Online identity verification has become quite important as the world we live in becomes more and more digitized everyday. The process to verify someone’s identity effectively ensures that a person is who they say they are, and can be used for myriad purposes. General examples can be applying for a credit card or getting a driving license.
What Exactly Is Digital Identity Verification?
As technology helps us with digital infrastructure to connect the world in a more seamless manner from anywhere in the world, identity verification becomes essential for all kinds of businesses starting from travel to shopping, banking and more. The thing is that, with the flooding of data, it has become easy for scammers to mimic another person and take over their lives.
That’s why in today’s world, digital identity verification has long been the need of the hour. It’s something that can be used to establish someone’s identity when the person and their identifying documents are not physically accessible to the entity that’s verifying them. In addition to playing a role in Know Your Customer(KYC) process, digital identity verification also acts as a security measure for financial institutions to stop frauds, scams and money laundering.
The Identity Verification Process
When it comes to the actual process of verifying someone’s identity, there are many ways to go about it. Identity verification platforms use a mix of manual and automated identity verification technologies to establish identity in various ways. While the methodology may differ, the process always involves comparing the data that a person presents (such as a document, finger prints) with verified data set from a government or private entity.
- Biometric verification
Facial scanning technologies can be used to make sure that the biometric scans from a person’s selfie or video matches with that from the identity document that they have presented. This helps a financial institution verify that the document truly belongs to the person making a transaction.
- Automated ID Verification
Businesses can use automated identity verification by validating RFID chips, eIDs, and e-Passports, and authenticating the RFID chips with their devices’ NFC readers. This process can make the document uploads and form-filling much more streamlined and fast.
- One Time Password
A single-use code can be sent to the user’s mobile phone or email to authenticate a person to confirm a person’s identity every time they access their bank account or send money.