Businesses, banking service providers and e-commerce platforms all must implement innovative digital solutions to mitigate risk and ensure compliance with regulatory obligations. Following the latest KYC & AML regulations is a tough job which becomes even more difficult with a lack of resources and outdated data security protocols.
Online document verification solutions can help enterprises to tackle the above issues effectively. Cutting-edge solutions not only ensure more security but also offer a positive customer experience.
Document Verification Solutions: A Brief Overview
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Record authentication services are about preventing fraud by screening government-issued records such as passports, driving licences and ID cards. This not only secures a competitive advantage but also attracts genuine clients worldwide. In this way, enterprises can strengthen customer relationships and increase market credibility while increasing yearly profit rates.
As per Straits research, the global IDV market will reach a financial worth of around 32.94 billion dollars by 2030, showing a CAGR of 16.35% from 2022 to 2030. Moreover, North America will have the largest shares in the market going beyond 41%. Key market drivers behind the industry are:
● More internet & digital literacy
● Identity theft cases in the IDV sector
Big opportunity creator behind the industry is increasing technological innovation. The application of IDV services to screen driving licences and social security numbers can help businesses enhance security. This can also provide more growth opportunities in the coming five years.
When it comes to the APAC market, the region is a big contributor to the development of the industry. Two factors that are contributing to its growth are governments’ efforts to fight identity fraud & struggle to strengthen eKYC solutions. The APAC market displays the biggest GDP growth rates that contribute to more business formation. It facilitates safe, rapid and fast online transactions. It also increases the significance of identity verification/ document verification services to reduce data privacy breaches.
Identity Fraud: A Quick Insight
Impersonation is the crime of using someone else’s identity credentials to gain instant rewards or harm the victim. Perpetrators can use various sophisticated approaches to achieve malicious goals. Only the application of document Check solutions can help businesses prevent bad actors.
According to the Identity Theft & Assumption Deterrence Act, it is a heinous crime to impersonate somebody and the act is punishable by law. As per the US Department of Justice, identity theft is a criminal offence where criminals get 15 years of imprisonment along with a seizure of any materials that facilitated the crime.
As per an FTC report, there were around 2 million fraud cases where victims lost around 2 billion dollars.
Fighting Fraud with Document Verification Solutions
To prevent fraud, financial regulatory agencies such as FATF, FinMA & FINTRAC have introduced the latest KYC & MAL regulatory obligations. Such standards are important for all businesses to stick to. They play an important role to guide businesses in conducting due diligence procedures for clients. This can be effectively done by screening user records and preventing fraud. Previously, banking service providers and financial institutions & embassies used to do onsite validations. Nonetheless, with technological innovation, the whole process has been streamlined to offer a positive experience for customers.
The support from AI & ML models can process large volumes of data without lowering quality. This way, enterprises can attract customers while offering services through online platforms and ensuring the genuineness of clients.
Complete Process Behind Document Verification Services
AI-driven software can easily integrate with pre-existing websites and applications. The following points highlight the complete procedure behind record authentication systems.
● During the onboarding process, the software asks the clients to provide a picture of government-issued records in real-time.
● The innovative system detects records and extracts information utilising OCR technology.
● The state-of-the-art system produces top-notch results immediately.
Only when the customer provides genuine government-issued records, do customers receive high-quality results. Clients can only provide driving licenses, identity cards and rental agreements for effective data extraction. When fraudsters try to bypass the security protocols through fake documents, the cutting-edge system quickly rejects the application.
Examining the Effectiveness of Document Verification Solutions
The application of advanced technology can help experts differentiate between fake and original records. The latest service produces high-quality results that ensure a positive experience for clients. This way, corporations can forgo traditional approaches while saving time and company resources.
Remote customers can benefit from AI-powered services from anywhere in the world. The innovative digital solution can instantly process various types of records to ensure global coverage and multilingual support.
The Bottom Line
Modern-day banks, financial firms, airports and e-commerce stores can use AI-driven document verification solutions to fight fraud. The technology not only streamlines the onboarding experience but also facilitates compliance with the latest financial regulatory standards.
Corporations can team up with a third-party vendor to implement a PCI DSS & GDPR-compliant solution which secures a strategic advantage. Applying the innovative solution boosts yearly profit rates while maintaining market credibility.
