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Top 5 Checks to Consider for Conducting Background Verification

A resident of Ahmedabad was shocked when he suddenly received a phone call asking if he was the guarantor of a loan. When he verified the same at his bank, he found that someone had used his PAN number along with two years’ IT returns and changed the relevant information to obtain a loan. Such identity frauds are increasingly behind major financial and other scams. Background checks serve the purpose of building trust and mitigating these risks. Background checks play an important role in organisations while hiring, sanctioning out a loan, for provision of services, before renting out a house and so on. Roping in a tech-enabled professional Background Verification agency, ensures the validation of identity, profile and reputation.

Five important background checks

Five of the most commonly used background checks include:

Identity Verification:

According to Experian India, identity theft accounts for a major chunk of frauds in India. About 85% of identity frauds are related to auto loans, credit cards and mortgages, as per the Experian report. Mortgage loans portfolio has witnessed 50% rise in identity fraud. Business alliances, joint ventures and partnerships thrive on mutual trust and reliability which can only be ensured by comprehensive background checks. Identity verification is part of the comprehensive background checks conducted using tech-enabled platforms at AuthBridge. The following background checks are integrated with Identity Verification:

  • Passport verification
  • Driving License check
  • Voter ID check and more

Education Check:

Misrepresenting facts related to educational qualification is one of the most common frauds committed in India. Fake documents are created to access multiple loan products, employment, for enrolment in educational institutions and so on. One of the best ways to counter fake documentation is to conduct a thorough background check that includes education checks. At AuthBridge, multiple databases are accessed to conduct the following aspects of education:

  • Roll or Registration number of the candidate
  • The course passed or pursued by the candidate
  • The year of course completion
  • The genuineness of pass certification
  • The affiliation and accreditation check of the institute/course

Address Check:

There was a discrepancy in more than 6% of the candidates’ provided addresses in 2017 according to AuthBridge survey. Physical address verification is a critical component of background checks as it is the first place that employers, business entities, credit card companies or banks look into in case of anomalies. Using mobile-enabled location tagging cutting-edge technology, AuthBridge can effectively track the following details regarding the physical address:

  • Whether the given address is correct
  • Whether the address mentioned in the resume or document tallies with the actual physical address
  • How long the candidate or individual has been staying at the given address
  • Whether the individual owns or has rented the residence
  • Relationship of the candidate with the person verifying the address details

Criminal Records Check & Police Verification:

Multiple records on the public domain, including those maintained by various courts, police records and CBI, SEBI, RBI lists are accessed by AuthBridge to derive actionable, accurate data regarding the criminal history or litigations. Both civil and criminal litigation records are verified as part of the complete background check. Checking criminal records history is critical to hiring individuals who are required to handle sensitive and confidential information and transactions in financial institutions.

Reference Check:

As per an AuthBridge study, more than 3% of reference checks had more than one discrepancy in 2017. Many HR professionals and business entities do not have the time to conduct a thorough reference check, which is essential to hiring the right candidate. AuthBridge conducts telephonic verification of references provided to check the performance, skills and abilities of the candidate. Also Read: Background Verification: Why Companies Need Greater Vigilance?