Video KYC Solution: Due to the growing number of fraud instances in FinTech and other industries worldwide, end-user authentication has become an absolute necessity. We can expect fraud in the financial to increase in the coming years, lowering the global productivity of banks and other enterprises.
Money laundering, data breaches, terrorism funding, and other crimes are increasing. These crimes increase the likelihood of illegal trade, bribery, market manipulation, massive corruption, and other grave criminalities. To resist, They developed a video recognition system for improvised customer authentication, eliminating the risk of theft in all organizations. A digital video KYC solution is better than the traditional one, validating clients remotely and helping firms comply with global regulations.
What is a Video KYC Solution?
There are many ways to conduct remote validation of the customers, but they may have drawbacks, take more time, or result in unintended errors. However, a KYC video solution, which is increasingly popular for remote verification and used in all business settings for rapid recognition in real-time, is one great alternative. Additionally, the video verification system makes it very easy for all enterprises to enroll only reliable customers by digitally validating them through video calls and document authentication. It is the most straightforward and essential verification method, and KYC verification makes real-time client onboarding possible. Video identification is the most secure method for assisting Fintech institutions in building a legitimate clientele.
Additionally, it implements manageable KYC/AML compliance when screening customers in a digital firm. The video KYC process involves performing live KYC to ascertain the individual’s documentation. In addition to verifying customers’ identities in person, the KYC expert also asks them several questions while monitoring their behavior to check their authenticity.
How Does Video KYC Solution Differ From Conventional One?
Individuals can employ various methods to complete their KYC procedure for money transfers and other purposes. As was previously mentioned, the Know Your Customer (KYC) approach verifies clients through a video chat by regulatory bodies’ guidelines. Still, in the typical KYC process, consumers submit a selfie taken at the time, in addition to the entry of other information.
Why is Video KYC Solution Beneficial For FinTech Companies?
By ensuring consistency between customer satisfaction and digital assurance, the KYC video solution ensures regulatory compliance for the financial industry. The video-based KYC has notable benefits for financial technology businesses, including the following;
Save Time And Money
Fintech companies use video KYC verification as a quick and economical method to digitally check their customers’ individuality.
Revamp Digital Security
A video recognition system reduces the risk of fraudulent activity and bad actors using forged identity information or documents to enter the digital financial system. This video authentication system checks an individual’s body language and analyzes the details in real-time to stop digital intrusions.
Follow KYC Regulations
Fintech platforms comply with the obligations of regulatory authorities to prevent financial losses by using live video identification.
Boost Customer Experience
The video-based KYC technique can verify an individual’s identity by displaying identification documents in front of the camera and responding to a few of the KYC authority’s queries. The customers’ details can be validated on-the-fly using facial recognition and document validation.
Every financial and banking firm must carry out an authentication process and customer assessment before onboarding them. Such institutions must use technologically sophisticated verification solutions to combat the rising possibility of money laundering and fraudulent transactions due to the emergence of new online services provided to clients.
A robust video KYC solution allows a strict identity verification method for enrolling remote consumers. Financial and banking companies can buy video KYC solutions to onboard clients smoothly. Complete video KYC services use face recognition and liveness detection to effectively authenticate customers and guarantee the clients’ live appearance during the meeting. It can assist them in keeping both their activities safe and the clients satisfied. A robust verification system that complies with regulations and provides better security to firms, whether in a bank, healthcare, or ecommerce sector, is exactly where the video KYC solution came as a hope.