Ever since the covid-19 pandemic, every industry has found its way into the digital world. Unfortunately, so has the fraudsters and hackers. The banking industry is in the most danger of being scammed by the fraudsters and the identity thieves. They deal with money and money always brings a major risk of thieves, if not physically then at least online. The world may have a great force to stop the conventional thieves but the criminals dealing online are a new vocation that still requires strong measures against. Since online dealings are done without a physical presence then it is easier to carry out the scams. This is why the video verification process should be carried out to compensate for the physical presence. Let’s talk in this blog about how video verification helps the banks in secure customer onboarding.
Banking Industry Customer Onboarding
For every business to function, the most important part is onboarding a customer. Similarly, in banks, the most important part is to have a secure and efficient customer onboarding process. Banks are obligated under the global laws of KYC. To guarantee if they are truly who they say they are, they have to search their clients. If the banks fail to follow this KYC protocol, they are fined heavily by the global authorities overseeing this policy.
However, the manual KYC process is quite long and tiresome, and on top of that, the bank has to deal with the operation cost and the hassle of managing the important and sensitive data of the customers. The customer may altogether change their mind about dealing with the frustrating process of onboarding with a bank.
According to a Forrester consulting report, it takes banks up to 34 weeks and more than $25,000 to onboarding a single customer. Even after spending such a large amount of sum and such a long time, there is no guarantee on the accuracy of the process. This is why the banks require an e-KYC video verification process.
Video KYC solution for Video Verification
Video KYC is an e-KYC video verification solution that is the answer to all the problems faced by the banks while onboarding a customer. It’s a process of carrying out the verification of the customer on the video call. The video call is done with a human KYC expert. This system utilizes both human expertise and artificial intelligence.
The customer performs a registration process online through a form available on the website or application of the bank. Then the customer is connected to the KYC expert with a video call. The face of verified through liveness detection test. The customer is asked to move their face and they are also required to answer a few questions to ensure their physical presence. Then they are asked to show their ID document to the camera. The authenticity of the document is tested by checking it from all sides and edges. The AI-based solution can also detect if the format of the ID document is tampered with. The face of the person is also matched and verified against the ID document. The whole onboarding process is recorded with the permission of the customer. The customer onboarding video is secured in the back office after the process is completed.
This process is so quick it can verify the customer’s identity and complete the onboarding process within minutes. The customer can get open up a bank account from their homes. This saves the bank a lot of operational cost and the data is also safe. The customer also feels secure dealing with a bank providing such a user-friendly and effective service.