Fraudsters are evolving globally towards Fraud Detection in biometric, with the continent experiencing a record high in Q4 2023. For instance, Wema Bank reported N685 million ($594,943) in fraud and forgery losses last year, citing KYC and compliance issues. Identity fraud remains a pervasive threat, with cybercriminals constantly refining their tactics to exploit vulnerabilities in traditional verification methods, particularly targeting identity documents as the most exploited ID type.
Biometric KYC (Know Your Customer) stands out as integral and arguably the most important type of identity verification in combating fraudulent activities. Businesses can uniquely identify individuals by utilizing biometric data such as fingerprints, facial recognition, or iris scans, making it exceptionally challenging for fraudsters to impersonate others or use stolen identities.
The biometric solution streamlines the digitized onboarding process, significantly reducing costs related to physical documents and traditional onboarding expenses. This approach improves reliability and eliminates the need for increased manpower utility in terms of physical, in-person KYC document verification across different locations.
Biometric KYC checks
As the world progressively adopts passwordless systems, working towards eliminating the need to remember complex passwords or carry physical identification documents, biometric KYC offers an immediate and secure solution. This is particularly beneficial across sectors, particularly in finance and healthcare, which are subject to strict regulations regarding customer identification. Biometric KYC checks help businesses comply with these regulations, mitigating costly financial impacts and penalties.
For future proofing, biometric authentication is expected to become a more sophisticated process, offering new and secure ways to verify identities. This innovation is especially crucial for emerging markets, positioning them on the global stage.
Embrace Biometric KYC
They are a necessity in today’s digital environment as we increasingly rely on digital interactions. By embracing biometric KYC checks and robust compliance provisions, businesses can enhance their fraud monitoring processes, improve overall customer experience, and ensure business sustainability.
Prembly is your trusted provider in security and compliance infrastructural solutions across emerging markets and for developed markets seeking to connect with the growing digital frontier.
