eKYC (Know Your Customer): 5 Providers to Assess Client's Risk Profile

Depending on entity's business, requirements and customer's nature, there will be more appropriate eKYC providers. Let's explore first some benefits for Financial Institutions and Clients:

Digital KYC: Benefits for Financial Institutions

eKYC methods have multiple benefits for financial institutions such as:

• Cost Reduction: Achieved by saving time and requiring less resources than physical documentation, verification and storage.

• Faster Onboarding: eKYC processes take less time. This means, a financial institution can onboard more clients with less resources than ever.

• Security Measures: With most eKYC solutions, one can expect advanced technologies such as facial recognition and digital signature for documentation helping to reduce fraud.

eKYC: Benefits for Clients

eKYC methods have a multitude of benefits for the customer as well, such as:

• Convenience : Customers can now complete their KYCs from anywhere they want, at any time, using their mobile phones or computers.

• Data Security: Such KYC solutions ensure that there is a minimal risk of data loss, and therefore, it is also more secure for both clients and financial institutions.

• Better user experience: digital processes use real-time feedback and transparency, work from any location at any given time, and are much easier to work with.

Choose a Strong eKYC Solution

A strong digital KYC should have multiple components together for security, compliance, and efficiency. Take this into account:

• Identity Verification: It should offer facial recognition and document verification to authenticate the identity of the customer with the ID documents online.

• Liveness Detection: The process is for verifying that the person under observation will be a live person at the time of completing the KYC process.

• Data Security: Strong encryption mechanisms to protect the data of the clients.

• Compliance Management: The software should have record maintenance and management of KYC documents to comply with the regulatory requirements.

3 Digital KYC Softwares

• Shufti Pro: This application offers identity verification, document scanning, and liveness checks. It uses AI and multiple tools to provide a great customer experience.

• Jumio: Providing identity verification, eKYC and compliance solutions powered by AI. It helps financial institutions (and companies from other industries) increase account opening conversions, while simplifying the identity verification process.

• Trulioo: Offering a global platform with in-house verification tools, helping wealth management comply with their onboarding requirements, KYC and AML regulations and providing secure and better client experience.

Choose the one that best helps your business

How to choose the best software for your business? Take the following into consideration:

• Security Features: The software offers strong features for data encryption, documents storage and compliance, following all data privacy laws.

• Verification methods: Software should have verification processes for document scanning, facial recognition, and liveness detection.

• Scalability: You may need to consider a solution that can grow with your business.

• Easy Integration: Make sure that the software can easily integrate with your platform (easy to use API documentation)

• Compliance: Make sure that the software will be compliant with the KYC and AML regulations in your respective markets.

Will KYC Go Paperless?

Nowadays, financial institutions are using more and more digital KYC processes due to the advanced technologies and secure digital methods. And with a boom in the digital space, the role will become important to keep a secure and compliant financial ecosystem.