As social distance became important during the coronavirus pandemic, many organizations began onboarding customers and carrying out client verifications through digital techniques. According to expectations, this method will last for a very long time. As the world starts to recover from COVID-19, it is foreseen that the movement toward digitalization will keep going up with the introduction of the video-based authentication approach in the banking and other financial sectors.
Businesses in the financial sector are introducing cutting-edge modern digital products to their customers. The need for online identity validation may be successfully handled by integrating the technologies with sophisticated authentication techniques like online video identification. A KYC expert or financial company representative uses real-time video identification to confirm a user’s identity.
7 Advantages of Online Video Identification
Client identification methods that utilize video are advantageous to firms for a number of reasons:
- Fraud Prevention in an Effective Way
There is a significant advantage to video verification in that it protects you from fraud in real time. Incorporating live video conversations, artificial intelligence, and facial recognition can drastically reduce the number of identity theft cases and increase security.
- Avoiding Money Laundering
The company will be safe from money-launderers if it can attract reliable customers. Using online video identification, one can thoroughly check their clients’ backgrounds to ensure they haven’t ever been on any watch or sanction lists. Video verification might be an effective tool to fight against money laundering risks.
- Elimination of Paperwork
Businesses can say goodbye to the extensive paperwork and time-consuming manual data entry. Now that the entire video verification of identity process is completed online.
- Eliminate Human Omission
Using advanced technologies like liveness detection, cutting-edge technologies reduce the possibility of human errors.
- Drop-off Reduction
Online video identification facilitates an easy, quick, and rapid client authentication process. This process can lower drop-off rates compared to the traditional authentication techniques they often employ.
- Improved Customer Experience
Video calls help to solve the main problem with the validation process, which is the drop-offs that occur at different points during the manual verification process. The statistics below demonstrate how a drawn-out onboarding process may aggravate new customers, who may give up.
These numbers highlight the pressing need for quick internet verification techniques. With a video verification solution, customers can instantly verify their identity by presenting their identification documents to the camera and answering a few pertinent questions from a KYC verification professional. Information about the person will be verified after it has been gathered.
- Quick Identity Verification
Online video identification solutions eliminate the need for in-person customer identification visits. As a result, remote verification makes it possible to complete the process more quickly, even when there are no delays.
List of Effective Online Video Identification Ways
How can companies ensure they are using the best video authentication solution? Before using a program, it is essential to conduct careful research on its features and capabilities. A company can only be particular that its chosen strategy is advantageous to the business. The following is a list of the best e-KYC video verification points.
- Since the country’s borders are no longer an obstacle for clients to do business, choosing a system that offers suitable language and documentation support along with global coverage is crucial.
- Companies can reduce their KYC operational costs while maintaining high levels of customer satisfaction by implementing an online video identification system. Giving any organization a choice to “pay as you go” is the best action.
- It is a fact that every company uses different KPIs and operating methods. Every feature the video verification system offers in terms of capabilities may not be necessary for every business. The best service provider is the one who creates a strategy that is specially tailored to the needs of the company.
- Processing sensitive client information as part of the video identification process necessitates adhering to international standards for data handling. Businesses need a service provider that offers powerful encryption techniques to prevent data theft and protect customer privacy.
- Customer satisfaction has a significant impact on how quickly the business grows. The user doesn’t have to change channels to complete the verification process. An online video identification solution that supports multichannel engagement and confirmation can enhance the customer experience.
Final Thoughts
Onboarding clients require identity authentication by financial and banking institutions. New online services offered to clients have made it necessary for firms to use technologically sophisticated verification methods to combat financial fraud. Keeping their clients happy and maintaining the security of their business will be easier with an online video identification system. Using a video verification solution for onboarding procedures improves security and provides an efficient verification process.
