Regulatory compliance
Remote identity verification requires steps such as document verification, chip reading, liveness and face matching to be applied completely and auditably.
Finance and banking
Remote customer onboarding (eKYC) for banks and payment institutions
Identify customers without a branch visit: add the document reading, NFC chip verification and face matching steps of BDDK remote identity verification flows to your mobile app with a single SDK.
For financial institutions, customer acquisition no longer starts in the branch. Identifying a prospect from a digital channel within minutes, verifying their identity and establishing the contractual relationship has become decisive for both growth and cost. That speed, however, must be achieved without compromising know your customer (KYC) obligations or remote identity verification regulation.
Magno Bilişim approaches remote onboarding for banks, payment and e-money institutions and insurers in three layers: Magno Live, which identifies the customer remotely; Magno ID, which verifies the chip ID card; and Magno Sign, which captures the contract signature biometrically.
Challenges
Challenges financial institutions face in remote onboarding
Forged and altered IDs
Checks that rely only on a photo of the ID card fall short of catching forged or tampered documents.
Drop-off during application
Long application flows with manual data entry cause prospects to abandon the process.
Branch and operations cost
Paper forms, photocopies, wet-ink signatures and archiving are a recurring source of cost and error for every new customer.
Regulation
BDDK remote identity verification, KYC and personal data requirements
In Türkiye, remote customer onboarding by banks is governed by the Regulation on Remote Identification Methods to be Used by Banks and Establishing Contractual Relationships in Electronic Environment, published in 2021 by the Banking Regulation and Supervision Agency (BDDK). The regulation requires steps such as verifying the identity document, reading chip ID card data via NFC, and confirming that the person is live and matches the photo on the document.
Financial institutions must also comply with the know your customer principle under Law No. 5549 on Prevention of Laundering Proceeds of Crime and the regulations of MASAK, Türkiye's financial intelligence unit. Biometric data such as facial images are classified as special category personal data under the Turkish Personal Data Protection Law No. 6698 (KVKK), and processing and storing them requires additional safeguards.
Magno Live provides modules for the technical steps of remote identity verification. How the regulation applies to your institution and the resulting process design are worked out together with your compliance team.
Solution architecture
A three-layer architecture for remote onboarding
Magno Live
Remote identity verification
Adds OCR reading of the ID document and MRZ, NFC chip reading and face verification modules to your mobile or web app with a single SDK.
Technical details →Magno ID
Chip ID verification
Reads the electronically signed data on chip-based Turkish ID cards to verify card authenticity; also used in branch and courier processes.
Technical details →Magno Sign
Paperless contracts
Captures the customer's contract signature biometrically and works with the institution's e-signature infrastructure.
Technical details →End-to-end flow
- Application: The prospect starts the application in the mobile app or on the web.
- Document reading: The ID card is photographed; ID fields and the MRZ are read automatically with OCR.
- Chip verification: The card chip is read via NFC and the electronic signature of the chip data is checked.
- Face verification: The live camera image is matched against the photo read from the chip.
- Contract: The contract is signed with Magno Sign or the institution's e-signature infrastructure; results are passed to core banking and CRM systems.
Use cases
- Becoming a retail customer and opening a digital account without a branch visit
- Wallet and account opening at payment and e-money institutions
- Identity verification for credit card and loan applications
- Remote policy applications at insurance companies
- On-the-spot identity verification during courier delivery of cards and contracts
- Chip ID reading instead of ID photocopies in branches
References
Related projects
FAQ
Frequently asked questions
Which steps must banks in Türkiye implement for remote customer onboarding?
BDDK's remote identity verification regulation requires steps such as verifying the identity document, reading chip ID card data via NFC, and confirming that the person is live and matches the photo on the document. Magno Live provides modules for the OCR, NFC and face verification steps of this flow in a single SDK.
Can payment and e-money institutions use Magno Live?
Yes. Magno Live can be integrated into the mobile and web apps of payment and e-money institutions that need to verify customer identity remotely during wallet and account opening. Institution-specific regulatory requirements are addressed together during process design.
Why is NFC identity verification more secure than checking a photo of the ID?
The data on chip-based Turkish ID cards is electronically signed. Checking the signature of data read via NFC confirms that the document is neither forged nor altered; checks based on a photo of the card cannot provide that assurance.
How does remote onboarding connect to existing core banking systems?
Magno Live and Magno ID are added to the institution's mobile and web apps as SDKs. Verification results are passed to the institution's core banking, CRM and risk systems, and Magno Bilişim builds these integrations to fit the institution's architecture.
How is biometric data treated under Turkish data protection law?
Biometric data such as facial images are special category personal data under Turkish Personal Data Protection Law No. 6698 (KVKK), and processing them requires additional safeguards. Remote identity verification processes should therefore be designed with where data is processed and stored in mind.
Let's design your process together
Tell us about your regulatory requirements and existing systems, and we'll work out the right integration architecture with you.