Document Verification – Advanced Approach towards Identity Protection



Corporates, businesses, hotels, e-commerce, social media platforms are prone to the activities of fraudsters. In order to prevent and manage the risk, businesses are obliged to verify the customers’ identities before providing them any kind of service.

To comply with these regulatory requirements, businesses have to face different consequences like inadequate resources, establishing customer experience, data set security, etc.

In this situation, online document verification is a beneficial solution for addressing all these challenges.

It facilitates businesses to meet regulatory obligations and also provides seamless customer onboarding with efficient data security measures.

Role of automated document verification:

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The increasing number of financial frauds are pouring negative impacts onto the businesses. Therefore, financial regulators such as FATF, FINTRAC, etc., have established KYC/AML laws that are intended to secure the businesses’ interests while mitigating the occurrence of crimes.

Under such compliances, the companies have to add on customer due diligence procedures in their systems.

The basic motive of doing this is to analyze and verify the customers and also to authenticate their identity documents.

Traditionally the know your customer procedure was done in all the fintech institutes manually which was providing enough spaces for the fraudster to run their illicit activities.

However, due to the technological boom, using the artificial intelligence concepts the traditionally done KYC is now fully automated providing seamless verification results.

Now the companies through digital channels ensure the identity of their customers without requiring physical presence.

How online Document Verification Enables Business to Combat Frauds

Almost every one of us has sometimes experienced the moment either the time or opening a bank account or doing any online transaction, where the customers are requested to upload government-issued documents such as driving licenses, identity cards, and passports.

Traditionally the identity document verification was done by the officer which tends to match the face of the customers with the photos placed into the identity documents making sure the customer is not trying to trick the officer.

Nowadays with the technological advancements, AI is playing the role of the verification officer but in a more effective manner.

This also enables the verification systems to validate the true identities of the customer without requiring physical presence. Moreover, this verifies the users instantly to do transactions remotely 

With time and using technology with bad intentions, fraudsters are becoming pro in their activities.

The criminals now have multiple ways of creating false documents and tend to claim to be someone else.

Hence, online document verification is quite efficient in identifying different types of counterfeit documents.

Types of Illicit Documents:

Illegitimate documents

Such documents are totally false documents that lack the key features of the government-issued documents for example rainbow prints, holograms, templates, and other minor characteristics on the original identity documents.

False documents:

These documents are neither forged nor modified but they are original documents that are stolen or bought from the victims. These documents are used to bypass the verification systems.

Altered documents:

The fraudsters modify the original identity documents in a way that is not detected through the human eye.

The criminals slightly change the information like name, address, or other relevant data to manipulate the system. Such documents are efficiently detected using AI-based document verification solutions.

Benefits of Using technology-based Document Verification:

Diminishing Frauds:

Every digital business is becoming a victim of cybercriminals. These fraudsters are mostly involved in running frauds like identity frauds, creating forged documents, and multiple other digital frauds.

Thus the online document verification mitigates the risk of fraud. When the customers upload the identity documents, the service using OCR technology data is extracted for validation.

In these steps, any signs of tempering are identified and the fraudsters are stopped before their suspicious activities can impact the system.

Increased Security Measure:

Businesses by employing document checks boost up security concerns. This solution is viable for businesses that enable themes to verify the identity documents of the customers remotely in real-time within a couple of seconds.

Via Document Verification Process, the criminal activities are accurately identified and risk is neutralized.

Ultimate Business Protection:

Companies by opting for online document verification services they can protect the business interest.

By identifying the threats and deterring them the business can secure its brand name as well as its reputation.

Moreover, it also protected the companies from hefty fines and permanent bans from the regulatory authorities.

Final Thoughts!

Summing it up, customer identity verification, as well as document authentication solutions, are essential for online businesses.

Digital businesses are growing exponentially yet the increasing number of identity and document fraud is making barriers for the businesses sustainability.

Therefore the businesses are obliged by the regulatory authorities to incorporate the Document Verification procedures to get utmost assured that they are onboarding reliable and trustworthy customers. 

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