The Monetary Authority of Singapore (MAS) has issued new guidelines to financial institutions (FIs) to facilitate safe non-face-to-face customer on-boarding by utilising new technology.
Under the new guidelines, the FIs need to implement stronger controls while adding new customers to prevent impersonation or money laundering initiatives.
MAS has already authorised the FIs to carry out non-face-to-face (NFTF) verification of customer identity with adequate measures to prevent impersonation.
The new guidelines states that the FIs can introduce biometric identification, real-time video conferencing and secure digital signature using Public Key Infrastructure (PKI)-based credentials to carry out the NFTF verification procedure.
To carry out NFTF customer identification and verification, MAS will also allow the use of MyInfo, a digital service that allows the service providers to access personal data following authorisation from the respective individual.
All data verified through MyInfo must be approved by Singapore Government.
The usage of MyInfo is expected to streamline customer due-diligence checks saving time and costs.
MAS assistant managing director for banking & insurance Ho Hern Shin said: “MAS encourages FIs to use technology that helps to increase efficiency and improve the customer on-boarding experience while safeguarding against money laundering and terrorism financing risks.
“FinTech firms can also capitalise on the MyInfo platform, with customer consent, to develop innovative financial solutions for FIs to enhance customer experience.”