Ways how technology can simplify KYC

We are going to take the leap of faith and go with the fact that you already know what KYC is, and how it relates to AML compliance.

Up until this point, the KYC (Know Your Customer) regulations have involved a ton of manual inputting and checking.

This takes a substantial amount of time for the broker to complete, which falls back onto the client that must wait before they can complete any transactions.

New technological advances are changing the system, for the better. New tech is currently being discovered and implemented, that will make this substantially easier.

Let’s look at how that is possible and dig a little deeper into how technology can simplify the process.

Automation and Artificial Intelligence

Every financial institution throughout the world is moving to online platforms. Platforms that cannot possibly be monitored all the time by live people. That is where the automation of systems comes in, which is how most financial sites work these days.

Once AI is added onto the platform, things can be sped up by a substantial amount of time. If you have used any type of online banking service, you know what is being talked about.

You can use the chatbot feature to get basic answers, you can apply for accounts online with some information and a few scanned documents, and you can even use the platforms to make, review, and sign documents that normally must be signed in front of a professional, or a notary.

Face Recognition

One of the main problems that are facing the financial industry is being able to verify that you, are you. Documents need to be sent back and forth that will allow the company the ability to verify that you are who you say you are.

Unfortunately, this leaves much room for improvement in the KYC process. You have probably heard about face recognition software, and you may have even used it a time or to on your phone or computer. This technology is being implemented into the platforms to speed the process up and to make verification more accurate.

Once it has been programmed into all the financial platforms it will allow companies to conduct business from anywhere in the world. 

Mobile Platforms

If you take the time to look around at the people scurrying about, one thing will become apparent. Society of today relies on mobile devices for everything. Some people will have a phone in their pocket.

Others in their hands, while the most dependent will have it in their faces while they hurry to the locations that they need to get to. When it comes to financial platforms and KYC it makes sense to follow suit and embrace the new way of living.

Mobile platforms allow people to use their services from anywhere in the world, at any time of day or night. 

Compliance

Without compliance, the platforms would be pointless. By implementing blockchain technology all the financial sectors can work together in a way like never seen before.

They can be connected to the main servers that check for compliance issues, and through a huge chain of networks, all transactions will be connected together, in one long chain of blocks filled with information that is basically an online ledger.

Final Thoughts

This is a quick overview of KYC improvements using innovative technology systems that are being created.

Consumers of today demand that they have access to conduct all their business transactions online, through platforms that can do everything that they need to be done, in as short a time span as possible.

Getting all the sectors to join the system will be the biggest challenge, but once that is accomplished, security protocols will be more locked down, platforms will be more efficient, and criminal activities will almost be non-existent.

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