Category: Digital Onboarding

Welcome to our category dedicated to the exploration of the future of onboarding customers in the digital era. This comprehensive resource is brimming with insightful articles that probe into the most recent trends, challenges, and technological progress shaping the onboarding landscape across a variety of sectors.

With the rise of digital technologies, the process of welcoming new customers has seen a profound transformation. Contemporary onboarding practices now incorporate frictionless user experiences, robust security protocols, and adherence to dynamic regulatory requirements. Our detailed articles provide a deep understanding of these elements, empowering professionals to navigate the intricate world of welcoming customers digitally.

The subjects covered within this category extend from the utilization of artificial intelligence in streamlining verification procedures to the influence of regulatory shifts on onboarding processes. Our goal is to furnish readers with a sophisticated understanding of the future of welcoming customers in the digital age, its impact on enhancing user experiences, and its critical role in boosting operational efficiency.

For those intrigued by the complexities of welcoming customers in a digital environment, the implications on customer relationships, and its part in shaping the future trajectory of businesses, our content-rich category is a must-read. We invite you to join us on this exploration of the future of onboarding in the digital age and to stay abreast of the most recent developments in this fascinating field. Embark on this knowledge journey with us, as we delve into the realm where technology and customer experience intersect.

Geolocation Technology and KYC

Things you need to know about Geolocation Technology

Posted on | by Signzian

Long gone are the days when entities used IP addresses to verify location as a vital identity attribute. There are a number of challenges associated with IP address verification:

  • IP addresses can be easily spoofed. This means that a malicious actor can make it appear as if they are coming from a different IP address than they actually are. This makes it difficult to verify the identity of a user or device based on their IP address alone.
  • IP addresses can be shared. This means that multiple devices or users can be using the same IP address. This makes it difficult to determine which device or user is responsible for a particular activity.
  • IP addresses can be dynamic. This means that they can change over time. This can make it difficult to track the activity of a particular user or device.
  • IP addresses can be used as a proxy: A fraudster can use a proxy server to hide their IP address. This makes it more difficult to track them down and identify them.

On the other hand, Geolocation technology uses a variety of data points, including IP addresses, to determine the location of a device. It is more accurate than an IP address alone. 

In 2020, Financial Action Task Force (FATF) acknowledged the importance of geolocation data in strengthening digital identities in its “Guidance on Digital Identity.” As an example of dynamic, digital customer data sources that enable regulated entities to capture essential authentication information, geolocation was specifically highlighted.

What is Geolocation Technology?

Geolocation technology is a powerful tool that can be used to improve KYC compliance. By tracking the location of customers, financial institutions can identify potential risks and take steps to mitigate them.

For example, if a customer opens an account from a different country than they are known to live in, this could be a red flag. Financial institutions can use geolocation technology to flag these accounts for further review.

How Does Geolocation Help in KYC?

Geolocation technology can be used to help in KYC in a number of ways. For example, it can be used to:

  • Verify customer identities. By cross-referencing a customer’s IP address with their physical address, financial institutions can confirm that the person who is opening an account is who they say they are.
  • Identify potential risks. By tracking the location of customers, financial institutions can identify potential risks, such as customers who are opening accounts from different countries or who are using proxies or VPNs.
  • Prevent fraud. By tracking suspicious activity, such as customers who are making large or unusual transactions, financial institutions can prevent fraud and protect their customers.

Overall, geolocation technology is a valuable tool that can help financial institutions to comply with KYC regulations and reduce the risk of fraud.

Here are some of the specific ways in which geolocation can be used to help with KYC:

  • Verifying customer identities: When a customer opens an account, financial institutions can use geolocation technology to verify their identity. This can be done by cross-referencing the customer’s IP address with their physical address. This helps to ensure that the person who is opening the account is who they say they are.
  • Identifying potential risks: Financial institutions can use geolocation technology to identify potential risks. For example, if a customer opens an account from a different country than they are known to live in, this could be a red flag. This information can be used to flag accounts for further review.
  • Preventing fraud: Financial institutions can use geolocation technology to prevent fraud. For example, if a customer makes a large or unusual transaction, this could be a sign of fraud. This information can be used to block transactions and protect customers from fraud.

Use Cases For Banks – Geolocation Technology for KYC 

Banks can use Geolocation Technology to verify customer identities, identify potential risks, and prevent fraud.

Use case 1: When a customer opens an account, the bank can use geolocation technology to verify their identity by cross-referencing the customer’s IP address with their physical address. This helps to ensure that the person who is opening the account is who they say they are.

Use Case 2: The bank can also use geolocation technology to identify potential risks. For example, if a customer opens an account from a different country than they are known to live in, this could be a red flag. This information can be used to flag accounts for further review.

Use Case 3: The bank can use geolocation technology to prevent fraud. For example, if a customer makes a large or unusual transaction, this could be a sign of fraud. This information can be used to block transactions and protect customers from fraud.

Use Case 4: For merchant onboarding, financial institutions can use geolocation to verify that the business is located where they claim they are. This is especially useful in cases where the user is onboarding digitally.

Detecting financial fraud in 2023 with Signzy’s Geolocation API 

Signzy’s Geolocation API is a powerful tool that can be used to verify the identity of users and prevent fraud. It uses a variety of data points to determine the location of a user. This information can then be used to verify the user’s identity and to identify potential fraudsters.

The API is easy to use and can be integrated with any existing system. It is also highly accurate and reliable. Signzy’s Geolocation API is a valuable tool for any organization that wants to improve its KYC process and prevent fraud.

Here are some of the benefits of using Signzy’s Geolocation API for KYC:

  • Accuracy: It uses a variety of data points to determine the location of a user, which helps to ensure that the information is accurate.
  • Reliability: It is available 24/7 and can be used to verify the identity of users even in remote locations.
  • Ease of use: It can be integrated with any existing system and does not require any special training.
  • Affordability: It is priced competitively and offers a variety of pricing plans to fit any budget.

Financial institutions have less confidence in the true identity of their customers due to cybercriminals’ expertise in IP address fraud and other forms of location deception. With Signzy, banks, payment service providers, and other financial institutions can restore confidence and accuracy to their fraud detection tools.

Banking and Personalization

Personalizing Banking Experiences is the Way to Go

Posted on | by Signzian

In today’s fast-paced digital world, customers expect more from their banking experiences than ever before. Gone are the days of cookie-cutter services and impersonal interactions. Instead, customers want personalized experiences that meet their unique needs and preferences. As such, personalization has become a buzzword in the banking industry – and for good reason. From increased customer satisfaction to improved loyalty, there are many benefits to offering tailored services. In this blog post, we’ll explore why personalizing banking experiences is the way to go and how banks can take advantage of this trend to improve their bottom line while delivering superior service to their customers.

Why personalization in the banking industry matters

Customers today have access to an abundance of banking options. With a few taps on their smartphones, they can compare rates, apply for loans, and even open new accounts. To stand out in this crowded market, banks need to offer personalized experiences that cater to each customer’s unique needs and preferences.

In the past, banks focused on providing standardized services that were easy to replicate across all customers. However, this approach no longer works as consumers demand more tailored solutions. Personalization allows banks to differentiate themselves from competitors by offering unique value propositions that appeal directly to individual customer segments.

Moreover, personalization is key to building trust with customers. By showing them that you understand their financial goals and aspirations, you can establish long-lasting relationships built on mutual understanding and trust.

Ultimately, personalization helps banks deliver better service while improving customer satisfaction levels – something every bank should strive for in today’s competitive landscape.

How personalization can benefit both banks and customers

Personalization in banking services is becoming a popular trend and it’s not just beneficial for customers but banks too. Banks can use personalization to provide targeted offers and messages, enabling them to increase customer engagement, retention rates, and revenue. By offering personalized experiences, they can also gain insights into customer behavior, preferences, and needs which they can utilize to improve their services.

Customers receive the benefits of improved user experience as well as better products that match their individual financial goals. A highly personalized banking app enables users to easily access information that is relevant to them while providing tailored advice on how best to manage their finances based on previous transactions or spending patterns.

The level of personalization offered by digital onboarding also reduces the time spent filling out paperwork at branches providing more convenience for customers. With all these benefits, it’s no surprise that personalizing banking experiences has become a top priority for many banks looking to stand out from competitors in today’s market.

Incorporating elements of personalization into banking services provide great value both ways- giving banks an edge over competitors whilst giving customers greater satisfaction with their financial provider.

The challenges of personalizing banking experiences

Personalizing banking experiences can be a difficult task for banks. One of the biggest challenges is gathering enough data about customers to personalize their experience without invading their privacy. Banks need to ensure that they are collecting the right data and using it ethically.

Another challenge is creating a seamless omnichannel experience. Customers expect consistency across all channels, whether it be online or in-person interactions with bank representatives. Banks must ensure their digital platforms work together seamlessly and provide customers with a consistent experience.

Furthermore, there is also the challenge of keeping up with changing customer preferences and behaviors. Personalization strategies that worked today might not work tomorrow as customer needs and expectations change over time.

Implementing personalized banking experiences requires significant investment in technology and resources by banks. This includes building new systems or updating existing software, training employees on how to use them effectively, hiring new staff members who have expertise in this field, etc.

Despite these challenges, personalizing banking experiences is critical for long-term success in today’s highly competitive market where digital onboarding has become increasingly important for attracting customers to use their services through mobile apps or other digital channels.

Ways to personalize banking experiences

Personalizing banking experiences is not just a trend but rather a necessity in today’s digital world. But how can banks achieve this? Here are some ways to personalize the banking experience for customers.

Firstly, banks can use data analytics and AI to gather information about their customers’ behavior patterns and preferences. This will enable them to offer personalized recommendations on products and services that match each customer’s individual needs.

Another effective way of personalizing the banking experience is by providing customized communication channels based on preference. Customers should be allowed to choose their preferred modes of communication such as email, SMS, or chatbot interactions so they receive information via their chosen medium.

Banks can also leverage technology like mobile apps for more personalized experiences. The app could include features such as budget tracking tools, virtual assistants, push notifications, and other value-added services all tailored towards the specific needs of each customer.

Moreover, offering multiple payment options at checkout points is an excellent way to personalize the experience since it allows customers flexibility in choosing how they pay for purchases with different methods suited individually for them.

With increasing numbers of people relying on digital channels due to Covid-19 restrictions; advanced digital onboarding processes have become necessary which allow new account openings without a physical presence in branches through a video KYC verification process.

By adopting these strategies mentioned above, banks can strengthen relationships with their customers while improving user engagement levels and brand loyalty thereby delivering an enhanced customized service leading to greater business success.

Conclusion

To sum up, personalization is the key to unlocking a better banking experience for both customers and banks. By understanding their needs and preferences, banks can create tailored solutions that cater to each customer’s unique situation. This not only improves customer satisfaction but also leads to increased loyalty, engagement, and revenue.

However, some challenges come with personalizing banking experiences such as data privacy concerns and technological limitations. Banks need to find ways around these obstacles so they can provide personalized services without compromising on security or efficiency.

Personalization in the banking industry is no longer just an option but a necessity if banks want to remain competitive in today’s digital age. By leveraging technologies like AI, machine learning, and big data analytics, banks can gain valuable insights into their customers’ behaviors which will help them deliver more meaningful interactions and personalized solutions.

So let us embrace this change towards personalized banking experiences – one where we have access to intuitive user interfaces of cutting-edge mobile apps that incorporate real-time transaction monitoring with seamless digital onboarding processes powered by advanced security systems. It’s high time for us all to say goodbye to outdated hardware-based methods of delivering financial products/services!

About Signzy

Signzy is a market-leading platform 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 customizable workflows. In addition, 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 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.

Identity Theft in Banking – Things you need to know!

Posted on | by Signzian

30% of consumers said that they had been victims of online identity theft is one of the surveys by Experian in July 2022. 

Identity theft is a serious problem, and with the rapid advancement of technology, it’s only getting worse. Every year, millions of Americans become victims of identity theft and financial fraud.

According to the FTC, identity theft and related fraud increased nationwide in 2021:

  1. More than 5.8 million fraud complaints were filed for the year, an increase of 19%.
  2. The financial losses from fraud increased by 77% from the previous year to more than $6.1 billion.
  3. Consumer identity theft complaints increased by 3.3% to just over 1.43 million.

While there are steps you can take to reduce your risk, it’s important to be aware of the tactics criminals use to gain access to your personal information. In today’s blog post, we will discuss how identity theft works in banking and what measures you can take to detect it. By understanding the methods criminals use and taking the necessary precautions, you can put yourself in a better position to protect yourself from potential identity theft.

What is identity theft?

Identity theft is when someone uses your personal information without permission to commit fraud or other crimes. Your personal information can include your name, Social Security number, date of birth, bank account numbers, credit card numbers, or other sensitive information.

1,434,695 identity theft complaints topped the FTC’s list of fraud complaints in 2021, accounting for about 24 percent of the 5,883,409 fraud, identity theft, and other complaints received. Imposter scams were the second most reported fraud category after identity theft, with 995,789 reports and $2.4 billion in losses—nearly double the $1.2 billion loss caused by the category in 2020.

Identity theft can happen in many ways: Phishing, smishing, spoofing, and vishing are some techniques Fraudsters use.

Phishing:

As a method of identity theft, phishing involves individuals unwittingly providing personal information that can be misused. Fraud is usually carried out by creating fake websites, emails, or texts that appear to be from a legitimate firm. 

On Feb 20th, 2023, a farmer from Rajasthan almost lost more than Rs 8 lakh to a cyber fraudster when his son clicked on a phishing link. In the past few years, cyber fraud cases have witnessed a significant rise. According to the EY report, 53% of respondents in India state that cybercrime and ransomware risk have increased in India in the last 1 year. 

Vishing:

Vishing (voice phishing) is an attempt where fraudsters try to seek personal information like Paytm Bank PIN, Paytm OTP, Card expiry date, CVV, etc. via a phone call. The miscreant acts as an employee from Paytm, the government, or a bank. He/she asks you for your KYC details. They will state various reasons, like reward points, free cashback, reactivation of account, etc., for this. These details are then used for accessing your account without your knowledge.

Smishing:

Smishing (SMS phishing) is when an SMS/Email/WhatsApp message is used to lure you to call back on a fraudulent phone number, visit fraud websites, or download malicious content via your phone. Fraudsters will send you SMS/Facebook Requests/WhatsApp messages to inform you that you’ve won some prize money, a cashback offer, or the like. They’ll ask you to share your Paytm account/Paytm Payments Bank account details. Unaware of what might happen, they will initiate fraudulent transactions using your account details once you do that.

How does identity theft happen?

There are a few ways that identity theft can happen in banking. One way is if someone steals your personal information, such as your Social Security or account number. They can then use this information to open new accounts in your name and rack up debt. 

Another way is if someone gains access to your bank account and makes unauthorized withdrawals. This can happen if your bank account number is stolen or if you have an online account that is not secure. 

Finally, identity theft can also happen if you receive a phishing email that looks like it’s from your bank. This type of email will try to get you to click on a link or download an attachment that will install malware on your computer. If you do this, the cybercriminal will have access to all of the information on your computer, including your banking information.

How can Banks Detect & Prevent Identity Theft?

The process of detecting stolen identities begins at the onboarding stage. Adding new customers can be risky for banks regarding digital onboarding – there is the need to satisfy regulations such as KYC (know your customer) and AML (anti-money laundering). These legal obligations must be obeyed to prevent any kind of financial fraud. Criminals often use false or synthetic IDs to deceive the process and open bank accounts, so confirming identities can be expensive – with costs reaching $35.2 billion in 2020. This is especially daunting for neobanks and challenger banks, who strive to make the customer onboarding experience quick and straightforward. 

With video KYC verification, banks can verify their customers’ identities remotely through a video call, which is quick, convenient, and reliable. As a result, businesses can detect potential fraudsters beforehand and eliminate the need for physical presence. 

Use Cases:

  1. By using video KYC, banks can onboard new users digitally via a video call, making the process more efficient and productive. 
  2. The real-time video call helps banks identify money laundering, identity theft, and terrorist financing while onboarding new users. 
  3. In any country where the Bank operates, they must ensure that their businesses comply with KYC & AML regulations. Signzy’s Video KYC verification helps businesses meet those regulations while avoiding being penalized.

Features: 

  1. Text Match is used to ensure PAN card data corresponds with Aadhaar records. Simultaneously, high-definition snapshots of the ID and video can be taken for comparison. 
  2. Documents no longer need to be stored since recorded videos, and captured documents can easily be retrieved. 
  3. Geo-Location capture and IP check detect Proxy or VPNs while scanning for spam or abuse reports in established blacklists. 
  4. End-to-end encryption is enabled for full data security, applying the most reliable security protocols.

Conclusion

Identifying identity theft and synthetic ID fraud starts with thorough identification verification. While most banks and financial institutions will have a robust KYC process that includes IDV, Signzy’s Video KYC will let risk managers work with real-time alternative intel and in-depth technical data points. 

The following are key advantages.

  1. Real-time enrichment is applied to all data.
  2. To save time and money, you can perform Video KYC checks.
  3. In the digital age, digital footprint analysis is becoming more important than traditional ID checks.
  4. You can catch more fraudsters by combining these with velocity checks and device fingerprinting.

Identity theft can be scary, and banks are one of the main targets for criminals trying to steal your identity. Through liveliness checks, image forensics, face matching, and randomized questions, Signzy utilizes artificial intelligence to perform comprehensive identity verification. The solution offers inherent safety by making the process directly between the bank, and the consumer and is completely paperless and contactless. 

About Signzy

Signzy is a market-leading platform 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 customizable workflows. In addition, 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 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.

Adaptive patient onboarding is a great way to provide the best patient experience. By taking the time to personalize

Turn the patient onboarding process into an adaptive experience!

Posted on | by Signzian

Are you still using a manual, paper-based onboarding process for your patients? If so, you’re certainly not alone. While this method has been the standard for many years, it’s increasingly becoming outdated and inefficient. Fortunately, there’s now an alternative that can make the entire process more efficient and engaging: an adaptive patient onboarding experience. In this blog post, we’ll look at why adaptive experience is superior to traditional methods and how you can begin implementing one in your practice today. We’ll also look at some of the best practices to help make sure your transition is seamless and successful.

What is patient onboarding?

Patient onboarding is collecting and verifying the information needed to welcome a new patient to your practice. This usually includes basic contact information, like the patient’s name, address, phone number, and email address. It may also have more detailed information, like the patient’s medical history, insurance information, and preferences for communication and care.

It aims to ensure you have all the information you need to provide quality care for your new patient. By collecting this information upfront, you can avoid delays and disruptions in care later on.

There are many different ways to collect the information needed for the process. For example, you may use paper forms, an electronic health record (EHR) system, or a combination. Whichever method you choose, it’s essential to ensure that your process is efficient and streamlined.

The patient onboarding process doesn’t have to be one-size-fits-all. Instead, you can tailor your approach to fit your practice’s and your patients’ needs. For example, if you see a lot of new patients each week, you should set up an online form that they can fill out in advance. Or, if you have patients with complex medical histories, give them extra time to complete their onboarding paperwork.

You can significantly impact your patients by making a few simple changes to your patient onboarding process.

The importance of a good patient onboarding process

A good patient onboarding process is important for several reasons:

  1. It helps ensure that patients are correctly introduced to the healthcare organization and understand their care expectations.
  2. It can build trust between the patient and the provider.
  3. It can reduce anxiety and stress for the patient and the provider.

How to make your patient onboarding process adaptive

When it comes to patient onboarding, making the process adaptive can go a long way in ensuring a positive experience for both the patient and the care team. Here are a few tips on how to make your patient onboarding process adaptive:

  1. Support patients through every step of the journey

From the moment a patient schedules an appointment to their follow-up visit, it is important to provide clear and concise information at every stage of their journey. This includes sending reminders about upcoming meetings, providing easy-to-understand instructions on what they need to do to prepare for their visits, and having dedicated staff available to answer any questions.

  1. Make use of technology

Many technology solutions can help streamline the patient onboarding process. For example, online registration forms can save time and reduce paperwork, while appointment reminders sent via text or email can help ensure patients remember their upcoming visits.

  1. Be flexible

Every patient is different, so not every onboarding experience will be identical. Therefore, it is important to be flexible and tailor the onboarding process to each patient’s needs. This could involve providing additional support for those with chronic conditions or disabilities and offering working parents alternative appointment times.

  1. Collect feedback and use it to improve

What are the benefits of an adaptive patient onboarding process?

There are many benefits of an adaptive patient onboarding process. By tailoring the approach to each patient’s needs, you can ensure they have a positive experience and are more likely to return for future visits.

An adaptive patient onboarding process can also help to build trust between the patient and the healthcare provider. Patients who feel they are being listened to and their needs are being met are more likely to be loyal to the provider and recommend them to others.

Finally, an efficient process can save time and money for both the provider and the patient. By streamlining the process and making it more efficient, you can reduce the overall cost of care while still providing high-quality service.

Conclusion

The global Artificial Intelligence in healthcare market size and share is expected to surpass $95.65 Billion by 2028. Adaptive patient onboarding is a great way to ensure you provide the best possible patient experience. By taking the time to personalize each individual’s experience, you can provide them with a seamless and efficient process. This will help reduce wait times, costs, and frustration from patients and staff. With the right tools in place, adaptive patient onboarding can ultimately improve care quality, better customer satisfaction score ratings, and tremendous overall success for your medical practice.

About Signzy

Signzy is a market-leading platform 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 customizable workflows. In addition, 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 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

Vendor KYC Verification: Verify Your Vendors Quickly and Easily!

Posted on | by Signzian

The logistics and supply management industry have rapidly evolved over the last decade. With more complex delivery chains, stricter regulations, and a more significant focus on security, it’s no wonder that businesses are looking for ways to speed up processes and improve efficiency. One of the most important steps in this process is vendor KYC (Know Your Customer) verification. This step ensures that businesses know who they are dealing with regarding vendors and suppliers. In this blog post, we will discuss what Vendor KYC Verification is and how it impacts logistics and supply chain management.

Businesses that engage suppliers to provide goods or services can quickly become victims of Vendor Impersonation Fraud. Sophisticated criminals infiltrate a trusted vendor or somebody pretending to be them, thereby risking your business. Armorblox’s research team discovered a 73% increase in financial fraud email threats from 2021 to 2022. Financial fraud attacks accounted for 44% of sophisticated, targeted crimes, including wire fraud, invoice fraud, and vendor fraud.

What is Vendor KYC Verification?

Vendor KYC verification is verifying the identity and credentials of a vendor or supplier. This verification can be done through various means, such as third-party background checks, references, and documentation. Vendor KYC verification aims to ensure that the vendor is who they say they are and that they have the experience and credentials necessary to provide the services or products they claim to offer.

Third-party background checks are one of the most common methods of vendor KYC verification. This check can be conducted by an outside firm or the company itself. References are another standard method of vendor KYC verification. When checking references, it is important to verify that they are from legitimate sources, such as past clients or business partners. Documentation is also often used for vendor KYC verification. This may include identification documents, licenses, certifications, and other forms of proof that the vendor is qualified to do business with your company.

Vendor KYC verification is important in doing business with new suppliers or vendors. Verifying their identity and credentials can help protect your company from fraud or scams.

Why is Vendor KYC Verification important in logistics & supply management?

There are many reasons why vendor KYC verification is important in logistics and supply management.

  1. It helps to ensure that the vendor is who they say they are and that they are legitimate. This can help to prevent fraud and other issues. 
  2. It helps to ensure that the vendor has the proper licenses and permits for their business. This can help to avoid delays or other problems with shipments. 
  3. It can help build trust between the company and the vendor, leading to better relationships and more efficient operations.

A first layer of protection for companies comes from supply chain risk management and due diligence, and due to the rise of SaaS and outsourcing, good risk awareness is essential. The Global Fraud and Risk Report, “Mapping the New Risk Landscape, “published by Kroll in conjunction with Forrester Consulting in 2019, highlights global corporations’ biggest risks.

Globally, 28% of fraud was committed by external parties (suppliers & vendors), an increase of 10%. 68% of global companies consider fraud by external parties a high or significant concern.

According to KPMG’s Global Banking Fraud Survey, released in May 2019: Fraud recoveries were less than 25% of fraud losses, according to over half of the survey respondents. This low rate emphasizes the importance of prediction and prevention. 

Thus, companies should begin to consider implementing a tool and necessary workflows as vendor fraud grows in prevalence as a threat to many corporations.

The benefits of Vendor KYC Verification

KYC verification is a process that helps to ensure that your customers are who they say they are. This can be beneficial for several reasons:

  1. It helps to prevent fraud: By verifying the identity of your customers, you can help to prevent fraudulent activity. It becomes much harder for someone to commit fraud if they have to provide their real identity upfront.
  2. It builds trust: Customers who have been through a KYC verification process are more likely to trust your company. This is because they know that you take security and compliance seriously.
  3. It streamlines processes: A KYC verification process can help streamline other business processes, such as onboarding new customers or processing payments.

How Can Signzy Help with Vendor KYC Verification?

Signzy has a one-stop solution when it comes to verification. It provides a simple plug-and-play API solution. With just the vehicle number, you can get fitness details, Permit info, PUCC check, Insurance details, and much more! The same goes for authenticating the driver’s license.

Signzy can provide a complete user journey and simplify your workflow while it is automated. A generic survey conducted by logistic partners and Signzy showed that automated workflow helped the logistic industry by 26%, which earlier with the manual process was 11%. 

Our three APIs that play a pivotal role in Vendor KYC Verification are:

Bank Account Verification API: With it, you can verify not just the validity of bank accounts but also the name and details of the user while leveraging the right technology for the job. In addition, the AI-driven API is highly customizable and can be integrated easily with your processes.

RC Verification API: Signzy’s Registration Certificate Verification Process allows onboarding of verified vehicles in no time with utmost accuracy & reliability (server providing 99.9% uptime).  Know more about the benefits it offers. 

GST Verification API: Our GST API validates the authenticity of a business or your partner as an essential aspect of easing and making GST compliances hassle-free. It helps you to

  1. Extract GST details, including Name, GSTIN, and address of the business, from the GST certificate.
  2. Search GST details of the entity using GSTIN and PAN. 
  3. View and track the GST returns of the entity.

Conclusion

Vendor KYC verification is essential to logistics and supply chain management. It helps to ensure the accuracy and reliability of the information, making it easier for businesses to monitor their vendors and ensure they comply with all applicable regulations. As a result, organizations can protect themselves from potential liability by implementing a comprehensive vendor KYC verification process while improving transparency across their supply chains.

We bring you to speed, security, reliability & ease. You can leverage artificial intelligence, optical character recognition, and other best-of-breed technologies – everything you need to scale successfully.

About Signzy

Signzy is a market-leading platform 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 customizable workflows. In addition, it gives these players access to an aggregated marketplace of 240+ bespoke APIs, 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 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

 

 

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