An average person born after 1980 will take 25,000+ selfies in their lifetime—predominantly for social reasons. But that's not the big news. By leveraging this social feature, fintechs can manage identity fraud better and scale faster. Before we dive into the significant benefits of selfie verification, let's take a look at some—not so great—data.
In 2020, the world lost $56 billion to identity theft and fraud, translating to enormous losses for companies worldwide. For context, the World Food Programme says that's enough money to solve hunger problems for over 42 million people in three countries.
The prevalence of identity fraud and theft is sadly higher with digital products. Some fintechs only require a valid ID for registration, and once authentication is complete, not much else is done. In their defence, this offers today's customers a faster way to onboard. However, as well-intended as that is, this practice does not protect against customers with stolen identities.
Other fintechs and banks manage fraud issues by limiting transactions and requiring physical verification to process upgrades. The downside to this model is that it negatively affects user acquisition. Hence, to tackle fraud effectively, a seamless identity verification process is needed to help fintechs and digital banks scale faster; selfie verification comes in here!
What is Selfie Verification?
This form of verification leverage biometric verification—comparing physical traits with identity assets to prove ownership. For example, when a user uploads their international passport, a selfie is then used to verify the user's identity. Here's how it works:
- The customer uploads their identity details.
- They take a selfie with their mobile or web device.
- The face geometry (in the selfie) is analyzed and compared with the passport's image.
- If they match, the user is verified with a high degree of accuracy.
Why does Selfie Verification Matter?
Today's customers are increasingly intolerant of slow processes. They want to set up an account quickly and have access to high limits without visiting the branch office of a fintech or digital bank. Here, selfie verification ensures that this is possible with simple adoption of what is probably second nature for many.
Secondly, businesses spend less on setting up physical security infrastructure to verify their customers with this verification method. Asides from saving on setup costs, they also block potential loopholes that rack up losses in billions—as shown earlier.
Despite the reduced costs, setting up an independent selfie verification feature is not cheap or trivial. Thankfully, with Okra's Identity APIs, you get to add the selfie verification feature at a fraction of the required setup costs.
Powering your verification with Okra saves you the cost of in-person hours and cash. Also, it helps you launch faster as a new fintech.
Finally, the accuracy of matching live images with ID documents doesn't only help reduce fraud attacks by 80%, they improve user experience. Imagine a legitimate user getting locked out of their account due to inaccuracy of the verification feature? Such experiences can push users to churn and impact revenue.
Our liveness feature is designed to ensure accuracy and prevent such from happening.
How to Setup Selfie Verification
Implementing the selfie verification feature on your widget is simple. However, the following conditions must be met;
- Visit here and signup.
- After verification, log in.
- In your widget implementation, use the
selfieVerifyparameter to enable selfie checks, and any of the optional nodes to your widget options as below:
How can we help your business?
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