Companies, monetary institutions, air terminals, digital platforms, e-stores all need to ensure the identity of their consumers to control uncertainty and to comply with the regulative obligations. But complying with these regulations is not simple for all the companies, insufficiency of resources, the impact on user experience, and data security are prevalent issues. The Document Verification seems to be a fitting solution for all these challenges. It complies with the requirements of the regulations and provides a safe and smooth user experience while following efficient information security.
Is There a Demand for IDV?
Fake identity is the offense of thinking the false personation of someone to acquire an advantage or cause harm to other individuals. There are numerous tactics a person can be imitated. It can be as easy as generating a fake name that matches the victim’s initials then harsh or bad comments while posing to be the victim, modifying another individual online social media to include racist or bad comments or other unsuitable or offensive stuff, representing as the victim throughout on social media channels.
It’s illegitimate to imitate someone or utilize their identification for an individual and is guilty according to the regional or national regulation law. In 1998, the Government claimed the Identity Theft and Assumption Deterrence Act. This law created a new crime of false impersonation or fake identity, which prohibits “intentionally transferring or acquiring, without legislation authority, a means of recognition of another individual with the intention to commit or to assist or support, any illegitimate activity that creates a violation of Federal law, or that creates a crime under any relevant State or provincial law.
Role of Document Authentication in Reducing Fraud
To reduce the instances of crimes, monetary regulatory authorities such as the financial action task force, SEC, FDIC, etc, have established know your customer and anti-money laundering regulations that organizations are urged to comply with. These regulatory authorities guide companies to conduct proper due diligence of their consumers. This is often done by correctly examining consumer’s documents to authenticate their identity and decrease the uncertainties of scams and theft. This knows your customer process was mostly completed with physically visiting the banks, monetary institutions, corporate entities, or agencies. Therefore, now thanks to technological advancement, the procedure is smoothly done with the guidance of AI-driven IDV systems.
One can do business on your smartphone or laptop and the monetary institutions or company representative can make sure that you are who you claim to be and your identity is not misplaced or stolen.
How does Document Verification Process Work?
The artificial intelligence-based software is included in the platform or app of online companies. When consumers try to onboard themselves on the website, the system requests them to upload an image of their ID in real-time. The system finds the document and extracts similar data from it using optical character recognition technology. The information is analyzed by the system, which acquires a few minutes, and the authentication results are shown to the consumer. If the data provided was precise, the consumer is allowed into the website and vice versa.
The authentication results are only done on government-issued photo-based ID cards, passports, driving licenses, and bank-issued credit cards. The system automatically declines forged or tampered documents. Some of the fraudulent standards of documents that criminals and scammers mostly use are:
- Illegal documents: These types of documents are entirely false. They involve aspects such as missing rainbow prints or other collection standards that are vital characteristics of a legitimate version of that document.
- Fake documents: This document genuinely refers to another individual and the criminal attempts to use it in a way to verify himself.
- Altered documents: This is when an original document is modified. This is where the criminal changes the designs and different fonts to deceive the system.
Is Document Verification Services Really Effective?
The system can efficiently distinguish between all kinds of false, illegal, and tampered documents. The Online Document Authentication services are 98.67% precise, much more than the conventional manual identity documents. It also saves energy and resources, enabling consumers to authenticate themselves in the ease of their apartments and office building within a few seconds. The system is authorized to authenticate over 3000 identity document types. This allows it to verify users having foreign documents from everywhere around the globe.
Many modern financial institutions, e-stores, air terminals are using artificial intelligence IDV to reduce instances of theft and fraud. This technology not only assists organizations to verify consumers but also permits them to follow with the monetary institution’s authorities.
Document authentication complies with the requirements of the regulations and provides a safe and smooth user experience while following efficient information security.