How the cloud powers automated ID verification to help businesses stay cyber secure (Guest blog from Melissa)

Author: Barley Laing, UK Managing Director at Melissa

There is an increasing pressure on organisations to reduce their cost base to remain competitive in these challenging economic times. The cloud, and the evolving technology that operates within it, enables businesses to deliver just that.

Using cloud-based technology staff can be more efficient and productive, with intensive back-office administrative tasks being more effectively handled in the cloud, at lower cost. Organisations are also empowered to provide a better service, often in real-time to customers, most of whom have higher expectations regarding customer service in the digital age.

If set up correctly technology in the cloud can operate 24/7, doesn’t make mistakes or take time off to go on holiday, can receive instant updates and added features, and overall streamline key administrative functions, from payroll to procurement; maintaining data quality to ID verification.

In fact, cloud-based technologies are very mature, while artificial intelligence (AI) is still in relative infancy by comparison.

ID verification and cyber security transformed by cloud-based technology

ID verification is a good example of an area where cloud-based technology is driving efficiencies, while reducing cost. As the pace of digitalisation increases, combined with growing online fraud, it’s vital organisations know who they are engaging with, ideally in real-time, to remain cyber secure.

Today, physical ID checks don’t cut it. It’s difficult for staff to review ID documents manually for authenticity, leading to mistakes. Also, with thousands of ID document types worldwide employees will understandably struggle to recognise them all, causing review-related delays, quite apart from the cost of extensive staff training required for the task. Performing manual ID checks can take days, even weeks, which can cause a lot of inconvenience to new customers, when in today’s digital age people expect and want everything instantly. Additionally, records of ID checks can often be held in hard copy at various locations, making quality control difficult. Finally, operating manually does not usually allow for a quick response to changes, whether legislative or regulatory.

SaaS electronic ID verification to counter fraud and ensure cyber security

ID verification technology in the cloud, such as software-as-a-service (SaaS) electronic identity verification (eIDV), is proving to be a game changer. Being a SaaS such a platform is straightforward to deploy, usually within hours and scalable – up and down - based on your needs. It also supports real-time cross-checks 24 hours a day against an individual's contact data as an online application or sale is completed, to ensure the user experience isn’t negatively impacted.

The technology sourced must have access to reputable global data streams in the cloud, such as government agency, credit agency and utility records, to match the name, address, date of birth, email, or phone number. This includes access to recognised sources of business data, such as from a business registry or regulator, for know your business (KYB) checks to confirm ID.

The service should also offer mortality screening checks to effectively confirm the ID of an individual and be able to highlight any errors in the data, such as a typo in the address, which can easily be corrected.

It is also preferable that the platform offers access to worldwide sanctions and politically exposed person (PEP) data, as well as adverse media checks of both individuals and businesses to provide a full ID verification service.

Only then is it possible to determine an applicant’s ‘right’ to access a service or support, and more widely for businesses to protect their bottom line against fraudsters - ensuring they remain cyber secure.

It is important to note that such an integrated eIDV platform, with all this data and functionality in one place, provides economies of scale for those who use it. Also, it enables organisations to strengthen their governance processes by aiding compliance with ‘know your customer’ (KYC), and anti-money laundering (AML) regulations.

With escalating cost pressures on organisations cloud-based technology must take the strain with back-office administrative processes, where appropriate. Increasing digitalisation and the corresponding growth in fraud makes utilising a SaaS eIDV platform vital to remain cyber secure.

This guest blog was written by Barley Laing, UK Managing Director at Melissa. To learn more about Melissa, please visit their LinkedIn  and Twitter page.