Security is the core value of the companies, and the organizations need to preserve the client's credentials. Customers are biased towards the businesses that hold them from financial scams and facilitate them to their maximum. Electronic identification system provides smooth services to the client and regulates their daily operations. Onboarding and monitoring customers is made possible by using these solutions. Organizations can affiliate with authentic users by verifying their documents. Cyber crimes are increasing daily; regulatory authorities are driving ways to secure the personal information of companies and clients. In 2022, the cost of cybercrime in Indonesia was 4.79 billion US dollars, expected to reach 6.5 billion US dollars in 2028.
What is Electronic Verification?
Computer or mobile devices measure the client's identity and ensure that an authentic person is trying to log in to the account. These solutions aid the company in compliance with the newest Know Your Customer (KYC) regulations. The entire authentication is done at home, and clients do not have to come to the office; this process is performed digitally. Traditional ways were time-consuming and hectic, as the user had to follow the office protocols and 9 to 5 timings. Standing in a long queue and waiting for their turn is a hectic task, especially for people living in rural areas. The clients of distant regions usually cannot enjoy these facilities, and it is difficult for them to travel to cities for verification. E-check verification has made users convenient, as their authentication is done digitally.
How are Online e-IDV Services Performed?
Different companies involve verification according to the type of products or services they are dealing with. Here are some common types of paper authentication methods:
Government Identity Verification
The user's ID ensures that the client is authentic; the client is asked to upload a scanned picture of the driver's license or government-issued identity card. This image is matched against the administration database; if both are similar, the person is authentic.
Document Verification
The legal papers of the clients are verified to measure the authenticity of the customer. The user has to upload three to four pictures of the document and then upload it to the portal provided by the company. These papers include bank statements, utility bills, and residential address proof.
Selfie Verification
In this authentication, the user has to capture two or three selfies and then upload them to the website. The system in the backend matches the picture with the formerly saved image; both are identical, which means an authentic person is trying to log in to the account.
Database Verification
The information provided by the client is matched against the database of the government and private companies. If both are the same, then the green flag is shown. Otherwise, a red flag is displayed, which means the client has given the wrong information. Customers are sometimes asked to perform further documents to check their authenticity. The organization has to monitor high-risk clients continuously and decide how much risk the company can bear. Online e-IDV solutions aid in monitoring the clients; in this way, the risk rate is controlled.
Why Do Companies Implement Electronic Verification Systems?
- The remarkable benefits of eidv have raised the importance of these solutions; companies need to install these scanners to simplify their activities. The whole task is performed by artificial intelligence and machine learning, so the chances of error are zero.
- Companies can entirely rely on these scanners for the onboarding, verifying, and monitoring of their employees. The humans performed traditional authentication methods, which were prone to error; operators got tired and distracted by their ambiance. Sometimes, employees can knowingly expose the company's data for money. The competitors perform such activities that try to deteriorate the brand image.
- The chances of fraudulent activities are reduced when the company has complete information about its client. Money laundering is controlled through it, as the source of income of the user is known, and their activities are monitored. Fake identities do cyber scams; when only legal customers become part of the company, data breaches are reduced.
Conclusion
Electronic identity verification has regulated the activities of the companies, and daily tasks are reduced. There is no need for manual documentation; the digital system performs the entire undertaking. These solutions allow only verified clients to affiliate with the company and reduce financial risks. They provide smooth, streamless, and regulated activities; the company's and client's resources are saved. Clients' trust is built, as their personal information is safe and secure.
