KYC is essential for organisations dealing with personal data when onboarding new customers. But too often, identity checks and document verification rely on manual checks, outdated procedures, or legacy systems.
By harnessing technology behind automated KYC processes, companies can improve operational efficiency, reduce the cost of administration, and position themselves as highly compliant and trusted providers.
Outdated KYC practices hamper business potential
Regardless of how well an organisation’s service or product might serve its clients, its business won’t reach its full potential if its customers face a high barrier to entry.
Traditional KYC procedures include complex forms and require in-person verification, making the entire process inefficient, prone to human error, and costly. Customers become justifiably dissatisfied with lengthy onboarding making them turn to a better-equipped competitor.
Lack of digitisation and alignment of data systems throughout the business adds to the difficulty of managing data loads. Likewise, fragmented storage and siloed data management limit the transfer of information that should otherwise power your business.
Managing sensitive information for business purposes is subject to increasingly strict standards. Errors that arise from bad KYC could increase the risk of identity fraud, system hacks, and exposure of sensitive data, all incurring a heavy financial toll. Last year we witnessed record-breaking fines issued to banks, gaming platforms, and crypto exchanges for not complying with the latest KYC/AML standards.
For best business results, a KYC system should:
- Comply with increasingly demanding regulations
- Focus heavily on security to prevent hacks, attacks, and data breaches
- Ensure data hygiene with accuracy, reliability, and no risk of human error
- Provide great user experience and frictionless onboarding to increase conversion rates and financial gain
- Help bring unnecessary costs down where possible
- Seamlessly integrate into daily processes to support higher efficiency of your staff
- Be automated to the greatest extent possible
With the right technology, all this is achievable. Here is how Scantek can help.
Document type identification
With an increasing occurrence of fraud, organisations must verify the presented documents and confirm them as legitimate and trustworthy. Scantek combines AI and machine learning to detect fake or invalid documents, comparing them to a vast database. In case of a discrepancy, the system administrator is notified, enabling fast and reliable detection of falsified documents.
Face matching & Liveness detection technologies
According to The Australian Competitor and Consumer Commission (ACCC), identity theft has doubled from 2019 to 2020 and continues to rise. For untrained staff, it could be hard to tell whether two different images represent the same person. Scantek’s biometric technology looks for similarities between two facial images. After performing facial detection, it converts the image into digital information and compares it to a reference photo. The comparison delivers results even in the most challenging conditions, such as strong or weak lighting, motion blur, and the physiological changes in a person’s appearance over time.
Identity thieves and fraudsters keep inventing creative ways to mimic a real person. Scantek’s liveness detection relies on AI and machine learning to help determine whether a new customer is an actual person helping to improve biometric KYC procedures by delivering higher accuracy and reliability.
OCR technology
Manual data entry is slow, prone to errors, requires intense focus, attention to detail and large overhead budgets. Optical character recognition (OCR) extracts digital data faster and more accurately by converting typed or printed text from documents into machine-readable data. Scantek’s advanced OCR combines pattern recognition, AI and computer vision to improve verification and recognise more than 1000 identifications.
Reliable KYC solutions optimising operational efficiencies
KYC practices are now standard in many industries, but their existence doesn’t mean they are optimised. Robust KYC solutions managed by advanced technologies can help businesses increase value with:
- Higher efficiency through faster and more reliable detection of document type and included data
- Better accuracy through secure automation of data and guaranteed transparency from source to destination
- Improved security through enhanced biometrics and prevention of identity theft, data hacks, and fraudulent activity
- Enhanced data safety through compliance with the latest regulations and strict legal standards
- Broader usability through quick recognition of different documents and implementation of advanced data protection technologies
An investment that pays back with interests
KYC is a process that influences several aspects of doing business. While necessary, manual KYC can and will take its toll. Scantek brings a two-fold advantage to your business. First, our comprehensive SDK supports businesses in offering better products and services. And second, its functionalities allow businesses to serve their customers with the best onboarding tools, ensure their safety and optimise their internal processes.
To find out more about our KYC Compliant solution and how it can benefit your business, contact us today!