Is Video KYC process an effective solution for creating a secured verification system for businesses?
Yes, it is one of the best ones. With AI getting in the hands of criminals for fake videos and spreading misinformation, it is vital that a live detection system is integrated.
Approximately 20% of US citizens were a victim of identity fraud in 2021. (Consumer Sentinel Network)
Identity theft is on the rise.
In this blog, we will explore the video KYC verification process and its benefits for businesses and customers alike.
A Brief Intro To Video Kyc Verification
Let’s start by breaking down the term into individual parts to define it better.
What is KYC?
KYC, or Know Your Customer, is a process that businesses and institutions use to verify the identity of their clients or customers. It is a crucial component in combating fraud, money laundering, and other illegal activities. The KYC process involves collecting personal information from the customer, such as their name, address, date of birth, and government-issued identification documents, to establish their identity.
Ways It Can Be Done…
KYC verification can be done through various means, including in-person verification, document verification, and more recently, video KYC verification.
Video KYC verification:
Video KYC is an innovative technology enabling businesses to remotely verify their customers’ identities using live video calls. This method ensures accuracy and security and offers a more convenient and efficient way to complete the verification process.
KYC video identification VS Traditional Verification
|TimeVideo allows companies to convert time consuming verification processes into instant security systems. Rather than going through physical documents to match the user’s face to the data it is easier to call and authenticate.||TimeMore time consuming. It might take weeks of processing.|
|AI-poweredAI backed up tech with self learning machine language assists tools to update and verify users in an instant.||Manual Manual requires employees which can create inconsistency and demand higher budget.|
|Error-FreeIt removes the error caused by human’s carelessness or mistake.||Human ErrorTraditional is getting replaced to eliminate human errors.|
|Identity ProofingInvestigates identities by validating information against local and global databases.||Low accurate proofing Verification and data validation is less accurate.|
|Identity Deep FakesIdentity thieves are also evolving their methodologies with time. Submission of recorded videos can easily be faked with new deep fake videos. Live video verification fights against this.||Susecptible to identity theft Without security checks and tools to fight against identity theft, companies can become weak to crime.|
|Location Freedom This has opened gates to easier onboarding at a global level. On-site interviews or verification got replaced by live video sessions that gave businesses time and location freedom.||Location constraintIn traditional you might need to physically invite customers or clients.|
Best & Effective Practices For Video Identification
In today’s world of fake news and misinformation, video verification has become an important tool for journalists, fact-checkers, and others who need to verify the authenticity of videos. Here are some best practices and techniques for video verification:
The first step in video identification is to verify the source of the video. This can be done by checking the social media accounts of the uploader or contacting them directly to ask for more information about the video.
Check for inconsistencies:
Look for any inconsistencies in the video that may indicate it has been edited or manipulated. This can include changes in lighting, sound, or camera angles.
Metadata is data that is embedded in the video file that provides information about the video, such as the date and time it was recorded, the location, and the camera used to record it. Checking the metadata can help verify the authenticity of the video.
Seek expert opinions:
Reach out to experts in the field or people who have knowledge about the subject matter of the video to help verify its authenticity. This could include academics, engineers, or other specialists.
Use reverse image search:
Use reverse image search tools like Google Images or TinEye to see if the same video has been uploaded elsewhere or if the images within the video have been used before in other contexts.
Consider the source’s bias:
It’s important to consider the bias of the source when verifying a video. If the source is known for promoting conspiracy theories or spreading fake news, it’s more likely that the video is not authentic.
Common Challenges In KYC video Faced By Companies
Financial institutions and other companies use the “Know Your Customer” (video KYC) process to employ video conferencing to confirm the identification of their customers. Despite the fact that KYC video provides a more practical and effective approach to authenticate consumers’ identities, there are still a number of obstacles that organizations must overcome for it to succeed. Some of these are:
- Poor internet connectivity
- Security concerns
- Customer convenience
- Compliance with regulations
- Technical issue
Conclusion: How Video Kyc vendors Are The Way Forward
Video kyc vendors are a valuable asset for businesses, especially fintech companies. With digitalization, cybercriminals are also developing new ways to breach the security systems. Therefore, for a safer future, the video kyc process will get more updated with integration of enhanced biometrics and efficient AI tools.