Home Business Document Verification Online – How Businesses Authorize the Customer and Prevent Fraudsters?

Document Verification Online – How Businesses Authorize the Customer and Prevent Fraudsters?

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Doing manual document verification online can sometimes complicate matters for businesses to manage. In many ways, the shifting to online identity verification has put away from more conventional methods like picture IDs, addresses and passports. While employing real, authorized documents as part of an identity verification process has a lot of benefits, it’s not necessarily a bad step.

In the financial sector, using remote document verification processes online have been beneficial for customers and companies both. It gives the capability to approve applications faster, which is great for providing better client service. However, the clarity of document request also causes a to-do list to balloon. It has a constant hassle to add in the requirement to validate documents before transmitting them through for processing. 

Document Verification – A Short Overview

Online document verification is a process for digitally authenticating document ownership. For instance, ensuring the authenticity and ownership of bank statements, passports, licenses, utility bills, and certifications that applicants have provided.

The objective is to establish the authenticity of the provided document by comparing it to official records.

Needs for Customer Document Verification Process Online 

Account number to confirm the existence and ownership of the bank account Identity theft must be avoided by having a method to verify an applicant’s identity. If someone does use a stolen identity to access the system and scam, it is their responsibility to track them down.

In the past, establishing cameras and fingerprinting made identity verification simpler. 

Financial organizations can prevent money laundering, identity theft, and cybercrime by adopting digital identity verification. Because many clients need speedy support responses, this necessitates a real-time digital document verification online.

Identity fraud is more difficult to detect. Stealing identification documents and using them in internet fraud is becoming more superficial. It could be challenging to confirm that a candidate is who they say they are without facial recognition technology.

‍Why is it Crucial to Conduct Original Document Verification Online?

If financial institutions don’t use document verification, they face the risk of being tricked or scammed  by fraudsters. Scammers frequently attempt to deceive banks, credit card companies, and other financial institutions and create phony documents to do this.

After obtaining a loan or credit card, scammers will spend the money and then disappear, making it difficult to track them down. If things continue in this manner, financial institutions will cease to exist. But if online document verification is used, the institution will be safe from con artists.

Unfortunately, this issue still exists in the banking business. According to studies, identity scams resulted in losses of an astounding $43 billion. For government corporations, the epidemic has also increased scams (e.g., false unemployment claims, etc.).

Steps for Original Document Verification for Finance Business

The most common types of financial information verified by financial firms include:

  1.  Account number to ensure the bank account exists and belongs to the same person.
  2.  Account holder name to match the applicant with the account owner.
  3.  Balance information to determine if the customer has money for a deposit or not.
  4.  Account closed date and balance to see if money was paid off and how long ago it was. 
  5. Length of term to determine how consistent the customer makes payments on time over an extended period. 
  6.  Account type to determine if it’s a personal or business checking account or savings account (it depends on criteria of the financial institute).
  7.  Open/closed status to see if a customer has too many (or not enough) open accounts. 
  8. Identity verification in the financial services industry.

Pros of Artificial Intelligence for Document Verification Online

Filling out an application manually for credit, a loan, or insurance consumes time. Some potential customers may give up due to the protracted application process and several steps. Making processes quicker and simpler for clients is essential.

Thanks to its machine learning characteristics, this form of software have the capacity to alter perceptions.The account opening and underwriting procedure is straightforward with AI-powered tools. Candidates can upload photographs of their supporting documents to the system using their digital devices. 


By utilizing AI technology for document verification processes online, these problems can be resolved while avoiding fraud. AI and machine learning to accept and validate papers for its clients in the financial services sector. Further, the program analyzes data and aids in determining a candidate’s creditworthiness.

This enhances client satisfaction and eliminates the hassle of manually sorting through a sea of applications. Additionally, also checks submitted passport document verification process for fraud, saving team time from manual reviews and money that could have been wasted to scammers.

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Oliver James is a UK-based professional blogger, content writer, and content marketer who writes about travel and tourism, finance, real estate, and other topics on his blog. Passionate about writing, traveling, and getting the best deal on everything he buys, Oliver also writes for customers and helps them publicize their products, and services in the US and UK markets. He is a traveler who has visited over 35 countries and loves his job because it gives him the opportunity to find stories, experiences, and places which he can share with his readers. Oliver James is a professional blogger, content marketer, traveler, and electronics enthusiast. He started blogging in 2016 and has become a contributing writer for several blogs, including Android Authority and Elecpros. Oliver has also published his own informational books with Kindle Direct Publishing on subjects like Flappy Bird and Google Cardboard.