Online Document Verification – Preventing Financial Fraud
Online document verification makes it simple for companies to onboard new customers. Verified documents provide the identity proof of the person, which protects businesses from financial fraud. Document verification online eliminates in-person verification and becomes a valuable tool for remote onboarding.
Document verification is a critical part of the identity verification process. From the traditional method of face-to-face demonstration to the digital document verification service platforms, there are incredible benefits to conducting that process.
Businesses can prevent financial scams by converting the physical document verification process into digital. Consumer Affairs report that in 2022 more than 1.1 million total identity theft cases are reported, from which 30 to 39 years old become the most victims in the U.S. The most common ID thieves use another person’s personal information to open a new bank account with forged documents.
In the digital era, tons of transactions are completed every minute. Documents verification online is vital in financial institutes such as banks to protect them from fraud. But following the old traditional methods will leave companies at risk. They are time taking and error-prone, which provide loopholes to fraudsters and also cause legal action.
Validation Checks Of Document Verification Online
Document checkers work on different series of validations that scan all required papers and determine the authenticity while comparing it against information in the database. Some validation checks are given below:
Document Format Check
For online document verification, the customer sends documents remotely with the help of a phone camera. After that, document attestation software checks the format of the papers. If the documents submitted by the client are in the correct file format (JPEG, PDF, etc.). It will ensure that the papers can proceed further and validate correctly. Employers can also customize the layout and require documents, which they need according to company policies and depending on the situation. If the provided documents differ in format, the online system courteously informs that the submitted papers need adjustments. The help of that document verification software ensures papers meet the system’s compatibility.
Document Integrity Check
After that company reviews the visible security features of the papers, such as border, signatures, fonts, etc., depending on the nature of the document, it also checks the paper’s variation and any sign of tampering. This verifies by cross-checking the document with the original versions. Document verification online performs this process meticulously to ensure the paper’s authenticity and protect its integrity. Document verification service providers use advanced robust AI and machine learning technology to ensure the documents remain unaltered since their creation, assuring their trustworthiness.
Data Extraction Check
Then the data collection starts, which involves extracting personal information, such as the name, date of birth, and address, and storing all that data. This process concluded with the help of optical character recognition (OCR) advanced technology. It collects all text data from the document in the secure database. After that, these data elements are organized in a structured format and proceed for further analysis. The OCR technology of the online document verification software maintains a rigorous approach to ensure transparency and readability to give authentic results in validation.
Data Validation Check
Now, the most critical step of the process involves validating the provided document by cross-referencing with stored papers in the database. These databases can be the government and others to ensure the paper’s authenticity. It involves examining data against predefined criteria or rules to determine its validity and conformity to expected standards. During this validation process, different types of tests are performed on the data, such as accuracy, consistency, and completeness. These validation checks are analyzed by machine learning algorithms that always learn from previous errors and try to make document verification online systems more efficient.
Document Aunthication Check
According to the company policies, the document is checked in the government’s national database. Document verification online also checks the history of documents so companies can check submitted papers are valid and have not expired. The AI robust technology monitors the past activities of the customer depending on the documents and concludes risk assessment. If suspicious activity comes on the radar, it identifies the additional documentation required for verification.
Wrapping-up Document Verification Online
Business owners always want to know how to verify documents in a secure and reliable method that provides speedy and authentic results. Document verification online is an advanced technology process that reduces attestation time and makes the whole process trustworthy. Document authentication plays a crucial role in preventing fraud, ensuring trustworthiness, and establishing the legal and evidentiary value of the papers.
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