Document Verification Processes Can Be More Thorough with MRZ Technology
In today’s fast-paced world where speed and accuracy are crucial, document verification processes can be improved upon by using Machine Readable Zone (MRZ) technology. This technology verifies elements such as expiration dates and document numbers in real-time, reducing the likelihood of human error.
Less Human Error
Machines can sometimes be more accurate than human judgment when it comes to identification processes. For instance, image analysis software can compare a person’s ID document with their photo or video, spotting discrepancies with sophisticated algorithms.
Digital Evidence and Compliance
Digital evidence, in the form of electronic data trails and logs, makes it easier to comply with document storage obligations and prove proper execution of due diligence. When carrying out identification via a digital process, digital evidence of the process is stored.
- This has two significant advantages:
- Identification documents, data, and information that companies are legally required to retain for a certain period can be easily stored in dematerialised form.
- Electronic data trails and logs can be used to prove proper execution of customer due diligence obligations if needed.
Simplifying Reporting
Digitally storing records of customer due diligence carried out makes it easier to report on compliance. This reduces the administrative burden on companies and ensures that regulatory requirements are met.
Customizable Solutions for AML Compliance
Luxembourg financial industry professionals can choose from a catalogue of components and features to build a hosted remote account opening process and toolset that fully meets their requirements and AML policies using Finologee’s Digital Onboarding and Identification product.
Integrating Remote Identification with KYC Management Platforms
Customer identification is only one obligation of companies stemming from the Anti-Money Laundering/Countering Financing of Terrorism (AML/CFT) regulatory framework. To streamline customer and back-office/compliance staff journeys while facilitating regulatory compliance, remote identification tools can be integrated seamlessly within more complete KYC management platforms.
- Such platforms can cater for easy interactions between customers, back-office, and compliance staff, simplifying the creation and management of customer profiles.
- They can also integrate features such as:
- Risk classification
- Document requests
- Verification reminders
- Interfacing with public registers and data providers to verify obtained data against publicly available information
Finologee provides the tools to help companies build their own fully digital KYC lifecycle management platform, tailored to their specific needs and requirements. For more information, please visit our KYC Manager product page.