious customer identification issues that compromise safety and security, you can leverage excellent tools and technologies that make verification simple, safe, secure, smooth, and watertight.
In association with superior Artificial Intelligence and Machine Learning capabilities, Identity Verification Software will tackle many challenges head-on while you focus unerringly on scaling and growing your business.
