As businesses are making the switch towards digital onboarding processes, it is crucial to minimize the risks of identity fraud and data breaches. Often, identification, verification and authentication are being mixed up and/or used as synonyms. All these terms represent a different part of proper ID management and customer onboarding process.
In this article we give an overview of:
- What is identification?
- What is ID verification?
- What is user authentication?
- How Xpass help your business in these matters?
What does identification mean?
Identification helps to answer the question: who are you? It simply means asking your customers to provide necessary documents or information to prove who they are and whether they are eligible for a certain service.
For example: when ordering a drink at a bar, customers are asked to prove their age. Or your customers are identifying themselves when they are filling an online form or your webpage.
What is ID verification?
When it comes to more complex or regulated services or industries (such as the financial sector), companies are under legal obligations to verify their customers before providing a service. ID verification is part of ID management process that helps to answer the question: are you really who you claim to be?
ID verification is based on identification, where users have provided a government issued ID. Identity verification helps to ensure that a person’s identity matches the one they are claiming to be. It is a process where different identity data points are being matched together: for example, matching user’s citizenship to their date of birth.
What is user authentication?
Once a user has been verified, they must re-confirm their registered identity, or in other words, be authenticated each time they are accessing your service or a platform.
For some businesses, asking users only their name/email and password is more than enough. But as soon as we are dealing with sensitive personal information or more regulated industries, email and password are posing a significant security risk and possibility for fraudsters to steal valuable data.
What does Xpass do?
Xpass verifies users in Latin America and gives them a digital identity, so that they could access your service with ease. This digital identity is based on an official government issued ID. We will enable them to digitize their documents in Xpass’ app. This digital profile lets users access multiple services with already verified profile.
How can Xpass help your business to minimize personal data related risks?
With Xpass identity theft becomes a secondary topic. It is quite hard to steal someone’s digital identity.
What makes it difficult is the fact that we are relying on three levels of confidence for a user: identification, authentication, and reusability. For identification, customers need a government issued ID. To authenticate oneself, the user needs something they know, something they are and something they have. For reusability, they need a platform that can ensure security and data integrity for the process as a whole. At Xpass, we are providing that platform.
Secondly, digital identity is a very user-friendly solution. Even if someone is trying to hack the user’s phone or hack their account, it will be quite obvious for the user. The user gets notified with the request to submit firstly PIN 1 to access a service, and then confirm the transaction with PIN 2. But only the user knows PIN 1 and PIN 2, which means that the user themself will have to enable the fraudster.
If you are looking for ways to improve or create digital user onboarding processes or give your customers a more secure way to authenticate themselves, we would love to have a chat with you. Get in touch with us over here.