Companies, monetary institutions, social media websites, e-commerce shops all need to be ensured of the identity of their users to control uncertainties and to comply with regulations. But achieving these obligations is not simple for all the substances, lack of sources, the effect on user experience, and information security are current problems. Online document authentication seems to be a suitable answer to all of these challenges. It complies with the regulative standards and presents a safe and smooth client experience while following robust information security.
Document Verification with the regulatory requirements and presents a safe and smooth client experience while following robust information security.
Is there a Requirement for IDV?
False personation is a cybercrime of conceiving the false identity of someone to acquire gain or prompt harm to another individual. It can be as easy as generating a screen name that resembles the innocent’s name then posting offensive and bad remarks while impersonating to be the innocent, altering another individual’s online profile to include sexual or discriminatory remarks or other unsuitable or unpleasant things, pretending as the victim during an online conversation or on social media platforms. It’s illegitimate to imitate someone or utilize their identity for any individual and is condemned as stated by the regional or federal law.
Circumstances of cybercrime are increasing day-by-day. As stated by the reports of the FTC in 2018, about 1.4 million cases of crime took place, and most of them were individuals who had misplaced money. The loss was stated to be about $1.48 billion.
Role of Document Verification Services in Impeding Fraud
To stop the circumstances of crimes, monetary regulatory authorities such as the financial action task force (FATF), the EU, FinCEN, and the world bank have to set up Know Your Customer and Anti Money Laundering regulations that companies are prompted to adhere to. These laws guide companies by properly examining the client’s documents to verify their identity and reduce the chances of theft and crime. This Know Your Customer process was done one-on-one with monetary institutions, corporate offices, or agencies. Therefore, now thanks to technological development, the procedure is smoothly done with the assistance of AI-driven IDV systems.
How do the Online Document Verification Scan Reports?
The Artificial intelligence-based software is included in the platforms or applications of digital businesses. When clients try to onboard themselves on the websites, the system requests them to take and transmit an image of their ID in no-time. The system detects the document and extracts similar data from it using optical character recognition technology. The information is examined by the system, which takes a few minutes, and the authentication results are shown to the client. If the data provided was precise, the client is allowed access to the website and vice versa.
The Document Authentication is only done on government-issued documents such as phot based ID cards, utility bills, driver’s license, and bank-issued debit and credit cards. The system automatically declines tampered or forged documents. Some of the tampered types of documents that criminals mostly use are:
- Illicit documents: These documents are completely false. They involve components like missing rainbow prints or other set standards that are necessary components of a legal version of those documents.
- False documents: This report genuinely relates to a different individual and the imposter attempts to use it in an effort to verify himself.
- Modified documents: This is when an ID document is modified. This is where the criminals modify the design and signature style to manipulate the method.
Is Digital Document Verification really Effective?
This system can efficiently distinguish between all sorts of tampered, illicit, and forged documents. Digital document authentication is 98.67% precise, much more than conventional manual document authentication. The system is empowered to authenticate 3000 ID types all over the globe. This allows it to verify clients having foreign identity documents from anywhere around the world
Many financial institutions, e-commerce websites, gaming platforms, etc. are using artificial intelligence-powered IDV systems to reduce instances of theft and fraud. This digitization not only assists the organization to verify clients but also allows them to comply with monetary regulatory authorities.