The loan application process has one element common to all proposals. Individual offers may differ in the amount awarded, the repayment period or the interest rate. In any case, however, we must reckon with the need to verify your identity. This is a kind of protection against fraud attempts. Everything seems to indicate that in this matter lenders will increasingly use modern verification forms using biometric data.
An obligatory element of applying for a loan
No lender will decide to accept the loan application without first verifying the identity of the potential borrower. This is a legal obligation and also a form of protection against dishonest people. This verification consists in confirming the identification data provided in the form. This can be done in a fairly traditional way based on a specific identity document or data from a reliable source – this is the nature of a personal bank account from which a verification transfer should be made. Increasingly, we can also meet the verification method using a dedicated application. Recently, however, there is a growing accusation about yet another form of identity confirmation, ie a selfie.
Towards the young, ie a selfie loan
Loans are extremely popular among the younger generation who value their speed and online availability so much. Young customers dictate new trends. As you know, taking a picture of yourself and then publishing it on social networks is one of your favorite forms of entertainment.
However, having fun is one thing, while selfie turns out to be an interesting option for verifying your identity when you take out a loan. Biometric security technology is used in this aspect. It is about specific biological features that are completely unique and characteristic for a given person. These so-called biometric data make it possible to distinguish one person from another, and with almost one hundred percent probability. Based on the collected information, automatic identity verification systems are developed that use a specially prepared photo to distinguish one person from another.
This type of data may report to fingerprints, voice, hand and face geometry, or iris image. Thanks to special readers there is no chance to bypass such safeguards. Nobody will say that, for example, this iris really belongs to another person. That is why the effectiveness of this type of security tempts lenders operating online because it almost completely eliminates any attempts of fraud. This is important in the context of building the credibility of the loan industry. In principle, the system cannot be bypassed due to technologically advanced software. It is therefore not surprising that this innovative solution, which is a selfie loan, may soon become the most desirable.
A modern form of verification
Applying for a selfie loan is not much different in formal terms from traditional ones. Also in this case the amount requested and the repayment time should be specified. However, the identity is not confirmed by transfer or application, but by the use of a selfie. Importantly, you must follow the guidelines set by the lender. Selfies used as verification methods are subject to specific rules.
First of all, such a photo should show a properly cropped image of the face. The thing is, the person in the picture was fully recognizable, and therefore you can not afford strange faces or cover part of the face. To avoid falsifying data, the potential borrower is additionally asked to wink or shake his head. Thanks to this, the possibility of using another person’s photo is excluded. That’s not all, because sometimes you need to take a second photo, containing the front side of an ID document. The file should be of good quality so that all characters can be recognized without any problem. Lighting is therefore important.
It is facilitated by the fact that the borrower does not need to supplement the loan application later with his basic data. How is this possible? All key information is read from the photo of the proof and then automatically placed in individual places of the form. In this case, advanced optical character recognition technology is used. In this way the name and surname of the potential borrower, his number, as well as the number of the identity card or the date of its issuing are recorded. Only the bank account number and phone number need to be completed.
The future with a selfie loan
It seems that this way of verifying customers may soon revolutionize the online loan market. It is convenient but also safe for both parties to the transaction. Young borrowers will benefit especially from its advantages. Certainly this is a big step towards secure methods of confirming your identity and preventing fraud attempts.