Document Verification Solutions – The Use of AI To Combat Identity Frauds

Apart from other crimes that make headlines, the use of tampered with and fake documents has been the source of identity fraud. The motive of fraudsters is to steal money and other resources for personal benefits. With extensive work going into the development of the new technologies every day, measures for fraud prevention are imminent.

Digital platforms of businesses, banks, and government institutions require document verification services for identifying their potential customers. 

Without proper verification techniques, the system is always at risk of data breaches and involvement in crimes like money laundering. It’s often the case with online platforms that the security measures being implemented by companies are not good enough to prevent cybercriminals from breaching their data.

Document Frauds

The Covid-19 pandemic has caused various changes in businesses including the precautionary measures that force employees to work from home. These measures have definitely helped in saving lives and getting rid of the coronavirus, but when considering the risks involved, it’s a different story and Lear Cyber Security Basics.

Daily operations of businesses are carried out through digital platforms, including meetings and interviews for onboarding new customers. This increases the risk of fake documents being used for identity fraud. Although the work is still being done and companies have more or less recovered from losses, the loss due to fraud affects them in worse ways.

This is why businesses now look for document verification services that provide the facility to verify customer information on the spot through online platforms. With these document checks, the risks involved with fake identities are significantly reduced. 

The virtual onboarding process is a risky one considering the use of fake documents by fraudsters. There are various ways used by criminals to get authenticated as real customers, as well as different types of fake documents.

AI in Document Verification Solutions

The use of AI technology makes all processes more accurate, and document verification services are no exception. Even in the traditional banking system, customers are required to submit identity documents during account opening. In the manual verification process, the account officer looks at the photo of the person on the identity document and matches their face with it. 

Using AI, however, the process is much more detailed and accurate. It uses predefined templates and large amounts of data to detect the originality of documents. This technology has empowered companies in preventing fraud by using various algorithms that check even the minor details.

In some scenarios, businesses do not implement security measures due to the assumption that they are time-consuming. However, the losses they face by unintentionally getting involved in money laundering are much greater. For this reason, document verification services are being implemented by companies to authenticate customers online.

Document Verification Process

Various characteristics of documents are checked using machine learning algorithms. These document checks include:


The process starts with determining whether the submitted document is original/authentic.


AI algorithms search through a vast database of document formats to find exact matches and detect documents that deviate from predefined templates.

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MRZ Code

Government-issued identity documents often include an MRZ (machine readable zone) code at the bottom. AI-enabled document verification services are capable of detecting changes in the MRZ code, and decoding it to verify customer information.

Holograms & Rainbow Patterns

In addition to the MRZ code, identity documents also have unique holograms and rainbow patterns that are specific to the country or region. AI allows document verification services to capture and detect the correct patterns and hence reject fake documents.

Businesses are providing the ease of simply installing the APIs of document verification services on their digital platforms. The applications have various integrated technologies, including OCR technology which helps scan and extract information from documents, thereby converting it into digital format.

The documents with slight variations or those that contain unmatched information are considered as red flags and are rejected. In this way, document verification services help in secure onboarding and prevention of document fraud.

Document Attestation

Back when technology was not this advanced, document attestation was done manually and wasn’t very accurate. This was because humans often fail to recognize small details like altered or edited images. Now, with the help of machine learning algorithms, the details are checked with detail while simultaneously processing big chunks of data. From the customer’s point of view, it doesn’t seem detailed at all but is actually very complex in the backend.

Final Thoughts

To sum it up, document verification services provide the security checks necessary in today’s digital platforms. Various technologies work together to make the verification process as accurate as possible while being time-efficient. Moreover, the increasing identity fraud and resultant crimes can also be prevented by employing document verification services.

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