KYC or Know your Customer defines a set of legal regulations that make it obligatory for certain businesses to carry out processes that ensure the identities of their customers. This includes verification of their IDs and other documents via a third-party source.
The setup of these KYC service providers is a major requirement for all financial institutions, and many others as well. KYC documents verification is essential for them to be able to smoothly carry out their business.
Implementation and regulation of KYC is essential for businesses for a range of reasons including KYC documents’ verification being a legal requirement but also because it is a critical security necessity.
The general goals of KYC authentication processes include:
- Verification of users’ identities
- Keeping a record of these IDs
- Complying with the law
- Prevention of fraud, money laundering, and other financial crimes
- Ensuring the legality of customers and clients
- Building trust with the customers and offering them a good customer experience
KYC documents’ verification depends on the type of content that one may want to verify, as well as the goal of the verification.
KYC Document Verification Service in The Digital Age
In the past, KYC was carried out only in a few places. The process was arduous, and it was also difficult to produce accurate results.
However, today, in the internet age, the verification of identity documents, better known as Know Your Customer compliance or KYC, is important. This is to ensure that the transactions being carried out are secure. Furthermore, it also helps in the prevention of fraud. Having access to the internet has made our lives and our businesses much easier. Today, one can simply tap a card or take a selfie to verify their legality and identity.
Understanding KYC Documents in an Unjust World
The internet has made life simpler for most of us. From working with companies across the globe to being able to live cashless, today we can do just about anything with the internet and a phone or computer.
However, what happens once the signal goes down and internet coverage is lost?
In situations like this, access to Google becomes a luxury. Even today, there are many places that do not have access to digital services. Many can’t afford the internet, and many still live not having much of an idea about it.
Today, there are millions of people residing in remote areas. These people have lives very different from most of us. They are excluded from main society and do not have access to services ranging from financial services to the digital economy. However, creative solutions are emerging today and these are bridging the global digital divide as they bring the convenience of KYC documents to the offline world.
The Invisible Barrier and Challenges of Remote KYC
While the remote world has its benefits and charms, it comes with major cons when the topic is about digital access. Millions living in rural villages are unable to even open a bank account due to their lack of access to the internet as well as due to not having official documents. This is the life reality for many globally.
While in the past these places used traditional KYC document verification services, they can not do this today. This is because today almost all financial businesses make use of digital and even biometric data.
Setting up separate systems for a few limited rural regions is not feasible.
Another reason why traditional KYC procedures are becoming obsolete is that online document verification and databases are limited in such regions as they don’t have the necessary infrastructure and also have low digital literacy.
The consequences of ineffective KYC documents services due to these reasons are serious. For example, anyone can steal IDs or make fake accounts of those who reside in these regions.
Going Offline and Closing the Connectivity Gap
Where there’s a challenge, there’s an opportunity. While many KYC services might avoid low connectivity areas, some might go for the offline KYC approach. Offline ID document check system is an innovative solution that tackles the issue of remote KYC head-on.
Offline verification methods lead the charge when it comes to far-fetched areas of the world. When offline we can verify documents by using a portable scanner and some secure offline software. The scanned copies along with a KYC documents checklist are then stored on a safe device. Later, we can conveniently upload them to a central system once the internet is available.
Offline KYC documents verification makes it possible for tourists to feel secure too. They can present their passports and utility bills to authorities or trusted community leaders in far-off places. This can boost tourism by improving safety and security.
Furthermore, the living conditions of people in rural and cut-off regions can also be improved.
To Sum Up – Offline KYC Documents Management For the Win
Living away from the world of digital technology sounds like a peaceful retreat to most. However, the benefits of technology are immeasurable. Furthermore, for most of us, the dependence is too high and life without digital technology is simply not possible. ATMs and Internet banking are just one example.
Thus, in far-off rural places, it is essential today to provide the key life services that we have access to ourselves. Digital KYC documents verification offers an easy solution to living a safe life in remote areas by using the offline verification method.
