Overview

Automatically verify users and businesses going through your Feathery form via Alloy.

What you need

• An active Feathery account and form
• An active Alloy account

Background

Alloy is a comprehensive identity risk solution tailored for the financial services sector. It assists banks and fintechs in automating and managing decisions related to onboarding, ongoing fraud and AML monitoring, and credit underwriting. This platform is designed to tackle the identity risk problem, enabling these institutions to mitigate fraud risks, comply with regulatory requirements, and make informed decisions about customer identities throughout the entire customer lifecycle​.

Alloy's identity solution is part of a suite of services that include:

• Digital Identity Verification: Alloy offers instant digital identity verification to facilitate a seamless online account opening experience. This process helps in reducing manual reviews and preventing fraud, while ensuring compliance with KYC, KYB, and AML requirements across various jurisdictions​.
• Fraud Prevention: The platform allows financial institutions to respond to fraud attempts and attacks swiftly, helping to future-proof their risk tech stack without the need for significant engineering resources​.
• Regulatory Compliance: With the increasing complexity of the global regulatory environment, Alloy provides the expertise and tools necessary for financial institutions to understand their regulatory obligations and maintain compliance.
• Credit Underwriting: Alloy transforms credit policies into user-friendly workflows that integrate with credit bureau and alternative data sources, enabling smarter credit decisions.

By leveraging Alloy, financial service providers can offer their customers a fast and simple account opening experience, improve conversions, and ensure a high level of security and compliance.

Benefits

Using Alloy offers several significant benefits for banks, fintechs, and other financial service providers:

1. Fraud Prevention: Alloy enables financial institutions to move swiftly in response to fraud attempts, providing the tools to adapt instantly without the need for extensive engineering resources. This proactive approach to fraud prevention helps keep businesses one step ahead of fraudsters.
2. Regulatory Compliance: With the regulatory landscape becoming increasingly complex, Alloy offers a comprehensive solution that ensures financial institutions can not only achieve compliance but maintain it over time. This is crucial for avoiding penalties and maintaining a trustworthy reputation​.
3. Improved Onboarding: Alloy facilitates a fast and seamless online account opening experience for customers. It streamlines digital identity verification and document verification processes, reducing manual reviews and fraud risks while complying with KYC, KYB, and AML regulations across different regions.
4. Ongoing Monitoring: Alloy doesn't just stop at onboarding; it provides ongoing monitoring to combine initial information with continuous transaction and account activity. This creates an evolving risk profile for each customer, aiding in fraud prevention and compliance throughout the customer lifecycle​.
5. Enhanced Credit Decisioning: By transforming credit policies into practical workflows and integrating with various data sources, Alloy allows for more informed and accurate credit decisions. This leads to a clearer understanding of customer profiles and helps in extending credit more effectively​.
6. Embedded Finance Risk Management: Alloy aids in managing risks associated with embedded finance, facilitating collaboration between sponsor banks, fintechs, and BaaS providers. This is increasingly important as embedded finance continues to grow and evolve​.
7. Access to Extensive Data Network: Alloy offers access to a broad network of over 200 third-party data sources, covering 195 markets globally. This extensive data access is invaluable for making well-informed identity, fraud, and credit risk decisions​.

Considerations

Before using Alloy, there are several considerations to keep in mind to ensure it aligns with your business needs and objectives:

1. Integration and Implementation: Assess how Alloy will integrate with your existing systems and workflows. Consider the technical resources required for implementation and whether your team has the necessary skills or if additional training will be needed.
2. Compliance Requirements: Understand your specific regulatory compliance needs and how Alloy's solutions align with them. Given the complexity of global financial regulations, it's crucial to ensure that Alloy can help you meet all relevant compliance standards, including KYC, AML, and others specific to your region or industry.
3. Fraud Prevention Needs: Evaluate your current fraud prevention challenges and how Alloy's fraud management solutions can address them. Consider the types of fraud you are most vulnerable to and how Alloy's tools and data sources can help mitigate these risks.
4. Credit Decisioning Processes: If your business involves credit underwriting, consider how Alloy's credit decisioning tools can improve your processes. Look at how Alloy integrates with credit bureaus and alternative data sources to enhance your credit risk assessments.
5. Onboarding and Customer Experience: Think about your customer onboarding process and how Alloy can improve it. A seamless and efficient onboarding experience can enhance customer satisfaction and conversion rates, so it's important to understand how Alloy's digital identity verification and document verification services can contribute to this​.
6. Ongoing Monitoring and Risk Management: Consider your needs for ongoing customer monitoring. Alloy's solutions for continuous risk assessment can help you maintain a secure and compliant environment throughout the customer lifecycle. Evaluate how this ongoing monitoring aligns with your risk management strategy​.
7. Costs and ROI: Review Alloy's pricing structure and consider the return on investment. While Alloy offers significant benefits, it's important to ensure that the costs align with your budget and that you expect a positive ROI in terms of improved efficiency, reduced fraud losses, and compliance management​.
8. Data Partners and Coverage: Alloy boasts an extensive network of data partners. Consider whether these partnerships cover the geographies and markets relevant to your business, and how the data available through Alloy can support your specific needs​.

By carefully considering these factors, you can make an informed decision about implementing Alloy in your operations.