Must-Have features in an Identity Verification API
Must-Have features in an Identity Verification API
Conducting Customer Due Diligence (CDD) is an important part of anti-money laundering (AML), countering the financing of terrorism (CFT) and countering proliferation financing (CPF) compliance obligations for Regulated Entities, including Designated Non-Financial Businesses and Professions (DNFBPs) in the UAE. Know Your Customer (KYC) process is integral to CDD. KYC identifies and verifies the identity of customers through authentic government-issued identity documents. Here is the infographic providing insights into the must-have features in the identity verification API.
ID verification Application Programming Interface (API) software facilitates the digital conducting of the KYC process. DNFBPs can adopt ID Verification APIs to streamline their CDD compliance. This infographic lists the features that ID verification APIs must have for them to be effective. The aim is to assist businesses in making an informed decision as to which ID verification API is suitable for them.
Ease of embedding into existing customer onboarding workflow:
ID verification API should seamlessly integrate into the existing customer onboarding workflow of the DNFBP.
Ability to capture key identifier details through OCR and extract ID information:
ID verification API should be able to leverage Optical Character Recognition (OCR) technology to successfully extract information from IDs. OCR technology enables the conversion of images into text, making it editable and searchable. OCR technology facilitates a quick verification process by converting scanned documents into readable data that can be used for the verification process.
Ability to verify the authenticity of captured documents:
ID Verification API should be integrated with effective verification methods to check the authenticity of government IDs such as the Emirates ID (EID).
Ability to validate information provided across the documents:
ID verification APIs should be able to validate information across multiple types of ID documents. For example, it should be able to validate information from passport, driver’s license number, Emirate ID number (EID), trade license, certificate of incorporation, etc.
Ability to provide different options for integration:
These include options such as:
- Direct integration with existing systems: This involves directly embedding the ID verification API into DNFBP’s AML software
- Integration through core providers: This involves integration through core service providers that have in-built ID verification options
- Integration through third parties: This involves using third-party platforms or tools for integration of ID verification API.
Ability to provide unified client onboarding and self-service solution:
ID verification API that offers both client onboarding and self-service options can make the customer onboarding journey swift and seamless.
Provide real-time support:
ID verification API provider should provide real-time support for addressing any issues that the DNFBPs may face.
Provide tutorials and user manual:
ID verification API provider should provide tutorials and user manual to DNFBPs to help them understand the API’s features.
Provide usage tier-based pricing:
Tiered pricing based on usage allows DNFBPs to select a plan that suits their size of business operations and AML/CFT/CPF compliance needs, ensuring cost-effectiveness for the DNFBPs.
Support white labelling:
ID verification software should allow white labelling for DNFBPs, enabling them to brand the identity verification solution as their own for a seamless customer experience.
Should ideally be ISO certified and GDPR compliant:
This ensures that the ID verification API meets international standards and quality benchmarks.
Conclusion
Ensuring that the ID verification API is aligned with the above-mentioned must-haves will help DNFBPs invest in the right AML technology, which effectively facilitates their AML/CFT/CFP compliance.
