In 2020, demand for online document verification


Everyone’s lives have changed as a result of the digitalization era. The coronavirus pandemic accelerated the trend of virtual collaborations and networking in 2020. Consumers and businesses must be mindful of frauds because convenience is available everywhere. The streets are no longer swarming with con artists. For their nefarious goal, they’ve also gained digital document strategies.

Scammers were able to hide and intimidate individuals more easily as technology was introduced. Consumers aren’t the only ones who are having problems these days; businesses are as well. The number of data breaches reported in 2019 was 54 percent more than in 2018.

Theft of one’s identity

Another common fraud that emerged earlier this decade is identity theft. It is one of the top five scams in the globe this year. Fraudsters utilize lawful people’s information for unlawful actions such as money laundering. Last month, a lady was arrested for identity theft in the United States, while the Employment Development Department (EDD) in California nabbed 87 individuals.

The takeover of an account

Account opening and account takeover frauds resulted in higher losses for 57% of businesses. Account takeover is an online version of identity theft in which the perpetrator obtains and misuses the victim’s personal and financial information via internet resources. Bots are commonly used to get unauthorized access to information; consequently, online client verification can eliminate this risk.


A chargeback is a kind of credit card fraud or transaction reversal that is forcefully initiated by the culprit. Someone can steal your credit or debit card information and use it to purchase any product or service. Because you (the original user) were not the one who made the transaction, claiming the money back will not harm you, but it will harm the business. It not only loses money but also the product or service.

Organizations’ All-in-One Solution for Document Verification

It is difficult for businesses to prevent cybercrime because fraudsters are employing artificial intelligence and other technology advancements in their schemes. The basis of all scams is customers who are onboarded without verification, and firms should consider checking consumers to filter out fraudsters before they cause problems. Document authentication is one of the most successful methods, in which a company’s KYC specialist confirms the document’s legitimacy. The company has the right to refuse a client’s application in the event of a forgery or any other issue.

Businesses that provide financial services are required to comply with these regulations and work in accordance with them.

One of the many requirements requires businesses to conduct “customer due diligence” prior to bringing on new clients. This is primarily accomplished through verifying the clients’ identities. Customer verification can be accomplished in a variety of ways, one of which is through document verification.

The ‘KYC Process’ is the formal name for the customer identification process. It has virtually always been done in person in the past. Customer verification is now carried out online, thanks to technological improvements.

What is the process of online document verification?

The following are the steps involved in an online document verification:

Prior to doing document verification, a business’s website must have some sort of identity verification solution incorporated.

Customers must submit or capture images of one of their identity documents in real-time in order to be onboarded on a certain platform.

The information would subsequently be captured using OCR technology by the software or identity verification solution.

The extracted information is examined in order to verify its authenticity.

After the information has been confirmed, the results are instantly communicated with the consumer.

The user’s identification is validated based on the results, which are dependent on the legitimacy of the papers.

This is how a document verification system for identifying people works.

Document types supported by a document verification solution

It’s worth noting that only government-issued documents are subjected to document verification. Specifically, photo-based identity documents such as a passport, driver’s license, and bank-issued debit or credit card.

Both the good and the bad coexist. In the case of identification verification, this is also true. Fraudsters sometimes utilize document verification to prove the legitimacy of identities in order to perpetuate digital crimes.

The following are some of the most common forms of phony documents used by fraudsters:

Documents that are illegitimate:

 Documents that are illegitimate are wholly bogus. They are devoid of the basic characteristics of a real document, such as holograms and other basic features of a real or valid document.

False documents: 

A false document is one in which the fraudsters try to imitate the authenticity of someone else’s legitimate document in order to gain access to it.

Modified documents: 

As the name implies, this is a type of phony document in which the information on an original document has been misrepresented. A change in fonts and writing styles is part of the Modified document type.

Is it true that document validation services are beneficial?

The accuracy of document verification differs from one service to the next. Overall, though, it possesses a sufficient level of accuracy. In terms of time and resource use, it is faster and more efficient. It allows internet businesses to verify their consumers from any location on the planet. Importantly, it is a much less arduous procedure than traditional verification, ensuring that the customer experience is at a minimum acceptable level of happiness and ease.

Are you familiar with your customers’ documents and how they are used?

Know your customer (KYC) is a term used frequently in banks and financial institutions to describe the process of verifying a customer’s identity when working with them. Financial institutions need digital payment service providers, banks, and financial institutions to have clients know your customer procedure completed before granting them access to all services.

It is critical to understand your client verification processes in order to prevent illegal actions such as money laundering, corruption, and bribery.

It assists authorities and businesses in keeping track of client activity and detecting criminals before they become a problem. Aside from a legal standpoint, performing know your customer helps businesses keep crooks out of their networks. 

What is the significance of Know Your Customer (KYC)?

Bankers can use Know Your Customer to ensure that the app and other identity delegations provided by users are genuine. Because of cases such as money laundering and money withdrawals from bank accounts, it is critical to authenticate a client’s identification in order to avoid fraud.

Know your customer has been in use for many years, and all clients must follow and understand the rules.

As a result, financial institutions have been implementing manual know your customer, which necessitates a great deal of human verification due to the possibility of human error. Unwanted faults in these processes could result in significant financial losses for businesses. Banks and other financial institutions must take a more proactive approach to customer verification.

Organizations may onboard and secure clients in real-time by inquiring about automobile systems. Manual onboarding can be tedious, and it can lead to the loss of legitimate clients or consumers.

KYC Verification in the Digital Age

Unlike manual labor, which requires the user to fill out enrollment papers and attach papers, digital know your customer only asks the consumer to upload a photo of a valid ID.
Using OCR technology, the data from the document is automatically extracted.

The extracted data is transferred to an AI-powered system, which collects the data and verifies whether it is correct. To improve accuracy and offer correct results, artificial intelligence and human verification are used.

Who knows if your client’s documents have been accepted?

Because the documents required for verification differ depending on a country’s standards, some general documents are accepted in practically every country.

Most countries and mandatory authorities require the following information for authentication:
Name (first and last)
Number of identification
Number of the document
Postal Code
Year of birth
Photograph of the customer
problems with the document
Expiration date
Nationality is a term used to describe a

An artificial intelligence document verification system also checks for the document’s authenticity to ensure that the submitted document is real and has the necessary data.

Verification of digital documents

Unlike manual labor, which requires the user to fill out enrollment papers and attach papers, digital know your customer only asks the consumer to upload a photo of a valid ID.
Using OCR technology, the data from the document is automatically extracted.

The extracted data is transferred to an AI-powered system, which collects the data and verifies whether it is correct. To improve accuracy and offer correct results, artificial intelligence and human verification are used.

To Sum It Up

Getting honest clients on board is one of the most difficult problems because fraudsters are constantly developing new ways to accomplish their wicked ambitions. Individuals all across the world have reported phishing attacks, identity theft, synthetic identity theft, and mobile. Instead of enrolling fraudsters with legitimate clients and embracing frauds, combating these difficulties necessitates comprehensive document verification in order to develop healthier partnerships. To summarise, knowing your customer is critical for financial institutions and banks and using digital verification to know your client is critical to preventing fraud and theft. It will also improve security, protect user safety, and, most significantly, improve user experience.


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