The identity theft is increasing each day as the attackers are coming up with new ways of exploiting the traditional security systems. One of the main methods that fraudsters use is the technique of document fraud. They misuse the resources of the organizations by getting access to their networks. The bypass operation is grantee after submitting false documents to the verifying system. Most financial institutions are creating rules to counter these acts of document fraud by complying with the digital KYC regulations.
What Are Document Frauds?
Document fraud is the act of creating false identity documents to lure the security systems. This method is execute by criminals to hide their real selves and use different identity profiles in order to carry out their illicit activities risk-free. This method is apply by creating or more specifically altering the existing documents to make a brand new customer profile. The modification of the document causes false data processing and it is meant to bypass or deceive the security officials. Some cheaters use completely fake information to create a unanimous identity for illegal operations.
Purpose Of Manipulating Documents
The document of every person represents all the information related to their identity, nationality, etc. Verification of documents is an important aspect of most industries in order to protect their resources and other clients from illicit means. It is also a necessary phase of Know Your Customer (KYC) compliance.
As most industries comply with KYC checklist, the clients need to present their documents to the respective organization. For example, the travel industry requires the passport of the customer to verify their identity before letting them onboard a new flight. This process is a must in every travel agency. To deceive the travel authorities, scammers create fake passports which carry completely false information. That forged paper is provided to the official with the intention of harming the passengers. Other documents are also use for forgeries like identity cards, medical certificates, and financial statements for personal gains.
Types Of Document Fraud
Attackers use multiple methods to forge documents in a way that seems authentic. To deceive the security systems, document fraud is performed in two main ways.
Counterfeit Paperwork
This process is perform to produce an original document without authorization from the issuing authority. It is an unverified piece of paper that might carry real data of the customer. In simple words, this sort of document is a replica of an official issued paper.
Forged Paperwork
The forged documents are create by the attackers that carry information that is manipulated in order to meet the guidelines of the organization. The data of the forged document is not authentic as the attackers have inserted or removed the critical information from the paper. The fraudsters use different online tools that help in creating forged documents.
How To Counter Document Frauds?
To counter document fraud, organizations should opt for digital document verification methods instead of following the old traditional approach of examining documents manually. The manual method is not completely secure as attackers have multiple ways of bypassing this check. On the other hand, the document checker online is an automated solution that uses new technologies to verify the paperwork of the customer in real-time.
Digital Document Checker Process
The document checker software is built on artificial intelligence and optical character recognition technology. It effectively scans and analyzes customer documents with the help of predefined document templates. The uploaded files of the client are compare with the existing dataset to validate the authenticity of the papers. The AI-based comparison efficiently detects the authenticity of a document and also marks out the attempted forgery in case of false paperwork.
After the validation process is complete the document checker software implements the optical character recognition technique to extract the data from the paper. The require data which serves as identity proof is gather such as name, date of birth, and other relevant information. The software automatically verifies the extracted information from the customer-provided data in the initial phases of onboarding. The customer is verified after a complete document evaluation of each of the uploaded files of the system.
Wrapping It Up
The document verification process is necessary for most businesses to evaluate the real identity of their employees and clients. This helps in ensuring organizational resources are use by verified clients only. The fraudsters use multiple types of document manipulation attempts called document frauds to bypass the verification systems of industries. Forged document fraud is the most reported way in various sectors. To reduce these frauds the digital document verifier software is implement to evaluate and verify the documents of the customer in real-time with high accuracy. The digital way is also more reliable than the manual methods of verification as it uses new technologies that detect the forgeries efficiently.
