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Top 11 Know Your Customer (KYC) Service Providers In 2024

In 2024, the demand for seamless and secure Know Your Customer (KYC) processes is at an all-time high as businesses and financial institutions strive to enhance customer onboarding, compliance, and fraud prevention. The evolution of KYC solutions in India has paved the way for advanced technologies like eKYC, digital KYC, and biometric verification, making customer authentication faster, paperless, and more reliable. From Aadhaar-based KYC and PAN card integration to AI-driven facial recognition and e-signature solutions, the environment is quickly transforming.

This blog explores the best KYC solutions in India for 2024, highlighting the top KYC providers, innovations like paperless KYC and biometric KYC, and how they are addressing critical needs in KYC compliance, risk management, and fraud prevention. Whether you’re a business looking to streamline your customer verification process or seeking AI-based KYC and ML-powered solutions, this comprehensive overview will provide valuable insights. Here are the top KYC solutions in India in 2024:

AuthBridge

AuthBridge is a comprehensive KYC service provider that caters to businesses across various industries by offering efficient, scalable, and tech-driven verification solutions. It stands out for its wide range of eKYC options, use of Aadhaar-based verification, and industry-specific tools that prioritize fraud prevention and regulatory compliance.

Key Features Of AuthBridge’s KYC Solutions:

eKYC: AuthBridge provides an electronic KYC (eKYC) process that significantly reduces the time, cost, and effort involved in manual verification. Their eKYC platform integrates Aadhaar-based verification and OTP-based authentication, ensuring quick and accurate customer onboarding.
Aadhaar-based Verification: With seamless integration of the Aadhaar database, AuthBridge enables businesses to verify the identity of customers in real time. This Aadhaar-based KYC process ensures compliance with Indian regulations, especially for financial institutions.
Video KYC: In compliance with the RBI guidelines, AuthBridge offers a Video KYC feature that facilitates remote identity verification. This solution is particularly useful for banks, fintech, and NBFCs looking to onboard customers without physical interaction.
AML & Fraud Prevention: To help businesses mitigate the risk of fraud, AuthBridge integrates Anti-Money Laundering (AML) checks with KYC processes. Their fraud prevention tools analyze various data points to flag suspicious activities during the customer onboarding process.
API Integration: AuthBridge’s KYC solutions are highly scalable due to their easy API integration. This makes it simple for businesses to incorporate KYC verification into existing workflows without major disruptions.
Comprehensive KYC Reports: Businesses using AuthBridge have access to in-depth KYC reports, offering clear insights into customer identities. These reports provide valuable data, allowing companies to make informed decisions regarding customer engagement and risk management.
Compliance with Regulatory Standards: AuthBridge ensures that its services are aligned with Indian laws, such as the Prevention of Money Laundering Act (PMLA) and RBI guidelines. Their solutions are designed to meet regulatory standards, reducing the compliance burden on businesses.

Benefits Of Choosing AuthBridge for KYC:

Faster Onboarding: With digital KYC processes such as eKYC and Video KYC, businesses can onboard customers within minutes.
Cost-Effective: Reducing the dependency on physical documentation lowers operational costs for businesses.
Enhanced Fraud Detection: The incorporation of AML checks and fraud detection algorithms reduces the risk of identity theft and money laundering.
Wide Industry Application: AuthBridge serves various industries including BFSI, eCommerce, telecom, healthcare, and more.
Scalability and Flexibility: The solutions can be customized based on the size and requirements of the business.

Use Cases Of AuthBridge KYC Solutions:

Banking and Financial Services: Banks and NBFCs use AuthBridge’s KYC services to meet compliance requirements and reduce the onboarding time for new customers.
Insurance: Insurance providers leverage eKYC and Aadhaar-based verification to quickly verify policyholders.
Telecom: Telecom companies ensure quick customer verification with eKYC to comply with the government-mandated KYC norms.
Healthcare: Healthcare companies use KYC solutions for patient verification to prevent fraud in medical services and insurance claims.

AU10TIX

AU10TIX offers a global, fully automated identity management solution that handles every aspect of the verification process. With advanced technology designed to combat emerging threats like deepfakes, AU10TIX provides fast and scalable identity verification for both new and existing customers, without any human involvement. Its system processes documents from over 190 countries, including non-Latin characters, and continuously updates them to enrol new document types. Trusted by leading brands since 1982, AU10TIX has a proven track record of protecting businesses, verifying identities, and fighting fraud through its comprehensive identity management solutions.

Comply Cube

ComplyCube is a comprehensive platform designed to automate and simplify Identity Verification (IDV), Anti-Money Laundering (AML), and Know Your Customer (KYC) compliance. It provides businesses with versatile AML/KYC tools to quickly verify customers while mitigating fraud risks. Known for its rapid omnichannel integration, ComplyCube offers a range of integration options, including Low/No-Code solutions, APIs, Mobile and Web SDKs, client libraries, and CRM integrations, making it adaptable to various business needs and infrastructures. This flexibility helps businesses enhance their compliance processes efficiently.

Jumio

Jumio is an AI-driven platform that allows users to verify their identity remotely, helping protect businesses against fraud and financial crimes. The Jumio KYX Platform provides a comprehensive suite of identity-proofing services, ensuring trust from initial account opening through ongoing transaction monitoring. By utilizing advanced technologies such as AI, biometrics, machine learning, liveness detection, and automation, Jumio enables organizations to combat fraud, onboard legitimate customers quickly, and stay compliant with regulations like KYC, AML, and GDPR. Jumio has verified over 300 million identities from more than 200 countries and territories in real-time web and mobile transactions, making it a trusted solution across industries like financial services, digital currency, retail, travel, and online gaming.

KYC Hub

KYC Hub provides an all-in-one digital verification platform designed to streamline KYC compliance with real-time identity verification across 190+ countries and 3,000 document types. The platform integrates AI-powered document authentication, biometric checks, and video KYC to enhance security and fraud detection. Its customizable workflows and seamless integration with APIs and SDKs reduce onboarding times and costs while ensuring compliance with Indian regulatory standards, including RBI and SEBI guidelines. Widely used in banking, fintech, and e-commerce, KYC Hub offers scalable, efficient, and secure solutions for businesses.

North Row

NorthRow simplifies onboarding, customer remediation, and regulatory compliance with a fully managed, low-tech service that optimises due diligence. Its configurable, single API solution allows businesses to easily integrate and tailor the platform to their specific requirements, ensuring smooth operations. NorthRow combines AML and KYC tools, providing a unified solution that improves compliance, enhances the customer experience, and supports faster business growth, all while streamlining customer onboarding and monitoring processes.

Ondato

Ondato is a comprehensive digital compliance platform that enables businesses to meet the latest KYC (Know Your Customer) and anti-money laundering (AML) regulations seamlessly. With solutions ranging from identity verification to case management, due diligence, and screening, Ondato ensures full regulatory compliance with minimal risk. It’s an essential tool for businesses in the digital space, reducing the chances of fines, maintaining a zero-tolerance approach to fraud, and delivering cost savings of up to 90% on traditional compliance expenditures.

Onfido

Onfido simplifies the complex process of digital customer acquisition and identity verification, ensuring seamless compliance with KYC and AML regulations across all regions where your business operates. Onfido helps businesses connect authentically with customers while maintaining regulatory standards. A key highlight is the launch of Onfido’s Real Identity Platform in 2022, aimed at making identity verification more intuitive, efficient, and intelligent. This platform integrates trusted data sources, biometric verifications, and fraud detection signals to provide a comprehensive and reliable identity verification solution.

Shufti Pro

Shufti Pro leverages a combination of artificial intelligence and human intelligence to deliver seamless, automated verification solutions. Offering multi-layered protection against digital identity fraud, money laundering, and terrorist financing, Shufti Pro performs verifications in just 30-60 seconds. Its services are available in over 230 countries and support more than 150 languages. Businesses use Shufti Pro for identity verification to meet KYC, AML, and KYB requirements, enhancing the security and efficiency of their customer onboarding processes.

Sumsub

Sumsub is a comprehensive verification platform that secures every step of the user journey. Its KYC/AML software offers customizable verification flows, ensuring top pass rates while maintaining strict compliance. With Sumsub’s KYC solution, businesses can streamline their verification process, expand their global reach, reduce costs, and enhance security. The platform supports ID verification, database validation, biometric checks, proof of address, non-document verification, and AML screening. Sumsub boasts industry-leading conversion rates—91.64% in the US, 95.86% in the UK, and 97.89% in Hong Kong—while completing verifications in under 50 seconds on average. Trusted by over 2,000 clients across fintech, crypto, transportation, trading, e-commerce, and gaming industries.

Veriff

Veriff uses cutting-edge technology to simplify and enhance KYC processes, incorporating AI to bring greater precision and transparency to onboarding. This allows businesses to swiftly detect fraud and make real-time adjustments. Veriff’s automated, customer-centric approach leads to higher fraud prevention rates and faster customer conversions, benefiting both businesses and consumers. One of its standout features is advanced facial recognition and assisted image capture, which not only secures customer accounts but also boosts account holder conversions by replacing outdated authentication methods and providing a safer environment for users.

By Abhinandan, 1 daySeptember 6, 2024 ago

Blogs

How To Link PAN Card With Aadhaar?

Introduction

Linking your PAN (Permanent Account Number) with Aadhaar has become a crucial requirement for tax-related processes in India. This linkage aims to simplify and streamline the taxpayer’s identification process, making it easier for the Income Tax Department to detect and prevent tax evasion. It ensures that each individual has only one PAN card and that all financial transactions are linked to a single identity.

Why Should You Link Your Aadhaar With PAN Card?

The Government of India has mandated the linking of PAN with Aadhaar under the Income Tax Act, 1961. This legal requirement helps in creating a unified base for the financial and social welfare schemes, facilitating better governance. Failure to link the PAN with Aadhaar by the stipulated deadline can result in the PAN becoming inoperative, which could complicate financial transactions and tax submissions.

Benefits Of Linking PAN With Aadhaar

1. Streamlined Financial Transactions

Linking PAN with Aadhaar significantly streamlines various financial transactions that require PAN verification. This linkage simplifies the process of verifying PAN details for banking transactions, mutual fund investments, and stock trades, making these processes quicker and more efficient. It also helps in reducing the paperwork since Aadhaar can be used to satisfy KYC norms effectively.

1. Enhanced Compliance and Transparency

The integration of PAN with Aadhaar enhances the ability of tax authorities to oversee financial transactions, thus improving compliance with tax laws. This transparency aids in curbing tax evasion and ensures a more robust financial system. Moreover, it facilitates quicker tax refund processes by quickly verifying the authenticity of tax returns filed online.

Step-by-Step Process To Link PAN With Aadhaar

Method 1: Linking via the Income Tax e-Filing Portal

Visit the Income Tax e-Filing Portal:
- Go to the Income Tax e-Filing website.
Login/Register:
- Log in to your account. If you do not have an account, you will need to register using your PAN.
Link Aadhaar:
- After logging in, navigate to the ‘Profile Settings’ section and click on ‘Link Aadhaar’.
Enter Details:
- Your PAN details will already be populated. Verify the details and enter your Aadhaar number and name as per Aadhaar.
- If only your birth year is mentioned in your Aadhaar card, select the checkbox indicating the same.
Captcha Code:
- Enter the Captcha code for verification.
- If you have a visual impairment, you can use the OTP option instead, which will send an OTP to your registered mobile number.
Submit:
- Click on ‘Link Aadhaar’. A pop-up message will confirm that your Aadhaar has been successfully linked with your PAN.

Method 2: Linking via SMS

Compose SMS:
- Open your SMS app and type the following message: UIDPAN <12-digit Aadhaar> <10-digit PAN>.
Send SMS:
- Send this message to either 567678 or 56161.
Confirmation:
- You will receive a confirmation message once your PAN is successfully linked to your Aadhaar.

Method 3: Linking via the Aadhaar Seva Kendra

Visit Aadhaar Seva Kendra:
- Go to the nearest Aadhaar Seva Kendra or PAN Service Center.
Fill Form:
- Fill out the required form to link your PAN with Aadhaar.
Provide Documents:
- Provide a copy of your PAN card and Aadhaar card.
Submit:
- Submit the form along with the documents. The staff will process your request, and your PAN will be linked with Aadhaar.

Method 4: Linking via the NSDL Portal

Visit NSDL Portal:
- Go to the NSDL PAN portal.
Link Aadhaar:
- Look for the option to link Aadhaar and follow the instructions provided.
Enter Details:
- Enter your PAN, Aadhaar number, and name as per Aadhaar.
Submit:
- Click on ‘Submit’ to link your PAN with Aadhaar.

Common Issues And Solutions In Linking PAN With Aadhaar

Troubleshooting Common Errors

Common issues include mismatched personal details such as names or dates of birth between PAN and Aadhaar records. To resolve these, you may need to update either your PAN or Aadhaar details. This can be done by submitting a correction form through NSDL for PAN or visiting a nearby Aadhaar Enrollment Center.

What to Do If PAN-Aadhaar Linking Fails?

If the online linking fails due to technical reasons, retry after some time or try the SMS method. If persistent issues arise, contact the PAN/Aadhaar helplines for detailed guidance and troubleshooting.

PAN Helpline Number: (020) 272 18080

Aadhaar Helpline Number: 1947 (Toll Free)

How To Check PAN-Aadhaar Link Status?

Checking the status of your PAN card’s link with Aadhaar is a pretty straightforward process.

Online Method via Income Tax e-Filing Portal

Visit the Income Tax e-Filing Portal: Go to the Income Tax e-Filing website.
Link Aadhaar Status: Click on the ‘Link Aadhaar’ option under the ‘Quick Links’ section.
Enter Details: Enter your PAN and Aadhaar number.
Submit: Click on the ‘View Link Aadhaar Status’ button.
Check Status: The portal will display the status of your Aadhaar-PAN linking.

Online Method via SMS

Send SMS: Compose an SMS in the following format: UIDPAN <12-digit Aadhaar> <10-digit PAN>.
Send to Number: Send this SMS to 567678 or 56161.
Receive Status: You will receive an SMS back confirming whether your Aadhaar is linked to your PAN.

Online Method via NSDL Portal

Visit NSDL Portal: Go to the NSDL PAN portal.
Check Aadhaar Status: Look for an option to check Aadhaar-PAN linking status and follow the instructions provided.

Through Income Tax Department Mobile App

Download App: Install the Income Tax Department’s mobile app.
Login: Log in with your credentials or register if you haven’t.
Link Aadhaar: Navigate to the ‘Link Aadhaar’ section to check the status.

How to Link Your PAN to Your Aadhaar After the Deadline

If you missed the deadline to link your PAN with Aadhaar, you may still be able to complete the process, but there could be additional steps or penalties involved. Here’s how you can proceed:

1. Pay the Late Fee

Late Fee Payment: As per the Income Tax Department guidelines, a late fee of ₹1,000 may be applicable for linking PAN with Aadhaar after the deadline.
Payment Process:
- Visit the e-Filing portal e-Pay Tax or use a Challan 280.
- Select ‘Proceed’ under the ‘Income Tax’ section.
- Choose the ‘Other Receipts (500)’ option.
- Complete the payment with your PAN, assessment year, and other required details.

2. Link PAN with Aadhaar

After paying the late fee, follow these steps to link your PAN with Aadhaar:

Method 1: Through the Income Tax e-Filing Portal

Visit the e-Filing Portal: Go to the Income Tax e-Filing website.
Login/Register: Log in to your account or register if you don’t have an account.
Navigate to Link Aadhaar: Under ‘Profile Settings,’ click on ‘Link Aadhaar.’
Enter Details: Verify your details, enter your Aadhaar number, and name as per Aadhaar.
Captcha Code: Enter the captcha code for verification.
Submit: Click on ‘Link Aadhaar’ to complete the process.

Method 2: Using SMS

Compose SMS: Type the message UIDPAN <12-digit Aadhaar> <10-digit PAN>.
Send SMS: Send the SMS to 567678 or 56161.
Confirmation: You will receive a confirmation message upon successful linking.

Method 3: Through Aadhaar Seva Kendra or PAN Service Center

Visit the Center: Go to the nearest Aadhaar Seva Kendra or PAN service center.
Fill Form: Fill out the form to link PAN with Aadhaar.
Submit Documents: Provide self-attested copies of your PAN and Aadhaar.
Fee Payment: Pay the late fee if not already paid online.
Receive Confirmation: The staff will process your request and provide confirmation.

FAQs around PAN-Aadhaar Linkage

Why is linking PAN with Aadhaar mandatory?

Linking PAN with Aadhaar is mandatory to ensure that each PAN card holder has a unique identity and to curb tax evasion through multiple PAN cards.

What is the deadline for linking PAN with Aadhaar?

The government periodically sets deadlines for linking PAN with Aadhaar. It’s important to check the latest deadline on the Income Tax Department’s official website.

What happens if I don't link my PAN with Aadhaar before the deadline?

If you do not link your PAN with Aadhaar before the deadline, your PAN will become inoperative. This means you won’t be able to use your PAN for financial transactions, and you may also face a penalty.

How can I link my PAN with Aadhaar online?

You can link your PAN with Aadhaar online through the Income Tax e-Filing portal. Log in to your account, go to ‘Profile Settings,’ click on ‘Link Aadhaar,’ and follow the instructions.

Is there a fee for linking PAN with Aadhaar after the deadline?

Yes, if you link your PAN with Aadhaar after the deadline, a late fee of ₹1,000 is applicable. You need to pay this fee before proceeding with the linkage.

Can I link my PAN with Aadhaar via SMS?

Yes, you can link your PAN with Aadhaar by sending an SMS in the format UIDPAN <12-digit Aadhaar> <10-digit PAN> to 567678 or 56161.

What documents are required to link PAN with Aadhaar?

Generally, you do not need to submit any documents if the details in both PAN and Aadhaar match. However, if there is a discrepancy, you may need to update your details in either PAN or Aadhaar database.

How do I check if my PAN is linked with Aadhaar?

You can check the status of your PAN-Aadhaar linking on the Income Tax e-Filing portal by clicking on ‘Link Aadhaar Status’ under the ‘Quick Links’ section.

What should I do if there is a mismatch in details between PAN and Aadhaar?

If there is a mismatch in details between PAN and Aadhaar, you need to update the information in either of the databases. This can be done online through the respective portals.

Is it mandatory to link PAN with Aadhaar for NRIs?

Yes, NRIs also need to link their PAN with Aadhaar if they have an Aadhaar card. The process and deadlines are the same as for resident Indians.

How long does it take to link PAN with Aadhaar?

The linking process is usually instantaneous if done online. However, it may take a few days if there are discrepancies or if done offline.

Can I de-link my PAN from Aadhaar?

No, once PAN and Aadhaar are linked, they cannot be de-linked.

By Siddharth, 2 daysSeptember 5, 2024 ago

BFSI

New GST Invoice Management System Goes Live On October 1: Key Details

The Goods and Services Tax Network (GSTN) has announced a significant enhancement to the GST portal with the introduction of the Invoice Management System (IMS). Set to go live on 1st October, this new feature is designed to streamline the process of managing invoices between suppliers and recipients, ultimately improving the accuracy of Input Tax Credit (ITC) claims, as per an advisory by the GST Network. The IMS offers taxpayers the ability to accept, reject, or keep invoices pending directly within the system, which can be crucial for maintaining compliance and avoiding errors in GST returns.

Efficient invoice management is critical for businesses of all sizes, particularly in the context of GST compliance. With the complexity of the GST system, errors in invoicing can lead to significant financial penalties and disruptions in business operations. The new IMS addresses these challenges by providing a more transparent and manageable process for handling invoices, ensuring that only genuine and accurate invoices contribute to ITC calculations.

Key Features Of The New GST Invoice Management System

The soon-to-be-introduced Invoice Management System (IMS) is poised to change the way taxpayers interact with their invoices on the GST portal. Below are some of the key features that will enhance the GST compliance process for businesses:

Invoice Acceptance, Rejection And Pending Status

One of the most significant aspects of the IMS is the ability for taxpayers to take decisive action on invoices received from their suppliers. After the supplier uploads an invoice into their GSTR-1, GSTR-1A, or IFF, it becomes visible in the recipient’s IMS dashboard.

At this point, the recipient has the option to:

Accept the Invoice: Accepted invoices will be automatically included in the recipient’s GSTR-2B and will be considered for ITC eligibility. The GST on these accepted invoices will also auto-populate in GSTR-3B.
Reject the Invoice: If an invoice is deemed incorrect or fraudulent, it can be rejected. Rejected invoices will not be included in GSTR-2B, thereby preventing any erroneous ITC claims.
Keep the Invoice Pending: If the recipient is uncertain about the validity of an invoice, they can keep it pending. This invoice will not be included in GSTR-2B or GSTR-3B until further action is taken. This feature is particularly useful when additional verification is required.

Impact On Input Tax Credit (ITC)

The IMS plays a crucial role in determining the ITC available to taxpayers. Only invoices that are accepted by the recipient will be reflected in the GSTR-2B, which serves as the basis for ITC claims. This ensures that only valid and verified invoices contribute to the ITC, reducing the risk of errors and fraudulent claims.

Additionally, if no action is taken on an invoice, it will be considered as “Deemed Accepted” and will automatically be included in the GSTR-2B. This feature minimises the compliance burden on taxpayers, allowing them to focus on more critical aspects of their business.

Invoice Amendments And Their Implications

Suppliers can amend invoices before filing their GSTR-1. If an invoice is amended, the changes will be reflected in the IMS, and the amended invoice will replace the original one on the recipient’s dashboard. The recipient must then decide whether to accept, reject, or keep the amended invoice pending.

In cases where an invoice is amended after it has been included in a filed GSTR-1A, the amended invoice will affect the ITC for the subsequent month. This ensures that any changes made by the supplier are accurately reflected in the recipient’s GST returns, maintaining the integrity of the GST system.

Workflow And Implementation Of The GST Invoice Management System (IMS)

The workflow of the GST Invoice Management System (IMS) is designed to integrate seamlessly with the existing processes on the GST portal, ensuring that the system is both user-friendly and efficient. Here’s how the IMS is implemented and how it fits into the broader GST compliance framework:

Invoice Flow In IMS

The flow of invoices within the IMS begins when a supplier uploads an invoice to their GSTR-1, GSTR-1A, or IFF. Once uploaded, the invoice becomes visible in the recipient’s IMS dashboard, where they can take one of three actions:

Accept: Accepted invoices are automatically included in the recipient’s GSTR-2B and are considered for ITC eligibility. The corresponding GST amount is also populated in the recipient’s GSTR-3B as eligible ITC.
Reject: Rejected invoices are excluded from the GSTR-2B, ensuring that no erroneous ITC is claimed.
Pending: Invoices that are marked as pending are not included in the GSTR-2B or GSTR-3B for the current month. These invoices remain in the IMS dashboard for further action in subsequent months.

Handling Amendments And Updates

The IMS is equipped to handle amendments made by suppliers to their invoices. If a supplier amends an invoice before filing their GSTR-1, the amendment is reflected in the IMS, replacing the original invoice on the recipient’s dashboard. The recipient must then decide how to proceed with the amended invoice.

For invoices amended after inclusion in a filed GSTR-1A, the impact on ITC is deferred to the subsequent month. This ensures that all amendments are accurately tracked and reflected in the GST returns, preserving the integrity of the data.

Sequential Generation Of GSTR-2B

A unique aspect of the IMS is the sequential generation of GSTR-2B. The system will only generate the GSTR-2B for a given period after the GSTR-3B for the previous period has been filed. This sequential approach ensures that all invoices and amendments are accounted for in the correct period, preventing discrepancies in ITC claims.

Special Considerations For QRMP Taxpayers

For taxpayers under the Quarterly Return Monthly Payment (QRMP) scheme, the IMS provides tailored functionality. Invoices uploaded through IFF by QRMP taxpayers flow into the IMS, but GSTR-2B for these taxpayers is generated on a quarterly basis, rather than monthly. This adjustment aligns with the QRMP scheme’s reporting requirements, ensuring that compliance remains streamlined for these taxpayers.

The IMS is designed to work with various GST compliance software, offering automation and integration capabilities that enhance the efficiency of managing invoices. Businesses using GST e-invoicing software, GST invoice reconciliation tools, or other related solutions can benefit from the seamless integration of IMS into their existing workflows. This allows for automated updates and real-time tracking of invoice statuses, further simplifying GST compliance.

UIDAI Extends Free Aadhaar Update Deadline Till September 14, 2024

The Unique Identification Authority of India (UIDAI) has announced an extension for the free update of Aadhaar details, with the new deadline set for September 14, 2024. This extension provides precious time for residents to ensure their Aadhaar information is up-to-date without incurring any fees, as post-deadline updates will be charged. With Aadhaar being the foundation for identity verification in India, keeping your details accurate and current is crucial for accessing various services and benefits.

Extension Of The Free Aadhaar Update Deadline

The UIDAI’s decision to extend the deadline for free Aadhaar updates until September 14, 2024, is a significant relief for millions of citizens. Initially set to expire earlier, the deadline has been extended to provide adequate time for individuals to update their biometric and demographic details. The extension is particularly important for those who may have had their Aadhaar issued more than ten years ago and have not updated their details since.

The free update applies to updates made through the myAadhaar portal, while updates made at Aadhaar centres will incur a fee of ₹50 after the deadline. This extension is also a response to the growing need for accurate data, especially as Aadhaar is increasingly being used for financial transactions and other sensitive operations.

The Importance Of Updating Aadhaar

Aadhaar, a 12-digit unique identity number issued by the UIDAI, is linked to various government schemes, banking services, and even mobile connections. Therefore, having accurate details in your Aadhaar profile is essential to avoid any interruptions in accessing these services. The UIDAI periodically requires updates to biometric and demographic details to maintain the integrity of the Aadhaar database.

How To Update Aadhaar Details?

Updating Aadhaar details is a straightforward process that can be done either online or offline. Here’s how you can update your information:

Online Update Via myAadhaar Portal

Access the Portal: Visit the myAadhaar portal at https://myaadhaar.uidai.gov.in
Login: Use your Aadhaar number and OTP sent to your registered mobile number to log in
Select Update Section: Navigate to the ‘Update Your Aadhaar’ section
Choose the Details to Update: You can update your demographic details like name, address, date of birth, gender, mobile number, and email address
Upload Supporting Documents: For changes in name, address, or date of birth, upload the necessary documents as proof
Submit the Request: Review your details and submit the update request

Offline Update At Aadhaar Centres

Locate a Centre: Find the nearest Aadhaar enrolment or update centre.
Visit the Centre: Carry original documents for verification and submission.
Fill Out the Update Form: Provide details of the changes you wish to make.
Submit Documents: Provide the necessary documents as proof for demographic updates.
Biometric Update: Your fingerprints, iris, and photographs will be captured again for biometric updates.
Pay the Fee: After September 14, a fee of ₹50 will be applicable for any updates done at the centre.

Different Types Of Aadhaar Updates

Understanding the types of updates and their associated costs can help in planning the update process:

Biometric Update

For Children (Aged 5-7 and 15-17 Years): Free if done within the specified age brackets.
Otherwise: ₹100 fee for any other biometric updates.

Demographic Update

If Done with Biometric Update: Free.
If Done Separately: ₹50 fee.

Document Update

Online (Till September 14, 2024): Free.
At Aadhaar Centre: ₹50 fee.

If you fail to update your Aadhaar details before the September 14 deadline, you’ll need to pay ₹50 per update for demographic or document changes and ₹100 for biometric updates. This penalty is designed to encourage timely updates and ensure that the Aadhaar database remains accurate and reliable.

By Abhinandan, 5 daysSeptember 3, 2024 ago

Background Checks

Centre Allows UPSC To Verify Candidates Using Aadhaar

In a first-of-its-kind decision, the Union Public Service Commission (UPSC) has been authorised by the central government to implement Aadhaar-based authentication for verifying candidates’ identities voluntarily during various stages of its examination and recruitment processes. This move comes after the controversy surrounding Puja Khedkar, a probationary IAS officer from the Maharashtra cadre, whose candidature was cancelled due to allegations of identity fraud and misuse of reserved category quotas. Adopting Aadhaar KYC (Know Your Customer) by the UPSC is a significant step towards ensuring the integrity and transparency of one of India’s most prestigious examinations.

Government’s Decision On Aadhaar-based Authentication For UPSC

According to a formal notification issued by the Department of Personnel and Training (DoPT) yesterday: “…Ministry of Personnel, Public Grievances and Pensions, Department of Personnel and Training, having been authorized by the Central Government, hereby notifies that the Union Public Service Commission (UPSC) is allowed to perform Aadhaar authentication, on voluntary basis, for verification of identity of candidates at the time of registration on ‘One Time Registration’ portal and various stages of examination/recruitment test, using Yes/No or/and e-KYC authentication facility.”

The UPSC conducts 14 major exams annually, including the Civil Services Examination, which selects candidates for the Indian Administrative Service (IAS), Indian Foreign Service (IFS), and Indian Police Service (IPS). Given the stakes involved, maintaining the integrity of these exams is extremely important. This decision to allow Aadhaar-based authentication is seen as a direct response to incidents of fraud, such as the case involving Puja Khedkar.

The Puja Khedkar Case

The Puja Khedkar case serves as a pressing reminder of the vulnerabilities in the current system. Khedkar’s actions not only undermined the integrity of the Civil Services Examination but also highlighted the need for more stringent identity verification measures. Her case, which involved the misuse of quotas and the manipulation of identity to gain an unfair advantage, has had a significant impact on the UPSC’s approach to candidate verification.

The decision to implement Aadhaar-based authentication can be seen as a direct consequence of the Khedkar case. By adopting this technology, the UPSC is taking a firm stand against identity fraud and ensuring that its recruitment processes are conducted with the highest standards of fairness.

Khedkar, who was provisionally allotted to the Indian Administrative Service (IAS) for the 2023 batch, was found to have fraudulently availed herself of additional attempts in the Civil Services Examination by manipulating her identity. She also allegedly misused disability and Other Backward Classes (OBC) non-creamy layer quotas. As a result, her candidature was cancelled, and she was barred from all future UPSC examinations.

The UPSC’s adoption of Aadhaar KYC is a proactive measure to prevent such cases in the future. By using Aadhaar verification, including Aadhaar biometric verification and Aadhaar data verification, the UPSC aims to ensure that only legitimate candidates can participate in its exams. This move will help uphold the fairness and credibility of the UPSC recruitment process.

What Is Aadhaar KYC?

Aadhaar KYC involves the use of a 12-digit unique identification number issued by the Unique Identification Authority of India (UIDAI). This number is linked to an individual’s biometric and demographic data, which can be verified through Aadhaar authentication. The UPSC will utilise both Yes/No authentication, which confirms the validity of an Aadhaar number, and eKYC authentication, which provides detailed demographic and biometric information for verification.

The UPSC, recently, also issued a tender inviting public sector undertakings to develop these two technological solutions for its examination process: “Aadhaar-based fingerprint authentication (else digital fingerprint capturing) and facial recognition of candidates and QR code scanning of e-admit cards” and “Live AI-based CCTV surveillance service.”

Also Read:

New Criminal Laws Of India
Police Verification In India
How To Check Passport Status In 2024

AuthBridge’s Instant Aadhaar Verification API For Enterprises

Whether it’s a factory hiring gig workers, a recruitment firm verifying employees, an examination firm verifying candidates or a bank onboarding customers, Aadhaar Verification is essential for preventing identity fraud and ensuring the right people are hired.
Leverage our API to authenticate Aadhaar card details with precision by validating demographic data and performing biometric authentication against the Aadhaar database. Our solution guarantees the accuracy and integrity of individual information, making it a dependable choice for businesses.

KYC Compliance For Enterprises

Optimize your KYC process with our Aadhaar Verification API. Seamlessly extract and verify critical Aadhaar data to ensure compliance with regulatory requirements, accelerate onboarding, and enhance the customer experience. Our API solution simplifies due diligence, offering a reliable tool for your business.

Advanced Fraud Detection For Businesses

Our API incorporates sophisticated fraud detection mechanisms to identify and mitigate suspicious activities during verification and KYC processes. By utilizing techniques such as face matching, document tampering detection, and data consistency checks, it ensures secure and trustworthy authentication for your enterprise.

By Abhinandan, 1 weekAugust 29, 2024 ago

BFSI

KYC Fraud: Senior Citizen Loses Rs 2 Lakhs In Mumbai

In the Banking, Finance and Insurance (BFSI) Sector, Know Your Customer (KYC) processes, designed to verify the identity of customers and prevent financial fraud, are extremely important. However, cybercriminals have increasingly exploited this system, particularly targeting vulnerable populations like senior citizens. One such recent case highlights the dangers of KYC fraud, where a 73-year-old woman from Mumbai lost Rs 2 lakh to fraudsters.

Details Of The Mumbai KYC Fraud

In this incident, the victim received a text message claiming her bank KYC was about to expire and needed immediate updating. The message contained a link that redirected her son to a fraudulent website. Unaware of the scam, he entered sensitive details, leading to unauthorised transactions from the woman’s bank account. As he filled out the required information on the fake website, an SMS notification was received, indicating that Rs 2.2 lakh had been debited from her account.

The scam was discovered when the victim’s son filed a complaint at the Mahim police station. According to the complaint, the fraud began on a Sunday when the woman received the phishing message. Concerned about her banking security, she requested her son to follow the instructions provided in the message, eventually leading to the scam taking place.

Although the amount was momentarily credited back, a subsequent transaction led to a loss of Rs 2 lakh. The son immediately reported the incident to the bank and contacted the police. Authorities have since registered a case under the relevant sections of the Bharatiya Nyaya Sanhita (Indian Penal Code) and the Information Technology Act.

How Do KYC Frauds Happen?

Cybercriminals typically employ tactics that create a sense of urgency or fear, compelling the victim to act quickly without verifying the authenticity of the communication. In this case, the fraudulent link mimicked the bank’s official site, making it difficult for the victim’s son to recognise the scam. Such scams often involve phishing techniques where victims are tricked into revealing personal information, which the fraudsters then use to gain unauthorised access to bank accounts.

KYC Fraud Risks And The Importance of Awareness

Why Senior Citizens Are Targeted

Senior citizens are increasingly targeted by cybercriminals due to their perceived vulnerability and often limited familiarity with digital technologies. In the recent case of a 73-year-old woman from Mumbai, the fraudsters exploited this vulnerability by sending a text message that appeared to be from her bank, claiming her KYC details needed immediate updating. This created a false sense of urgency, compelling the victim to act quickly without verifying the authenticity of the communication.

As per the Reserve Bank of India (RBI), such frauds typically involve unsolicited communications like phone calls, SMS, or emails, where victims are tricked into revealing personal information or installing unauthorised applications. The fraudsters in this case used a phishing link to gain access to the victim’s bank details, which allowed them to make unauthorised transactions amounting to Rs 2 lakh.

The financial loss in KYC fraud cases can be substantial, as seen in the Mumbai incident where the victim lost Rs 2 lakh in a short span. For senior citizens, such a loss can be particularly devastating, impacting their financial security and leaving them distressed. In this case, after the initial fraudulent transaction, the amount was temporarily credited back to the account, only to be siphoned off again shortly thereafter.

The emotional impact is equally significant. Victims often experience a loss of trust in financial institutions and may become wary of using digital banking services.

KYC Fraud Detection And Prevention

To mitigate the risks of KYC fraud, both customers and financial institutions need to remain vigilant. The RBI has issued clear guidelines to help prevent such frauds, advising customers to never share sensitive information like account details, passwords, or OTPs in response to unsolicited communications. Customers should always verify the authenticity of any KYC update requests directly with their bank, using official contact channels.

Additionally, financial institutions must prioritize customer education, emphasising that genuine banking entities will never ask for confidential information through phone calls, emails, or SMS. Regularly reviewing bank statements for unauthorised transactions and using secure networks for online banking are also critical steps in protecting against KYC fraud.

Steps To Protect Against KYC Fraud

To safeguard against KYC fraud, both individuals and financial institutions must adopt a proactive approach. The Reserve Bank of India (RBI) has outlined a set of dos and don’ts that can help prevent such scams:

Dos:

Directly Contact Your Bank: If you receive a request to update your KYC details, do not respond to unsolicited messages. Instead, contact your bank or financial institution directly using official contact details obtained from their website or branch.
Report Cyber Fraud Immediately: In the event of suspected cyber fraud, inform your bank immediately and lodge a complaint on the National Cyber Crime Reporting Portal (www.cybercrime.gov.in) or via the cybercrime helpline number (1930).
Verify KYC Requests: Always verify any KYC update requests by reaching out to your bank. Genuine requests will typically not involve sharing sensitive information over the phone, SMS, or email.
Regularly Monitor Bank Statements: Regularly review your bank statements for any unauthorised transactions. This allows you to catch potential fraud early and report it to your bank.

Don’ts:

Do Not Share Sensitive Information: Never share your account login credentials, card information, PINs, passwords, or OTPs with anyone, especially in response to unsolicited communications.
Avoid Unverified Links: Do not click on links received via SMS, email, or messaging apps that claim to be from your bank unless you have verified their authenticity.
Do Not Install Unauthorised Apps: Avoid installing apps from unverified sources. These apps may be designed to steal your personal and financial information.

Additional Measures To Enhance Security

Use Secure Networks for Online Banking: Ensure that you use secure, private networks when accessing online banking services. Avoid using public Wi-Fi, as it can be vulnerable to cyber-attacks.
Update Contact Information with Your Bank: Keep your contact details updated with your bank to ensure you receive all legitimate communications regarding your account.
Enable Alerts: Set up SMS and email alerts for transactions on your bank account. This allows you to be immediately informed of any suspicious activity.
Lock Sensitive Information: Consider locking sensitive personal information, such as biometrics, through official government portals to prevent unauthorised access.
Educate Yourself and Others: Stay informed about the latest fraud tactics and educate those around you, especially vulnerable groups like senior citizens. Awareness is the first line of defence against fraud.

Reporting And Responding To KYC Fraud

In case you fall victim to KYC fraud, taking swift action is critical. Immediately inform your bank and complain to the local police. Document all related information, such as screenshots and call details, to assist in the investigation. The RBI’s guidelines also emphasise the importance of reporting such incidents to the National Cyber Crime Reporting Portal or through the cybercrime helpline.

By following these actionable, individuals can significantly reduce the risk of falling victim to KYC fraud, while financial institutions can enhance the security of their customer onboarding processes.

Conclusion

KYC fraud represents a significant threat to both individuals and financial institutions, particularly as digital banking becomes more prevalent. The recent case involving a 73-year-old woman in Mumbai highlights the vulnerabilities that cybercriminals exploit, especially among senior citizens who may not be as familiar with the nuances of digital security.

FAQs around KYC Fraud

How to avoid KYC Frauds?

Implement Multi-Factor Authentication: Use multiple verification methods, including passwords, OTPs, and biometrics.
Verify Documents Thoroughly: Cross-check submitted documents against reliable databases to detect forgeries.
Conduct Regular Audits: Periodically review KYC processes to identify and fix vulnerabilities.
Educate Customers: Inform customers about common fraud tactics and encourage them to report suspicious activities.
Use Advanced Technologies: Leverage AI and machine learning to detect unusual patterns that may indicate fraud.

How to identify fake KYC?

To identify fake KYC, verify the authenticity of documents against official databases, look for inconsistencies in the provided information, and use AI-driven tools to detect anomalies. Implement biometric verification to ensure that the customer’s identity matches with government-issued IDs, and monitor transaction patterns for any unusual activities that don’t align with the customer’s profile.

How KYC can be misused?

KYC can be misused by criminals to create fake identities, launder money, or commit fraud by submitting forged documents, using stolen identities, or manipulating the verification process to gain unauthorized access to financial services.

How do I report KYC fraud?

If you experience financial cyber fraud, quickly report it through the National Cyber Crime Reporting Portal (www.cybercrime.gov.in) or call the cybercrime helpline at 1930.

Do banks call for KYC update?

Banks do not typically call customers for KYC updates. They usually notify customers through official channels like SMS, email, or in-app notifications. Be cautious of unsolicited calls asking for personal information, as these could be scams.

Is it safe to give PAN card number for KYC?

Yes, it is safe to give your PAN card number for KYC, provided you share it only with trusted and authorized entities like banks or government agencies. Always verify the authenticity of the request before sharing your details.

Who verifies KYC?

KYC is verified by authorized financial institutions, such as banks, NBFCs, and other regulated entities, using government databases and third-party verification services.

Can I withdraw money without KYC?

Without KYC, you can only withdraw money up to a limited amount set by the bank. Full KYC is required for unrestricted access to banking services.

Is KYC compulsory?

Yes, KYC is mandatory for all customers of banks and financial institutions under the Prevention of Money Laundering (PML) Act, 2002, to prevent money laundering and fraud.

Is KYC safe or not?

Yes, KYC is safe and secure when conducted through authorized institutions like banks, financial institutions, securities market intermediaries, insurance companies, telecom service providers, and payment wallets, all of which follow stringent guidelines set by the Government of India to protect your personal information and prevent misuse.

By Abhinandan, 2 weeksAugust 28, 2024 ago

Manufacturing

13 Best Third-Party Risk Management Software In 2024

As businesses become increasingly interconnected, managing third-party risks has become essential to safeguarding operations and ensuring compliance. Third-party risk management (TPRM) software is a critical tool in this effort, enabling organisations to assess, monitor, and mitigate the risks associated with their vendors, suppliers, and external partners. Whether your organisation requires TPRM software designed for large enterprises, solutions with AI-driven capabilities, or platforms that emphasise regulatory compliance, several leading providers offer robust options. Below, we explore the 13 most effective TPRM software solutions in 2024, in no particular order:

AuthBridge

AuthBridge offers a comprehensive Third-Party Risk Management (TPRM) solution designed to help businesses manage, monitor, and mitigate risks associated with their third-party relationships. The solution is built on advanced technology and provides a robust framework for businesses to ensure compliance, reduce vulnerabilities, and protect their reputation.

End-to-End Risk Management

Holistic Risk Assessment: AuthBridge provides a full-spectrum assessment of third-party risks, covering financial, legal, regulatory, operational, and reputational areas. This allows businesses to gain a complete understanding of their third-party entities.
Supply Chain Due Diligence: Ensures continuous due diligence throughout the entire relationship with third parties, not just at the onboarding stage, helping identify and mitigate risks over time.

Compliance and Regulatory Assurance

Comprehensive Compliance Checks: Detailed checks against local and international regulations, including Anti-Money Laundering laws, and data protection standards like the DPDP Act, and GDPR, are conducted to ensure full compliance.
Audit-Ready Documentation: The platform provides the necessary documentation and reports to demonstrate compliance during audits, reducing the risk of regulatory penalties.

Continuous Monitoring and Alerts

Real-Time Monitoring: Continuous monitoring of third-party entities with real-time alerts on any changes in their status or risk profile helps businesses stay ahead of potential risks.
Automated Red Flag Alerts: The system includes automated alerts that flag suspicious activities or non-compliance issues, enabling immediate corrective actions.

Technology-Driven Insights

AI-Powered Risk Analysis: Leveraging AI and machine learning to analyse large data sets, AuthBridge identifies patterns and anomalies that may indicate potential risks, enabling data-driven decision-making.
Customisable Dashboards: The platform offers customisable dashboards for a clear overview of the third-party risk landscape, aiding quick decisions and efficient management.

Third-Party Screening and Verification

Thorough Background Screening: Extensive background checks on third-party entities, including verification of legal standing, financial health, and overall reputation, ensure credible and reliable partnerships.
Global Watchlist Screening: The solution includes screening against global sanctions, watchlists, and adverse media to prevent engagements with entities involved in illegal or unethical activities.

Risk Scoring and Prioritisation

Dynamic Risk Scoring Models: Risk scores are assigned to third-party entities based on various factors, dynamically updated as new information becomes available, helping prioritise and address high-risk relationships.
Risk Mitigation Prioritisation: The solution assists in prioritising risk mitigation efforts based on risk scores, ensuring that resources are allocated effectively to manage the most critical risks.

Efficient Onboarding and Contract Management

Streamlined Onboarding: The onboarding process for third-party vendors is automated, reducing the time and effort required while ensuring necessary due diligence before contract signing.
Contract Lifecycle Management: Tools for managing the entire lifecycle of third-party contracts, from initiation to renewal or termination, ensure risks are managed at every stage of the relationship.

Industry-Specific Solutions

Tailored TPRM: Industry-specific TPRM solutions address unique risks faced by different sectors like BFSI, healthcare, manufacturing, and IT/ITES, ensuring relevant and actionable insights.

Data Privacy and Security

Secure Data Handling: Ensures all data processed is handled securely with encryption and other advanced security measures to protect sensitive information from unauthorized access.
Data Protection Compliance: Designed to comply with global data protection regulations by being ISO/IEC 27001:2013 and SOC 2 Type II Certified, maintaining the highest standards of data privacy.

UpGuard

UpGuard is a robust third-party risk management software known for its comprehensive risk assessment capabilities. It categorises risks into six key areas: email security, website risks, phishing and malware, network security, brand protection, and reputation risk. UpGuard’s TPRM software is especially valuable for its pre-built questionnaires and libraries, which accelerate vendor assessments and improve third-party security postures. With a user-friendly interface and frequent updates, UpGuard is an excellent choice for businesses of all sizes looking for reliable TPRM software with automation and data privacy compliance features.

SecurityScorecard

SecurityScorecard excels in providing continuous security ratings across ten categories, making it a top TPRM provider for businesses needing comprehensive cybersecurity risk management. This third-party risk assessment software offers automated action plans to improve security scores, and its tools for compliance management and breach insights are indispensable for organisations prioritising regulatory compliance. SecurityScorecard is a versatile solution, suitable for small businesses and large enterprises alike, offering proactive risk mitigation and seamless compliance management.

BitSight

BitSight’s TPRM software leverages advanced algorithms and daily security assessments to minimise risks associated with third-party vendors. The platform’s continually updated Security Ratings provide a solid, data-driven foundation for evaluating and managing third-party risks. With features like automated vendor onboarding and data-driven validation of vendor responses, BitSight ensures that companies can make informed decisions. This makes it one of the best TPRM solutions for organisations looking for a blend of efficiency, accuracy, and continuous monitoring.

OneTrust

OneTrust’s TPRM software is tailored for businesses needing to adhere to strict data privacy and regulatory compliance standards, such as GDPR and HIPAA. The platform offers tools for data inventory mapping, privacy impact assessments, and automated workflows, all accessible through an intuitive web portal. While its advanced analytics and risk mitigation tools could be stronger, OneTrust remains a top choice for organisations that prioritise data privacy compliance and regulatory adherence in their third-party risk management processes.

Prevalent

Prevalent’s TPRM platform offers a comprehensive solution for mitigating security and compliance risks throughout the vendor lifecycle. Ideal for larger organisations or mid-sized companies with dedicated TPRM resources, Prevalent excels in providing continuous risk monitoring, automated assessments, and detailed risk scoring. With its strong vendor intelligence networks and flexible, hybrid approach, Prevalent delivers tailored solutions that offer a rapid return on investment, making it one of the top TPRM providers in the market.

ProcessUnity

ProcessUnity’s Vendor Risk Management (VRM) software streamlines risk and compliance programs by automating vendor assessment, monitoring, and management. This platform is particularly effective for large enterprises that require robust TPRM software with risk scoring and continuous monitoring capabilities. ProcessUnity’s customisation options and integration with other governance, risk, and compliance (GRC) tools make it a powerful choice for organisations aiming to manage third-party risks effectively.

Centraleyes

Centraleyes offers a cloud-based TPRM solution designed for scalability and customisation, providing a comprehensive console for overseeing and assessing risks. With features like an advanced risk register, real-time alerts, and customisable dashboards, Centraleyes ensures that security teams are promptly informed of any vulnerabilities. As businesses evolve, Centraleyes plans to integrate AI to further enhance risk assessment and mitigation processes, making it a forward-thinking choice for companies seeking TPRM software with AI and automation features.

Diligent ThirdPartyBond

Diligent’s ThirdPartyBond stands out for its advanced risk analytics powered by machine learning algorithms. This TPRM software offers features like KPI and KRI-driven reports, centralized third-party inventory, and adaptive vendor surveys with advanced risk-scoring. Although the platform’s editing features primarily rely on scripting, which may be challenging for non-technical users, its capabilities in monitoring SLA performance and managing contracts make it a valuable tool for enterprises needing a sophisticated TPRM solution with regulatory compliance features.

Venminder

Venminder is a user-friendly SaaS solution for third-party risk management, offering tools for contract management, vendor onboarding, risk assessments, and due diligence. The platform’s customisable vendor questionnaires, SLA management, and vendor scorecard tracking ensure comprehensive oversight of vendor relationships. Venminder’s extensive library of learning resources and scalable services make it an adaptable solution for organisations of any size looking for TPRM software that simplifies risk management processes.

LogicGate

LogicGate’s Risk Cloud is a highly configurable platform that streamlines governance, risk, and compliance processes. Its drag-and-drop interface automates tasks like vendor onboarding and risk surveying, making it easy for businesses to manage third-party risks without needing extensive technical skills. The platform’s real-time visibility into the risk landscape, coupled with integration with tools like Jira and Slack, makes LogicGate a versatile option for enterprises seeking TPRM software that enhances decision-making through data-driven insights.

Archer

Archer Third-Party Governance offers powerful tools for managing and mitigating third-party risks, with customisable risk indicators and advanced visualization tools like Bowtie Diagrams. The platform’s AI-powered assessments and industry-specific design enable organisations to evaluate risks comprehensively and address potential disruptions proactively. Archer’s cloud-based deployment ensures scalability, making it a versatile TPRM software solution for organisations looking to enhance business resilience and streamline vendor risk management.

Panorays

Panorays is a leading TPRM platform that efficiently manages cybersecurity risks associated with third-party vendors. It offers AI-powered cybersecurity questionnaires, extended attack surface assessments, and continuous monitoring, providing a comprehensive view of vendor security postures. Although it lacks advanced threat intelligence for deeper supply chain visibility, Panorays excels in regulatory compliance and quick risk alerts, making it a strong choice for businesses focused on enhancing cybersecurity resilience.

Conclusion

As businesses become more interconnected, effective Third-Party Risk Management (TPRM) is essential to safeguard operations, compliance, and reputation. The right TPRM software helps mitigate risks associated with vendors and partners, offering solutions from AI-driven insights to robust compliance tools. The best TPRM platforms integrate seamlessly with existing processes, enhance risk management, and scale with your business. By evaluating each option’s features and strengths, organisations can choose a solution that protects their operations and supports long-term resilience.

By Abhinandan, 2 weeksAugust 27, 2024 ago

Customer Onboarding

Vendor Scorecard: A Comprehensive Guide

What Is A Vendor Scorecard?

A Vendor scorecard is a tool used by companies to evaluate and monitor the performance of their suppliers. It is a systematic approach to measuring and reviewing a vendor’s performance across various metrics. These metrics can include quality, delivery times, cost, service, and compliance with contractual agreements.

The scorecard is not just a tool for measurement; it is a comprehensive mechanism to foster continuous improvement in vendor relationships. By regularly assessing vendor performance, businesses can identify areas for improvement, enhance communication with suppliers, and ultimately ensure that their supply chain operates smoothly.

Key Components Of A Vendor Scorecard

A Vendor Scorecard is a tool used by organizations to evaluate and monitor the performance of their suppliers. It typically includes several key components that help in assessing various aspects of vendor performance, ensuring that they meet the company’s expectations and requirements. Here are the key components of a Vendor Scorecard:

1. Quality

Defect Rates: Measures the percentage of products or services that do not meet the quality standards.
Compliance with Specifications: Assesses whether the vendor’s products or services adhere to the required specifications.
Return/Reject Rates: Tracks the frequency of returned or rejected goods due to quality issues.

2. Delivery

On-Time Delivery: Evaluates the vendor’s ability to deliver goods or services within the agreed timeline.
Lead Time: Measures the time taken from placing an order to its delivery.
Flexibility: Assesses the vendor’s ability to accommodate changes in delivery schedules or quantities.

3. Cost

Pricing: Compares the vendor’s prices with market rates and other suppliers.
Cost Competitiveness: Evaluates the overall cost-effectiveness of the vendor’s offerings.
Cost Control: Measures the vendor’s ability to manage costs without compromising quality.

4. Service

Customer Support: Assesses the quality and responsiveness of the vendor’s customer service.
Problem Resolution: Evaluates how effectively and quickly the vendor addresses issues or complaints.
Technical Support: Measures the availability and quality of technical assistance provided by the vendor.

5. Compliance and Risk Management

Regulatory Compliance: Ensures that the vendor adheres to all relevant legal and regulatory requirements.
Sustainability Practices: Assesses the vendor’s commitment to sustainable practices, such as environmental responsibility.
Risk Management: Evaluates the vendor’s ability to identify, mitigate, and manage risks associated with their products or services.

6. Innovation

Product/Service Innovation: Measures the vendor’s ability to introduce new and improved products or services.
Process Improvement: Evaluates the vendor’s initiatives to enhance processes that benefit the partnership.

7. Relationship and Communication

Responsiveness: Assesses how quickly and effectively the vendor communicates and responds to inquiries or issues.
Collaboration: Measures the vendor’s willingness and ability to collaborate on projects or initiatives.
Cultural Fit: Evaluates the alignment of the vendor’s values and practices with those of the purchasing organization.

8. Financial Stability

Financial Health: Assesses the financial stability of the vendor, ensuring they are capable of sustaining operations and fulfilling long-term commitments.
Creditworthiness: Measures the vendor’s ability to meet financial obligations.

9. Technology

IT Capabilities: Assesses the vendor’s technological capabilities, such as data security, integration with your systems, and digital innovation.
Data Accuracy: Evaluates the reliability of data provided by the vendor, especially in automated processes.

10. Social Responsibility

Ethical Practices: Ensures that the vendor operates in an ethical manner, including fair labor practices and anti-corruption measures.
Community Engagement: Assesses the vendor’s involvement in community support and development initiatives.

These components together provide a comprehensive view of a vendor’s performance, helping organizations make informed decisions about continuing or adjusting their supplier relationships.

Why Use A Vendor Scorecard?

Using a Vendor Scorecard offers several benefits for organizations, helping them effectively manage their supplier relationships and ensure that vendors meet performance expectations. Here are some key reasons to use a Vendor Scorecard:

1. Objective Evaluation

Standardized Assessment: A Vendor Scorecard provides a structured and consistent framework for evaluating vendors, ensuring that all suppliers are assessed using the same criteria. This reduces bias and subjectivity in the evaluation process.
Data-Driven Decisions: By quantifying various aspects of vendor performance, organizations can make more informed and objective decisions about their supplier relationships.

2. Improved Supplier Performance

Continuous Monitoring: Regular use of a Vendor Scorecard allows organizations to track vendor performance over time. This ongoing evaluation helps identify areas where vendors excel or need improvement.
Performance Feedback: The scorecard serves as a feedback tool, enabling suppliers to understand how they are performing relative to the organization’s expectations and where they can improve.

3. Risk Management

Identifying Weaknesses: A Vendor Scorecard can help detect potential risks, such as a vendor’s inability to meet quality standards, delivery deadlines, or compliance requirements. Early identification of these risks allows organizations to take proactive measures to mitigate them.
Supplier Diversification: By evaluating multiple vendors, organizations can identify underperforming suppliers and consider alternatives, reducing dependency on a single vendor and spreading risk.

4. Enhanced Strategic Alignment

Goal Alignment: The scorecard ensures that vendors align with the strategic goals and values of the organization. By measuring performance against these criteria, companies can foster stronger, more strategic partnerships.
Encourages Collaboration: Vendors who are regularly evaluated through a scorecard process are more likely to engage in collaborative efforts to meet or exceed expectations, leading to stronger partnerships.

5. Cost Efficiency

Cost Control: Monitoring cost-related metrics on the scorecard helps organizations keep track of vendor pricing, cost competitiveness, and any variations in costs. This helps in managing budgets and ensuring that the organization gets the best value for money.
Negotiation Leverage: Detailed performance data gives organizations leverage in negotiations, potentially leading to better terms and pricing from suppliers.

6. Regulatory and Compliance Assurance

Ensuring Compliance: Vendor Scorecards often include metrics related to regulatory compliance, helping organizations ensure that their suppliers adhere to relevant laws and industry standards. This reduces the risk of legal issues and non-compliance penalties.

7. Streamlined Vendor Management

Simplifies Vendor Management: With a Vendor Scorecard, the process of managing and monitoring multiple vendors becomes more organized and efficient. It provides a clear, at-a-glance view of vendor performance, making it easier to oversee a large vendor base.
Decision Support: The scorecard simplifies complex decisions regarding vendor selection, retention, and replacement by providing a comprehensive performance overview.

8. Support for Continuous Improvement

Benchmarking: The scorecard enables organizations to benchmark vendor performance against industry standards or peer vendors, driving continuous improvement in both vendor and organizational processes.
Incentivizing Improvement: Vendors are more likely to strive for improvement when they know they are being regularly evaluated and compared against clear benchmarks.

Using a Vendor Scorecard is a strategic approach to enhancing vendor relationships, minimizing risks, and ensuring that suppliers contribute positively to an organization’s overall success.

Steps To Create A Vendor Scorecard

Creating a Vendor Scorecard involves a structured process to ensure it effectively evaluates and monitors vendor performance. Here are the steps to create a Vendor Scorecard:

1. Define Objectives and Key Metrics

Identify Objectives: Determine what you want to achieve with the scorecard, such as improving quality, reducing costs, ensuring timely delivery, or enhancing compliance.
Select Key Performance Indicators (KPIs): Choose the metrics that align with your objectives. Common KPIs include quality, delivery, cost, service, compliance, innovation, and risk management. Ensure these metrics are specific, measurable, and relevant to your organization’s goals.

2. Gather Data

Data Sources: Identify where the data for each KPI will come from. This could include internal data (e.g., purchase orders, invoices), vendor reports, customer feedback, and audits.
Historical Data: Collect historical performance data to establish benchmarks or to understand trends in vendor performance.

3. Assign Weightings

Prioritize Metrics: Not all KPIs are of equal importance. Assign weightings to each metric based on its importance to your organization. For example, quality might be given more weight than cost if quality is your top priority.
Develop a Scoring System: Create a scoring system that translates vendor performance on each KPI into a numerical score. This could be a simple scale (e.g., 1 to 5) or more complex depending on your needs.

4. Create the Scorecard Template

Design the Template: Develop a template that includes all the KPIs, weightings, and scoring criteria. Ensure it is user-friendly and clearly organized.
Automate Where Possible: If feasible, use software tools or Excel to automate the scorecard calculations, making it easier to update and maintain.

5. Evaluate Vendors

Collect Data Regularly: Gather data on each vendor according to the frequency you’ve determined (e.g., monthly, quarterly).
Score Vendors: Use the scorecard to evaluate each vendor based on the collected data. Apply the scoring system and weightings to calculate an overall performance score for each vendor.

6. Review and Analyze Results

Analyze Scores: Compare vendor scores to identify strengths and weaknesses. Look for trends, such as consistent underperformance in a specific area.
Benchmarking: Compare vendors against each other or against industry standards to understand their relative performance.

7. Communicate Results

Share with Stakeholders: Present the results to key stakeholders within your organization, such as procurement, operations, and finance teams.
Feedback to Vendors: Provide vendors with feedback on their performance, highlighting areas of strength and opportunities for improvement.

8. Take Action

Develop Improvement Plans: Work with underperforming vendors to create action plans for improvement. This might include setting performance targets, increasing collaboration, or providing additional support.
Reward High Performers: Recognize and reward vendors who consistently meet or exceed expectations. This could involve preferred vendor status, additional business, or public recognition.

9. Monitor and Update

Continuous Monitoring: Regularly update the scorecard with new data and review vendor performance over time.

Example Of A Vendor Scorecard

Here’s an example of a simple Vendor Scorecard that you can use to evaluate vendor performance across several key areas. This example uses a scoring system where each criterion is rated on a scale from 1 to 5, with 5 being the highest score.

Vendor Scorecard Example

Criteria	Weighting	Vendor A Score	Weighted Score	Vendor B Score	Weighted Score
Quality	30%	4	1.2	5	1.5
On-Time Delivery	25%	3	0.75	4	1.0
Cost	20%	5	1.0	3	0.6
Customer Support	15%	4	0.6	4	0.6
Compliance	10%	5	0.5	5	0.5
Total Score	100%		4.05		4.2

Explanation:

Quality (30%): This metric measures the vendor’s ability to deliver products or services that meet the required quality standards. Vendor A scored 4 out of 5, while Vendor B scored 5. The weighted score is calculated by multiplying the score by the weighting factor.
On-Time Delivery (25%): This assesses how reliably the vendor delivers on time. Vendor A scored 3, indicating some delays, while Vendor B scored 4, suggesting more consistent performance.
Cost (20%): This reflects the vendor’s pricing competitiveness. Vendor A scored 5, indicating they are cost-effective, while Vendor B scored 3, possibly due to higher prices.
Customer Support (15%): This criterion evaluates the quality of the vendor’s customer service. Both vendors scored 4, showing they provide good support.
Compliance (10%): This ensures that the vendor meets regulatory and contractual obligations. Both vendors scored 5, indicating full compliance.

Total Score:

Vendor A: The total weighted score for Vendor A is 4.05.
Vendor B: The total weighted score for Vendor B is 4.2.

In this example, Vendor B has a slightly higher overall score, indicating better overall performance according to the selected criteria.

Customization:

Additional Metrics: You can add more criteria, such as innovation, flexibility, or environmental impact, depending on your organization’s specific needs.
Adjust Weightings: Weightings can be adjusted to reflect the relative importance of each criterion to your organization.

This scorecard provides a clear, quantifiable way to compare vendors and make informed decisions about which suppliers to engage with or continue working with.

Conclusion

A vendor scorecard is a vital tool for any organisation looking to optimise its supply chain. By systematically evaluating and improving vendor performance, you can ensure that your business operates more efficiently and effectively. Implementing a vendor scorecard may require some effort initially, but the long-term benefits—such as better vendor relationships, reduced costs, and improved quality—make it a worthwhile investment.

By integrating this tool into your vendor management processes, you set the stage for a more resilient and responsive supply chain, which is essential for maintaining a competitive edge in today’s fast-paced business environment.

By Siddharth, 2 weeksAugust 27, 2024 ago

Background Checks

Online Police Verification (PCC) In West Bengal: Process & Documents Needed

In a time where digital transformation is revolutionising public services, the West Bengal Police Department has taken significant strides to modernise the process of obtaining a Police Clearance Certificate (PCC) and conducting tenant verifications. These processes, which traditionally required time-consuming paperwork and multiple visits to the police station, can now be completed online, bringing unprecedented convenience and efficiency to residents across the state.

What Is A Police Clearance Certificate (PCC)?

A Police Clearance Certificate (PCC) is an official document issued by the police that certifies that an individual has no criminal record or has not been involved in any criminal activity that has led to a criminal conviction. This certificate is often a mandatory requirement for various purposes, including visa applications, job opportunities abroad, immigration, or even certain domestic purposes like passport verification, tenant verification or marriage registration.

The Need For PCC In West Bengal

In West Bengal, the demand for PCCs has been steadily increasing, particularly due to the rising number of residents seeking employment overseas, applying for visas, or needing background checks for various legal and official purposes. Recognising this demand, the Criminal Investigation Department (CID) of West Bengal Police launched a dedicated portal, pcc.wb.gov.in, aimed at streamlining the application process for PCCs.

Streamlined Online West Bengal Police Clearance Certificate Application Process

The launch of the online portal has brought a significant change in how PCCs are processed in West Bengal. Here’s how the new system works:

1. Online Application Submission

Applicants can now apply for a PCC by visiting the official PCC portal. The digital process eliminates the need for physical paperwork and in-person visits to the police station. Here’s a breakdown of the steps involved:

OTP Verification: The process begins with the applicant entering their mobile number to receive a One-Time Password (OTP). This is followed by Aadhaar number submission, ensuring the genuineness of the application.
Form Filling: The portal automatically fills a large portion of the form based on the Aadhaar number. Applicants only need to input specific details like the purpose of the PCC, whether for visa, job verification, etc.
Document Upload & Payment: A passport-sized photograph and necessary documents are uploaded, and a fee of ₹300 is paid online through net banking, debit, or credit card.

2. Police Verification

Once the application is submitted, it is digitally forwarded to the local police station relevant to the applicant’s address. Here’s what happens next:

Physical Verification: A police officer is assigned to conduct a physical verification at the applicant’s given address. This step is crucial to ensure the authenticity of the information provided.
Record Check: The police department conducts a comprehensive background check on the applicant, verifying if there are any criminal records or outstanding issues.

3. Issuance of PCC

Upon successful verification, the police department issues a digitally signed PCC. This certificate is then emailed to the applicant, and an SMS notification confirms the completion of the process. The entire procedure, which previously took about 30 days, is now expected to be completed within 72 hours to a week.

The Role Of Digital Technology In Speeding Up The Process

The digital transformation of the PCC application process in West Bengal is a significant step towards improving public services. The integration of digital platforms like Aadhaar verification, online payments, and blockchain for secure record-keeping ensures that the process is not only fast but also highly secure. The CID’s commitment to reducing the processing time to just a few days highlights the efficiency of the new system.

Conclusion

The introduction of the online PCC application portal by the West Bengal Police is a game-changer in public service delivery. It not only speeds up the process but also ensures greater transparency and convenience for the citizens. Whether you are applying for a visa, seeking employment abroad, or simply need a background check, the online process for obtaining a Police Clearance Certificate in West Bengal is now more accessible and efficient than ever before.

FAQs

What is the West Bengal Police Clearance Certificate (PCC)?

A Police Clearance Certificate (PCC) in West Bengal is an official document certifying that an individual has no criminal record. It is often required for visa applications, employment abroad, and other legal purposes.

How can I apply for a PCC in West Bengal?

You can apply for a PCC online by visiting the pcc.wb.gov.in portal, filling in the necessary details, uploading documents, and paying the fee.

What is the fee for obtaining a PCC in West Bengal?

The fee for obtaining a PCC in West Bengal is ₹300, payable online.

How long does it take to get a PCC in West Bengal?

The processing time for a PCC in West Bengal has been reduced to 72 hours to a week, thanks to the new online system.

What documents are required for a PCC application in West Bengal?

You will need to provide a passport-sized photograph, a copy of your Aadhaar card, and any other supporting documents required for verification.

Is police verification mandatory for tenant verification in West Bengal?

Yes, police verification is strongly recommended for tenant verification in West Bengal to ensure the authenticity and background of the tenant.

By Abhinandan, 2 weeksAugust 26, 2024 ago

BFSI

RBI Adds Auto-Replenishment Of FASTag Under E-Mandate

The Reserve Bank of India (RBI) has recently made significant updates to its electronic mandate (e-mandate) framework, particularly focusing on enhancing the efficiency and convenience of toll payments through FASTTag. FASTTag, a system that leverages Radio Frequency Identification (RFID) technology, allows for seamless toll payments by automatically debiting the associated bank account without the need for cash transactions. This update introduces an automatic replenishment feature for FASTTag and the National Common Mobility Card (NCMC), eliminating the need for users to manually recharge their balances.

The core of this update lies in the automatic debit process, which now operates under the updated e-mandate framework. Previously, users received a pre-debit notification 24 hours before any deductions were made from their linked accounts. However, recognising the recurring yet irregular nature of FASTTag transactions, the RBI has exempted these payments from the pre-debit notification requirement. This change ensures that users can enjoy uninterrupted toll payments, as their FASTTag balance will be automatically replenished when it falls below a customer-set threshold.

Understanding FASTTag And Its Role In Toll Payments

What Is FASTTag?

FASTTag is a critical component of India’s toll payment system, introduced to alleviate congestion at toll plazas and streamline the toll collection process. Using Radio Frequency Identification (RFID) technology, FASTTag allows vehicles to pass through toll plazas without stopping, automatically deducting the toll fee from a prepaid account or directly from the vehicle owner’s linked bank account.

A FASTTag is essentially a small sticker affixed to the vehicle’s windshield, embedded with an RFID chip. This chip communicates with the RFID reader installed at toll plazas, ensuring that the toll is automatically deducted from the linked account as the vehicle passes through. This system not only saves time for commuters but also reduces fuel consumption and the environmental impact associated with idling vehicles at toll booths.

The Importance Of Bank Account Linkage With FASTTag

The efficiency of FASTTag largely depends on its connection to a user’s bank account. By linking their FASTTag to a bank account, users ensure that toll payments are seamlessly deducted without the need for manual intervention. This linkage eliminates the need for cash transactions and minimises the risk of running out of balance at critical times.

Previously, users needed to manually monitor their FASTTag balance and recharge it when necessary. This process was cumbersome, often leading to delays or insufficient balances at toll plazas. With the RBI’s new update, the replenishment of FASTTag balances has become automatic, making the toll payment process even more convenient.

RBI’s New Guidelines And Their Implications

One of the major shifts in the new guidelines is the removal of the requirement for pre-debit notifications. Previously, e-mandates required a 24-hour advance notification before any funds were debited from the customer’s account. This notification served as a safeguard, giving customers time to review and, if necessary, cancel the transaction.

However, with the introduction of auto-replenishment for FASTTag and NCMC, the RBI has recognised that these payments are recurring but irregular. As such, the pre-debit notification has been waived for these transactions. This change ensures that the FASTTag balance is replenished promptly without the need for user intervention, thereby avoiding any disruptions in toll payments.

Customer-Set Thresholds For Replenishment

Another critical aspect of the RBI’s update is the ability for customers to set their threshold for automatic replenishment. This feature allows users to have control over when their FASTTag balance is topped up, based on their personal preferences and usage patterns. By setting a lower threshold, frequent travellers can ensure that their balance is replenished more often, preventing any potential shortfalls during high travel periods.

This customer-centric approach aligns with the broader goal of enhancing user experience and convenience. By giving users the autonomy to determine their replenishment thresholds, the RBI has made it easier for them to manage their toll payments effectively.

Benefits Of The New FASTTag System

The introduction of automatic replenishment offers several benefits to FASTTag users, making toll payments more efficient and hassle-free.

Uninterrupted Toll Payments: The primary benefit of automatic replenishment is the elimination of manual recharges. Users no longer need to worry about monitoring their FASTTag balance or manually topping it up, as the system takes care of this automatically when the balance falls below the set threshold.
Reduced Congestion at Toll Plazas: By ensuring that all vehicles equipped with FASTTag have sufficient balance, the new system helps reduce congestion at toll plazas. There are fewer instances of vehicles being unable to pass through due to insufficient balance, leading to smoother traffic flow.
Enhanced User Convenience: The ability to set custom thresholds and the removal of pre-debit notifications means that users can enjoy a more personalized and convenient experience. The system adapts to their usage patterns, ensuring that they are always prepared for toll payments.

By Abhinandan, 2 weeksAugust 23, 2024 ago

Employee Screening

Risk & Compliance

Financial Intelligence

Identity Verification

Utilities

Entity/Business Level

Employment

Banking & Payments

Fraud Detection

Professional

Background Verification

Due-Diligence

Title Menu Three

What's New

iBRIDGE 2.0 – The Next-Gen Background Verification Platform

Resource Library

Featured Resource

AuthBridge

AuthBridge

Key Features Of AuthBridge’s KYC Solutions:

Benefits Of Choosing AuthBridge for KYC:

Use Cases Of AuthBridge KYC Solutions:

AU10TIX

Comply Cube

Jumio

KYC Hub

North Row

Ondato

Onfido

Shufti Pro

Sumsub

Veriff

Introduction

Why Should You Link Your Aadhaar With PAN Card?

Benefits Of Linking PAN With Aadhaar

Streamlined Financial Transactions

Enhanced Compliance and Transparency

Step-by-Step Process To Link PAN With Aadhaar

Method 1: Linking via the Income Tax e-Filing Portal

Method 3: Linking via the Aadhaar Seva Kendra

Method 4: Linking via the NSDL Portal

Common Issues And Solutions In Linking PAN With Aadhaar

Troubleshooting Common Errors

What to Do If PAN-Aadhaar Linking Fails?

How To Check PAN-Aadhaar Link Status?

Online Method via Income Tax e-Filing Portal

Online Method via SMS

Online Method via NSDL Portal

Through Income Tax Department Mobile App

How to Link Your PAN to Your Aadhaar After the Deadline

1. Pay the Late Fee

2. Link PAN with Aadhaar

Method 1: Through the Income Tax e-Filing Portal

Method 2: Using SMS

Method 3: Through Aadhaar Seva Kendra or PAN Service Center

FAQs around PAN-Aadhaar Linkage

Key Features Of The New GST Invoice Management System

Invoice Acceptance, Rejection And Pending Status

Impact On Input Tax Credit (ITC)

Invoice Amendments And Their Implications

Workflow And Implementation Of The GST Invoice Management System (IMS)

Invoice Flow In IMS

Handling Amendments And Updates

Sequential Generation Of GSTR-2B

Special Considerations For QRMP Taxpayers

Also Read

Extension Of The Free Aadhaar Update Deadline

The Importance Of Updating Aadhaar

How To Update Aadhaar Details?

Online Update Via myAadhaar Portal

Offline Update At Aadhaar Centres

Different Types Of Aadhaar Updates

Government’s Decision On Aadhaar-based Authentication For UPSC

The Puja Khedkar Case

What Is Aadhaar KYC?

Also Read:

AuthBridge’s Instant Aadhaar Verification API For Enterprises

KYC Compliance For Enterprises

Advanced Fraud Detection For Businesses

Details Of The Mumbai KYC Fraud