Before delivering any financial service to consumers, financial institutions such as banks and non-banking finance companies must comply with Know Your Customer rules. KYC is performed to confirm a customer’s identification and validate their credentials. It is the process of electronically verifying a customer’s credentials that is referred to as the “paperless KYC” procedure. This implies that the service provider will have access to your information, which includes your name, address, gender, date of birth, cellphone number, and email address, which will be obtained from the database. This means that your evidence of identity and address is sent to the service provider instantaneously, eliminating the need for the time-consuming in-person verification process. If you need to make changes to your digital KYC records, you may do so by logging onto the eKYC portal of your choice.
The reality is that banks have always been faced with the prospect of having to deal with revenue losses caused by fraudulent operations. Today, they are confronted with enormous hurdles inefficiently combating systematic digital fraud, mainly when dealing with the relics of outdated legacy systems. As banking transactions have migrated to more digital and mobile platforms, digital onboarding process fraud has evolved to take advantage of the system to get access to funds. Also, as technology progresses, banks will have an increasing number of tools available to them to assist them in their fight against fraudsters, such as eKYC in the digital onboarding process for banks.
Instead of merely authenticating users when they first log in to an account, systems continually monitor reports to ensure that users are not acting unusually. Using a scoring system to conceptualize how continuous authentication may function is one method to think about how it might operate. OCR, face recognition, liveness detection, and fraud detection are some technologies used in this process. As a result, banks can strengthen the security of their systems while also reducing fraud throughout the digital onboarding process.
LoginID is a pioneer in developing the next generation of payment integrity technology. Making payments while also including strong authentication and strong identification is what we term “Authenticated Payments,” which ensures that developers, merchants, and enterprises know who is dealing with their money.
