KYC Video Identification – An Upgraded Verification Solution
The wave of digitization came with promises but it does have some drawbacks too. Striking a balance between security and client experience has become a tricky task for the corporate sector. Which verification solution to be used that meets the needs of the company and the clients while fulfilling global regulations? The answer is a KYC video identification. It not only onboards clients in real-time but also caters to evolving regulations.
Video verification is the upgraded form of conventional KYC verification, just more efficient, cost-effective, and secure. It makes the firm paper-free and streamlines the verification procedure with real-time results. Clients do not have to visit the office in person to get their identity verified for creating their accounts. Everything is done remotely whether it is client onboarding or account opening.
Sectors Benefitting From KYC Video Identification
As technology advances, clients’ demands also changes. Companies are searching for verification solutions that meet the firms’ demands while not compromising user experience. This is precisely where e-KYC video verification proved to be fruitful. Here are the industries that could benefit from video verification.
Banks and Financial Firms
The financial sector has always been under the great observation of regulatory bodies. They are require to follow KYC/AML regulations while client onboarding. Manual verification is no more considered a great choice, online procedures to verify identities is what banks and financial firms need. Thus, video identity verification is a great bet that validates individuals in real-time while ensuring KYC/AML compliance.
Fraudsters are just exploiting every sector to carry out illicit means and insurance companies are not an exception in this case. What scammers do is that they dodge the verification systems with stolen identities or forged documents and this raises concerns for the insurance providers. Such heinous crimes not only make the company owners but also the victims deprived of their rights. Video verification of identity helps insurance companies can check that only legitimate users take their services.
Since the pandemic, many companies have started their business operations remotely. This helpe them carry out their operations online even when they were not possible to be done physically. But this has also made firms vulnerable to fraudulent and criminal activities. Cyber attackers just taking the advantage of this situation are getting illegal access to the firms’ sensitive data. It just puts a question mark on the company’s verification system. This is where KYC video identification came as a great choice. It helps firms ensure that only legitimate clients are on board. Furthermore, with identity verification, only validated individuals could use the company’s services.
Non-Banking Financial Companies
NBFCs are just similar to the banking sector and the difference only si that they don’t have a bank license. The main objective of these firms is to offer financial services to a customized group of individuals. Thus, video KYC is a game-changer for NBFCs. AS the verification takes no time to complete, it helps the sector to onboard more clients in less time.
The other sector which is being badly impact by criminal activities is the crypto industry. Criminals use sophisticated methodologies to use the firm for their illicit means. This has let the company adopt video verification. The upgraded verification solution not only provides enhanced security services but also ensures a great client experience.
Video KYC finds its application in car rentals too. With the verification solution in place, car rentals can cater to the issue of stolen vehicles or their expensive parts. Rental firms can now verify their customers remotely by taking into account customers’ identity documents issued by the government and validating their authenticity.
Checklist for Efficient KYC Video Identification
It is important to do a little research on the features of the video KYC solution before taking the service. It would ensure that the selected solution is really good for the company. Consider the following things before selecting a KYC video identification for the company.
- Global Coverage – The best video KYC solution is the one that offers global coverage and supports all kinds of documents and languages.
- Cost-Effective– It should reduce the costs of the KYC process while ensuring a great user experience.
- Customized Solution– The solution should be tailored according to the needs of the company.
- Enterprise-Grade Security– It should provide greater security while ensuring client privacy.
- Omnichannel User Engagement– It should provide omnichannel for user engagement. This results in greater client experience and they do not have to switch channels in order to get their identification done.
In the verification industry, video KYC seems to be the latest trend. Companies can use it to simplify their onboarding processes and cut the time required to perform the KYC procedure. A KYC video identification solution along with the real-time online document verification solution can ensure scam-free client onboarding. So, choose the finest option as per the company’s needs and enhance the firm’s security.