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Leveraging No-code Approach For Rapid And Flexible Onboarding Solution By Signzy

The financial industry is witnessing a paradigm shift with an uptick in the emphasis on digital client onboarding. As a top-level CTO of a banking enterprise or a neo-banking venture, you are always looking for technology that eliminates the deadwood involved in manual paperwork in onboarding new clientele. Finally, you can now heave a sigh of relief as we present the perfect fintech companion for fulfilling all your digital onboarding needs. 

Signzy is your one-stop, neatly-packaged, no-code AI-based digital onboarding solution that empowers leading financial organizations to deploy automated data management and customized client onboarding without any prior coding!

Yes! You read that right! Not a single line of code is required to deploy customizable solutions for your bespoke business needs. So hold your breath, ladies and gentlemen, as we are about to unveil path-breaking innovation in the field of fintech that holds promise and potential.

Why is Digital Onboarding The Talk of The BizTown?

The ultimate goal of any captain of the banking streamer is to reduce TAT (Turn Around Time) and offer an enhanced customer experience. Gone are the days when physical meetings needed to be fixed for the most straightforward banking procedures. Instead, optimized and customized secure digitized banking solutions have heralded the winds of change and set the tone for the future. 

By embracing the benefits of customized digital onboarding solutions such as Signzy, you get to open the gates to a world of benefits that suit the technologically challenged with seamless ease. When you leverage an automated customized platform such as Signzy, you make data management, solution deployment and machine learning a child’s play even for those who know zilch about coding!

Building complete AI solutions without investing in expensive developer work results in optimized cost-efficiency and greater user flexibility. A single team member can deploy multiple modules to deliver customized onboarding, drag and drop solutions without consulting the IT team! Now, that’s progress.

Plus, not to mention that AI eliminates chances of human error, which ultimately translates into cementing customer trust and loyalty. Seems like a pretty win-win situation, we say!

Top 3 Reasons Why Deploying Signzy’s No-Code AI-Based Approach is a Smart Move

Let’s get down to some hard facts and number crunching to help you benefit from one of the best digital onboarding solutions and empower your financial enterprise like never before!

  1.  Optimized Deployment Time Enabled By Its No-Code Approach: 

Financial institutions are understandably short of time, and in a world where time and money directly correlate, you cannot afford to continue deploying age-old inefficient solutions. 

This is where Signzy comes into the picture with an extended hand. Being an inherently AI-based platform powered by a no-code approach, you don’t need a developer to build and crunch code. Its intuitive drag and drop approach results in a 90% reduction in TAT. Lesser time required for deployment results in a more significant, error-free onboarding process. 

Are you wondering what no-code tech brings to the table? Well, let’s break it down for easier assimilation. Imagine creating apps, AI tools, onboarding platforms, websites with just a laptop at your disposal and no pre-existing coding knowledge! 

Sounds too good to be true? Well, not really, as no-code technology enables even the not-so tech-friendly people to move the proverbial mountains effortlessly. 

No-code-based innovations have impacted a diverse range of industries, and the financial sector is no different. When done conventionally, the process of client onboarding in the financial sector still takes about a week to complete. When banks or neo banks deploy no-code solutions like Signzy, they optimize the clientele onboarding procedure quickly and smoothly through an AI-based online portal. 

All your KYC prerequisites such as forms, terms & conditions, secure biometrics enabled digital contracts are all packaged in one place. 

  1.  Secure, Flexible, and Customized Digital Onboarding: 

If you are worried about the security aspect of deploying this no-code-enabled platform, allow us to put your worries to rest. Whereas custom-built code built by a developer is open to errors and security risks, no-code platforms run on pre-tested systems that afford unparalleled biometrics enabled security to businesses and their database.

The flexibility that comes with this unique platform allows you to create customized flows and business tools with a drag and drop or click and point approach. Also, there is no learning curve to it, so no more research and number crunching. Instead, it’s as simple as waving your wand and getting the work done!

  1. Cost-efficient Customized Onboarding Solution that Helps Fintech Firms Breathe Easy!

Signzy offers customizable digital KYC solutions to a plethora of renowned financial institutions across geographies. As a result, companies have reported a 75% reduction in operational expenditure, 66% dip in customer churn rate, and 3% increase in sales productivity! These fantastic figures speak for themselves. 

Let’s try to understand what makes this achievable. First, these APIs offer a plug-and-play approach that allows you to create business tools on the fly. Also, they can be easily integrated with existing solutions ruling out overhead expenditures and developer costs. 

They carry out advanced microservices equipped to offer advanced features like forgery detection, AI-based risk detection, background verification against established government databases at a fraction of the cost.

Thus the deployment of such proprietary APIs guarantees cost-optimization and an enhanced user experience.

Key Takeaway

Customized, scalable backend operations and faster digital transformation are unequivocally the need of the hour, and Signzy delivers just that and a lot more! So you can now curate business tools with absolutely no coding at the time of deployment, ensure faster delivery, expedite creation time and automate a significant chunk of the tedious work. Consequently, you can now focus on things that genuinely require your expertise and attention with the rest of the things being taken care of. 

Optimize client onboarding with a few clicks in a simple manner and close deals faster than ever! Not to mention the reduced costs of not having to hire developers. Simply the best! 

 

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling ten million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks. It works with over 240+ FIs globally, including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a robust global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru, and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Signzy

Written by an insightful Signzian intent on learning and sharing knowledge.

 

Optimal Regulations- How Good Fintech Regulations Form The Financial Gateway To Digitizing The Economy

 

How welcoming are the Indian districts to financial inclusion and progress? A decade ago, it wasn’t much. 2013 saw the CRISIL (formerly Credit Rating Information Services of India Limited) introduce Inclusix into the foray. Inclusix was the country’s first financial inclusion index- a method to measure the level of financial inclusion and progress in the nation. The project spanned over 660 districts in the country.

In 2022, over 330 of the 666 districts in the country have a rating of ‘Above Average’ on the Inclusix. This is an encouraging result for the economy. But while growth is evident, so will the trouble that comes with it. With increasing individuals accessing financial opportunities, the government must take advanced and more efficient regulatory measures.

How It Has Been For Fintechs

A brief history of Fintech exhibits its inception in the banking industry. Notwithstanding, the past half a decade has seen tremendous advancements in the entire financial company ecosystem. FinTech has expanded to asset management and insurance companies too.

Digital adoption is not easy in a massive yet less digital economy like India. Innovation and change have never been the cash-centered mindset, and lack of reliability on technology in the past has made it difficult. Nonetheless, the entire country is shifting towards adopting Financial technology services. This includes both the businesses and the consumers.

Thus, the environment is nourishing and is shifting to a higher gear. New business propositions, better maneuvering, and solutions lead to a faster-paced economy.

Regulations In Position

Even with the current strict regulations, many sectors in the Fintech Industry are not adequately regulated. The problem is not a lack of regulation but the unequal and inefficient distribution of regulatory guidelines across the whole industry. Some are excessive, while others are insufficient.

P2P lending and digital payment modes are good examples of irregular regulatory implementations. They require monitoring and oversight regulation as they manage money at large, derived from the public. Two of the relevant regulatory actions in place include:

  • P2P is popular amongst enthusiastic investors and financial companies as they are efficient, high on returns, and has relatively lower interest rates than other financial companies, institutions and banks. The RBI’s decision to treat such P2P entities as NBFCs with newer regulatory guidelines will only cement their relevance in the economy and legality. Such a move by the RBI will ensure better credibility and decision-making capacity for P2P platforms. It will help make the initiatives more robust and, more importantly, sustainable in the future.
  • The RBI is also regulating Fintechs focused on payment gateways and e-wallets. Under the Payment and Settlements Act 2007, these entities must be registered with the RBI. The Act describes stringent rules and regulations for the same. 

Barring the above mentioned, there are not many stringent regulations in any Fintech industry sector. This is an excellent opportunity for regulators and businesses to think of creative approaches towards it. Historically, the regulators have not perceived Financial technology companies in a different limelight. They categorize them in the same elements as traditional businesses. This is a mistake.

What To Change

Considering Fintechs as traditional businesses needs to change. And it did.

In 2017, one of RBI’s Working Groups recommended setting up an optimized sandbox in the country. This sandbox would allow Fintech Startups to examine and test new services while assessing risks before their introduction into the market. But even this needs modifications and improved efficiency. There are still a lot of bureaucratic muddles.

Many entities are involved in governing the Indian Fintech industry. This includes RBI, TRAI, SEBI, and even the IRDA. Hence, there is no single authoritative body to oversee the industry as a whole. There are no specific generalized guidelines for the Fintech sphere. An overseer regulator will help make matters easier.

Moreover, each state government is taking different modes to approach the industry. They have their own opinions and startup ecosystems. As a result, regulations overlap and cause confusion and gray areas for the Fintech community. Therefore, an understanding between governments must be strung.

On top of all this, the FIntech sphere is a dynamic juggernaut. It has new technology and outright disruptive approaches with innovative products. These call for the constant renovation of regulatory guidelines to ensure a smooth and easy transition. The regulators have myriads of ideas and areas to consider each time they decide. Apt solutions for this must be brought. Consider the input prominent fintech players can provide and keep clear communication between the entities and the regulators to ensure no misunderstandings.

Where All Of This Leads You

Considering consumers as the primary benefactors of better regulatory practices, the government is taking measures. Data localization norms and the flexibility and interpretation of regulation will help enforce the aspiring optimization. The RBI also currently has regulatory guidelines to make payments more transparent and secure in draft form.

While the government and competitors are transforming their approach to fintech solutions, you also have to opt for the best services available to ensure your enterprise thrives. We at Signzy can help you. Our state-of-the-art, customizable, AI-enabled resources can help you boost your onboarding and KYC processes. Let us know how you plan on innovating your enterprise.

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling ten million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks. It works with over 240+ FIs globally, including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a robust global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru, and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Mahesh Mohan

I am a Creative Writer intent on learning and sharing knowledge. I believe Finance is the agar matrix of functionality, and technology is evolution. Amalgamate the two, and you get the most dynamic beast in modern civilization- Fintech. I explore this sphere with keen eyes on the terraforming ecosystem. I try to balance my professional enthusiasm with my passion-driven love for history, mythology, and stories of all forms.

 

 

The Road Ahead For KYC- 7 Ways Compliance Is Set To Change In This Decade

$45 per employee is what companies pay on average for compliance training. The total average time is 5 hours for this training. When we do the math, if the company has more than 1000 employees, the total cost will amount to a minimum of $225,000 a year. Will this change?

Absolutely, yes!

A wave of increased regulation guidelines worldwide has made KYC(Know Your Customer) compliance more difficult, ergo, more expensive than before. Companies that previously snuck past by treating compliance as simply a checkmark operation now face a future filled with questions.

But, with newer technology and emerging trends, this is changing. This will change the associated expenses and the entire process of KYC compliance. We need to keep an eye out for these. Let’s have a look at the 7 major trends that will

 

  1. The Inevitable ‘Perpetual KYC’

Financial institutions(FIs) were content just reviewing customers periodically according to risk ratings. On average, it used to take up to 20 days for a single file to refresh a customer’s details. But now, future KYC compliance is more focused on Perpetual KYC. While regulators were not adamant about reliable, independent source data/documents or information until very recently, expectations will increase as government regulations strengthen with time. Companies should grasp this opportunity to begin working with structured data providers. They can provide event-based, real-time monitoring of alterations in customer details.

  1. Digital Adoption With Better, Increased Automation

Banks have started to use better AI(artificial intelligence) and ML(machine learning) to assess AML CFT risks. AML in finance is very important, and automation will help fortify it. In cases where they don’t use these outright, they will start to use large, open datasets, with dependence on smaller teams with extremely specialized skills. Moreover, total automation will trigger the quicker adoption of digitization. This will help CFT in banking improve, providing a safer approach to ecosystems even outside of finance.

  1. Dependence On Centralized Repositories

Decentralized data is a headache for regulatory entities and respective companies. Instead of forcing clients, providers, and regulators to obtain KYC information from multiple sources, centralized repositories will help streamline the data. In addition, it will remove the requirement for institutions to approach clients.

This has a significant impact on the mechanics and dynamics within the industry. Data sourcing is a considerable concern for the involved parties, but centralizing that information and data brings forth other problems to accompany increased capabilities. FIs should select structured data partners scrupulously as this change develops. This will also improve processes for AML in finance.

  1. Importance Of Operational Resilience Will Increase

Flexible companies can bear better through storms than rigid ones. Conversely, businesses not optimizing processes find themselves outmatched and outgunned by more elastic and agile organizations that acknowledge the need to adapt.

Organizations should focus on enhancing and stabilizing sustainability within KYC processes in order to survive high scrutiny and external pressures. This is particularly true in a post-COVID era, where regulators bring newer priorities and associated concerns to businesses with individual compliance requirements.

  1. Fading Opaque Ownerships

Increased transparency does not work well for companies obfuscating operations on purpose. As a result, regulators plan to storm down on OCS(ownership concealment strategies). Now that companies and regulators both have improved tools to detect suspicious situations. These institutions that have become accustomed to hiding their UBOs(ultimate beneficial owners) will have a troublesome awakening.

  1. More Stringent Global And Government Regulations 

What do regulatory bodies do when newer processes and tools permit them to detect more rulebreakers? Rarely are they happy with the results. Instead, they double down and increase regulations and lean harder on better technology to eliminate problems that could have been bigger than they initially expected.

After the initial wave of regulatory actions, businesses that remain compliant will not become complacent. Alterations will continue, either in cryptic and coded law or in the practice and execution of existing rules.

  1. More Data Sharing By FIs

As organizations understand more about compliance concerns, they look to their ecosystem partners to eliminate other issues they might have overlooked. In addition, they will share information through newer content and better practices, improving compliance strategies. Institutions in this regard should be accustomed to sharing more info and advice while working closely with other companies’ compliance teams.

 

What The Future Of KYC Compliance Holds

As newer regulatory guidelines enter the KYC ecosystem, companies must be vigilant. As technology evolves, best practices and the corresponding expectations of governments, regulators, and entities in the system also develop.

These trends are reshaping the world of KYC compliance. As newer insights and better tools come to light, more recent trends will augment or replace them. Although companies cannot precisely predict the future, they can craft flexible processes and the mindset necessary to traverse the unknown.

But for this, they will need the best resources they can find. That’s where Signzy can help you. Signzy’s state-of-the-art tools for KYC compliance and smooth processing will help and fasten your processes. They are AI-driven and completely customizable.

 

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling ten million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks. It works with over 240+ FIs globally, including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a robust global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru, and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Mahesh Mohan

Mahesh is a Creative Writer intent on learning and sharing knowledge. He believes Finance is the matrix of functionality, and Technology is evolution. Amalgamate the two, and you get the most dynamic beast in modern civilization- Fintech. He explores this sphere with keen eyes on the terraforming ecosystem. He tries to balance his professional enthusiasm with his passion-driven love for history, mythology, and stories of all forms.

 

Algorithmic Risk Intelligence: The Future of Risk Management

Introduction

The world is becoming more and more data-driven. As a result, data has become the lifeblood of many industries. Organizations are starting to realize the value of collecting and analyzing data to make intelligent decisions. However, this can be challenging if your organization does not have a proven framework for quantitative analysis. Algorithmic risk intelligence is a new way of systematically thinking about data risks with a few key considerations: how significant the potential impact is, the probability of occurrence, and how feasible it would be to prevent or mitigate the risk. Understanding these three factors will allow you to identify your most critical risks and give you an idea of where to focus your efforts when it comes time to prioritize which risks you need to address.

 

Utilization of historical data to build predictive models

The utilization of historical data to build predictive models is a common practice. It can be done by using the ARIMA approach.

ARIMA (Autoregressive Integrated Moving Average) is a technique that uses historical data to predict future values, which can be used to make better decisions. It uses past information to forecast the future. These methods are powerful, but they are also quite complex, and they require more advanced statistical knowledge to make them work properly. Using historical data to build predictive models is essential to algorithmic risk intelligence. 

Utilizing historical data to build predictive models will help you identify risk areas, but it does not mean you should stop there. It would be best to look at other factors that are not captured in the model. For example, you should be looking at data that will help you identify new or emerging risks.

Measurement, quantification, and anticipation roles of ARI

Algorithmic risk intelligence is about understanding, quantifying, and anticipating the risks that matter to your organization. It is a new way of systematically thinking about data risks with a few key considerations: how significant the potential impact is, the probability of occurrence, and how feasible it would be to prevent or mitigate the risk. Understanding these three factors will allow you to identify your most critical risks and give you an idea of where to focus your efforts when it comes time to prioritize which risks you need to address.

Some other vital roles that ARI can play in an organization are measurement, quantification, and anticipation. Measurement is about understanding the scope and magnitude of potential risk. Quantification is about estimating the probability of a risk occurring. Finally, anticipation is about developing a plan to prevent or mitigate risk from occurring.

There are many types of data in the digital world that could be used as a subset of ARI. The three most prominent types are customer, company, and industry data. Customer data includes customer preferences, personal data, customer service records, and customer behavior patterns. Company data has an organizational structure, size, history, and personnel records. Finally, industry data includes information like market trends. 

 

ARI to reduce business loss due to unforeseen circumstances

ARI is a systematic way of understanding your data risks. It can help you identify the most critical risks you need to address and help you prioritize the ones you need to address.

ARI is a framework that includes three key considerations: the risk’s potential, probability, and feasibility. With these three factors in mind, you can create a plan for mitigating your data risks.

ARI is ideal because it can be applied to any data, and it can start with a minor concern and grow into a full-blown disaster recovery plan.

Role of ARI to uncover organization’s most critical surfaces

As we rely on digital technologies to grow and expand, the risk of data breaches and other cyber risks continues to grow. Therefore, it’s critical to understand each risk’s potential impact and probability of occurrence and decide what you need to do to mitigate the risk.

It is where algorithmic risk intelligence (ARI) comes in. ARI is a new way of thinking about data risks systematically. It has three considerations:

(1) How significant the potential impact is

(2) what is the probability of occurrence is 

(3) how feasible it would be to prevent or mitigate the risk.

Understanding these three factors will allow you to identify your most critical risks and give you an idea of where to focus your efforts when it comes time to prioritize which risks you need to address.

How can Signzy help?

Fintech companies must safeguard sensitive customer data to reduce data risks. But how can this be accomplished?

You can depend on us to help you in that regard. We at Signzy have a variety of AI-based solutions to digitally identify, verify, and authenticate customers, moreover helping in ensuring complete security. Our solution for onboarding security has been deployed by more than 45 significant and valued clients. These include leading banks, NBFCs, mutual fund managers, P2P lending banks, digital payment solutions, etc. Thus, making it promising and easier to trust us.

Writtern By:

Vaishali Bharadwaj
Vaishali is a machine learning enthusiast. Besides machine learning and data storytelling, she likes contemporary art, traveling, and Ice Skating. Since Vaishali was young, she has always enjoyed solving puzzles. So that’s how she looks at big data sets: to Vaishali, it is one big puzzle she wants to solve. Finding patterns nobody else sees is a challenge to her.

 

Enriching eNACH -Impact on NBFCs, Banks, And Even Millennial Financing

India’s lending industry stands at a staggering 156.9 lakh crores, a steep increase of 100% from 2017. But what many miss out on is that of these, only 2% involve microfinance contributions. Instead, commercial and Retail lending dominates 98% of this, with each at 49%.

Although almost every citizen will try to avail of a loan at a point in their life is true. It is an integral part of the economy and even a commoner’s aspirations. But the above data identifies two significant factors. One, customers prefer commercial and retail lending. Two, These areas are potentially untapped and improvable.

Once considered stormy waters, even personal loans are now being navigated at a growth rate 3.8 times higher. This is primarily due to easier access and availing procedures of loans in the country. As a result, even banks and NBFCs are modifying their gameplan to incorporate the novel surge in commercial and retail loans through digital banking.

But then, why is the government stressing on eNACH Mandates? Why are banks and NBFCs preferring the involvement of eNACH?

 

What’s The Real Concern?

As the tide rises, so does the seaweed. Financial Institutions reported an abnormal increase in loan repayment defaulters. Although COVID-19 played a significant role in this, the impact is also attributed to a sense of gullibility. Even genuine customers who accidentally default face the risk of lowered credit ratings.

Entities have increased their safety and security measures to stop defaulting, but that alone won’t cut it. We need an impeccable system of retrieval and processing. Electronic clearing service was a primitive form of this. Even though insufficiently effective, it paved the way to a better solution- eNACH Mandates.

 

The What, Why, And How Of eNACH Mandates.

eNACH mandate is an improved version of the existing NACH mandate. The NACH mandate helps the customer give the collecting agency the right to debit the respective amount from the account for a fixed period at a specific frequency. The agency is required to collect the mandate form from their customers to facilitate the process of auto-debit for personal loan EMIs.

eNACH mandates are the digital versions of paper-based NACH mandates. They allow customers to approve recurring payment charges in a go, digitally. This will enable merchants to collect recurring insurance premiums, loan repayments, investment SIPs, utility bills, etc.

This makes things far easier for customers, NBFCs, and banks. This is why financial institutions now focus more on creating eNACH mandates for loan EMI collection from the borrowers. In addition, innovative companies and pioneer entities in the industry aim to craft solutions engineered to help NBFCs streamline their loan repayment collections while ensuring the benefit for the customer.

 

What Are Its Advantages?

  • Decreased Time- The digitized nature coupled with the automated deduction and reduced human involvement fastens the process. Signing up for loans is also swift with eNACH.
  • Increased Success Rate- loan disbursement and retrieval are more successful as most of the process is automated and the entire process is digitized.
  • Higher Successful Processing Rate- Almost all technical and human errors are negated with a proper digital system in place. This implies that the processing is better and more efficient.
  • Reduced Number of Defaulters- Defaulters find it hard to abscond and not pay. As everything is automated, the agreed-upon amount will be deducted accordingly from their accounts.

 

How Does It Impact And What’s The Bottom Line for eNACH?

It’s pretty much evident that eNACH is the new phase of recurring collections. Banks, NBFCs, and other financial institutions are incorporating it. Even genuine customers prefer eNACH as it is swifter and easier for processing. Millennials form the lion’s share of this as they mostly prefer digitized payments. This is evident because they overwhelmingly choose digital bank accounts over traditional options. The next generations will only soar higher from this point onwards to the digital canopy. Millennial financing is definitely digital.

But all this will be possible only with the proper implementation of eNACH and its methods. For this, you require the best resource provider you can get. We at Signzy can help you with this. With premium resources and products for your digitization and automation, you can better your processes.

 

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling ten million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks. It works with over 240+ FIs globally, including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a robust global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru, and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Mahesh Mohan

Mahesh is a Creative Writer intent on learning and sharing knowledge. He believes Finance is the matrix of functionality, and Technology is evolution. Amalgamate the two, and you get the most dynamic beast in modern civilization- Fintech. He explores this sphere with keen eyes on the terraforming ecosystem. He tries to balance his professional enthusiasm with his passion-driven love for history, mythology, and stories of all forms.

 

Banking And Fintech In The Metaverse Of Finance

Dolce and Gabbana had a peculiar sale last year. Their customers paid $5.7 million to the fashion conglomerate for basically… Nothing. Or that’s what people who do not understand virtual reality would say. In fact, the company sold primarily virtual products for customers to use in the Metaverse. This is why the Metaverse economy experienced retail sales of more than $20 billion with an annual growth rate of around 40%.

This is the mere beginning of using digital assets as a repository of value. It is the beginning of a digital renaissance, encompassing AR, VR, and other digital immersive technologies, which will lead to wide-scale adoption and regulations. Cryptocurrencies will also play a crucial role in this.

Financial institutions must secure their position in this enormous and novel part of the economy by incorporating Metaverse and crypto into their services and business models. This will lead them to a cryptocurrency-fueled metaverse economy.

As the metaverse users increase, financial transactions in the new realm will increase. The government will issue new regulatory guidelines in the coming future. But it is unwise not to adopt early. Banks and institutions should not wait for this. Instead, they should embrace the metaverse economy. Here are some of the ways in which this is possible.

Build And Leverage Trust

Customers usually trust banks more than even the government. This should be utilized in a positive fashion. Tap into the customers’ interests in crypto and digital assets. Despite the standard expectations, 45% of Boomers used cryptocurrencies to make a purchase, compared to the 30% of Zoomers, in 2021.

Mastercard is processing crypto payments and paving the way for other institutions to follow suit. Offering custody services and processing crypto payments help banks prepare for the digital future. Even mortgages, loans, etc., will have digital asset involvement. Banks and banking technology may also leverage their brand identity in user verification and risk management as more peer-to-peer crypto transactors want to trust authentic payment sources.

Metaverse Payment Platforms: Adopt The Boon

Metaverse virtual reality is all set to take over the shopping experience for customers. The fundamental fintech future will be altered to adopt the new paradigm. Financial institutions must process transactions on metaverse payment platforms to accommodate the customers and their needs. A trial pilot by Facebook, the Whatsapp digital wallet is the beginning of this transformation. It offers benefits like zero fees for international transfers, etc. 

These methods have so much potential and versatile applications. For example, such platforms will help fasten transactions and secure the customer’s safety and privacy. Moreover, the institutions can either provide such platforms or integrate the accounts into existing payment apps by utilizing their APIs. But it is noteworthy that most of these apps adapt to phones and screens and ARVR technology.

The metaverse economy is in the infant stage. But once it starts flying, the entire system will soar. This is the ripe time for banks and financial institutions to secure the fintech future. This is where banking technology ups its game a notch with payment platforms.

Integrate With AR And VR Platforms

Providing payment platforms in the new paradigm is essential. But banks need to do more than that. They need to integrate with the metaverse virtual reality. Banking technology must evolve to increase its presence in the Metaverse while ensuring that customers spend more time in it. 

This may be done in multiple ways:

  • Communications with customers- Include AR and VR where it is appropriate.
  • Increase Visual Presence- Transactional experiences should be encapsulating and immersive.
  • Explore the New Age Ads- Advertising is evolving along with technology. Digital billboards, avatars of celebrities, etc.

Banks In The Metaverse

The future of fintech is mainly altering. But it is not unpredictable. We may not be able to say how the Metaverse will affect us or how it will look, but we sure can understand how it can be leveraged. Financial institutions should not wait for regulatory guidelines to adapt to evolving technology. They must learn how to leverage their unique attributes.

Utilizing their attributes to meet the wants and needs of the customers helps and navigate the digital transition successfully. This includes the desire to be a participant in the metaverse and crypto economies. But all these financial institutions and banks need a reliable and trustworthy service source. A resource marketplace where you get all that you require. Signzy can help you with the best customizable APIs and resources with our efficient AI-based rule engine and technology.

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling ten million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks. It works with over 240+ FIs globally, including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a robust global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru, and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Mahesh Mohan

I am a Creative Writer intent on learning and sharing knowledge. I believe Finance is the matrix of functionality, and technology, its evolution. Amalgamate the two, and you get the most dynamic beast in modern civilization- Fintech. I explore this sphere with keen eyes on the terraforming ecosystem. I try to balance my professional enthusiasm with my passion-driven love for history, mythology, and stories of all forms.

 

Exploiting SSTI To Execute Arbitrary Code On Server

Server-side templates create an accessible method for the dynamic generation of HTML code management. But they could also be susceptible to SSTI(server-side template injection). To fully comprehend these mechanics, we must understand what template engines and SSTI attacks are. This can also help execute arbitrary code on the server.

What are Template Engines and SSTI Attacks?

Template engines are created by including multiple specific templates with variable data to create web pages. Server-side template injection attacks can occur when user input is concatenated directly into a template without being sanitized against evil characters. As a result, attackers can inject arbitrary template directives into the template engine, allowing them to manipulate the template engine and, in some cases, gain complete control of the server.

Some of the Template engines are listed below : 

PHP – Smarty, Twigs                                                   

Java – Velocity, Freemaker                                                   

Python – JINJA, Mako, Tornado                                                   

JavaScript – Jade, Rage                                                   

Ruby – Liquid                                                    

 

Jinja: A Python Based Template Engine

Jinja is a Python template engine written as a self-contained open source project to create HTML, XML, or other markup formats returned to the user via an HTTP response. It is also referred to as “Jinja2”.

So why Jinja? 

Today Jinja is the most widely used Python-based template engine and is opted by configuration management tools Ansible and SaltStack and the static site generator Pelican to generate output files. Given its vast adaptation, we will have Jinja as a reference to understand how the SSTI attack works. 

The Vulnerable Code Snippet

 

 

Here, a part of the Template is dynamically generated using the form. Because template syntax is directly processed at the server-side without any filtration, an attacker possibly can inject a malicious payload inside the ‘name’ argument where user input is being placed within the template expression. 

Identifying The Vulnerability

As shown in the code snippet, the input we’ll provide will be rendered precisely by the template engine. 

So, if we put a mathematical expression to identify the vulnerability, if it is being rendered by template engine or not. 

 

 

 

Input value- {{7*7}} returned ‘Hello 49!’. So it is confirmed that the backend is using jinja2.

Python depends on specific modules like ‘sys,’ which includes other dependencies such as the ‘OS’ module; we will target the ‘OS’ module here for exploitation. However, the exploitation and getting shell would not be that easy here as Jinja does not support the import statement. 

Our very first goal here is to identify the template engine used by the target application, for which the TPLMAP tool can be leveraged. With numerous sandbox escape strategies, the TPLMAP tool aids the exploitation of Code Injection and Server-Side Template Injection vulnerabilities to get access to the underlying operating system.

Exploiting The Vulnerability

So as explained above, the import statement does not work in the case of Jinja; hence we will use some parts of code that are accessible to us, often called Gadgets, to achieve remote code execution.

 

The below payload will execute the malicious code which is inside the ‘popen’ function:

 

The above payload is explained in the below fig:

 

The RCE is achieved as shown below:

 

Workaround and Remediation

  • Templates should not be created using user-controlled input. To pass user input to the Template, use template parameters. Sanitize the data before processing it by removing any unwanted or potentially hazardous characters before putting it into the templates. This decreases the likelihood of your templates being maliciously explored.
  • Malicious code execution is inescapable if permitting certain dangerous characters to render specific elements of a template is a business requirement. Then encapsulating the template environment in a docker container is almost certainly the safer option. With this option, you may leverage Docker security to establish a safe environment that prevents dangerous actions.

 

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling ten million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks. It works with over 240+ FIs globally, including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a robust global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru, and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Ankit Pandey

Ankit is a cyber geek currently working in the information security team at Signzy. Ankit holds eWPTX, eCPPTv2 & CEH certifications. Ankit is also an active member of Synack Red Team actively hacking and securing companies globally.

 

 

3 Major Reasons Why Your Business Can not Skip Out On KYB

Do you know how many shell companies are there in India?

Apparently, no one does. But, authorities identified 230,000 shell companies in the last 3 years. Scrutinized data mining revealed nearly 300,000 shell companies involved in hawala and other illegal transactions. Just government regulations won’t cut it to cut down on these launderers. Individual enterprises need to take action. Each business needs to know with whom they are getting involved.

When it comes to low, mid, or even high-level corporate collaborations, KYB (Know Your Business) is the ultimate evaluation mode to secure business interests and stay compliant with AML(anti-money laundering) obligations. Before an enterprise associates with another company, it should ensure authenticity. KYB provides this while verifying the organization on multiple dimensions.

Ponemon Institute concluded that companies unnecessarily spend more than $4 million due to not taking action and investing in regulatory and compliance practices. KYB, unlike KYC, verifies enterprises and businesses instead of customers. They use certified identification parameters that include the owner’s OVDs(Officially Verified Documents), CRN(Company Registration Number), etc.

Here are the 3 major reasons why you should always have KYB processes set up for your enterprise’s collaborations.

Reason 1- Safe and Secure Business Relationships

Any B2B service and interaction depends on mutual interests and understanding. The changing world of digital technology impacts significantly on your business. On top of this, business partners do not have directive authority over their partner’s vendors. Hence there is a constant and inevitable need to verify trust between the businesses for a stable relationship. This is where KYB forms a reliable standard for building trust and acts as a secure communication channel.

KYB essentially solidifies the reliance of companies and businesses on each other. Additionally, it also provides security and safety from external threats. Many regulatory bodies demand this as well. Hence a regulations compliant tag requires processes involving KYB.

Reason 2- Increased B2B Conversions

Any company that has accessed KYB processes generates more credibility and trust. Partner organizations receive a positive impression. The process is solid and safe with multiple identity checks and verification procedures. Since everything can be automated, any face-to-face fiddle can also be avoided. Trust between involved parties is directly proportional to a greater B2B conversion rate.

This way, the relationships help establish a well-formed reputation for the enterprises. Trust directly impacts the conversion rate; it is relevant for up-and-coming start-ups to ensure they have a built-in KYB process. KYB helps organizations identify themselves without any physical presence at sites or offices. It also helps provide interest-oriented services that increase the conversion rate for B2B services.

Reason 3- AML CFT Compliance

The increase in financial crimes worldwide makes it necessary for governments and law enforcement agencies to ensure regulatory measles. For example, the 1970’s Bank Secrecy Act in the US was established to combat tax evasion and unlawful drug dealings. This was the first step in AML’s history. In addition, organizations like FATF((Financial Action TaskForce) and FinCEN (Financial Crimes Enforcement Network) are aimed at this same goal of AML and following government regulations.

AML practices safeguard the safety interests of businesses. Non-compliance with AML is an expensive deal. Companies pay more than $5 million to regulatory authorities for non-compliance with AML.

The 4AMLD, the anti-money laundering directive from the European Union, dictates and encourages financial institutions to follow KYB practices. This keeps a tab on potential money laundering and terrorism funding initiatives. Therefore, KYB is mandatory for AML implementation. As a matter of fact, it is the cornerstone in identifying potential dangers in B2B interactions.

A Bonus 4th Reason For You:

KYB Reduces Operational Costs

It is no novel fact that automation and digitization help reduce operational costs and TAT. It also helps reduce human interventions and, in essence, human resources. But KYB, primarily digital KYB, takes this up a notch. Digital KYB, just like Digital KYC, maintains the status quo of technological independence. The processes involved are designed to create minimal human intervention while providing the safe and secure fortification it demands. This reduces errors, resulting in costs saved from human errors while maintaining security for the businesses. As it reduces the TAT, this increases the scalability of operations. This renders the future of processing faster for the involved enterprises.

To summarize, KYB is an effective method for creating secure business relations. This is done by reducing the total operational expenses, enhancing the conversion rate in B2B services while complying with AML policies and procedures.

If you wish to create a fortified and user-friendly Digital KYC/KYB process, we can help you with the best resources in the industry. From scratch, Signzy helps build entire onboarding and KYB processes for our clients. These are incredibly customizable too. Of course, you can understand how secure they are as we use state-of-the-art AI rule engines and APIs on our website.

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling ten million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks. It works with over 240+ FIs globally, including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a robust global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru, and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Mahesh Mohan

I am a Creative Writer intent on learning and sharing knowledge. I believe Finance is the agar matrix of functionality, and Technology is evolution. Amalgamate the two, and you get the most dynamic beast in modern civilization- Fintech. I explore this sphere with keen eyes on the terraforming ecosystem. I try to balance my professional enthusiasm with my passion-driven love for history, mythology, and stories of all forms.

 

Blooming Blockchain- How It Can Help You KYC Faster, Safer, And Better

Does $10 billion seem like a boatload of money to you? According to Compliance Week, financial institutions across the globe were charged $10.4 billion as KYC and AML fines in 2020. Adjusted to inflation, that’s nearly half the revenue of the entire Hollywood in 2020. That’s wasted money that could have been saved.

Know Your Customer(KYC) processes form the spine of financial institutions’ safety. It primarily encompasses their Anti-Money Laundering (AML) efforts. Traditionally they have always been tiresome and time-consuming. Even after, they were not issues-free, and they were not unhackable. The processes are inefficient and labor-intensive. The risk of error is also pretty high. 80% of efforts go for information collation and processing, whereas the rest 20% is only spent on assessing and monitoring. 

Let’s have a look at how we can change this.

How Traditional KYC IS Falling Short

Customers dread KYC. For them, it serves no purpose other than to increase the activation energy required for CTA. Traditional KYC is out of the question as it:

  • Is manual and prone to human errors
  • Tiresome and time-consuming
  • Heavily dependent on physical attributes like space, storage, etc.

Digital KYC was the solution some years ago. They had:

  • AI-based processing that reduced errors
  • Quick TAT
  • Server storage
  • Better user experience

Many institutions shifted to Digital KYC with advanced Video KYC as an option. But before that metamorphosis could complete, we got newer and better modes. The digitized is getting digitized. This was primarily due to the shortcomings in safety, security, and universal ease of accessibility for the data and the users. An incompetent digital KYC process also Misidentifies fraudulent data and cannot track the customers for verification.

The era for change is here, and it begins with understanding blockchain technology. Blockchain is versatile and resilient. But above these, it records information as electronic databases in the form of blocks.

 

Blockchain KYC- The Next generation of KYC Processing

 

A blockchain is a specifically distributed database shared among the nodes of a digital network. It stores information electronically as a database. Blockchain KYC occurs in multiple stages in a specific Distributed Ledger Technology (DLT).

Stage 1- KYC DLT System

IFI or Initial Financial Institutions ensure users set up their digital identity using valid documents on a Blockchain KYC platform. The data becomes available with consent to institutions for verification. Some of the available options for storage are:

  • DLT platform
  • FI’s server
  • Centralized server

Stage 2- User can transact with FI

The user provides consent. The FI can verify and save the data on the DLT platform using the ‘Hash Function.’ FI delivers digital copies of KYC to the users marked with a Hash Function which matches the DLT platform’s one. This ensures that if the KYC data is changed, it will not correspond with the one on the DLT platform. In addition, it will alert the FIs about the change.

Stage 3- User transacts with Final Financial Institution(FFI)

Users consent to share data with FFI, and the KYC is performed. Then, FFI reviews the data and the respective hash function with the ones IFI uploaded. If both match, FFI finalizes the data as valid.

The Benefits of Blockchain KYC

  • Quality data with real-time monitoring and tracking.
  • Lower TAT- FIs have direct access to data without collation.
  • It eliminates paperwork
  • Decentralized, distributed data collection
  • Mandatory consent ensures safety for the user’s data.
  • Reduced expenses due to unhackable security and fortified operational efficiency.
  • Accurate information validation with DLT
  • Real-time user data appraisal- blockchain technology updates the FI of any new addition of user data.

The Culmination of Blockchain Technology and KYC

Collating user data and processing is expensive and time-consuming. But it has always been a mandatory part of any KYC process. But now, this has changed.

Blockchain not only provides an alternative for this but also helps enterprises monitor and assess user behavior. It saves time from tedious, laborious tasks of data accumulation and processing. It uses this time for the companies to focus on finding solutions for more creative KYC challenges.

It is important to note that Blockchain Technology is not magic and hence not the answer to all problems in KYC. It mainly helps in data collation. The validation process still is an unavoidable task.

Blockchain coupled with AI and cognitive processing technologies helps resolve this. They will create a synergistic and efficient system. However, it is hard to find the right solutions for your enterprise in such a saturated market. Signzy offers state-of-the-art resources and solutions for all your fintech needs. Ranging from onboarding to KYC, we have customizable solutions powered by AI decision engines to get you the best in the industry. 

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling 10 million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks.  It works with over 240+ FIs globally including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a strong global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Mahesh Mohan

I believe Finance is the matrix of functionality, and Technology is evolution. Amalgamate the two, and you get the most dynamic beast in modern civilization- Fintech. I explore this sphere with keen eyes on the terraforming ecosystem. I try to balance my professional enthusiasm with my passion-driven love for history, mythology, and stories of all forms.

References

 
 

 

 

The Evolution Of Universal ID And OCR Technology For Online Identity Verification

As society and businesses move online, an identity check has evolved to digitally verify a candidate’s name, date of birth, address, and Nationality. However, digital verification is a must if you want to run a profitable organization, reduce fraud, stay compliant with international regulations and reduce the manual effort involved in physical verification. 

Digital verification supports multiple technologies like Image rectification, Blurriness detection, and Optical Character Recognition. These technologies will automate the identity verification process, making it reliable and time-efficient. 

But with the changing business behavior and behavior, how do you know that you are ready for what the future holds? This guide will cover almost everything about digital identity and related topics. In addition, we will be examining the current and emerging technology for online identity verification. 

What is Digital Identity Verification, and Why is It Necessary? 

Digital identity verification is a process that validates a person’s details and identifies who they are by computer technology. Digital identity is an online identity claimed in cyberspace by an individual, organization, or electronic device. 

In simple words, digital identity is the body of information about an individual that exists online. 

Through unique patterns, each identifier makes it possible to identify individuals. Initially, a digital identity arises from personal information on the web, and it may be the Pseudonymous profile linked to the device’s IP address. 

Why Has Digital Identity Verification Become Necessary? 

As technology helps us perform various complex tasks, cybersecurity threats also can’t be overlooked. Unfortunately, however, many people have their identities compromised. And cybercriminals are always on the hunt for frail networks. 

That means loopholes will be created in the complete identity management system that can be fatal for any organization. Organizations have to face millions of financial losses only because of the increase of identity thefts. 

That’s why the more robust line of defense in the form of digital identity verification is becoming necessary. 

Rise of Digital Identity Verification 

In the mindset of the social alarm created by the Coronavirus, many efforts are focused on regaining stability. However, since March 2020, we all have been asked to change our habits in most circumstances like everything has to be done without leaving home. 

From watching movies to banking, everything should be done remotely. With the rise of digital transactions, there is a positive impact in the world of banking. However, digital transactions open up various advantages and opportunities for users. 

But it also has some risks that did not exist before. That’s why digital banking requires a lot of security and trust between banks and consumers. For example, while interacting with new customers, banks need to know whether the customer is who they say they are. 

In that case, Banks conduct a Know your customer process to ensure that the individual is not a fraudster. Therefore, during the customer onboarding process, the online real-time identification of an individual’s identity through digital identity verification is also a must. 

Recently, the Fintech company allowed their customers to transfer money through an online app; as a result, their shares rise to 13% on the first day, and its market value reached up to $7.8 billion. 

Below, we will show you some points that will clarify the concept of digital identity verification evolution. 

  1. Rising Trend in the use of Digital Identity 

Identity verification is a critical issue in many companies that need to comply with KYC regulations during the personal onboarding process. Many financial institutions are turning to digital identity verification to safely and securely onboard remote customers. 

About 85% of BFSI companies have already started the digitization process and provided digital account opening. However, the budget allocated to the digital account opening has almost doubled the size before the current pandemic. 

After the COVID-19, many Financial institutions partially started digitizing the customer verification process. For example, an individual has to initiate a loan application online and then finalize it with an in-person visit to show their online identity. 

  1. Strong Security, Privacy and Compliance Requirements

The customers want to open a bank account with minimal friction. In addition, they want to feel secure that the right level of security is in place to protect their identity. 

Therefore, digital verification must consider anti-fraud, all security, and data privacy with the security of customers’ data. Anyone aiming to digitize an account opening process will be well aware of many requirements that need to be met.

  1. Some Financial Institutions have a Solid Competitive Advantage in Enabling Digital Identity Verification by Adapting to New Customer needs

The digitally-enabled financial institutions whose employees work from home best fit social distancing and online financial services. The banks with a mature digitalization channel are on the success line, while others have to kick start their digitization program from starting. 

  1. Digital Transaction Volume Increases, But so do Fraudsters and Cyber-Attacks

Fraudsters are also taking advantage of the insecure online transactions during COVID-19. When the WHO declared the pandemic, there was an apparent rise in the loan fraud attacks and took the form of first-application fraud, third-party application, and synthetic identity fraud. 

That’s why financial institutions are incredibly vigilant in their onboarding and digital identification process to detect and prevent application fraud. 

How Does OCR Work for Identity Verification? 

The manual job of feeding the data needs to be automated to improve the process of identity verification. In that case, OCR (Optical Character Recognition) converts all the information on an ID into text for input and information validation. 

First, the digital identity will be scanned, then analyzed, and finally translated into the character codes. Further, you can use this machine-encoded text to validate the information against a genuine verification source. 

It will help you verify National IDs containing numbers, addresses, names, and various other parameters. 

Benefits of Using OCR Technology for Identity Verification

Here, we will walk through some of the benefits of using OCR technology for digital identity verification. 

  • Time-efficient: OCR will eliminate the need to enter details on every form or HR portal manually.
  • Cost-efficient: It will reduce manual labor for document sorting and filing, thus saving delivery and raw material used for physical verification. 
  • High accuracy and improved service: OCR ensures that the employees only access accurate and reliable information whenever needed. 
  • Storage space and data security: You can store the data inputted through OCR on servers that reduce the cost of maintaining the physical files. 

How Does Signzy Add Value to Your Digital Identity Verification Process? 

The benefit of partnering with Signzy for Banks and other financial institutions is that our combination of Artificial intelligence and blockchain will ensure that digital compliance is convenient but secure. 

Our solution is trained for document reading and facial recognition accurately representing an individual’s personal details. Our scalable backend operations help businesses to scale faster, cut turnaround time and reduce cost. 

Our data protection infrastructure can identify different types of IDs to input correct details and generate accurate and reliable results. 

Wrapping Up 

The organizations that haven’t yet indulged in the digital identity verification process gradually lose their customers. However, the evolution of OCR technology for digital identity verification benefited many financial institutions in time and cost efficiency, providing high accuracy and improved service. 

About Signzy

Signzy is a market-leading platform that is redefining the speed, accuracy, and experience of how financial institutions are onboarding customers and businesses – using the digital medium. The company’s award-winning no-code GO platform delivers seamless, end-to-end, and multi-channel onboarding journeys while offering totally customizable workflows. It gives these players access to an aggregated marketplace of 240+ bespoke APIs that can be easily added to any workflow with simple widgets.

Signzy is enabling 10 million+ end customer and business onboarding every month at a success rate of 99% while reducing the speed to market from 6 months to 3-4 weeks.  It works with over 240+ FIs globally including the 4 largest banks in India, a Top 3 acquiring Bank in the US, and has a strong global partnership with Mastercard and Microsoft. The company’s product team is based out of Bengaluru and it has a strong presence in Mumbai, New York, and Dubai.

Visit www.signzy.com for more information about us.

You can reach out to our team at reachout@signzy.com

Written By:

Signzy

Written by an insightful Signzian intent on learning and sharing knowledge.

 

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