Choosing a KYC Provider

In the olden days, when you want to conduct business with someone, you meet with them face to face. If someone wants to buy your product, they go to your store, pick the item, and pay at the register. If someone wants to start a bank account, they go to your bank, bring the necessary documents, and apply themselves. Thanks to the internet, however, people can do such business anywhere at any time through their devices. Although this is convenient, it also puts your business in risky situations. You can never be sure about who is on the other line. For this reason, several businesses rely on KYC providers for their security.

The Importance of KYC

As the old saying goes, “The customer is always right.” That may be true for real and honest customers. Unfortunately, many in the world would like to take advantage of legitimate businesses’ services for their illegal activities. Banks, for example, are always at risk of money laundering and fraud. As a business owner, it is thus your responsibility to know your customer. You can do this by following the “Know Your Customer” or KYC guidelines. 

As the business owner, your job is to satisfy your customer, but it is also your job to keep your business safe. The KYC guidelines allow you to collect information about your customers so that you are sure they are who they say precisely they are. For online transactions, you can abide by KYC guidelines by requesting information such as names, addresses, birthdate, age, and more.  It sounds simple enough, right? These are all standard stuff when you make a new account on social media. However, when you are in the business of big money, knowing names and birthdays are not enough. You may also need facial recognition, biometrics, and powerful computer screening processes to verify that your customer is not part of the world’s Most Wanted List.

Follow KYC Guidelines: Choosing a Provider

Running a business is already tough, and securing it can be just as challenging. For this purpose, you may want to opt for the services of KYC providers. If VIPs have security details, then businesses have KYC providers. These third-party companies design technology that helps other businesses abide by KYC guidelines. What these companies do varies. Some KYC providers simply advise and counsel on KYC procedures. That is good, but if you want more from your security, you can never go wrong with a company that offers technological services. Their