The banking and insurance industry is one of the biggest adopters of intelligent document processing technology in the global market. Most financial service organizations have been leveraging traditional methods with legacy OCR and classic IDP solutions as part of digitization. Many now realize they need something bigger, better, and something that can cover the “last mile” of document automation. The major reason for the replacement of old worn-out tools with new next-gen solutions is to save time and also to deliver a better customer experience.
Why are Financial Institutions Using Next-Gen IDP Solutions?
Operating More Efficiently
Organizing and processing documents can be a time-consuming and tedious task, particularly for financial service providers who often deal with large volumes of documents on a daily basis. Intelligent document processing (IDP) can help to make this task more efficient by automating the document management process.
Improving Customer Service
In addition to making the document management process more efficient, IDP can also help to improve customer service. By automating the process of document management, IDP can help to free up staff time so that they can focus on providing better customer service. Additionally, IDP can help to reduce errors in document processing, which can lead to improved customer satisfaction.
Cutting Costs, Without Reducing Quality
Another benefit of IDP is that it can help to save money for financial service providers. Automating the document management process can help to reduce labor costs, as well as the cost of paper and other office supplies. Additionally, IDP can help to improve operational efficiency, which can lead to further cost savings.
Financial service providers must also deal with the issue of security when it comes to managing documents. IDP can help to enhance security by encrypting documents and storing them in a secure database. This helps to protect sensitive information from being accessed by unauthorized individuals.
Compliance with Regulations
Finally, IDP can also help financial service providers to comply with regulations. Automating the document management process can help to ensure that all documents are properly stored and classified, which is essential for compliance with regulatory requirements.
IDP Applications in Banking Activities
Processing of online forms – Clients must complete a form for each operation that takes place in the bank, including account opening, account closing, cash withdrawals, etc. Filling out a paper-based form takes a lot of time and has a significant likelihood of error. By utilizing the IDP capabilities, this procedure may be made digital and made accessible to clients via web portals. By turning all the data into text, table, and graph formats that computers can recognize and process for subsequent business processes, will streamline the process.
Loan Application Process – There are a number of laborious and time-consuming steps in the loan application process. IDP can help helps customers save time giving hours back to the workforce.
Mortgage Document Processing – When a person or a business contacts a bank, many sorts of paperwork are needed for the bank to process mortgages. These include pay stubs, identification documents, and bank statements. These papers can be joined to create a database that can be used to extract and validate data that will aid in the tracking of mortgages for organizations.
IDP can be used to automate the processing of financial documents such as invoices, contracts, tax returns, and more. IDP can help financial service providers improve their efficiency and accuracy by reducing the need for manual data entry and improving the accuracy of the machine-scanned text. In addition, IDP can help financial service providers detect fraud and prevent money laundering by identifying suspicious activity in documents.