Every business dealing with sensitive consumer data has to take security seriously. According to recent reports, identity theft is fast-growing and generating losses of up to 17 billion dollars globally. Therefore, precise identity verification is turning into a critical part of Know Your Customer (KYC) regulations.
Your organization stays compliant by integrating proper processes and technology for ID verification. This also helps increase consumer confidence in your brand since you are protecting their personal information. Every business needs to arm itself with technology designed to protect them and their consumers from malware and viruses that aid in ID theft.
Luckily, identity verification technology is rapidly evolving to keep up with the growing threat of ID theft. New tools with stronger security measures can help many companies confirm a consumer is who they say they are before completing a transaction. Today, we take a look at three trends in identity verification.
Businesses are looking towards power biometrics integration to help mitigate the risk at a time when identity fraud is on the rise. Using biometrics technology, companies can verify client identities through social media accounts, iris scans, geolocation, fingerprint, and facial recognition. In most instances, businesses can combine multiple methods of identity verification to increase recognition accuracy.
An excellent example is in the mobile phone industry. The iPhone 5s, for example, came fully equipped with fingerprint technology to help safeguard the user’s identity. Later on, Apple Inc rolled out iPhone X with state-of-the-art facial recognition to further increase security.
Mobile phone technology is slowly ensuring that consumers get used to fingerprint and facial recognition technology. Businesses can start integrating them as part of their identity verification processes once the feature becomes mainstream.
Integration Compatibility with Current Processes
Although identity verification is a critical component for most organizations, it can be rather costly — and unjustifiable — to make large-scale changes to core processes. Therefore, these establishments are looking for ways to mitigate identity fraud using their current processors. You also can’t overlook the potential ramifications of changing an entire system, especially for banking institutions.
Therefore, these new technologies designed to improve ID verifications need to be compatible with the current processes. All potential integration issues need to be uncovered and corrected through vigorous testing before launch. Doing this also ensures the identity verification technologies work upon implementation without any glitches. Most businesses don’t have the time and resources to resolve bugs for months before gaining full access to a system.
Consumer Concern Spearheading the Need for Change
According to FICO’s report, 44% of American consumers list banking fraud and ID theft as their top concerns. It further highlights that ID theft is also a massive concern for financial institutions, with losses of about 16.8 billion dollars every year. Therefore, there is no denying that something has to be done about identity verification.
Multiple identity verification software and tools are being designed constantly to help meet the market demands. Although the ID security threat is on the rise, new technologies to mitigate the risk are on its heel. The push by consumers to drive change in identity verification ensures we have a more secure online sphere.
Use Enformion’s Customizable Solutions to Verify Customers
Are you looking to prevent fraud using the latest technology in customer identification? Enformion can help safeguard your bottom line with powerful intelligence and convenient access to our identity verification process and service. Start your free trial today to advance your business forward.