The regulatory changes initiated by RBI has made things way simpler for the banks and other financial institutes following the pandemic to carry on with their activities even when the lockdown was in full motion. The change was gradually adopted by the insurance companies as well as start-ups, as these organizations started resorting to Video KYC as the method to get their customers onboard during a nationwide lockdown.
The procedure became an instant hit as it came with a host of benefits, it completely eliminated the need for any physical visit, took down the cost and saved time. Nearly all the industries that adopted One stop Video KYC solution, are happy with the way they are getting to onboard the customers remotely. This move paved the path for the future when all the banking transactions would be paperless.
How the Video KYC for Banks take place
The new verification procedure which is being done via a video platform is apparently a simpler and faster process, although it might sound daunting. The procedure backed by advanced technology is about taking a live photo of the customers along with the documents presented. The address verification is done via geotagging in real-time to prove that the customer is present in India while this session is taking place. The customer needs to have access to a Smartphone with an internet connection to get the job done.
The Video based KYC identification procedure is absolutely fuss-free, as there is absolutely no need for physical document submission. This is a secure, low-cost procedure which allows instant verification and onboarding for the customers which no doubt is a big boon for both the customers and the organizations conducting the procedure. This consent-based procedure is carried out by an official and is empowered by cutting edge features of the AI technology.
The approval of this procedure is causing a big transformation, as earlier people from remote areas where banking facilities were unavailable couldn’t access services. The introduction of this new tool is undoubtedly going to empower them to eradicate the physical barrier and be able to access banking solutions or, other services even remotely.
The fintech start-ups are reaping huge benefits as this procedure enables them to save money by eliminating the cost of investment in equipment or, personnel for getting the verification done, especially, for customers hailing from remote areas.
So, video KYC is undoubtedly a significant tool and it enables a company to keep the business moving at a fast pace, but they do need to partner with the right technological solutions provider to make the process smoother and more efficient.
