The digital future
Identity verification services are the ideal combative approach to dealing with fraudsters. It has become a requirement to streamline the onboarding process for high-risk targets like banks and insurers. Though, these are not the only industries vulnerable to fraud threats. In fact, as new digital opportunities start trending, like the current trend of buy-now-pay-later (BNPL), the need for digital identity verification continues to expand into new markets. In an interview with The Paypers, Mark Heymann from Direct Transact mentioned that the expected compound annual growth of the digital payment market is estimated at 19.4% from 2021 to 2028, with a value of almost USD 240 billion. Unfortunately, the rise in digital payments is a direct motivator for the rise in online fraud, and businesses without protection are facing the risk of detrimental financial loss in more ways than one.
When it comes to fraud, the potential for loss is far greater than most businesses anticipate. Not only is there financial loss that comes with fraudulent transactions, but there is also the risk of loss due to non-compliance. It is the duty of the business to maintain Know Your Customer (KYC) compliance by implementing the relevant digital verification software in order to limit fraud. Businesses that do not comply with these regulations are susceptible to substantial penalties imposed by the South African Reserve Bank. Thankfully, the use of digital identity verification in the onboarding process establishes a foundation for sufficient protection against fraud and non-compliance threats, as well as offering other beneficial functions.
Benefiting from identity verification services
As the need for fraud protection grows, many businesses are turning to digital alternatives like online ID verification, allowing them to experience true convenience and security.
A key component of business is trust between the company and its clients. However, the rise of fraud has also increased uncertainty when dealing with the digital identities of clients. By implementing identity verification procedures, businesses can verify identities in an instant, alleviating any uncertainty when dealing with customers by avoiding the risk of onboarding or transacting with individuals using false IDs.
Save time and money
The manual verification process is considerably longer in comparison to digital processes. Choosing the digital route will allow businesses to cut down the time it takes to verify identities through real-time verification. These services will also provide financial protection, minimising the risk of fraudulent transactions by preventing fraudsters from entering the business’s system from the get-go.
Abolish Manual Processes
Digital verification services are efficient, convenient, and accurate. As the process involves online ID verification – a much faster and organised way to manage client information – the need to handle physical documents is eliminated. As quickly as the process starts, the information is retrieved from Home Affairs, accurately determining if the client’s details are falsified.
Though some businesses are hitting the brakes, the move to digital is inevitable, and with digital processes comes a responsibility to your clients and your business’s security. Stay ahead of the curve and start benefiting from digital identity verification today.