How To Improve Customer Onboarding Process For Banks?
When we say customer onboarding process, we mean to say the relationship between the company and the user. The relationship between the services and products you provide with the customer who is using those products and services. To keep a healthy long-lasting relationship, you need to find the answer to a simple question how to improve the customer onboarding process?
Using anti-money laundering and Know your customer (KYC) at the time of customer sign up can be really helpful to prevent terrorist financing and financial crime.
It is good to make some necessary steps to simplify the process, but it is also important to focus on creating a minimal friction experience for your customers rather than just focusing on regulating requirements.
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How to create a clear line of communication from the start?
By showing you users what you exactly need to onboard them. This will be helpful for you to make your users complete the process.
You can also make effective changes to simplify the process because this will help to develop a clear line of communication from the beginning with your customers.
Using Omnichannel Account Opening Process:
It is high time for businesses to integrate their products and services on different types of platforms because today’s customers can log in from various devices like laptops, tablets, PC, and smartphones. The usage of multiple devices is becoming common nowadays and therefore it is important to consider it. Learning to do real-time bank account verification can be vital for businesses.
This is a big problem among financial institutions because only 23% of banks have omnichannel account opening processes. And the rest of the 40% of banks do not have the KYC compliances solution with their digital applications.
This takes us to the conclusion that nearly all various banks do not allow their users the service to avail products and services on a digital platform. The digital world is changing so quickly and so it is time for traditional banks need to simplify the bank customer onboarding process using online application channels for the users.
If we notice in the above-mentioned percentage, this means the chances of a customer to use financial services are high and therefore making the onboarding process easier would be helpful for your customers.
Simple Bank Customer Onboarding Process with Biometric Technology:
Using biometric technology to create a customer’s account is a more simple and effective way to not only complete this process but to identify a person by taking information like a facial scan, iris scan, behavioral monitoring, fingerprint, etc.
This identification process provides information that helps the financial to understand the customer in a much better way before building a relationship and to stay compliant with KYC standards.
This is a simpler, faster way to identify your customers and nearly 67% of customers have trust in the biometric identification system.
Instant Identity Verification for Customer Onboarding for Banks:
The robust identification procedure is an effective KYC compliance solution for various financial institutions because this helps to meet up the AML compliance standards along with the KYC standards.
According to some bank reports (nearly 45%), the onboarding of the new customers might take up to two weeks. Also, they are not sure how much time it takes for the account to sign up, which is a big drawback for financial institutions.
But, there are secured, global, and automated technologies that can be helpful for instant identity verification for banks. If the banks use these technologies for the account sign-up process, the process will become much quicker and simple.
By using some of the identity verification tools the traditional banks can stay relevant at the time when various Fintech start-ups are emerging and giving competition to the traditional financial institutions.
Device Detection Technology to meet KYC & AML Standards:
With the help of this device detection technology, you can scan the device software that is used by the user or customer to prevent the chances of committing fraud.
This technology does not need to use personal information to identify potential criminals. It helps to analyze the customer’s device characteristics to detect fraud.
Device detection technology is a high-value solution at a low cost for customer-not-present scenarios without affecting your relationship with the customers.
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