7 Reasons Why ID Verification is Imperative

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7 Reasons Why ID Verification is Imperative

There are a number of reasons why ID verification has to be performed and why it is necessary.

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With the increase in scams, frauds and identity thefts in the recent past, digital verifications have become imperative. This is because of the level of security provided by the digital verification solutions. Verification services provide a supplementary level of security to the businesses as well as make the businesses compliant with regulations.

What is ID Verification?

ID verification underlines numerous core processes associated with financial services. Banks are required to ask their customers for their IDs for robust identity checks. This is done to protect the finance of the users and meet regulatory compliance demands. By verifying if the given ID is authentic or not, the validity of a user is confirmed.

Need for ID Verification

ID verification is imperative because of a number of reasons. Apart from mitigating frauds, ID verification provides a more streamlined process and allows businesses to have more accurate information.

Stop Fraudulent Activities

ID Verification is imperative to stop fraudulent activities and mitigate fraud. A 2018 survey of the Office for National Statistics estimates that a person is more likely to be a victim of fraud or cybercrime than of any other offense. According to the study, 10.5 million crimes including fraud and computer misuse were reported. The crimes of fraud and computer misuse account for almost half of all the crimes in the region. This is why in order to make sure that your business remains fraud-free, robust ID verification is required. Crime has an inclination to seek the path of least resistance and a platform that bases its customer accounts on verified identities has a far higher barrier to fraudsters than a competing platform that does not verify identities.

More Accurate Analytics

When using ID verification solutions, it is obvious that the more accurate the information is the more accurate the analytics. Most businesses are run on metrics that are determined and tracked through analytics. Through verified identities, the data that goes into analytics becomes more accurate. People may submit wrong data about their ages and other statistical information when they sign up for a service. ID verification works to prevent that.

Trust and Safety

ID Verification plays a huge role in developing trust and safety both for the customers as well as for the businesses. This is particularly important for businesses that create value by facilitating connections, interactions and transactions between end-users or between businesses and end-users. It is also true that building trust has simply become a cornerstone for a strong and successful brand. This is where robust ID verification comes in place. By reducing fraud, bad actors are kept off the platform which in turn improves all aspects of trust and security.

Streamlined Process

Online ID Verification provides a streamlined process for verifying and authenticating customers. Through manual ID verification, the process becomes long and laborsome with experts sifting through large piles of documents and obtaining information from a number of other sources to authenticate a customer. This makes identity verification difficult to achieve. With digital identity verification, processes are streamlined which eventually makes it very easy for businesses to quickly and easily verify their customers.

Age Verification

According to recent regulations, it is very important for businesses to verify the age of their customers. This is where ID verification comes into play. By properly authenticating the validity of an ID, the client’s identity is verified. In this way, underage customers are easily identified and can be stopped from buying age-exclusive products and services.

Protect Your Brand

By providing robust ID verification services, your business develops a reputation of credibility and trust. If your business doesn’t have a proper ID verification solution integrated, customers may not trust your brand. Without ID verification solutions, your business is susceptible to identity thefts and frauds as well. This is why it becomes imperative to integrate ID verification solutions to protect your brand and its reputation.

Regulatory Compliance

Regulatory compliance plays an important part in the need for ID verification services for businesses. In order to be Know Your Customer (KYC) compliant, businesses and financial institutions have to properly verify their client’s identity. This can be seamlessly done through robust ID verification services.