Digital identity verification: convenient and compliant, commissioned by Mitek and produced by Aite Group, describes the many benefits of using automated processes to verify identities for digital account opening, loans, and payments.
Key takeaways from the paper include the following:
- Identity crimes, such as application fraud and account takeover (ATO), are growing rapidly in the post-EMV market in the U.S.
- Digital identity verification can address these threats by capturing and verifying the authenticity of identity documents and by verifying that the person submitting the document is the legitimate customer by taking a selfie and comparing it to the photo on the identity document when applying for a new account or accessing existing accounts.
- Capturing and validating identity documents electronically can assist with Know Your Customer (KYC) regulatory compliance requirements as well as anti-money laundering (AML) requirements for payments.
- Verifying identity documents can assist with combatting organized fraud rings’ attempts to commit application fraud and ATO fraud schemes.
- Submitting an application for a new account or loan and verifying identity documents concurrently transforms this to a one-step process, which is simpler and more convenient for the customer, leading to higher levels of customer satisfaction.
- Capturing trailing documents digitally for proof of address or other required information streamlines the account opening process, thus improving the customer experience.