The world is processing under regulatory frameworks pertaining to various threats. Criminals are technologically equipped to carry out their malicious activities. No sector is protected enough to prevent fraudulent threats, may it be financial, healthcare, e-commerce, or education. Criminals create fake identities, dodge the verification, and manipulate the whole industry. Therefore, for synthetic identity fraud prevention, businesses need more than just KYC/AML policies.
Hence, robust encrypted services are their go-to solutions. These are stringent measures that provide seamless identity verification and registration alongside accurate verification. As of 2020, there were over $43 billion lost to identity theft. This raised the need for businesses to incorporate efficient solutions. For ID verification, artificial intelligence and machine learning are problem-solving technologies.
AI-Powered Identity Verification Services – Industries in Need of Digital Solutions
Criminals’ concerns are where digital identity verification can help businesses. This is so because digital services have allowed businesses to verify remote customers. Moreover, the increase in data breaches, identity thefts, account takeover, money laundering, and various other threats have compelled industries to use robust free from error services. Read on to gain insight into several of the industries.
Financial Sector
Digital services are the most used in the financial sector because they are the most exposed to criminal concerns. These not only help the sector to prevent fraudulent registrations but also minimize the chances of non-compliance costs. Simply put, digital identity verification services not only help financial industries and banks to detect fake entries but also combat money laundering. Hence, it can ensure that funds are coming from authentic sources and that transactions are not fraudulent. Most commonly these services are used by:
- Wealth Management Industries
- Banks
- Loan and Lending Companies
- Credit card Issuer Companies
- Remittances
- Cryptocurrency
- Insurance Firms
As per Shufti Pro News, digital solutions provide real-time identity verification that helps businesses to prevent monetary crimes, cyber attacks, and data breaches, to name a few.
E-commerce and Retail
The e-commerce industry has been the cybercriminal’s favorite, mainly because the information it stores is easy to breach. However, the industry is employing various methods to attain consumers’ personal information and prevent criminals from registering in time. As per several stats, the most common threat faced by the e-commerce and retail sector is identity theft. To combat these activities, businesses need to incorporate an appropriate and accurate identity verification system.
Moreover, another concern is customers abandoning the purchase and cart due to a lack of trust. This is because the site has been prone to breaches, hacks, and other synthetic identity frauds. If the platforms get the customer identity verified, there are fewer chances of losing reliability. Also, they can secure a good image with digital services in place.
Healthcare Sector
Falling under the industries using digital identity thrift protection services is the healthcare sector. Nonetheless, the digital transformation is bringing several criminal risks. For instance, personal identity theft and data breaches. These not only put patients’ medical records at stake but also result in inaccurate identification and allocation of treatments.
Therefore, healthcare sectors and affiliates need robust digital identity verification to accurately deliver treatments, and services, and ultimately protect information.
How do Online Identity Verification Services Remove the Criminal Barriers?
AI-powered ID verification solutions minimize fraud and prevent criminal threats in more than one way. Some of the prominent ones are enlisted below:
Enhanced Security and Reliability
Identity verification processes enable industries to strengthen their functions like data security and accurate customer digital onboarding. These not only prevent cyberattacks but also keep imposters at bay. This is so because identity authentication detects forged and false documents within seconds. And through liveness detection, they make sure the customers are present behind the screens. All in all, the services help build a transparent business-to-customer relationship while ensuring security, trust, and reliability all the way.
Seamless Customer Registration
Customers are the most important assets for any industry and attracting and onboarding the legit ones is a tricky task. Therefore, by using rapid identity authentication processes, industries can register customers seamlessly. Also, they can verify identities in no time. Moreover, these solutions are encrypted which makes dodging the criminals difficult. The services allocate efficiency while involving fewer resources.
KYC and AML Regulatory Compliance
Every industry falls under the regulations put forth by central bodies. According to these standards, businesses are required to comply with Know Your Customer (KYC) and Anti-money Laundering (AML) requirements. Therefore, digital solutions help businesses verify their customer’s identities in less time. To ensure AML compliance, digital services help businesses cross-match the documents and details against criminal watch lists and Politically Exposed Persons (PEP).
To Summarize
Identity verification services are proven to fight against various criminals’ intents. As per Shufti Pro Funding, companies are relying on digital solutions as they are less prone to threats. These solutions carry out ID verification in minimal time while saving industries and customers from falling prey to criminals.
