The global analytics software service provider FICO has reported that the banks in the United Kingdom are facing a lot of challenges from the customers due to the inefficacy in identity verification checks and management system.
OMDIA, a global research company, surveyed 172 banks in eight countries and found that 54 per cent of the UK banks are challenged over digital identity verification. For instance, out of 72 per cent of the banks using digital verification systems, only 36 per cent claimed that that capture and verify identities of customers within the same channel. Lack of integration frustrates the customer and drop off rate is increasing every day. This also forces the clients to download different applications and email documents for verification. According to FICOs report, the current methods of identity verification is tiresome for the customers and does not fit for the customers of the digital world.
UK Banks Face Consumer Frustration Over Digital Identity Management https://t.co/eDb8z34ZWp
— Infosecurity Magazine (@InfosecurityMag) November 2, 2020
Not only new customers, but existing clients are also giving the banks a tough time for identity verification. Unavailability of phone number and other basic information also disrupted processes for payment and client verification.
Sarah Rutherford, FICO’s senior director of identity fraud marketing, said that identity solutions were meant for face-to-face interactions and have been adapted to the new products and channels ever since.
In a nutshell, banks need to accelerate processes especially for identity verification and digital customer onboarding. Authentication strategies must work at a faster rate to satisfy consumers of the digital world, especially after the COVID-19 pandemic.
