Digital Identity Verification: A Growing Trend
Melissa UK Team | United Kingdom
Within financial services and insurance, KYC checks play a key role in compliance and regulation. These service providers have regulated institutions that use identity verification platforms to verify customers and their documentation as part of their KYC compliance and AML measures. Verifying your identity with these providers is crucial not only because it helps to build mutual trust between yourself and the service provider, but it is a way to protect yourself and your assets.
Electronic identity verification is, thus, a safety measure that allows these service providers to prevent fraud in the case of future identity theft and money laundering.
You can find out more about What is Identity Verification here.
However, verifying the identity of your customers is no longer just applicable within these specific industries and the need for electronic identity verification is growing across a number of industries for the same reasons.
In today’s world, dirty money can travel extremely fast and this can lead to serious consequences for many businesses – heavy fines, bad reputation and loss of customer confidence. Businesses that want to be successful need to be proactive in protecting their customers by introducing capabilities that prevent their business from falling victim to fraud attempts and money laundering. A key preventative measure is introducing a platform that works in conjunction with the business’ know your customer policy – this measure should enable the business to identify its customers or clients before transactions are processed.
And it’s not just financial services and insurance – this measure is used amongst payment companies that process millions of transactions a day. These companies have to constantly deal with daily fraudulent activities such as phishing emails and fake online businesses and a way in which they can prevent their customers from becoming victims is by introducing identity-checking tools. This is a cross-border AML and KYC-compliant process that ensures that companies are able to rapidly verify a customer’s identity in real time before any payments are processed.
digital Identity verification is also used within the property industry as a means to combat corruption and money laundering and companies are expected to verify the identification of buyers. This has usually been a manual process but now more and more companies are turning to online verification as it is much simpler and faster for both themselves and their clients.
And so, with more and more businesses introducing KYC processes, the trend of eIDV checks is on a continuous rise. The benefits? Increased customer protection, confidence and loyalty.
Melissa’s identity verification solutions play a strong role in this trend as it already serves a number of businesses across the world. We’re proud to help start-ups to Fortune 100 companies combat identity theft with our KYC and AML-compliant identity solutions. For more information, you can reach the team at email@example.com.