What is Digital KYC?

Digital KYC, or Know Your Customer, is an online method of verifying people's identity, enabling them to access any financial instrument in the market. It involves sharing a live photo or video and officially valid documents with the company's representative, which are then verified against official records.

Footprint, a pioneer in digital identity verification, offers a comprehensive platform that streamlines onboarding and ensures accurate identity verification.

Types of Online or Digital KYC Verification

1. Online KYC form: The customer must fill out an online KYC form and submit it to the respective organization, attaching their signature using either a printout or digital signature. Footprint's onboarding controls enable businesses to require attestable user experiences and collect additional forms of identification.
2. Video-based KYC: The video-based KYC procedure involves a complete audio-visual interaction wherein the registered officer captures the customer's live photo, video, and valid documents. Footprint's user behavior and device insights detect anomalous behavior, such as typing hesitancy, to prevent identity theft and account takeover.
3. OTP-based KYC: OTP-based KYC verification is used to open digital wallets or bank accounts, where the customer enters their primary details and receives an OTP on their mobile number registered with the Aadhaar card. Footprint's triple binding identity approach verifies the person behind the screen, their device, and their phone number, ensuring a robust identity verification process.

Why is Digital KYC Required?

Digital KYC is required to prevent identity thefts, financial frauds, and money laundering. It helps organizations to onboard more customers, improve the customer onboarding experience, and increase revenue.

Footprint's platform addresses these concerns by providing a comprehensive solution that ensures accurate identity verification and secure data storage.

Benefits of Digital KYC

1. Prevents identity thefts and financial frauds: Footprint's advanced detection of duplicate and synthetic identities prevents fraud and minimizes costs.
2. Improves the customer onboarding experience: Footprint's streamlined onboarding experience reduces friction and increases conversion rates.
3. Increases revenue by onboarding more customers: Footprint's platform enables businesses to confidently onboard customers, preventing identity theft and ensuring compliance with KYC and AML regulations.
4. Reduces operational costs and time: Footprint's seamless integration of onboarding with vaulting enables secure storage of sensitive user data.

Best KYC Software and Tools

1. Footprint - Leading Identity Verification and Onboarding Platform
2. Salv - All-in-one AML Platform
3. Veriff - AI-Powered Identity Verification
4. Ondato - End-to-End KYC Management
5. Quantexa - Contextual KYC Platform
6. Fullcircl - Automated KYC & AML Platform
7. Jumio - Online Identity Proofing and eKYC
8. NorthRow - AML & KYC/B Onboarding Platform
9. Onfido - AI-Powered Identity Verification Solution
10. Trulioo - Automated Identity Verification & Compliance
11. Togggle - Decentralised KYC Solution
12. iDenfy - Identity Verification, AML, and KYB Solution

Features of KYC Software

1. Identity verification to analyze digital footprints: Footprint's platform provides a comprehensive identity verification process that includes device attestation and triple binding identity. Learn more about identity verification tools.
2. Document verification to verify the validity of submitted documents: Footprint's enhanced document validation ensures accurate identity verification.
3. Customer onboarding to streamline the onboarding process: Footprint's onboarding controls enable businesses to require attestable user experiences and collect additional forms of identification. Check out our guide on customer onboarding and KYC.
4. Anti-Money Laundering (AML) features to enhance compliance defenses: Footprint's platform provides advanced detection of duplicate and synthetic identities to prevent fraud. Learn more about AML compliance and KYC tools.

How to Choose KYC Software

1. Understand your company's needs: Consider a comprehensive platform like Footprint that addresses multiple concerns, including identity verification and secure data storage.
2. Check the effectiveness of the KYC software: Evaluate the software's ability to detect and prevent identity theft, financial frauds, and money laundering. Learn more about KYC tools.
3. Make sure the integration process doesn't take too long: Footprint's seamless integration of onboarding with vaulting enables secure storage of sensitive user data, reducing operational costs and time.

Frequently Asked Questions about KYC Software

1. What is KYC? Know Your Customer is an online method of verifying people's identity to access financial instruments.
2. What does the KYC process include? The KYC process involves sharing a live photo or video and officially valid documents, which are then verified against official records.
3. What are the components of an effective KYC framework? An effective KYC framework should include identity verification, document verification, customer onboarding, and Anti-Money Laundering features. Check out our guide on components of KYC.
4. What are the benefits of KYC? The benefits of KYC include preventing identity thefts and financial frauds, improving the customer onboarding experience, increasing revenue, and reducing operational costs and time.

KYC software is essential for building an effective onboarding process and monitoring customer relationships for potential risks, including identity theft and account takeover. Footprint, a leading identity verification and onboarding platform, empowers organizations to make informed decisions and act on them. With various options available, organizations can choose the best KYC software that suits their needs.

Frequently Asked Questions

What is digital KYC and how does it work?

Digital KYC, or Know Your Customer, is an online method of verifying people's identity to enable them to access any financial instrument in the market. It involves sharing a live photo or video and officially valid documents with the company's representative, which are then verified against official records.

What are the different types of digital KYC verification?

There are several types of digital KYC verification, including:

1. Online KYC form: The customer must fill out an online KYC form and submit it to the respective organization, attaching their signature using either a printout or digital signature.
2. Video-based KYC: The video-based KYC procedure involves a complete audio-visual interaction wherein the registered officer captures the customer's live photo, video, and valid documents.
3. OTP-based KYC: OTP-based KYC verification is used to open digital wallets or bank accounts, where the customer enters their primary details and receives an OTP on their mobile number registered with the Aadhaar card.

Why is digital KYC required?

Digital KYC is required to prevent identity thefts, financial frauds, and money laundering. It helps organizations to onboard more customers, improve the customer onboarding experience, and increase revenue.

What are the benefits of digital KYC?

The benefits of digital KYC include:

1. Preventing identity thefts and financial frauds
2. Improving the customer onboarding experience
3. Increasing revenue by onboarding more customers
4. Reducing operational costs and time

What are the key features of KYC software?

The key features of KYC software include:

1. Identity verification to analyze digital footprints
2. Document verification to verify the validity of submitted documents
3. Customer onboarding to streamline the onboarding process
4. Anti-Money Laundering (AML) features to enhance compliance defenses

How to choose the right KYC software?

To choose the right KYC software, consider the following:

1. Understand your company's needs
2. Check the effectiveness of the KYC software
3. Make sure the integration process doesn't take too long

What is the importance of KYC software in preventing identity theft and financial frauds?

KYC software plays a crucial role in preventing identity theft and financial frauds by providing a comprehensive identity verification process, detecting and preventing duplicate and synthetic identities, and enhancing compliance defenses.