Digital identity verification is the validation that the person is who they say they are, through the use of computer technology. Today, with the rise of e-services such as banking, government services, and healthcare, digital identity verification has become a widely used method of accessing these platforms.
However, with the increased popularization of e-services, identity fraud cases have also seen a big increase. In most cases, these crimes involve accessing accounts with the identity of the victim and carrying out operations such as taking out credit, making transfers, subscribing to other services, etc.
In fact, in 2020, consumers lost more than $ 56 billion due to identity theft and fraud.
It is best for businesses to guarantee strong identity verification and fraud prevention, as every little mistake in this process can put the customer at risk and damage the reputation of the business. Ensuring a secure account sign-in process builds trust with users and attracts and retains more customers.
Companies began to incorporate AI to create a more reliable verification system. Let’s find out what exactly makes AI solutions a safer and faster verification method.
One of the most popular verification methods when registering an account is using an ID card. For identity verification, the user uploads a photo of their identity document to the system and the system needs to validate its authenticity.
Using Optical Character Recognition (OCR), confirmation of the original text in microprinting and facial recognition, artificial intelligence systems can recognize if the document represents the person claiming to be the owner, if it is valid, as well as details such as the issuing country of the document and the type of document (passport, ID, driver’s license).
AI-powered ID verification is a great way to authenticate users at scale without sacrificing security while still gaining an edge on scammers.
The facial recognition verification method is something that most of us have probably done ourselves. Most of today’s modern phones come with facial recognition software that allows users to not only unlock their devices, but also to log into their accounts, make a payment, and much more.
Companies use the same technology when they ask users to use cameras for facial recognition. The AI system analyzes users’ faces by data points such as the distance between the lips and the eyes, the height of the cheekbones, the distance between the eyes, etc. and verifies the authenticity of the user based on their facial expressions.
With the help of artificial intelligence, users can access their accounts more securely and at a faster rate, while companies can avoid fraudulent activities.
Voice assistants like Siri, Cortana, Alexa or Google Assistant have become very popular. A new research found that by the end of 2023, there will be 8 billion digital voice assistants in use.
However, today, companies allow users not only to give voice commands, but also to use their voice as their new password or authentication method.
With the help of artificial intelligence algorithms, it is possible to identify and recognize users based on their accent, tone, speed, etc.
Financial institutions are one of the biggest adopters of these technologies. Customers are being verified with their voice during the first seconds of calling the service centers. This helps service personnel avoid the repetitive process of security questions and secret words, but also comes across as a more secure verification method, making it difficult to hack.
The digitization process has been further accelerated by the ongoing pandemic, requiring companies to strengthen their security procedures. The benefits offered by artificial intelligence systems for authentication make the solution the best bet to guarantee customer security.
In addition to improved security, companies automate certain operations, eliminating the need for in-person verifications that make the customer experience more pleasant and enjoyable.
In case you want to take your business security to the next level, schedule a free consultation call with our AI experts and let us show you how our services will make your business even more secure.