Demand for IDnow, a German identity verification startup, grows as UK’s financial services sector fights back against financial crime
IDnow, a fast growing European identity verification provider, has seen demand for its AI and video identity software in the UK’s financial services sector more than double since the start of the year as growth in scams linked to COVID-19 continue to rise.
As of 23:59hrs on 7th June, Action Fraud announced that over £6.2m has reportedly been lost by Brits to coronavirus-related scams. With a significant increase in consumer online activity, from opening food delivery accounts to streaming services, new account fraud is becoming a major challenge for firms to overcome. As a result, IDnow’s technology will prove critical in a business’ ability to validate a person’s identity quickly and confidently and limit this increased risk of fraud at such a turbulent time for both consumers and firms.
IDnow, which is headquartered in Munich, Germany, provides AI-based technology that can check all security features on ID documents, enabling the identities of more than seven billion customers from 193 different countries to be verified.
Charlie Roberts, Head of Business Development, UK, Ireland & EU, IDnow, comments: “The figures released by Action Fraud prove how vital highly secure and reliable identity verification is, especially as the coronavirus crisis continues to drive increased online purchases. The UK’s financial services sector is in need of technological innovation when it comes to ID verification, something that plays to our strengths. With the right level of digital identity verification, such as video based identity products, the sector will be in a stronger position to support businesses who have a duty of care to protect their customers from risk of fraud while ensuring they remain resilient during this pandemic.”
Since launching its solutions in the UK in November last year, IDnow has seen enormous demand from organisations for its AI-based product AutoIdent which can check all security features on ID documents. In particular, it has seen increased demand from regulated sectors such as financial services. As this industry faces increased regulatory pressure, IDnow’s expert knowledge of German regulation, which is considered one of the most highly regulated markets globally, has become critical.
The hybrid solution works by combining a unique process of automation and human intervention including manual reviews with video based on-boarding- leveraging state-of-the-art machine learning technology and a network of identity and fraud specialists.
Charlie added, “Some of the biggest names in the UK’s financial services sector are turning to us as they seek the reliability of our German technology and our adherence to the BaFin regulations, the highest standards in the industry.”
Paul Kenny, Head of Lifecycle Optimisation at Allied Irish Banks (AIB), commented: “As a bank, we have to meet a lot of regulatory requirements. IDnow is a trusted partner in the fields of security and compliance and helps us deliver fast and efficient video onboarding for our customers.”
IDnow has secured deals with some major UK companies, among them several FTSE 250 companies such as BP and GVC, as well as Macropay, Holvi and AIB since it launched in London following a successful $40 million financing round.
With a London office already in at Canary Warf, the company will now move into its new Manchester city centre premises, in line with the Government’s social distancing guidance in the coming weeks. This will see a new team on-site driving new business, UK focused marketing and the firm’s core business functions. In the meantime, the team is working remotely supporting its growing customer base in line with IDnow’s home office policy.