How an App Can be Secured Using Identity Verification?

Do you know that 95% of cybersecurity breaches happen due to human errors? Surprisingly it is true!?

The rapidly increasing numbers of IP addresses & access point networks have potentially pushed the volume of internet traffic, resulting in massive amounts of data that is vulnerable to security threats.?

In the age of digitalization, the human race is dependent on modern technologies & smart methodologies or techniques to access their day-to-day needs. Whether it’s about transacting digitally or shopping online, people are addicted to simply visiting the desired site or application & carrying out their on-screen activities on the go. But that’s only one side of a coin!?

Believe it or not, 2020 was the worst-hit year not only for pandemic reasons but also for the highest number of data breaches that actually occurred when the global economy was crippled like never before.?

Now the role of digital identity verification strikes a mind when the point of cybersecurity concerns are addressed.?

Just in case we discuss how Twitter survived the false attempts of hackers when security access of the official Twitter handles of some prominent personalities including Elon Musk, Bill Gates, Barack Obama, & Joe Biden was compromised, we suggest you check out this blog to grab more details on the topic.?

What is digital identity verification??

Digital identity verification is a way to digitalize the identity verification process to mitigate the potential risks of data breaches, cyberattacks of account takeover, identity theft, & any other suspicious activity.?

The necessity of implementing digital identity verification is the need of the hour, not just for security purposes but also for reducing complexity in the process. The rising cases of cyber-attacks & online frauds during the COVID-19 outbreak raised alarms against security breaches and identity frauds that supposedly happened due to remote working norms.??

If we recall the most historic data breaches, scams, ransomware attacks, & major cases of online frauds, here are some stats that will make you wonder for sure:

• Around 90% of healthcare organizations suffered at least one security breach in the past three years as per US healthcare cybersecurity support.?
• The costs of cyber crimes in the global organizations are recorded as $2.8 million a minute with businesses losing around $25 per minute as per RISKIQ Research.?
• The case of a data breach at Marriott Starwood, a hotel firm that suffered a loss of personal information when the data security of 500 million customers was compromised.?
• Another damaging cyber attack made history when WannaCry ransomware hit 230,000 machines across 150 countries causing a loss of over $4 billion in 2017.
• A cybersecurity hacker named Under Armor affected 150 million users of the MyFintess app in 2018.

The advantage of digital identity verification offers multilayer security with methods of biometric verification, digital ID document, face recognition, & more. It empowers finance companies, governments, & other related institutions to cross-check the identity of online customers.?

In fact, Digital identity verification is a mandatory step during the customer account opening & onboarding process. It enables businesses to ensure that they identify the applicants who can be potential fraudsters, criminals, or online scammers.

How does an identity verification process work?

A wide array of digital identity verification models & solutions are developed & utilized by businesses to nullify the risks of security threats.?

Now it will be interesting to know how such digital identity verification methods work. Its typical process involves the cross-comparison of the face biometric or ID document of a person with a pre-verified data set (fed with data approved by the government such as passport, biometrics, contact details, & more).?

The aim of digital identity verification is meant to verify if the person is the same as the way he/she is pretending to be.?

Check out these various digital identification? methods applied by most businesses these days:?

• ID Document Verification process to verify that the ID (e.g., driver’s license, passport, government ID) is authentic.
• The biometric verification method uses selfies to check if the applicant's ID reflects the same individual who's applying for the desired service.?
• Liveness detection is done to inspect the genuinity of the selfie & detect the possibilities of spoofing attacks like face masks, or morphed photos.?
• Knowledge-based authentication or KBA is performed to raise an "out of wallet" questionnaire derived from the information mentioned in the personal credit file.
• One-time Passcode or (OTP) Verification is used to generate a single-use passcode via SMS or email to the applicant for verification.
• Trusted Identity Networks are integrated into the credentials of the applicant with another provider to check their identity & reduce friction during the account opening procedure.?
• A unique database method is used to derive data from social media, databases, & other external sources for verification of data submitted by the applicant.?

Types of Digital Identity Verification Methods

Identity verification methods are reportedly implemented to safeguard access to the data available on the web & mobile applications. It helps in user authorization & access control of the applications fed with the user’s credentials.?

Here are some ways through which businesses can inspect the? identity of their customers:?

1. Email Verification: Email is still one of the most preferred ways to communicate & share information securely & easily. Businesses use emails to authenticate their customers' data over other methods of digital identity verification.

It's a safe & user-friendly method to set up new accounts through Gmail verification codes sent to process the applications in one go.?

2. Biometric Verification: Biometrics is scheduled to verify one's identity on the basis of physical characteristics & traits that are completely unique to them.?

These characteristics are used for the purpose of user authentication. Banks & financial companies leverage this feature in their apps & websites to use common yet distinctive biometrics such as fingerprints, iris, face, & voice.

3. Phone verification: Another method of user identity verification includes the telephone numbers of users who use OTPs to authenticate themselves in these 3 quick & easy steps.?

• One has to fill out the registration details using his/her contact number that further becomes a username.?
• The software sends a unique one-time passcode through an SMS or an automated call.?
• A customer uses the same OTP on the website or mobile app to access their accounts on a particular website or app.?

4. Social Verification: Social login/verification process allows users to use existing login details of their social media accounts including Facebook, Google, Twitter, etc. By doing so, customers save their time & secure their login activities while authenticating themselves.?

Wondering how developers innovate such solutions for digital identity verification? Know their product development expertise to find out.?

Key Identity Verification Standards & Regulations to know?

Almost every country has its own regulatory standards for digital identity verifications. Therefore, the prerequisite norms & guidelines for identity verifications vary across the global demographic locations.?

Smart identity verification solutions at HieHQ are tailored as per the business needs as well as regulatory standards that comply with the cybersecurity laws of the specific country. Our legal team collaborates with concerned authorities to ensure that our Fintech solution for digital identity verification remains up to date with the latest modifications in the existing cybersecurity rules.?

What are the advantages of Digital Identity Verification?

The prominence of digital identity verification is as similar to the importance of cybersecurity. The list of benefits related to identity verification is endless for any business.?

Here are some peculiarities to mark the major perks of digital identity verification:

Ensures High Security

The involvement of multi-step verification methods can boost the overall security of the system.?

MFA which means Multi-factor authentication is a primary process to verify your existing network & authenticate users against fraud prevention.?

In this way, MFA holds credibility to restrict unauthorized access & every reduce the potential cyber threats.?

Even in the case of app updates, businesses can deal with cybersecurity risks by adhering to MFA compliance.

Eliminates the potential risks due to human verification errors

The most popular identity verification method is not reliable in today's time. There was a time when banks & financial institutions rely on documents such as government-issued IDs to verify the applicant's identity.?

And unfortunately, such authorization procedures failed in cases of fake identity detection. Most unauthorized professionals & hackers succeed to bypass the traditional customer identity verification procedures that involve manual comparison of data.?

Hence, the benefits of digital identity verification are considered to mitigate the most common human errors in an individual's identity verification procedure.?

3. Enhances overall Customer Experience

Customer experience is a base to boost customer loyalty. And security is a way to make it better.

The benefit of highly secure digital identity verification empowers businesses & public sector organizations to propel with no security risks. The addition of authentication via OTPs & social media login credentials is a plus point for businesses that need a risk-free solution to operate their systems.

Hire Hie HQ to get cutting-edge Fintech solutions for digital identity verification

Digital identity verification has helped banks, insurance companies, & several financial organizations up to a great extent.?

The integration of modern technologies with digital innovations has shaped the development of such high-tech solutions for identity verifications. Entrepreneurs & tech experts at Hie HQ come together to build extraordinary products to nullify the risks of cyber threats & deliver impeccable user experiences at the other end.?

Interested in securing your software system? Get in touch with our experts now!