According to the “Identity Verification Investment: A Study on Its Business Impact” report, FIs are now grappling with a surge in foreign document verification, particularly in countries like France (86%), Turkey (86%), and the U.S. (85%).
In addition, almost half of them (44%) are facing a 25% rise in volume over the last year. Because of that, 62% of businesses now resort to time-consuming manual verification processes as more individuals embrace remote work and the freedom to work from anywhere.
“The expansion of the global migration and digital nomad community, in particular, has highlighted the need for businesses to work with extended databases with a wide range of document templates, including rare specimens”, said Henry Patishman, executive vice president of Identity Verification Solutions at Regula. “Failure to do so may increase the risk of fraud since the lack of templates may lead to less accurate and thorough document verification checks. That is why we consistently update our database, which has now reached over 12,000 document templates from 247 countries and territories, to boost the capabilities of Regula Document Reader SDK.”
ID verification and working from abroad
The report comes as 79% of industry leaders believe deepfake video fraud poses a real threat to their businesses.
Over the past year, 95% of companies have reported experiencing identity fraud incidents. The number of ID fraud incidents exceeded an average of 30 per company in 2022, affecting not only the largest enterprises, but smaller businesses as well.
Across sectors, the proportion of companies affected by identity fraud remains high, with banking most commonly affected (94%).
For that reason, experts have been struggling to find ways to combat fraud and streamline ID verification.
In a previous interview, general manager of EMEA at OCR Labs Russ Cohn told RBI artificial intelligence and machine learning can play a role in providing support to ID verification processes.
“The banking industry is trying to digitally transform itself and catch up to other sectors, like iGaming, employment screening, automotive, and retail”, Cohn said. “Other digitally-native or digitally-adept sectors were early adopters of AI/ML and learned what banking is trying to learn: customers increasingly want remote, online experiences, they want them fast, and they want them available 24/7.”