Ever heard "Marriages are made on Internet"? Not really, because we are used to hearing the phrase “Marriages are made in Heaven” but the former is more relevant for Indian urban youth. Maybe they are made in Heaven but they connected by Internet.
Online matrimonials have become the de-facto match makers for the urban youth. The year-on-year growth for matrimonial services is more than 50 per cent. Today, more than 12 million Indians use matrimonial services. Out of numerous advantages these sites offer, there is a flip side to it. The biggest concern with the trend is Profile Authenticity- as the registration is free for most of these websites, people can create fake profiles online. You will never know the difference between a genuine and a fake profile and can be a victim of fraud.
Many matrimonials sites have started using India’s only digital identity, Aadhaar to combat this issue of fake profiles. Aadhaar is been put to use in two forms- Aadhaar Auth & eKYC. One, the user enters his/her details and then same are verified against aadhaar database through Auth. Other is to perform Aadhaar eKYC, wherein after user’s consent Name, address, photo, gender, DoB fields are populated from Aadhaar database. These services are really powerful as they not only validate a person’s identity but also their actual age and gender.
In a booming digital economy like India’s where everything from grocery to education to insurance policies to matchmaking has moved digital, we need a thorough identity checks in place. Identity theft and fake profiles are quite common and more often than not we are ourselves victims of it.
Identity checks are required & are need of the hour in Digital India. Identity verification is crucial first step which then leads to exhaustive background checks. Case in point, background checks are requested by employers for employment screening, especially on candidates seeking a position that requires high security or a position of trust, such as in a school, IT companies, hospital, financial institution, airport and government. Results of a background check typically include past identity verification, employment verification, credit history, and criminal history.
identity verification was one of those sectors where our Aadhaar API (Aadhaar eKYC & Aadhaar Auth) was an instant success. On taking a closer look at one of our partners in this space, that works with several leading MNCs, we see the real impact that our Aadhaar API can have in day to day operational efficiency and accuracy. The operational efficiency was said to improve by 40-50% and exercise costs involved reduced by 70-80%, also improving accuracy by eliminating human error in the process. All it now took to establish a person's identity was their Aadhaar number and either a Biometric/OTP authentication or their demographic details through Aadhaar eKYC or Aadhaar Auth.
Fintechs should integrate and include Aadhaar eKYC and Aadhaar eSign, 2 essential building blocks, in their consumer on boarding flow.
Taking a use case of a lending fintech - a lending fintech through Aadhaar eKYC integrated in its flow, can electronically verify, with the borrower consent, the POI (Proof of Identity) and POA (Proof of Address) of the borrower. This can be done via OTP or Biometric (Fingerprint or Iris). It can further incorporate Aadhaar eSign in its loan pre-sanction and post-sanction flow and with the borrower consent, have all the loan documents eSigned which otherwise would have required to be signed/self-attested by wet signatures.
By effectively leveraging these key services, Aadhaar eKYC and Aadhaar eSign, which are a part of IndiaStack, in the Loan Origination and disbursal process, a lending fintech can simplify its loan approval process and it can be done in under 30 minutes in a completely self-service manner.
In a country, where more than a billion people have been registered with Aadhaar and with the rapid mobile penetration, paperless financial transactions are the need of the hour.