Best KYC Service Provider
Nowadays, money laundering is considered one of the most significant issues in the financial world. According to the official data, from $800 billion to $2 trillion is laundered annually in the world. As this practice poses severe threats to the global economy, numerous companies prefer to use KYC providers' services to prevent fraud activity.
We have outlined essential information about KYC ((Know Your Customer) technologies and described the top-rated providers that guarantee user data security and prevent fraud. Nonetheless, let's start with some terminology.
What Are KYC Providers?
In many industries, regulations demand that companies know who is utilizing their services or products and verify that their clients are who they claim to be. The main reason for such regulations is money laundering. Here, KYC data providers come on the scene and cooperate with different companies to verify their clients' IDs.
KYC providers offer identity verification services with the assistance of special databases of identity documents. Thus, when clients share their IDs, KYC vendors compare the information received against their database. It helps verify the authenticity of customers' data, preventing money laundering and guaranteeing that extremist organizations are not utilizing your products or services.
About KYC Technology
One of the core KYC tools is identity verification. This procedure involves verifying relevant electronic identity documents, such as ID cards, passports, bank statements, driver's licenses, etc.
Additionally, KYC technology includes biometric authentication and facial recognition. It involves visual scanning of the customers' faces utilizing a system of gestures that must be made to accomplish the verification process.
Besides, KYC companies record clients' data. What do we mean by that? Providers have all the information about clients to provide the data required in the case of illegal or suspicious activity. This mechanism helps prevent account hacking, phishing, or other illegal actions and saves your company from financial losses and other issues.
The Importance Of Using KYC Technology
Security in the financial area is of great importance. Let's explore the main benefits of KYC service providers in the list below:
- Money laundering prevention. KYC technology helps eliminate fraud activity at the early stages, preventing fake account creation.
- Minimization of fraud risks. The KYC provider provides assistance in protecting financial and personal user data. Due to meticulous data verification, your company will be robustly protected from fraud by attackers and criminal organizations.
- Decreasing the risks of unauthorized third-party access. Solid KYC solutions guarantee supplemental security level, utilizing the two-factor identification or sending a secret code to email or phone. They help avoid accessing third parties to your accounts.
- Customer data protection. KYC solution providers offer built-in systems for detecting suspicious activity and notifying users about the necessity of blocking their accounts. Thus, you can identify potential threats and ask the customer to re-identify or eliminate profiles.
Besides, experts deem that in 2024, open KYC systems will boost the removal of barriers and make access to information more accessible and efficient. KYC checks will continue to minimize the risk of onboarding clients involved in illegal activities, money laundering, or financial terrorism.
TOP 11 KYC Solutions To Consider For Your Business
So, after understanding the crucial features and benefits of KYC technology, it's time to look at the top KYC solution providers. We have checked a myriad of vendors and may give a glimpse of the finest ones below.
Shufti Pro
Headquarters: London, the UK
Founded in: 2017
Key strengths: Secure customer onboarding, regulatory compliance, combating financial crimes, video KYC, NFC verification.
Website: https://shuftipro.com/
Shufti Pro is a top-notch vendor that uses artificial intelligence (AI) to provide more effective KYC and AML solutions. The company has verified over 20M+ identities using reliable and secure methods, like video KYC, face and address verification, two-factor authorization, etc. Shufti Pro has built a large data bank that helps fight financial crimes and contains unsanctioned profiles. The source is based on 3,000 other databases and includes information from international financial supervisory organizations.
The provider offers KYC solutions that comply with the General Data Protection Regulation (GDPR). The company also has PCI DSS and cyber tools certifications, proving that it adheres to the necessary security standards and can protect customers from any data security threats.
SEON
Headquarters: Budapest, Hungary
Founded in: 2018
Key strengths: business instruments for preventing fraudulent activities, machine learning, device fingerprinting, and real-time data analysis.
Website: https://seon.io/
SEON is one of the popular KYC software vendors for fraud detection. SEON, known as "Fraud Fighters," is an international platform providing KYC and AML technologies through a unique customer identification program. The company's main feature is modular APIs that enable businesses to prevent fraud on their websites or applications.
The company also has advanced technology for scanning fingerprints, which guarantees accurate tracking of users and detection of potential fraudsters. Furthermore, pay attention to SEON's digital footprint analysis. It is a powerful tool that provides valuable insights about user activity by exploring over 50 social networks and digital platforms.
Trulioo
Headquarters: Vancouver, Canada
Founded in: 2011
Key strengths: Over 450 data sources, coverage of 13,000 document types globally, verification opportunities in any country.
Website: https://www.trulioo.com/
Trulioo services will bring you the finest opportunities if you seek an industry-leading KYC solution. This worldwide identity verification company provides access to more than 450 information sources. This global provider also uses a database of over 5 billion pieces of data.
The company offers effective KYC solutions by verifying the customer's address, documents, and accounts. This way, you can count on reducing the risk of fraud on your website or application. The company's services enable you to boost the trust of customers and security on the Internet.
ComplyAdvantage
Headquarters: London, the UK
Founded in: 2014
Key strengths: combination of risk data when checking, AML screening, monitoring the necessary user activities.
Website: https://complyadvantage.com/
ComplyAdvantage is a KYC service provider that offers comprehensive checks (KYB, KYC, and AML) to help fight financial crimes and detect possible fraudulent activities, using artificial intelligence. During its existence, the organization has verified customers for more than 1,000 well-known companies worldwide.
The ComplyAdvantage vendor uses information about suspicious customers from more than 20,000 databases (the organization can access public and private sources). The provider aims to identify suspicious transactions and verify customer data and accounts.
Refinitiv
Headquarters: London, the UK
Founded in: 2018
Key strengths: A unique World-Check product that helps organizations prevent counter-terrorist financing (CTF) regulations and anti-money laundering (AML).
Website: https://www.lseg.com/en/data-analytics
This company provides KYC solutions for 40,000+ customers in more than 190 markets. The provider supplies essential information about buyers' data, optimizing your workflow. Refinitiv uses databases, analytics, and artificial intelligence to verify information thoroughly. You should pay attention to World-Check, a unique database of risk analysis that prevents terrorist financing and money laundering.
Fractal ID
Headquarters: Berlin, Germany
Founded in: 2019
Key strengths: KYC/AML services, unique solutions for private and public sales, optical character recognition.
Website: https://web.fractal.id/
Fractal ID is one of the youngest KYC/AML providers but has already established itself as a reliable company. The platform provides KYC/AML services, guaranteeing fast and accurate global scanning of customer data and identities.
The company offers OCR (optical character recognition) and facial recognition, which are essential for validating national IDs and passports. Fractal ID supports several levels of verification. In 2024, the company has 1 million users and over 250 projects.
Onfido
Headquarters: London, England, United Kingdom
Founded in: 2012
Key strengths: Address proving, sanctions screening, ongoing monitoring, and adverse media checks.
Website: https://onfido.com/
This English company guarantees the best KYC solutions for user identification utilizing facial biometrics. Onfido has helped over 1,100+ organizations verify their customers. The provider supplies innovative solutions for AML compliance verification, biometric user identification, and improved trust between companies and customers.
Onfido has developed a reliable two-step verification system. Initially, the user must provide a valid document to verify identity and then connect a camera and take a picture for the AI to read. The company's solutions fully comply with the UK Government's Digital Identity and Attributes Trust Framework.
SumSub
Headquarters: London, the UK
Founded in: 2015
Key strengths: A single solution for different verification tasks, the approval process takes up to 1 minute.
Website: https://sumsub.com/
SumSub is one of the modern KYC vendors that guarantees reliable and quick user verification. The company uses artificial intelligence-based technology to automate document and identity verification, protecting companies and users against fraudulent actions. The vendor provides AML compliance, KYC, and KYT checks and stores customer data. Sumsub has checked numerous users for over 2,000 companies, providing accurate results.
Due to AI-based identity verification, the process takes only 60 seconds for both users and corporate clients. However, complete verification requires a few hours to determine fraud, check plenty of sources, and consider regulation peculiarities in different countries.
Ondato
Headquarters: London, England, United Kingdom
Founded in: 2018
Key strengths: Unique artificial intelligence-based Optical Character Recognition (OCR).
Website: https://ondato.com/
Ondato is a KYC compliance provider with AML tools, KYC, and digital identity services for secure customer identity verification, lifecycle management, and AML screening.
This KYC service provider offers fast and efficient technology to read and digitize over 10,000 document templates in a split second. Additionally, the technology will give 99.8% accuracy results and may transfer the received data to any system, like a database, CRM, or other tools.
KYC-Chain
Headquarters: Sheung Wan, Hong Kong Island, Hong Kong
Founded in: 2016
Key strengths: algorithmic validity checks for verification, tokenized KYC approaches.
Website: https://kyc-chain.com/
KYC-Chain is a KYC service provider that uses 10,000+ data sources to check identity and supports over 4,000+ ID document types. Moreover, the company can verify the data in 30 seconds, giving you a quick response.
In real-time, the vendor offers KYC utilities and AML checks of your individual, corporate, and institutional customers. This company guarantees tokenized KYC approaches that are crucial for blockchain-based websites.
Microblink
Headquarters: New York, United States
Founded in: 2013
Key strengths: Advanced verification solutions to protect businesses against fraud, black-and-white photocopy detection, and a free 30-day trial.
Website: https://microblink.com/
Microblink has processed over 700 million identity documents for customers in over 20 industries and on five continents. The vendor offers unmatched speed and precision in document processing through its accurate scanning technology.
This platform uses groundbreaking auto-capture systems and streaming data management. The vendor provides real-time KYC solutions based on innovative OCR, guaranteeing on-device processing and exceptional data integrity.
iDenfy
Headquarters: Kaunas, Lithuania & Delaware, United States
Founded in: 2017
Key strengths: An all-in-one platform for secure customer onboarding, regulatory compliance, and fraud prevention 24/7, with the fastest 0.02-second data extraction, 99.99% verification success rate, and savings of up to 70% on onboarding costs. Includes KYC, KYB/AML services.
Website: https://www.idenfy.com/
iDenfy is an all-in-one identity verification platform that streamlines customer onboarding while ensuring security and compliance with the latest business regulations, preventing fraud through automatic customer screening and real-time attack notifications.
The platform offers KYC, KYB, and AML solutions, combining AI-driven automation, advanced 3D liveness detection, with manual reviews 24/7 for high verification quality. Companies can save up to 70% on onboarding costs with a Pay only for Approved or Completed ID Verifications model.
Key Features Of KYC Service Provider To Look For
We recommend considering several aspects when choosing the best KYC provider. In particular, check the company's technologies, efficiency and speed, data sources, support, and user interface. Let's examine the essential facets below.