If you are not yet using video identification in your contracting processes in your company, you are wasting time and maybe money as well. In this post we tell you what eKYC (electronic Know Your Customer) technology consists of, which sectors use it, why and how it works.
What is video identification in eKYC processes?
Many companies need to reliably identify their customers the ability to identify a person virtually streamlines processes and helps to provide the service faster.
The KYC process is carried out to identify a client, that is, a series of controls to make sure that the clients are genuinely who they claim to be. This process can be done both face to face and online. When we talk about electronic identification, we see that there has been a change from KYC to eKYC that drives the digital transformation of companies.
The goal is to create secure remote customer identification processes, so that the commission of a counterfeiting crime is not possible.
eKYC video identification process is as follows:
The whole process is video recorded.
- The client positions the front and back of its identity document, passport or driving license in front of the webcam
- Then he takes a selfie.
- Artificial intelligence performs a biometric analysis of the images to verify that the photos of the identity document and that of the selfie match.
- The system gives a result on the validity.
- Finally, if the result is positive, the user is registered in the customer’s database.
What industries use video identification and why?
Currently there are various sectors using video identification technology to register their clients. For example: banks and fintech’s, utilities, insurers, Insurtech and real estate.
The electronic identification process is not new to the financial sector, but due to the digitization of many companies, it has subsequently been implemented in the real estate sector and in other sectors, and is used especially in companies in the Proptech area where investment portals, B2B or B2C services provide their services remotely safely.
The reasons why video identification is used in these sectors are as follows:
- All the data of the process are kept date and time of the session, a copy of the video and documents, geolocation of the person and other technical data of the validation.
All the data is available for consultation if need it.
- To comply to applicable regulations regarding the Prevention of Money Laundering and the eIDAS Regulations.
- It is possible to use this technology anywhere and with any device (mobile, Tablet, computer, etc.).
- It is used remotely, thus promoting the corporate social responsibility of the company with regard to caring for the environment, since hard copies are not required and cutting down travel expenses.
The process is carried out within seconds, as opposed to KYC processes where physical signature was required, therefore the conversion ratio of the companies increases.
- eKYC video is integrated through a user-friendly API.
At Lleida.net we provide other solutions too:
- eKYC OCR reads ID cards, passports, driving licenses, and it returns the data. Take a photo with your smartphone or tablet of the front and back side of the ID card. The data of the ID as text, so that you can easily use it according to your needs.
- eKYC Docs eKYC Docs checks the validity of a passport/or ID card, thus preventing fraud. The process is carried out by analysing the ID or passport, checking the integrity of the document through an analysis of the MRZ lines comparing the document data, extracting, and classifying data and, finally, checking the expiration date of the document. As a result, you receive a report with all the analysis carried out.
- eKYC Photo. eKYC Photo verifies not only the integrity of the identity document, but it also compares the ID photo with the client’s selfie,
- eKYC Onboarding. eKYC Onboarding is the ultimate platform for remote identification by videoconferencing for onboarding processes, especially aimed at the financial sector.
In short, eKYC video is a process that streamlines your business processes when it comes to identifying your prospective customers enhancing their satisfaction and increasing conversions.
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