The future of digital banking demands seamless security. As digital banking continues to grow rapidly, financial institutions must ensure secure yet convenient onboarding and transaction processes.
This is what drives Honest, Indonesia’s pioneer of numberless credit cards, to balance security with a smooth customer experience. However, this effort comes with challenges, as cybercrime tactics become increasingly sophisticated.
Cybercriminals exploit deepfake technology and synthetic identities to bypass weak identity verification systems. Meanwhile, regulators like OJK (Financial Services Authority of Indonesia) enforce strict compliance in eKYC and authentication processes.
So how does Honest build a secure and seamless system for its credit card services? Here’s how.
Balancing Security and User Experience
One of Honest’s biggest challenges is developing a secure digital credit service. With thousands of users applying for credit daily, delays in identity verification led to high drop-off rates and growing customer dissatisfaction.
On the other hand, identity fraud, deepfake attacks, and synthetic identity usage posed a major threat to the validity of their credit approvals. Additionally, compliance with OJK regulations requires financial institutions to have robust fraud detection and authentication mechanisms to ensure that only legitimate customers access the service.
This is why Honest partnered with VIDA—to provide a fast, secure, and frictionless onboarding process while preventing all forms of fraud.
VIDA’s Liveness Detection & Authentication Solutions
To tackle these challenges, Honest integrated VIDA’s Liveness Detection and Authentication solutions into their onboarding and transaction verification processes. These solutions ensure that every user registering or making a transaction is a real person—not a manipulated identity or fraudulent attempt.
1. Liveness Detection: Ensuring Identity Authenticity During Onboarding
Liveness Detection verifies that users are physically present during onboarding, preventing deepfake fraud, spoofing, and presentation attacks in real time without disrupting the user experience. VIDA employs two types of Liveness Detection, optimized for different scenarios:
- Active Liveness Detection requires users to perform certain actions, such as blinking or moving their face, to prove they are real individuals and not a static image or pre-recorded video.
- Passive Liveness Detection works in the background, requiring no user interaction. Using AI-based analysis, this technology automatically detects whether a person is real with just a single image or video.
2. Authentication: Protecting Every Transaction in Real Time
Meanwhile, Authentication secures every transaction by verifying the identity of cardholders before approval. Through biometric verification, Honest ensures that only legitimate account holders can complete transactions. This technology not only enhances security but also creates a smoother transaction experience for users.
Significant Improvements in Efficiency & Security
Since implementing VIDA’s identity verification solutions, Honest has seen remarkable improvements in efficiency and security:
- ~300K customers onboarded per month with a fast and seamless process.
- 98.61% increase in conversion rates due to more accurate and less disruptive verification.
- 0% False Acceptance Rate (FAR), ensuring that only legitimate users are approved.
With fraud tactics becoming more advanced and regulatory requirements tightening, banks and fintech companies must adopt AI-powered identity verification solutions to remain secure and competitive.
Honest has proven that security and user experience don’t have to be at odds. By integrating VIDA’s advanced identity solutions, Honest has set a new standard for fraud prevention, regulatory compliance, and customer experience in the digital credit sector.
Want to learn how VIDA can help your business enhance security and streamline onboarding? Get in touch with us today!
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