Identity verification service another name for privacy breach?


The advent of pandemic and rapid digitisation has plundered the world into questioning the already prevalent methods. One thing is imminent that there is no way we can go to the classics and the alternatives to it are not considered to be solutions. In order to resolve this issue a digital approach to identity verification was adopted. The first issue that the tech faced was the assumption that it would be a blatant breach in public privacy. This article will explore different factions of these assumptions and would try to reach a conclusion based upon facts. 


What is a privacy breach?


In order to understand the concept of ID verification service being pivotal to privacy breach, we need to understand what exactly is privacy breach. The definition that will be understood by even a layman is that: the process of accessing private information without the consent of the user is considered a breach. Now how does it correlate with identification service, the idea that an online system will be able to identify the user is creepy as it means that system would have all the personal details of the customer, which does make sense in a way. 


Data regulation authorities 


The solution to this was thought to be because of an influx of identity verifications solution providers. There was a need to control the data of the consumer who so confidently placed their data in the hand of the providers. The need to control the access of the data is a real need owing to the emerging fraud trends. Hence the need apart from the regulatory authorities every country has their own data privacy act that vows to keep the data of their nationals safe. Export of data from the parent country is prohibited. Meaning that online identity verification services cannot export data from country A to B. 


A deterrent in recurring fraud patterns 


If anything this year has taught us one thing, that, ease of access of technology has enabled fraudsters to challenge even the most complicated systems and breach the most secure systems all na jiffy. In order for the public to stand a chance a competent deterrent must be put in place so that the authorities can keep the sensitive data safe and secure from habitual fraudsters. The situation has only worsened with identity frauds now being more effective than ever. In order to steer clear from such situations a system that can not only catch the fraudster but also prevent it from happening is required. The online identity verification system employed by any financial institutions as custom identity verification systems are part of this solution. The latest GDPR requirements demand an enhanced KYC of the customer that would involve a detailed background check. 


Digital verification is the future


All studies and research in the IDV industry only point towards one thing. That digitization is perhaps the only solution to this recurring problem. There are several pros of having a digital verification solution in place the biggest perhaps is the cost-effectiveness. The id verification solutions do not require a staff to be operated with. So you do not require staff or a department to analyse the ID documents of a customer or a candidate. The accuracy rate of the solution might just vary with the service you outsource it to, the general accuracy of these solutions are much higher and they are much more accurate as human error is mitigated. 

The easy integration and real time results are few of the advantages of the verification process done digitally. As compared to the manual process which is a tedious process and does not end anytime soon. 


Issues with Identity verification 


To think that this is a process only implied in this time is utterly wrong. Identity verification is a pretty ancient process. It can be traced back to Babylons and Romans, now I know the obvious question is how. Although we have moved past the tattoos and jewelry, ornaments, weapons and physical appearance. The logic behind the process is still the same. One thing that is evident is that the present form of the process has been a result of constant evolution in an attempt to deter identity theft. Even now the process is not perfected. 

The ID verification process being used now digitally optimised which could be considered as pretty safe, however with the evolution of technology, it is also not safe from being tempered with in the form of hacking, insider threat, a glitch or a bug, server collapse and whatnot. So even though we have moved to the digital stage, we must not forget that the threats have also changed. 



In the end it is highly unlikely to not to recommend a process of digital identity. As it is the need of the hour, is it perfect? The next question can only be answered by time, however one can say it is perfect for now. As it copes with the threat and fraud attempt being made in this time. So to steer away from a technology that provides you with a strong deterrent in this era of fraudsters.