Posted On: January 27, 2020/
Written By: Starlink
Biometric technology was introduced to strengthen security and improve productivity. Today, biometric devices and time attendance machines are employed substantially for customer verification and to track employees’ attendance in various banks and finance institutes globally.
The time attendance system acts as a robust identity verification tool and precisely tracks the attendance of the employees.
When it comes to identifying an individual, the banking and financial service industry (BSFI) is facing a myriad of problems. According to Statista, there were 6800 notified incidences of banking fraud cases across India.
As we are moving towards digitalization, providing a reliable, secure, and friction-free customer experience is getting more important than ever.
Here are a few ways the biometric system solves the problems mentioned above and revolutionalizes the BSFI sector.
KYC regulations are aimed at preventing money laundering. After Government made Aadhaar mandatory, more and more banks are deploying biometric identity verification solutions and are asking for Aadhaar cards. Fingerprints provide a reliable way to identify a customer against a pre-existing database.
Instead of remembering passwords or pins, customers can now verify themselves via fingerprints, iris, and other unique human traits. This not only eliminates the need to remember otherwise robust passwords but also offers enhanced security. Also, biometrics these days are much faster.
Apart from enhancing security and improving customer experience, biometric systems help the banking systems to efficiently and precisely carry out audit trails of transactions.
As mentioned above, the time attendance machine and biometric devices are not only for customers, but it is also for employees. Many banks are replacing passwords at employee terminals to enhance identity and access management. This helps banks eliminate internal identity-based threats.
IDFC and SBI were the first to introduce biometric sensors in the Indian banking industry for reliable transfer of payment involving smartphones. And now, the biometric system is widely adopted throughout the country.
Whether you’re a bank or a microfinance company, having a biometric system is crucial for you. Star Link is the leading manufacturer of door access control systems and has been providing them to various banking and financial sector for the last 23 years.