How Businesses Can Benefit from Identity Verification services
Identity verification is used where people have to present identification documents in order to confirm that the documents present are presented by the true owner. Many times people who want to cheat can present stolen documents to individual institutions in presence that they are actual owners of the papers. If the various institutions dealing with the untrustworthy clients are not careful, they can lose substantial amount of money through the use if wrong identifications. Some people use stolen IDs from people who have a lot of money and use them to open accounts that they can transfer the money later from the rightful owners.
There is, therefore, a need for various institutions to ensure that they verify the Identifications presented to them by various clients. Identification verification is either through person to person or through online services. The services are highly useful especially to social networking sites, internet forums and in many other ways. The services become very necessary especially when opening new bank or financial institutions accounts.
Various institutions are supposed to comply with The Anti-Money Laundering and Know Your Customer Rules if they are to prevent the wrong practices by some unfaithful, clients. With the increasing use of e-commerce, online gaming and social media it becomes essential to use the verification services. With Financial Institution, they are guided through the identification Verification by lawa law known as Know Your Customers. When clients present their IDS to the various institutions, the institutions are supposed to send the data to the Identity verification service. After the institutions send the information, the services use that data against the private data to look for a match of the information provided.
At the same time knowledge-based authentication questions can be asked the person presenting the documents just to ensure that the person is the true owner of the Identification document held. Some of the information that the service will be interested in finding out is whether the customer is valid. They will also want to establish whether the customer ID has been taken. Other situations where the service will wish to o to create is whether the customer know whether their ID is stolen and being used by other persons.
When institutions discover that they are dealing with the wrong people, they will not engage in transactions with the people who are using stolen IDs, and instead, they report them to the authorities. That is why institutions need the identity verification process so that they can tell when they are dealing with the people who can swindle a lot of money from them. All financial institutions are supped to use the Know Your Customer Process before they open any accounts from any clients.