Sumsub unveils real-time bank account verification for SA
The global identity verification and compliance firm has introduced a local bank account verification solution to strengthen security and governance in financial institutions.
Sumsub, a global identity verification and compliance technology firm, has introduced a new bank account verification solution specifically for South Africa. This innovation aims to enhance compliance, decrease fraud, and expedite digital onboarding for businesses. The service harnesses South Africa's interbank account verification system to confirm bank account ownership and status in real-time.
The solution covers approximately 91% of the country's banked adult population without necessitating documents or online banking credentials.
The tool caters to various compliance and operational needs, such as customer due diligence, heightened risk scoring, payout validation, debit order pre-authorisation, refund security, and beneficiary verification. Andrew Novoselsky, Sumsub's chief product officer, noted the industry trend towards faster, more secure methods of establishing trust, moving away from document-based verification.
In response to the escalating sophistication of digital fraud, companies require robust verification methods that bolster security without imposing undue hurdles for genuine customers. This service ensures compliance with South Africa's Financial Intelligence Centre Act, the Payments Association of South Africa's industry guidelines, and data privacy principles enshrined in the Protection of Personal Information Act.
During the onboarding process, users must provide their South African ID or passport number, surname, bank name, and account number with explicit consent. This data is then validated in real-time against banking verification infrastructure linked to the South African Reserve Bank ecosystem.
By eliminating the need for manual verification, Sumsub's approach lessens reliance on sensitive financial information. The service refrains from accessing account balances, transaction histories, or online banking credentials. "Our South African bank account verification solution enables businesses to verify account ownership in real-time using trusted banking infrastructure, supporting compliance while delivering a faster and more seamless onboarding experience," emphasized Novoselsky.
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