Jan 25
4 min read

Fraud: How KYC is a Tool for Survival

To avoid fraud, companies are now forced to verify their clients' identities. Here's how.

Fraud: How KYC is a Tool for Survival

Due to the growth of a globalized economy, the risk of fraud and financial crimes is higher than ever. This is why companies are now forced to verify their clients' identities, acquire personal information, and avoid signing in individuals who might be linked to terrorism or money laundering.

Know Your Customer

One of the measures to mitigate fraud is KYC (Know Your Customer), a process that helps companies avoid commercial links with money laundry operations or terrorists.

It’s worth mentioning that KYC policies are not new. They have been incredibly effective for a few years now, especially in the financial services industry. If no regular human being would do business with a stranger, a bank, crypto, or money exchange company, would not do it either. 

Everyday frauds

Understanding the reach of regulations such as KYC is important to understand the root of the problem: fraud.

According to the dictionary, fraud is the “intentional perversion of truth to induce another to part with something of value or to surrender a legal right.” Is the act of deceiving. 

Fraud can affect someone's personal life or business beyond what we can imagine because it can happen in almost every situation of our everyday life. Whether is during car shopping, at a furniture store, in school, at the hospital, at work, at the bank, traveling, at stores, and even within public institutions. 

Unfortunately, fraud is part of our world. People with fake identities are everywhere, as delinquents who supplant another person’s identity or commit credit card fraud. They can be our neighbors or even our friends. 

Almost nothing or no one can remain immune to attacks in the digital era. Those who commit fraud target companies, governments, and individuals. According to a survey by PwC, in the digital era fraud has increased by 57% worldwide, in 2021. 

An ally against digital fraud

A solid, structured, automated, and properly sourced KYC process can reduce the risk of fraud that all businesses are exposed to, no matter their size.

Therefore, KYC is more than a procedure. Is a survival tool for companies and individuals. 

Without KYC, fraud wins

KYC is not just some mandatory item you need to cross off a list, but a solution to protect your company and your present and future clients. 

What if fraud, wearing one of its many masks, manage to enter your company system? Your business would lose credibility and its value would decrease, the second people find out about the breach.

Unfortunately, after that, is very difficult to regain your customer’s trust and you might be forced to close the shop or start again, somewhere new. 

How to stop fraud like a pro

You’ve already learned about what fraud is, now is the time to discuss how MetaMap can help integrate KYC into your enterprise.

A faster KYC

MetaMap offers new ways to understand and verify financial, legal, work-related, and social data. Through workflows, your company will be able to quickly build the logic to evaluate a user and decide if they should be accepted or rejected. 

Using pre-configured workflows such as those for Onboarding, Password generation or KYC considerably reduces developing time and allows you to integrate and scale your compliant operation and risk management, from beginning to end. 

Add real users, safely

Through different merits and using Artificial Intelligence, MetaMap can verify in real-time, and in just a few seconds, any of the almost 8 billion people who live around the world. Some of the main merits we work with are:

  • Fraud detection on ID Verification
  • AML Screening & Monitoring
  • Liveness Detection
  • Email Verification
  • Government Identity Verification
  • Phone Number Verification
  • Location Intelligence
  • Face Recognition Authentication
  • and many more.

The ally in KYC that you need

Choosing MetaMap as your provider of fraud prevention and KYC will not only protect you from bad actors but will also allow you to focus on what’s important for your business –  you will spend less and grow faster.

Want to get started today? Book a call with a MetaMap expert for a free trial and start building trust between your company and your users.

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KYC

Fraud: How KYC is a Tool for Survival

To avoid fraud, companies are now forced to verify their clients' identities. Here's how.

4 min read

— Published on

January 25, 2023

Due to the growth of a globalized economy, the risk of fraud and financial crimes is higher than ever. This is why companies are now forced to verify their clients' identities, acquire personal information, and avoid signing in individuals who might be linked to terrorism or money laundering.

Know Your Customer

One of the measures to mitigate fraud is KYC (Know Your Customer), a process that helps companies avoid commercial links with money laundry operations or terrorists.

It’s worth mentioning that KYC policies are not new. They have been incredibly effective for a few years now, especially in the financial services industry. If no regular human being would do business with a stranger, a bank, crypto, or money exchange company, would not do it either. 

Everyday frauds

Understanding the reach of regulations such as KYC is important to understand the root of the problem: fraud.

According to the dictionary, fraud is the “intentional perversion of truth to induce another to part with something of value or to surrender a legal right.” Is the act of deceiving. 

Fraud can affect someone's personal life or business beyond what we can imagine because it can happen in almost every situation of our everyday life. Whether is during car shopping, at a furniture store, in school, at the hospital, at work, at the bank, traveling, at stores, and even within public institutions. 

Unfortunately, fraud is part of our world. People with fake identities are everywhere, as delinquents who supplant another person’s identity or commit credit card fraud. They can be our neighbors or even our friends. 

Almost nothing or no one can remain immune to attacks in the digital era. Those who commit fraud target companies, governments, and individuals. According to a survey by PwC, in the digital era fraud has increased by 57% worldwide, in 2021. 

An ally against digital fraud

A solid, structured, automated, and properly sourced KYC process can reduce the risk of fraud that all businesses are exposed to, no matter their size.

Therefore, KYC is more than a procedure. Is a survival tool for companies and individuals. 

Without KYC, fraud wins

KYC is not just some mandatory item you need to cross off a list, but a solution to protect your company and your present and future clients. 

What if fraud, wearing one of its many masks, manage to enter your company system? Your business would lose credibility and its value would decrease, the second people find out about the breach.

Unfortunately, after that, is very difficult to regain your customer’s trust and you might be forced to close the shop or start again, somewhere new. 

How to stop fraud like a pro

You’ve already learned about what fraud is, now is the time to discuss how MetaMap can help integrate KYC into your enterprise.

A faster KYC

MetaMap offers new ways to understand and verify financial, legal, work-related, and social data. Through workflows, your company will be able to quickly build the logic to evaluate a user and decide if they should be accepted or rejected. 

Using pre-configured workflows such as those for Onboarding, Password generation or KYC considerably reduces developing time and allows you to integrate and scale your compliant operation and risk management, from beginning to end. 

Add real users, safely

Through different merits and using Artificial Intelligence, MetaMap can verify in real-time, and in just a few seconds, any of the almost 8 billion people who live around the world. Some of the main merits we work with are:

  • Fraud detection on ID Verification
  • AML Screening & Monitoring
  • Liveness Detection
  • Email Verification
  • Government Identity Verification
  • Phone Number Verification
  • Location Intelligence
  • Face Recognition Authentication
  • and many more.

The ally in KYC that you need

Choosing MetaMap as your provider of fraud prevention and KYC will not only protect you from bad actors but will also allow you to focus on what’s important for your business –  you will spend less and grow faster.

Want to get started today? Book a call with a MetaMap expert for a free trial and start building trust between your company and your users.

Get the latest news from The Map

Get all product updates and industry news directly in your inbox. It’s free!

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