In today’s fast-paced digital world, the demand for online services and products has skyrocketed to unprecedented levels. Therefore, it has become vital for businesses to authenticate the identity of their customers through online portals. Document verification has become a key tool for organizations to reinforce safety protocols and enhance customer satisfaction.
The identity verification market is predicted to experience significant growth over a 10-year period from 2017 to 2027. Forecasts suggest that global spending in this industry will surge by more than 13 billion U.S. dollars, with the market size expanding from 4.93 billion in 2017 to over 18 billion by 2027.
For instance, ride-sharing apps rely heavily on online document verification to validate the identities of both the riders and drivers. This practice is instrumental in combating online identity theft and creating secure online environments for users.
Moreover, If the owner intends to incorporate identity verification solutions in their organization, they will find various options to select from, varying in sophistication, and complexity. Document verification, despite its lack of novelty, remains an essential verification solution and can complement other certification techniques.
Understanding Document Verification in Detail
Document verification is a critical process that establishes the authenticity of a document, be it a bank statement or business document. It is an essential component of identity verification processes employed by businesses, frequently used in tandem with other verification methods.
While document verification may be conducted in physical and digital environments, it is typically employed to refer to digital document verification. The procedure typically involves users providing personal information such as their name and social security number during the account creation process. Subsequently, they may be required to furnish one or more documents to corroborate the information provided.
The submitted document is then validated to ensure it’s authentic and has not been altered. If the document passes the verification process, it serves as evidence that the information provided by the user is accurate.
Workings of Online Document Verification
Online document verification procedures differ depending on factors such as implementation in the industry and the types of documents involved. Nonetheless, the process usually comprises four key stages:
- Collection of the necessary documents
- Extraction of relevant data from the documents
- Validation of the authenticity and accuracy of the documents
- Manual verification of the documents by a human reviewer.
1. Collection of the Necessary Documents
To initiate the document verification process, the first step is to obtain the document. This can be accomplished in several ways but usually involves requesting the user to take one or more photos of the document and upload them.
After the document has been submitted, it undergoes preliminary processing and analysis to ensure that it meets the specific criteria set by the organization. Is the uploaded image actually the required document and not a picture of something else? Does the image capture the entire document or only a portion of it? Documents that do not meet these requirements for any reason will be rejected, while those that satisfy the criteria will proceed to the next stage of the verification process.
2. Extraction of Relevant Data from the Documents
When a user uploads a document for verification, they provide a photo of the document. The data must be extracted to access the information within, which can be done using various methods.
Once all relevant data is extracted, it is compared to any data the user provides. For example, if a user submits a utility bill as proof of address, the address on the bill is compared to the address provided by the user.
If there are any inconsistencies between the user-provided data and the data extracted from the document, it should raise a red flag. While these discrepancies could result from a simple input error, they could also indicate fraudulent activity.
3. Validation of the Authenticity and Accuracy of the Documents
To validate the authenticity of the provided document, the next step is to perform a series of validation checks, which may involve hundreds of different checks depending on the type of document being verified.
Some of the standard validation checks include:
- Checking document completion: If the document comprises multiple pages, it’s crucial to ensure that all required pages are uploaded.
- Examining edge detection and cropping: The edges of the document are scrutinized to detect any signs of tampering or manipulation.
- Identifying special features: Official document verification, like government-issued IDs, may have unique features that are designed to be difficult to counterfeit, such as watermarks, holograms, stamps, foils, fonts, textures, and more.
- Analyzing color space: The color, lighting, and shadow of a photo can provide additional context to determine whether a document is authentic, forged, or altered.
Key Takeaways
In the digital era, online document verification is now a crucial tool for businesses. This process reinforces safety protocols, leading to secure online environments, which ultimately enhance customer satisfaction and streamline business operations. Typically used alongside other verification methods, document verification is a critical process that validates the authenticity of a document.