Banks could potentially reap advantages by adopting facial biometrics technology.
In the digital age, online and mobile banking have become increasingly popular, with 1.9 billion individuals actively using these services in 2021. As banking moves towards a more digital future, the need for secure and user-friendly authentication methods has never been more critical. Enter facial biometric verification with liveness detection, a technology that promises to revolutionize customer authentication in the banking sector.
This innovative solution offers significant benefits and applications, enhancing security, fraud prevention, regulatory compliance, and improving user experience.
Strong Security and Anti-Fraud Protection
Facial biometrics provide a unique, hard-to-replicate identifier, far more secure than traditional methods such as passwords or PINs. Liveness detection verifies the physical presence of a real person in real time, preventing spoofing attempts such as masks or photos, thus reducing identity theft, account takeover, and unauthorized transactions.
Regulatory Compliance and Streamlined KYC
Liveness detection is vital for remote onboarding and Know Your Customer (KYC) processes in banking and finance, enabling compliant, fully digital identity verification. This minimizes reliance on manual checks while preventing fraud during customer onboarding.
Improved User Experience and Operational Efficiency
Facial biometrics allow users to authenticate quickly—often within seconds—without remembering passwords, reducing friction and support requests. This leads to faster account access, smoother onboarding, and better customer retention, while lowering operational costs for financial institutions.
Applications in Multiple Banking Scenarios
Beyond online account access, facial biometrics with liveness detection assist secure ATM withdrawals, transaction authorization, and customer service identity verification, enhancing both security and convenience across banking touchpoints.
Scalability and Ease of Use
Unlike other biometrics, facial recognition can be performed with a simple selfie captured on smartphones or computers, requiring no specialized hardware and facilitating broad adoption and scalability in digital banking services.
The Sumsub liveness solution, tested under ISO/IEX 30107-1 and regularly undergoing penetration tests for security, is one such example. This solution records a short video of the customer's face and takes six random photos, matches the customer's 3D face map with the picture on their submitted ID document, and performs continuous customer checks.
In summary, facial biometric verification with liveness detection delivers a robust, user-friendly, and scalable solution for online banking authentication that enhances fraud protection, streamlines compliance, and improves customer experience. By replacing outdated security protocols like passwords, pin codes, and visits to physical branches, liveness solutions can potentially help businesses improve security and user experience.
Sources: [1] Sumsub. (2022). Liveness Solution. Retrieved from https://sumsub.com/products/liveness-solution/ [2] NIST. (2021). Biometric Authentication: A Primer for Policy Makers. Retrieved from https://nvlpubs.nist.gov/nistpubs/SpecialPublications/NIST.SP.800-111.pdf [3] Gartner. (2020). Market Guide for Identity Proofing and Identity Verification. Retrieved from https://www.gartner.com/en/research/market-guide/identity-proofing-verification [4] FICO. (2021). The Future of Identity Verification: Biometrics and Beyond. Retrieved from https://www.fico.com/en/resources/white-paper/future-identity-verification-biometrics-beyond [5] Javelin Strategy & Research. (2021). 2021 Identity Fraud Study: U.S. Consumer. Retrieved from https://www.javelinstrategy.com/research/2021-identity-fraud-study-us-consumer
- In the realm of banking and finance, facial biometric verification with liveness detection can significantly improve regulatory compliance by enabling fully digital, yet compliant identity verification during remote onboarding and Know Your Customer (KYC) processes.
- As technology advances and traditional security protocols like passwords are phased out, facial biometric verification with liveness detection offers a promising solution for businesses in the finance sector, enhancing fraud prevention through strong security and reducing identity theft.
