The evolution of digital platforms is attracting millions and billions of users. Seeing such a trend of users on online platforms, businesses are proactively shifting their operations online. This increased online presence of users if on one hand is resulting in higher sales then, on the other hand, poses a serious threat to individuals and businesses. The readily available user profiles on the internet and now online transactions are bringing up new opportunities for the fraudsters to fulfill their malicious intentions and make extra cash.
The rise in identity theft, data breach incidents, money laundering, and digital financial crimes is evidence of how vulnerable organizations and customers are in the digital sphere. The core factor driving the growth of such frauds and crimes is the lack of proper security measures to verify the identity of individuals. A digital identity of an individual is worth millions and the misuse of identities is a heinous crime.
‘Prevention is better than cure’ is a common prover; the same thing goes with the businesses as well. Putting efficient security measures in place for fraud prevention is way better than coping up with fraud loss. AI-powered online identity verification service is an effective way to prevent digital frauds from occurring without affecting the customer experience.
An integral part of KYC
Considering the rapidly growing trend of digital frauds and financial crimes, the regulatory agencies are taking hold to curb them. Through the introduction of Know Your Customer (KYC) laws, regulators have made this compulsion for every business dealing with money to verify the customers’ identities before onboarding them. In the online world, identity theft is the most common fraud. Fraudsters and cyber criminals access the user account through social engineering, phishing attacks or any other illicit ways and misuse them for personal and financial gains.
It is essential to integrate services that can verify and authenticate users’ identities in real-time to detect fake identities and preventing them from accessing the system or further services. True identities build trust among businesses. ID verification solutions facilitate the companies and businesses to keep fraudsters at bay and successfully comply with KYC/AML regulations.
Replacing the traditional authentication methods
Identity verification services are replacing the traditional authentication checks and proving to be more efficient in authenticating users. Passwords and knowledge-based authentication have been used for years for this purpose but technological advancements have made them a weak line of defense against the fraudsters. The reason is they can be easily exploited, hacked or stolen through phishing, social engineering tactics, and brute force attacks.
Unlike traditional checks, identity verification services validate the user identities in real-time ensuring the remote presence of authorized individuals. Services such as biometric verification and face verification use biometrics to authenticate the identity of the individuals and biometrics is something that can’t be stolen.
A strong defense against spoofing attacks
Online identity verification services are powered by hybrid technology of artificial intelligence backed up with human intelligence that not only secures businesses through fraud prevention but also protects against the different documents and facial spoofing attacks such as wrapped photo attacks, tampered identity documents, etc. Fraudsters are making good use of technology to fool the verification systems and gain access to the accounts.
Such types of attacks are really hard, in fact, nearly impossible to detect through a naked eye. ID validation through face verification ensures the remote presence of individuals through the liveness detection feature. This feature utilizes machine learning algorithms such as 3D-depth analysis and microexpression analysis to ensure that the authorized 2user is actually present during the verification process.