Australian mortgage broker app Hashching plans to use biometrics to verify the identity of clients.
Hashching, which has processed $2.6 billion of mortgages since launching 15 months ago, is piloting a biometric identity verification service allowing brokers on its platform to satisfy strict "know your client" (KYC) banking regulations by asking a customer on a video call to hold up a proof of identity to the camera on their computer or mobile phone.
Across the banking industry, KYC verification for mortgages – designed to prevent money laundering by criminals – is still conducted with in-person meetings; customers either have to travel into a branch or receive a visit from a bank or broker representative. This delays the process and can be intrusive.
Hashching co-founder Mandeep Sodhi said he will soon begin discussions with major banks to attempt to change their bureaucratic internal processes that have created a tick-a-box compliance mentality and made banks resistant to change.
Source: Planet Biometrics