The regulation known as Know Your Customer (KYC) is as important as ever before for the prevention of identity theft and financial fraud, including money laundering and terrorist financing and is a widely used acronym in banking and FinTech. But why would a hotel need to KYC? More and more countries demand that the hotel has a copy of a guest’s passport. and this of course leads to increased time per check-in and a lower Revenue Per Available Room (RevPAR).
The KYC is the process of verifying the user’s identity, and is typically done by a number of mechanisms such as passport or ID paper upload, electronic ID verification, face recognition etc.
As hotels move towards online and kiosk check-ins, it makes this process more difficult. Wouldn’t it be great for customers to provide their passport and ID information ahead of time, including a scan of the passport and a picture of the guest? This information can be stored in the hotel’s Property Management Software (PMS) before the guest arrives?
Financial institutions in the Nordic region, Spain and Germany are reporting huge savings and increased attractiveness of their services since implementing an Electronic ID (eID)-based KYC process became available three years ago.
Here at Signicat we are able to provide secure guest on-boarding, as well as authentication and electronic signing services. We make it easy for hotels and others in the hospitality industry to use electronic IDs (a full list of supported eIDs here), as well as passport and ID card scanning services. We’re able to receive necessary information from passports, copy the documents, and securely store and preserve documents and signed agreements in our preservation archive.
What is an electronic ID? Electronic identification is electronic systems for legitimizing users on the Internet or other computer systems. Using an electronic identity, users can identify, sign in and sign contracts and approve transactions on different websites, such as banks and public portals.
Once onboarded, guests can then quickly access their loyalty program information as well. If an eID is used, there is no need to worry about remembering a username and login as authentication is provided by the eID.
Signicat has more than 10 years’ history of working with companies dealing with both complex regulatory compliance issues, as well as ensuring seamless user experiences to on-board and keep customers. Our APIs provide everything a hotel or PMS provider needs to quickly get up and running.
Afterall, for the hospitality industry wouldn’t it be great to Know Your Guest?