Today’s era is the era of technology and innovation. Individuals and businesses are rapidly moving towards the digital sphere. Organizations are taking steps in digitizing their business operations to stay ahead in the competitive market.
Technology is facilitating businesses on the hand. It is paving ways for fraudsters as well to make extra cash. These businesses are facing a lot of tough challenges, security being the significant one. To deal with the ongoing security threats and meet the stringent regulations by the government, organizations are opting for digital ID verification. This is the reason why the identity verification market is booming.
The Market Research Report, the ID verification market is expected to grow $12.8 billion by 2024 to $6 billion in 2019. The core factors driving this rapid growth include fraud, security threats, strict compliance, and enhanced customer experience to stay competitive.
Tightening the reins on authentication checks
Passwords have always been a single line of security check-in physical and online world. About withdrawing cash from ATMs or logging in to the online portal, pins and passwords are what we have always used. It’s not safe to purely rely on a single piece of information to authenticate.
Phishing and social engineering techniques are something that fraudsters are using to lure victims into revealing their credentials. Anyone having access to credentials can access the systems pretending to be an authorized user and can do whatever he wants. This is what digital identity verification services address. By replacing the traditional authentication checks, real-time verification helps organizations to confirm the true identity of an individual.
Digital identity verification solutions include various services instance, document verification. Address verification, face verification, etc. to authenticate the users and combat identity thieves preventing fraud.
Identity Verification – a vital part of KYC
As more businesses are moving towards digitization, the regulatory authorities are becoming stricter. We used to relate the term KYC to financial institutes only. Considering the increasing trend of fraud and financial crimes in various industries. KYC/AML compliance has become obligatory for every business dealing with money. One of the important requirements of the KYC process is the customer identification program. (CIP) for confirming the true identity of a customer.
With digital identity and document verification in real-time, businesses can meet the CIP requirement through the swift onboarding of customers. On the basis of the identity document, the AI-powered ID verification solution efficiently verifies and authenticates the person’s identity.
Age verification through ID verification
KYC/AML compliance is not the only obligation that companies have to face. In online platforms, one of the biggest challenges that businesses come across is user privacy and minors protection. Cyberspace is full of bad boys and age-restricted content and preventing children from accessing such information and products online. With the explosion of mobile devices, now every child has access to the internet and the activities going around.
Taking into account the children’s involvement in age-restricted sites. The government has imposed severe penalties on business owners who fail to restrain children from accessing the content or products. The problem is how they can ensure that the user is underage.
With identity documents, the verification system can fetch the date of birth of the individual. Confirming the real age at the time of onboarding. Integrating face verification the businesses can ensure that only an authorized. A person is accessing the site not any minor.