As an effort to enforce the preventive aspect, following regulatory recommendations, in carrying out its operations, every financial service provider is required to carry out a Know Your Customer (KYC) process. In KYC, there are a series of verification and validation processes for several data related to prospective customers. Meanwhile, the KYC process can be done traditionally by meeting directly with prospective customers and checking the required documents; or by taking advantage of technology so that all the processes can be done online.
Data verification and validation have different roles in KYC. The data submitted by prospective customers will be verified during the verification process, for example, by comparing the photo on the identity card with the real face. Meanwhile, the validation process is the accompanying stage. For example, when the identity card has been verified, the existing data can be validated with the database at the Directorate General of Civil Registration to ensure that the NIK entered is valid and registered.
Verification and validation services at Finantier
Finantier is an Open Finance technology developer, providing infrastructure services that enable financial service providers to deliver more solid and comprehensive fintech capabilities. Finantier has a service called "Finantier Verification" to implement data verification and validation.
Finantier focuses on providing instant verification and validation services for e-KYC purposes, especially for financial companies that want to offer their services through mobile applications. The product is designed with UI/UX in such a way that makes it easier for the user through an intuitive dashboard. This service also helps financial institutions in the decision-making process.
Finantier's e-KYC service also verifies and verifies population identity data and income (income statement). This is useful for financial institutions to ensure the validity of customers, as well as provide an initial picture of a person's financial condition or profile. Finantier also ensures high data accuracy while ensuring that the data is always updated according to the latest requirements.
More specifically, here are some verified and validated data:
- Identity (including NIK, name, address, place, and date of birth, photo)
- Income (including personal TIN, income)
- Company (including NPWP of business entity, income, decree, shareholders, staff)
- Phone number
- Address
- Negative List
- Bank Accounts, and others.
Provides a seamless verification and validation process
Finantier presents its products through the Open API mechanism, allowing various services such as e-KYC to be embedded into a digital application. The advantage is that the stages will be integrated with existing business processes — users do not need to install new applications or exit the application to carry out the e-KYC process.
Provides a seamless verification and validation process
e-KYC is regulated under Financial Services Authority Regulation No.13/POJK.02/2018 concerning digital financial innovation (regulatory sandbox). Meanwhile, in the regulation, e-KYC is defined as a technology-based platform that provides identification and verification services for prospective customers or customers using population data sourced from Dukcapil.
Doing more with Open Finance
The capabilities of Open Finance services do not stop there. Several products can be explored to produce attractive features for various financial technology (fintech) business models. Call it the Recurring Payment platform, making it easier for subscription applications to provide consumers with a more seamless payment model.
The Open Finance concept, besides making it easier on the implementation side (API integration), also provides cost efficiency. Finantier can reduce various fees usually charged to customers/merchants by up to 99% for Recurring Payment services.
Other products, such as Alternative Credit Scoring, contain features that help companies obtain, process, analyze, and visualize various data sources for credit scoring purposes. This service can complement traditional models, such as the use of SLIK.
The alternative credit scoring model also allows business people to reach previously untapped customers, such as the underbanked and unbanked. Alternative credit scoring focused on historical banking data and other more general data such as PPOB transaction history, e-money, etc.
Read more about Open Finance products from Finantier and their use cases via the following link: finantier.co