Banks should adopt a paperless system for account opening: Here is why.
Banks are very much prone to experience frauds, because customers provide fake or duplicate documentation. One of the reasons is because of the time consuming process to fill up forms. Data collected from customers aren’t always reliable or uniform (not consistent) across banks. The most valuable way to overcome this challenge is for banks to adopt the paperless system of account opening.
This way the bank can onboard customers quickly, seamlessly and digitally. This smooth onboarding process would even attract more customers. Adopting the paperless facility alone can increase your market presence.
Customers have unique numbers like NIN, BVN, passport details, driver license and more. These unique information can be used to gather data like Name, Phone number, Date of Birth, Address and other details. These details are indeed stored in a centralized location in form of your unique information. Furthermore, these information are authenticated with the relevant bodies or agencies, before the bank can collect and store the information for their verification functions.
When a customers needs to open a bank account, the bank certainly needs the biometric of the customer. For example, as a customer in the account opening process, you provide your NIN number. The bank captures your thumb impression with your NIN number which is interfaced online with the banking system. Employing a paperless tool, when your data is captured, a paperless system automatically downloads all the customer’s related data from the NIN server to the bank system as required by the bank such as Name, DOB, Gender, Address, Phone number, etc.
Bank staff can verify all the details real-time and open the customer account immediately in quick time without any issues. Below are various benefits of the paperless system.
- Paperless tool can be used by agents for quick account opening either at bank branch or customer location.
- Customer consents are taken online for accessing their information from the
- Account number are shared instantly and provided to customer.
- Paper system can reduce turnaround time for account opening with such online process and reduce paper filling activities by the customer, as everything is digitalized.
- Mobile banking credentials ATM cards, Internet banking, are synced in real-time with account number of the customer sent digitally to customer email / mobile number during account opening process.
- This process will reduce fraudulent activities and reduce false -documentation during account opening process as all information are verified by the system and can be re-used by the bank for their purpose.
Data captured are uniform across the customer onboarding with paperless account opening. Customer are provided with hassle free account opening experience real-time and get on boarded.
