E-KYC Onboarding – Online Solution for Customer Identity Verification

A cycle of multiple steps and tasks is used to onboard new customers. Based on customer identity and the specifications of organizations and businesses, check the legitimacy of the user. Customer onboarding is carried out using a variety of manual verification techniques, including in-person meetings and document checks by organization representatives. The manual method of identity verification is becoming less valuable over time. As more businesses and organizations move online and develop new user verification techniques like digital KYC or e-KYC onboarding procedures.

According to surveys, the number of online companies and e-commerce markets is rapidly growing. The global e-commerce market had a value of 2.2 billion in 2021.

Digital Verification with KYC Compliance

The KYC (Know Your Customer) act was initially introduced in the early 2000s to combat and prevent money laundering. A thorough verification check is conducted on the users’ qualifications for the desired activity to ensure they meet the requirements. Customers’ identities and supporting documents are validated with thorough checks. As part of the onboarding procedure for new users, almost all businesses perform KYC checks. KYC compliance is a requirement of the majority of nations by law.  Using digital methods for KYC verification allows the procedure to be complete and adheres to all KYC user verification guidelines. Electronic KYC verification is using online platforms in the digital world, and new technological advancements have made it simple to implement internationally.

Businesses’ Problems with Customer Onboarding

Many businesses understand the value of eKYC onboarding and want to implement it in their daily operations for customer enrollment. However, they are unwilling to acquire them due to the lengthy detection process. Consumers dislike visiting corporate offices and other official places to get their identities verified because it takes a long time and is complex. Furthermore, they are motivated to use preventative measures to protect both themselves and their clients. due to the threat posed by forgers and fraudsters. Before enrolling employees and customers, banks, financial institutions, government offices, software companies, military buildings, agencies, etc. must all have IDV.

E-KYC – Online Customer Identity Verification

The onboarding procedure is undergoing a complete evolution because of e-KYC. A user’s identity can now be more easily verified online thanks to the development of new technologies. The processes for online user verification use a variety of technologies to check customer legitimacy. Using live video conferencing, the user can verify their biometrics, check their online documents, and verify their recorded videos online.

Biometric Verification

The user’s biometrics are a secure method of identification and verification for an individual and can’t be photoshopped by fraudsters. KYC verification engines are using new digital biometric features successfully to authenticate user identity. Fingerprint scanning is secure and was one of the first biometric technologies used, it is commonly used in e-KYC systems. Many online systems use it to verify users’ fingerprint impressions. Facial scanning is a relatively more recent technique than fingerprint impressions that uses the user’s face for identification and verification. It is one of the better mechanisms of verification. Other secure techniques, like iris scanning and retinal identification of the user, are also used in some less well-known systems.

Documents Analysis

Verifying documents is essential because it gives users their identity proof. User documents can also be scanned and checked digitally through online systems. The user’s documents are thoroughly evaluated by these two modern technologies – artificial intelligence and optical character recognition. Modern document processing systems are now so effective that they even perform validation checks on the documents to look for any indications of fakery or forgery. An essential component of the KYC checklist is the document verification procedure. By combining hardware for document scanning with software for document validation and verification.

Video Verification

The user’s video identification is used for customer verification in the following stage of the E-KYC verification process.  The customer must upload a recorded video of high quality to the online platform with the user’s face properly exposed. To safely verify the identity, the customer’s face is confirmed from the video. In order to conduct E-KYC checks, recorded video proofs are used, which reveal users’ identities.

Liveness Detection

Real-time face liveness verification of the client is another technique for confirming the legitimacy online. The client must personally meet with the officials to complete the verification cycle for the manual KYC check. The identical scenario is done online via an internet video conference between the user and the verification agent that the company has deployed.

Concluding Remarks

A contemporary method of identity verification check is the e-KYC solution. In support of this approach, modern tools and techniques, such as biometric scanning and video identification, are being used digitally. Video conferencing between a client and an organization, and document online verification, offer an effective method of handling user data.