Identity verification is used by several businesses across various industries to ensure that the customers are actually who they claim to be and that their identities are not being stolen or misused. Commonly known as Know-Your-Customer (KYC), this process has proved to be a reliable way to protect the customer and business alike.
Some of the common methods of identity verification include physical document submission, KYC forms, and biometrics. But, due to the increasingly globalized world and the need for secure online transactions, video KYC has emerged as the most efficient and secure identity verification process.
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What is Video KYC?
As the term suggests, Video KYC is an online identity verification method that requires customers to record a video of themselves, where they are required to perform certain tasks. For example, showing their identity card, taking pictures of themselves with certain poses, or narrating specific sentences. This video then needs to be submitted online, which will then be verified to ensure the authenticity of the user.
Advanced Video KYC Solutions use robust technologies like artificial intelligence and machine learning. This makes the process more secure and efficient, thereby providing a comprehensive way of verifying customers’ identities online.
Thus, video KYC solutions are being increasingly preferred over other methods of identity verification. Looking at the current trends, it is clear that video KYC is the future of identity verification. Here is a look at some of the reasons why video KYC will become synonymous with identity verification:
Benefits Of Using Video KYC As A Form Of Identity Verification
Here are some of the reasons why video KYC is the future of identity verification:
Increased Security
Video KYC solutions offer an additional layer of security to the identity verification process, ensuring that customers’ data is protected from any potential fraud or misuse.
Advanced technologies like facial recognition, AI-driven fraud detection algorithms, and others can be used to verify the user and ensure secure online transactions. In comparison, other traditional methods of identity verification, such as document-based KYC, can be easily exploited by fraudsters.
Faster Verification Process
Video KYC solutions prove to be a faster and more convenient way of verifying customers’ identities online. The whole process can be completed within minutes, with minimal customer effort required.
This is in stark contrast to traditional methods of identity verification, which often require lengthy forms to be filled out and can take days or even weeks to complete.
Higher Accuracy
Contrary to traditional methods of identity verification, which are often prone to errors and inaccuracies, video KYC solutions offer a much higher level of accuracy.
Technologies, such as the ones mentioned above, help to ensure that the identity verification process is secure and accurate. This results in a much more efficient and reliable process that helps to protect customers’ data from potential fraud.
Improved Compliance
Video KYC solutions also help businesses to comply with regulations and laws that require them to verify customers’ identities. Video KYC solutions are designed to meet regulatory requirements, such as Know Your Customer (KYC) and Anti-Money Laundering (AML). This ensures that businesses are compliant with the necessary regulations and laws.
Scalability and Flexibility
Video KYC can handle a large volume of verifications at the same time. This makes it highly scalable for businesses of all sizes. Whether onboarding new customers or verifying existing ones, video KYC allows companies to handle the verification process efficiently and without delays.
Additionally, it offers flexibility in terms of timing, as customers can complete the process at their convenience, eliminating the time constraints of traditional identity verification methods.
Improved Customer Experience
Most video KYC solutions have a user-friendly interface with clear instructions, making the process easy and hassle-free. This helps to create a convenient customer experience, which is likely to result in higher customer satisfaction and loyalty. This is a huge driving force for businesses to adopt video KYC solutions as part of their identity verification process.
Cost-Effective
Lastly, one of the major contributing factors to the current and future popularity of video KYC is its cost-effectiveness. Unlike traditional methods of identity verification, video KYC solutions are much more affordable and cost-effective.
Businesses need to invest less while still achieving the same results as with traditional methods. Similarly, it eliminates travel and other associated costs for customers, as the process can be completed online.
Conclusion
Video KYC is set to become the future of identity verification due to its convenience, accuracy, improved compliance, and cost-effectiveness. These solutions offer a secure, efficient process for customers to verify their identity in minutes – making the entire process simpler and faster.
Businesses have the assurance that they are compliant with the necessary regulations, while customers can rest assured that their personal data is safe and secure. It is, therefore, no surprise that video KYC solutions are likely to become more popular over time.