Cloud-based solution for secure onboarding to digital banking services

KYC (Know Your Customer) compliance

Financial Institutions (FIs) need to set up appropriate identity verification mechanisms to secure the onboarding of new customers to their services and comply with stringent and evolving regulations such as Anti-Money Laundering (AML) Directive v5 and v6, and PSD2 in Europe. 

Moreover, many financial services KYC procedures require demanding identity verification and genuine user confirmation during the entire client life cycle. 

Learn how the onboarding services in our Gemalto IdCloud platform can help you. 

Swift and secure customer onboarding

Customers today expect to be able to open a new account online from their laptop or mobile. This means that FIs need to offer a fully digital onboarding experience to avoid abandonment during the enrolment phase, while also adhering to stringent know-your-customer (KYC) regulations.

To be able to offer this, you need identity proofing services such as:

• document verification,
• face recognition,
• anti-money laundering checks (AML).

There are many document verification solutions suppliers, but what sets Gemalto IdCloud platform apart is that you also get access to risk management services which are essential in the onboarding process to reduce application fraud.

The Gemalto IdCloud risk engine performs additional background checks such as user attributes, device details and network information. These are all part of an essential step called identity affirmation and increase the level of confidence by providing supporting evidence for an identity claim.

By adding identity affirmation you can introduce adaptive onboarding and start by checking for any signs of potentially fraudulent activity, before even launching the actual identity proofing process. The goal is to prevent ID fraud during digital onboarding, but it can also lower total cost of ownership by avoiding additional checks and abandoning high-risk enrolments at an early.

Document verification

Document verification is a digital verification process used to verify whether a user’s ID document is authentic. The customer uses their own mobile device to capture the ID document and sends the photo to the Gemalto IdCloud server for the verification process, which screens for all security elements to prove authenticity. A score is produced for every verification screening and the FI will be informed whether a customer’s document is fake or genuine.

Advanced document verification includes checking:

• Data integrity
• Data format 
• Visible security features or patterns: water marks, stamps, line pattern etc
• Machine Readable Zone (MRZ) and cross-verification with visual information
• Expiry date
• Data extraction; such as name and date of birth to be used in Financial institution's CRM system

Our solution also supports NFC to read electronic ID documents giving a foolproof way to extract data stored on the ID chip and obtain the customer’s information, including a high-quality digital copy of their image.

Facial recognition

To complete the remote onboarding process, customers must be able to prove they are a real person and physically present during the onboarding process. This step is essential to associate the physical user with their ID document.

The facial match service asks the user to take a selfie which it then compares with the image extracted from the ID document, which has already been verified as genuine. Again, customers can use their mobile to do this, so streamlining the remote process.

Thales’ facial recognition technology is one of the best in the world. Our service also includes passive liveness detection of which the end user will be unaware to guarantee a live person is performing the request.

Risk management for identity affirmation

Identity affirmation technology harnesses the power of four layers of intelligence. Each layer transparently analyses user and environment activities from different perspectives to identify high risk before any harm is done.

Together, they create a dynamic profile of each event, giving you the confidence that you are identifying  ‘good’ consumers based on their online interactions. 

Learn more about our cloud-based risk management services here.

Anti-money laundering checks

Anti-money laundering (AML) and Countering the Financing of Terrorism (CFT) regulations are being imposed and reinforced worldwide when onboarding new customers and to fight identity fraud. FIs must now strengthen their identification of customers using reliable and independently sourced documents, data or information.

With the latest AML v5 and v6 regulations, new customer registration requires PEPs and sanction lists verification and proper risk assessment policies to be in place. The identity verification can be completed only once these additional AML sanction lists are checked on each end customer attempting the onboarding.

A full digital onboarding process need multiple verification layers

One cloud platform to secure onboarding and access to digital banking

Our cloud-based managed services enable FIs to combine identity proofing and strong customer authentication to provide secure onboarding and access to digital banking. By adding risk management you can further increase security and enhance the customer experience with identity affirmation and risk-based authentication. With one single platform.

More resources on KYC services 

• Thales Gemalto IdCloud
• Authentication services with Thales Gemalto IdCloud
• Risk management services with Thales Gemalto IdCloud
• Know your customer in banking
• More on digital ID (global trends)