Taking the time to do bank work is one of the activities that every working person dreads doing more than anything else. Keeping our bank profiles up to date is one of the tasks that is both the most time-consuming and the most important. In truth, submitting our KYC (Know Your Customer) information anywhere is a tedious chore; nonetheless, our lives cannot progress without it. To ensure the safety and convenience of all parties involved in a transaction, every institution is obligated to maintain a record of the customer’s relevant legal information. When we finally get up the gumption to finish our KYC, we head to the bank or the office that’s responsible for that part of the process. On the other hand, we are greeted by a ridiculously long line, and our ability to be patient is put to the test. This is where the Video KYC solution comes into the picture to rescue.
This process is usually known as “Video Know-Your-Customer” (VKYC). For the objective of achieving seamless customer onboarding, this procedure includes doing digital KYC through a video chat. Real-time machine learning, optical character recognition (OCR), face verification, as well as other techniques can be used in conjunction with video know your customer (KYC) to facilitate customer identification.
Video KYC solution is also now attributed to a wide variety of documents submitted to regulators. These forms include the VBIP for insurance businesses, V-CIP for banks, and VIPV for SBI-authorized intermediaries.
1. Enhanced customer experience
A significant amount of focus, particularly from banking and other types of financial institutions, has recently been directed toward the customer identification procedure that uses video. They see an increase in efficiency and an acceleration of the process owing to the minimal interaction of people, which is one of the many benefits that they receive. Another benefit that they receive is the optimization of the customer experience.
2. Fraud prevention
One of the most notable advantages provided by the Video KYC solution is that the customer checks an increased level of protection against fraudulent activity. Businesses can drastically improve their levels of security and reduce the number of instances of identity fraud by implementing live video interviews, artificial intelligence (AI), and facial recognition technology. You can read more about this here in detail and understand it better.
3. Saves Time and money
The lost revenue that can occur as a result of bottlenecks in the process, which begins at the period of customer application and continues through verification, can be mitigated through the use of the video KYC solution.
Since it could be done at any time and in any location, it cuts down significantly on the amount of time wasted. The customer doesn’t need to be there at the time of the transaction. They must have access to a gadget equipped with a camera and reliably connected to the internet
The entirety of the procedure is carried out digitally, and as a result, it is extraordinarily effective for all of the many parties involved. Not only is it fast-paced, but it is also efficient concerning money. Video KYC solution gets rid of the complicated and mind-numbing paperwork, which is one of the main reasons why your younger and more up-and-coming consumers stay away. The use of video-KYC can be thought of as a more advanced approach to adhering to the process while still keeping the convenience of the consumer in mind. The provision of facilities not only encourages customers to remain loyal to your business but also encourages them to promote it to their friends and acquaintances.
Every single bank and another type of financial institution must fulfill the need to verify their customers’ identities before letting them open accounts with them. With the establishment of innovative digitalization, such as the Video KYC solution that is being given to customers, these banks are required to adopt digitally enhanced verification methods to combat the increasing risk of fraud as well as financial crimes.