How Identomat Can Be Utilized In The Banking & Finance Sector

Banking and finance are in the middle of a full-on digital shift - and the market numbers back it up. The global digital banking platform market was valued at $30.4 billion in 2023 and is projected to reach $168.3 billion by 2032 according to Allied Market Research , growing at a 20.9% CAGR (2024–2032), driven by the continued rise of online financial transactions and services.  

This transformation accelerated during COVID-19 and never really slowed down. Customers now expect 24/7 access, instant onboarding, personalized experiences, and fast, reliable transactions - without ever stepping into a branch. For financial institutions, that creates a simple reality: growth now depends on how well you balance speed and convenience with security, trust, and compliance.  

But with explosive growth comes pressure from every direction. Fraud continues to scale alongside digital adoption, causing losses measured in the billions. At the same time, financial crime risks - including money laundering and terrorist financing - demand strong AML controls, screening, and risk-based due diligence, aligned with globally recognized standards and regulations. And because regulations evolve constantly across markets, compliance has become an ongoing operational challenge.

That’s where Identomat and Identomat’s solutions are becoming crucial for the businesses operating in banking and finance sector. By creating one modular identity verification and KYC/AML platform that has solutions such as ID verification, biometric liveness, sanctions and watchlist screening, Know Your Business, age verification, phone and email verification and more - Identomat helps banks, fintechs, and financial platforms reduce fraud, meet compliance expectations, and keep customer experiences smooth. Below are some of the most practical, high-impact ways Identomat can be utilized across the banking and finance lifecycle.

Customer onboarding

When someone opens a bank account or signs up for a financial product, the first few minutes determine everything: conversion, compliance posture, and fraud exposure. Identomat enables secure remote onboarding by verifying identity documents and confirming the person behind the screen using face match and liveness check. The result is a smoother account opening flow for legitimate customers and prevention of fake, stolen, or synthetic identities entering your ecosystem in the first place. The customer onboarding step is very important for getting that good first impression on your customers. Good user experience is a non-negotiable trait that your platform should have to be able to stand strong in this very competitive banking and finance industry. Identomat’s solutions are not only white label, meaning that you can customize the look and feel so it matches your aesthetic, but also we are proud to have a flow that helps you onboard customers in seconds, minimizing customer retention and helping you to convert smarter and faster.

Ongoing KYC and customer due diligence

KYC isn’t a one-time checkbox - it’s a lifecycle responsibility. Customer risk can change over time, and watchlists or sanctions data can update quickly. Identomat supports ongoing due diligence by helping institutions re-check customers when it matters (for example, periodic reviews, risk-triggered events, or major profile changes) and screen identities against updated sanctions and watchlists. This helps you stay compliant and reduce the risk of “set-and-forget” customer records quietly becoming a liability.

Payment authentication for high-value transactions

High-value transfers are a favorite target for account takeovers and social engineering scams especially when fraudsters try to move fast before anyone notices. Identomat strengthens payment security by enabling step-up identity checks before sensitive actions, using biometric checks and ID verification when additional certainty is required. That extra confirmation layer can help stop fraudulent payouts, reduce chargebacks and disputes, and increase trust in your payment flows without forcing heavy face-to-face verification on every routine transaction.

Trading, investment, and portfolio management

Trading and investment platforms face a unique mix of risks: fake accounts, multi-accounting, identity abuse, and higher compliance expectations especially when large sums move quickly. Identomat helps platforms onboard investors with stronger identity verification and biometric checks, creating a more reliable link between an account and a real person. This improves compliance readiness, reduces suspicious activity, and boosts confidence for both your platform and your legitimate users because you’re building a marketplace with authenticated participants, not anonymous risk.

Lending and credit services

Lending and credit products depend on one thing above all: confidence that the person applying is real, legitimate, and eligible. When identity is weak, the risks stack up fast - impersonation, synthetic identities, “borrow-and-disappear” behavior, and regulatory exposure. At the same time, customers expect approvals to be quick and fully digital, especially when they’re applying because they need funds urgently. Identomat helps lenders verify applicants in real time before a decision is finalized. Using document verification and onboarding APIs, you can confirm that the applicant’s ID is authentic and that the person behind the application matches the document via Face Match and biometric checks when required. This makes it much harder for fraudsters to use stolen documents or fabricated identities to slip through your process. On top of identity proof, Identomat supports AML screening against sanctions lists, PEPs, and watchlists - helping you flag or block applicants who may create compliance risk before they gain access to financial services. This is especially valuable for lenders operating across multiple markets, where screening expectations and risk levels can vary. Because these checks can be automated and completed in seconds, you don’t have to trade security for speed. Legitimate customers move through the flow smoothly, while higher-risk cases can be routed into additional verification or manual review. The result is faster decisioning for good applicants, fewer fraudulent approvals, and a stronger lending portfolio without damaging the user experience.

Treasury management and high-value operations

Treasury operations sit at the center of a financial institution’s highest-stakes activity: large transfers, liquidity movements, vendor and partner payments, and approvals that can move significant funds in seconds. Because these actions typically involve privileged access and tight internal controls, treasury becomes a prime target for fraudsters and a high-risk area for internal misuse if access isn’t managed properly. Identomat helps institutions add stronger identity assurance to treasury workflows by verifying corporate representatives and other authorized individuals before sensitive actions are approved or executed. Using document recognition and biometric verification including Face Match and liveness checks when appropriate, you can confirm that the person initiating or approving a transaction is the verified individual they claim to be - not someone using stolen credentials, a compromised account, or impersonation tactics.

Worldwide branchless banking

Banking has gone global, but identity and compliance rules haven’t become “one-size-fits-all.” Requirements can change depending on a customer’s country, the product they’re opening (payments vs. lending vs. investing), and the risk level of the journey. For banks and fintechs scaling internationally, the real challenge is staying compliant across markets without forcing customers into branch visits or clunky, manual processes. Identomat enables true branchless onboarding by supporting remote identity verification from virtually anywhere through a fully digital KYC flow. Customers can verify their identity using document verification and biometric checks, allowing you to open accounts and deliver services securely without physical presence. And when a process requires more than a fully automated flow - such as a high-value loan, complex onboarding case, or stricter internal policy - Identomat also offers Video KYC. Think of it as a virtual branch: a secure, agent-assisted verification session where you can confirm identity, collect required information, and guide the customer through additional checks in real time, while still keeping the experience remote and convenient. The result is simple: no need for customers to visit a branch and in many cases, no need to rely on branches at all. You can deliver financial services remotely, quickly, and securely to customers worldwide, while still aligning with local requirements and international compliance expectations.

Employee access management and recruitment

Not all risk is external. In banking and finance, employees and contractors can access sensitive systems, customer data, and high-impact workflows - so internal identity controls matter just as much as customer-facing KYC. A single compromised account, shared credential, or poorly verified hire can create serious operational, security, and compliance risk. Identomat helps strengthen employee access management by verifying staff identities through ID validation and liveness checks during first-time onboarding, and by supporting 2FA options such as phone and email OTP. This ensures privileged access is tied to a real, verified individual - not just a login and password. It’s especially valuable for step-up verification when someone attempts to access high-risk tools, approve sensitive actions, or sign in from a new device, location, or unusual behavior pattern. The same approach also supports recruitment and onboarding. Financial institutions can verify new hires and external contractors before granting accounts, system access, or internal credentials - reducing the risk of impersonation, fake identities, and unauthorized insiders. The result is safer hiring workflows, stronger internal controls, and better protection for critical banking operations from day one.

In banking and finance, the best customer experience is the one that feels effortless because it’s secure by design. With Identomat, institutions can combine strong identity verification, biometric checks, and AML screening into a flexible toolkit that supports onboarding, authentication, compliance, and operational security across the full customer lifecycle. Whether you’re a bank modernizing digital onboarding or a fintech scaling into new markets, Identomat helps you reduce fraud, strengthen compliance, and build trust at every step.

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