Digital identity verification eKYC is the future of financial transactions.

In the era of technology, eKYC is an electronic identity verification system developed from traditional KYC. It eliminates the cumbersome and time-consuming Face-to-Face verification process, allowing transactions to be completed anytime through your device screen.

What is eKYC? An advancement from old KYC

Originally, identity verification (KYC) required customers to visit the office in person with physical identification documents, a process that was time-consuming and inconvenient. eKYC addresses this issue by enabling users to verify their identity electronically for both (Identification) and (Verification) purposes.

Whether you are at home or anywhere else, just a smartphone or computer is enough to register your identity with banks, financial companies, or even government agencies.

Three methods of identity verification in eKYC

Method 1: Biometric Authentication (Biometric Authentication)

This method uses your biological data, such as facial scans, fingerprints, or iris recognition, to confirm that you are the real person. This method is the most popular because it is robust and very easy to use, similar to unlocking your smartphone.

Method 2: Document Scanning (Optical Character Recognition - OCR)

OCR systems read and convert data from images of documents into digital formats, such as uploading a photo of your ID card, bank statement, or house registration. No more manual data entry required.

Method 3: Online Verification via Government System (National Digital ID - NDID)

Many Thai banks use this method by linking to central databases, such as facial scans compared with ID cards, providing the highest accuracy.

Information required for eKYC

For individuals, the system needs details like national ID number, full name, date of birth, address, phone number, email, and a selfie image.

For legal entities (Company), the name, registration number, and office address are required.

Additionally, there is something called an “Authenticator” or identity verifier, which is divided into 3 types: something you know (things only you know, such as passwords), something you have (things you possess, like ID cards), and something you are (your biometric traits, such as fingerprints).

Benefits of using eKYC you should know

True convenience You can verify your identity 24/7 without waiting for bank counters to open or queuing.

Time and cost savings No need for taxis, fuel, or travel time, and significantly reduces paper usage.

Enhanced security Your data is encrypted digitally, with no risk of paper document forgery.

Universal applicability Whether opening a bank account, investing in the stock market, applying for loans, or insurance services, eKYC can be used.

Drawbacks of eKYC that need development

Issues for the elderly Older groups may face difficulties using technology, which could lead to risks of misuse of their personal data.

Technical support requirements Not everyone has adequate devices or internet connectivity.

How eKYC differs from KYC

Verification process KYC requires the person to be physically present; eKYC uses technology such as biometrics and digital signatures.

Documents KYC needs physical document copies; eKYC does not, as it operates electronically.

Speed KYC can take days or several days; eKYC can be completed in a fraction of a second.

Accuracy KYC has risks of human error; eKYC is more accurate due to automation.

Security Old KYC documents can be forged; eKYC uses encryption and biometrics, making it more secure.

User experience KYC requires visiting an office; eKYC is completed via your device screen.

In summary, eKYC is a superior identity verification system in every aspect.

What to know about the future of eKYC

Currently, eKYC plays a vital role in account opening, investment processes, loan applications, and insurance services, whether in banks, financial institutions, or government agencies.

The acceptance of eKYC technology not only makes customer processes more convenient but also helps protect personal data and prevent fraud effectively. Financial institutions benefit from reduced costs and increased operational efficiency.

Therefore, eKYC is undoubtedly the direction of financial transactions in the current era.