The pandemic has forced all businesses to adapt to a digital model. From hiring to banking, almost all companies now have to adapt to remote working. While several sectors have adapted, banks are one of the few that have yet to integrate remote alternatives for all their services. The digital KYC process poses several challenges for banks. One of the major concerns is identity theft which can easily be achieved by spoofing. While various software has been developed which use self-learning AI to verify customers and weed out any fraudsters, there is always a risk.
This is one of the major reasons why banks prefer to rely on real-time verification methods. These methods are expensive and time-consuming. However, with the introduction of video KYC, banks can use a remote customer onboarding method which has the benefit of both real-time verification and digital KYC.
What are the benefits of video KYC for a bank?
- Video KYC will save time
Currently, real-time verification can take anywhere from one hour to three weeks. This depends completely on the available workforce in the bank and the number of customers onboarding per day. However, with the integration of the video KYC process, banks can work to complete the identity verification process of several more customers during the day. This enables greater working efficiency and productivity of the bank.
- Video KYC will save money
Real-time KYC requires a workforce. Regardless of the size of the bank, they need to hire agents who will cater specifically to completing KYC for the customers. However, if this were to be replaced with software, the agents could be relocated to focus on other jobs. This allows for saving money while adhering to the social-distancing rules currently in place.
- Customers can complete KYC at their convenience
Real-time KYC for banking usually depends on the agent’s schedule. This requires customers to either book a significant portion of their day for the process where they cannot engage in other activities. However, video KYC allows customers to complete the process at their convenience. The geo-tagging feature is available in various onboarding software to ensure that the customer isn’t spoofing and is abiding by the location regulations of the bank.
How does video KYC work?
The process is quite simple. The bank has to first provide an online form for the customers to fill in all their details. The bank can further include verification steps like OTP verification or email verification before the customer is directed to Video KYC. Once their ID card is verified, they can book a video call appointment according to their convenience.
The customer is required to provide their geolocation while conducting the call so that the bank can verify the location. The software will provide a liveliness check and OCR verification to ensure the customer is not posing as anyone else.
Choosing the right Video KYC software can simplify the onboarding process for a bank. While there is much software available, the best out of all is created by Abdul Masood. It includes real-time liveliness check, facial recognition, video and forensic spoof detection as well as geo-tracking. You can find out more details about their product by visiting the website and contacting over email.