Top 5 reasons to get a Legal Entity Identifier

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The LEI has become established as the standardised code to identify who is who, and who owns whom in the world.

The Legal Entity Identifier (LEI) is a unique global identifier of legal entities that participate in financial transactions – whether entities are individuals, companies or government bodies. Used in reporting to financial regulators, LEIs are a requirement for all financial companies.

With almost 1.6 million organisations now with LEIs, the global identifier has become established as the standardised code to identify who is who, and who owns whom.

Below are some of the key reasons your organisation should register an LEI – sooner, rather than later:

Reason 1: International recognition

As your global identifier, the LEI code allows you to be recognised as a legal entity internationally. It is a standardised organisation identifier that is endorsed by the G20 and Financial Stability Board, and regulated by the Global LEI Foundation (GLEIF).

A live reference to your organisation’s identity record (see Ubisecure’s LEI record), the LEI is just as important as other organisation identity attributes, such as your local business registry company number, VAT number, domains, etc.

The LEI is an essential identifier for enabling cross border transactions, and also greatly enhances your organisation’s credibility, both locally and globally.

Already widely supported, with a 1.5 million-strong install base, LEI issuance is growing rapidly.

Reason 2: Compliance

There are many regulations that mandate the use of LEIs (see latest Regulations), with non-compliance inhibiting transactions and leaving organisation’s open to the risk of getting fines.

With new regulations demanding the use of LEIs going live every month, it is to your advantage to be prepared and obtain a LEI in advance.

Reason 3: KYC processes

The LEI code is widely used for Know Your Customer (KYC) processes. Make sure your organisation is recognised as a credible LEI holder.

Extensive vendor networks (see GLEIF vendor stakeholder network) already rely on LEI for KYC, B2B onboarding and to refresh client identity data.

The use of LEIs is well researched as a tool for cost saving in KYC/onboarding in the banking sector (See the GLEIF ebook).

LEI is the primary connector between all regional and private sector identifiers. By connecting multiple sources and formats of identity, it is possible to conclude a more trustworthy identity assertion.

The LEI is formed using a standardised, consistent identity data reference schema that includes Entity Legal Forms (ELF) codes (Ltd, GmbH, etc). The unambiguous ELF data provides an improved user experience by categorising legal entities, providing clear insight into the global marketplace.

Reason 4: Total trust

LEI records contain a powerful set of identity data attributes, helping improve trust in who you are, both in the physical world and in the online world.

Both humans and machines can verify the LEI. The GLEIF database of issued LEIs is open and searchable via its web interface, full dataset download, or API.

The LEI must be renewed annually to remain active, and renewal requires revalidation of corporate details.

The LEI can be readily updated at no cost to the holding organisation and can always represent accurate organisation identity. It is not necessary for a new code to be issued should corporate details change.

The LEI is the only identifier to connect parent and children organisations publicly. Known as Level 2 data, LEIs provide transparency into the “who owns whom” aspect of organisation identity.

LEIs can list multiple “Doing Business As” names and previously incorporated names, giving a historical audit trail to counterparties.

LEIs support multiple languages for names and addresses. Local language support provides a better localised understanding of, and reliance upon, identity data.

The data quality of the LEI system is open and transparent. LEI reference data can be challenged. A defined, publicly accessible process exists within the ecosystem to openly challenge identity data if a counterparty believes it to be inaccurate.

Reason 5: Security & brand protection

Because your LEI code will be used by numerous other applications, you can enhance security and brand protection by obtaining one.

It is becoming commonplace to report your LEI on websites; contained in web pages, press releases, site seals, QR codes, bar codes, and more.

LEIs are already supported by XBRL (the open international standard for digital business reporting). Both human-readable and machine-readable LEIs can be embedded in critical XBRL documents, such as annual reports and financial statements, as the standardised organisation identifier.

LEIs will soon be included in the new ISO payment standards as the organisation identifier in SWIFT transactions.

The implementation of LEIs into digital certificates will soon be standardised through the draft ISO 17442-2 and ETSI TS 119 412-1; delivering digital signing and workflow solutions that embed the LEI into the digital signatures.

If you haven’t already, head over to RapidLEI to get an LEI today. With our automated issuance, you can have a registered LEI code in just a few minutes.

[REFERENCES]  

  1. Wikipedia – Legal Entity Identifier
  2. Ubisecure – 5 Reasons to get an LEI Number
  3. Ubisecure – “Now is the appropriate time for the payment industry to begin its adoption of the LEI,” says SWIFT

pbVerify’s 3D liveness service enables contactless biometric customer verification

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When the world welcomed 2020 with the usual high expectations and hope for the New Year, no one could have known that, not even three months later, the way business was done and the way humans interacted would change fundamentally, virtually overnight. We’ve stepped in to help businesses manage the shift.

The current global challenge has amplified the use of trusted digital technologies, with companies worldwide striving to continue business operations as seamlessly as possible amid what has been described as one of the biggest economic disruptions in history.

To help the business wheel keep turning smoothly during this rocky time, pbVerify has stepped up to the plate with one such technology, 3D biometric facial authentication and liveness checks, which is proving invaluable in the new physical distancing dynamic the human race suddenly finds itself in.

Liveness 3D™ is a remote digital verification technology that allows for application and onboarding processes to resume without interruption, and with total surety. Widely adopted because of the contactless processes it enables, this technology – by FaceTec – adds an additional layer of verification, helping businesses verify customer identity without any physical interaction.

More than a selfie

The patented process is much more than just a selfie as it is known – it is a face scan that provides a 3D FaceMap, as well as a certified liveness check, to ensure the user is physically present. This completely prevents any form of phishing or fooling of the system, even with the most sophisticated of spoof technologies and methods out there today.

While facial recognition technology is nothing new, the giant advances we have made in this area have eliminated past weak spots, rendering it virtually unbreakable.

pbVerify uses two types of data for every face authentication: face data (for matching) and liveness data (to prove the face data was collected from a live person).  Liveness data is timestamped, and only remains valid for a few minutes, after which it is deleted.  New liveness data is collected for every authentication attempt.

Circle of trust

Fast, easy and incredibly secure for everyone, regardless of device, our liveness checks can be done in minutes. The customer receives an email with a link to FaceTec’s facial authentication UI, ZoOm, after which they simply centre their face in the oval provided, and move their camera closer.

The “video selfie” produced verifies liveness and matches the 3D FaceMap, verifying data against the Department of Home Affairs database.  The same intuitive ZoOm UI provides liveness checks, onboarding and ongoing user authentication.

This is what sets pbVerify’s solution apart from others, the fact that our solution is more than just a face comparison or recognition tool – it is a powerful anti-fraud and compliance solution that encompasses a full circle of trust, proof that the person is alive (3D “selfie video”) and that they are genuinely who they say they are (Home Affairs data cross check). Essentially, the person’s face is as uniquely identifiable as a fingerprint.

With it being anyone’s guess as to when the pandemic will end, and the fear of contact lingering on the human psyche for some time after it eventually does, liveness checks and facial authentication are here to stay.

If your business verifies customer identities at any stage of its processes, get in touch with us to find out about the most effective and secure means of doing so, while keeping customers happy.

Call us on +27 (0)10 300 4898 or email support@pbverify.co.za.

For more info on pbVerify Liveness 3D™ click HERE.

To watch a video on pbVerify’s KYCFactory solution, which includes our liveness & facial verification service, click HERE.

pbVerify is a registered Credit Bureau in terms of section 43 of the National Credit Act 34 of 2005. Its data-systems, data-security and data-processing protocols are audited annually in accordance with the NCA. pbVerify follows strict ISO9001:2015 quality management processes that are audited and internationally certified by TUV Rheinland Germany. pbVerify engineers are certified in ISO27001 IT Security Management.