As technology continues to evolve, digital solutions become widely available. Businesses have been compelled to provide solutions that meet user concerns due to the ongoing shift in customer preferences. But as the world is getting more technologically advanced, so are fraudsters. They developed sophisticated ways to commit online identity theft and other crimes. Identity-related attacks on businesses can harm their market reputation because they directly affect clients and their personal details. An increase in identity theft cases is raising concerns for many businesses and their potential consumers.
The COVID-19 pandemic shows no signs of ending, thus social isolation becomes absolutely necessary. In light of the SOPs, the popularity of digital payment solutions is growing and is rising every day. To ensure genuine client onboarding and safe checkout processes, the service providers and organizations must devise a reliable method of identity verification. One such technique is document authentication, which enables businesses to confirm users’ and customers’ identities using the original IDs.
Customer Verification through Identity Documents
A company needs the user to provide it with their ID documents before they register an account. This is to ensure that the clients really are what they seem to be. Account opening processes include customer onboarding steps to guarantee a user’s authenticity. These checks, also known as the KYC procedure, are vital in the long run for reducing financial fraud like money laundering.
Companies use document verification solutions for KYC (Know Your Customer) and Customer Due Diligence (CDD) processes. Enterprises can make the best use of advanced verification technologies combined with biometric facial recognition as well as two-factor authentication. The consumer only needs to provide their ID card and a picture; the document-checking system handles the rest of the process in real-time.
The Role of Artificial Intelligence in Document Verification
The identity verification sector has advanced significantly due to artificial intelligence, machine learning, and computer vision. In addition, they offer many organizational advantages. It streamlines customer onboarding and improves Optical Character Recognition (OCR) technology for better data retrieval to make record-keeping processes safe and effective. Intelligent document check makes it possible to avoid facial spoofing attacks and perhaps fake IDs.
Professional use to conduct KYC prior to this era of digitization. The procedure required unnecessarily long waits and was frequently prone to blunders. Furthermore, there was no means to determine whether a document was authentic or not using a remote verification method. These days, verification is safe and quick due to online document verification technologies.
What Does Document Authentication Look for While Checking Documents?
Is the Format Correct?
In the IDV industry, a lot of KYC providers give document authentication services that check whether the client documents are in the appropriate format or not. The majority of document authentication services, for instance, will demand a citizen’s official ID card to authenticate them. The document verification system, on the contrary hand, will have problems identifying a made-to-order retail slip at the checkout station. It confirms the document format prior to carrying out any other validity tests.
Checking on the MRZ Data
A Machine Readable Zone (MRZ) is a common feature of documents that holds the user’s personal information. The code, which retrieves the user’s personal information, is scanned using AI-based document authentication checks. The firm then uses that information to see if the individual is who they claim they are. Any discrepancies between the MRZ data and the retrieved information indicate that the document may have been edited or altered through photoshop.
Checking for Any Missing Features
Government-issued original documents are authenticated by an authorized hologram, rainbow printing, or another mark. The artificial intelligence-powered digital document verification process searches for these omitted characteristics to assist organizations in removing fake and fabricated IDs used in identity fraud.
Final Thoughts
As technology is advancing, fraudsters are becoming sophisticated to carry out their illicit means. They are finding ways to exploit businesses these days. The only viable option for firms to keep scammers away is to switch to cutting-edge technologies. One such solution is document authentication which helps firms validate clients before onboarding them.
Document verification systems that use machine learning and artificial intelligence make the client registration process quick and safe. It makes perfect sense for businesses to adopt online document authentication services. They cut expenses, boost productivity, and free up a tonne of time. Additionally, a firm can improve its user experience and attract more clients. Document verification protects all firms from fraudulent and criminal activities and makes them adhere to KYC regulations. This in return protects all the firms from heavy non-compliance fines and builds a great brand image in the market.
