In today’s digital age, applying for loans has become faster, easier, and more convenient than ever before. With just a smartphone and an internet connection, borrowers can complete an entire loan application without stepping outside their home. However, this convenience also comes with challenges—mainly, verifying the identity of applicants to ensure secure, fraud-free transactions.
That’s where call and video verification steps in as a game-changing solution. This two-pronged method is now widely used by financial institutions to build mutual trust between lenders and borrowers. Let’s break down how the process works, why it’s crucial, and how both parties benefit from this verification system.
What is Call and Video Verification?
Call and video verification is a two-step process used during online loan applications:
- Call Verification – A lender representative calls the borrower to confirm submitted information, ensure clarity of terms, and verify intent.
- Video Verification – A live or recorded video session where the borrower shows their face, valid ID, and sometimes performs specific gestures (like blinking or smiling) to prove liveness and authenticity.
This method allows lenders to verify identities while also giving borrowers a real human point of contact.
Why Verification is Crucial in Digital Lending
For Lenders:
- Prevents Identity Theft: Confirming the borrower’s identity through face-to-face interaction reduces impersonation and fraudulent loan applications.
- Ensures Documentation Accuracy: Through video, lenders can visually inspect KTP, SIM, or passport and cross-verify with uploaded digital copies.
- Regulatory Compliance: Many countries now require KYC (Know Your Customer) processes in digital lending—video verification satisfies this need effectively.
For Borrowers:
- Builds Trust: Speaking to a real agent and verifying face-to-face adds confidence that the platform is legitimate.
- Clarifies Loan Terms: The call allows borrowers to ask questions about interest rates, repayment timelines, and penalties before signing.
- Avoids Miscommunication: Sometimes, online forms are confusing. A quick call can clear doubts and prevent costly mistakes.
How to Apply for an Online Loan with Call and Video Verification
Here’s a simple step-by-step guide for borrowers:
1. Choose a Trusted Loan App or Website
Make sure the platform is:
- Registered with the Financial Services Authority (OJK, if in Indonesia).
- Offers clear terms and conditions.
- Has good reviews and customer support.
2. Fill Out the Loan Application Form
Provide:
- Full name
- Address
- Valid ID (e.g., KTP)
- Employment status
- Monthly income
- Desired loan amount and purpose
Make sure the information is accurate—it will be cross-checked later.
3. Upload Documents
Most platforms will require:
- Photo of your ID
- Recent selfie
- Payslip or proof of income
- Bank account statement
4. Wait for Initial Review
Once submitted, the system or loan officer will check:
- Creditworthiness
- Document completeness
- Match between your selfie and ID
5. Undergo Call Verification
A customer service representative will call you to:
- Confirm your identity
- Ask questions about your employment and loan purpose
- Explain the terms of the loan
- Make sure you understand and agree
Tip: Be in a quiet location and answer truthfully.
6. Complete Video Verification
Depending on the lender, you may:
- Join a scheduled live video call
- Record a short video selfie while holding your ID
- Perform a liveness test (e.g., turn your head, blink, smile)
Make sure:
- Your camera is clear
- Your face is well-lit
- You hold the ID close and clearly visible
7. Final Approval and Disbursement
Once verified, you’ll receive a notification:
- Approved loans will be disbursed to your bank account or e-wallet.
- If rejected, the platform will usually tell you why (credit score, missing info, etc.)
Best Practices for Both Sides
For Borrowers:
- Be Prepared: Keep your documents and ID ready.
- Dress Presentably: It shows seriousness and respect during video verification.
- Ask Questions: Don’t hesitate to clarify repayment terms or fees.
For Lenders:
- Train Verification Agents Well: Politeness and professionalism are key.
- Use Secure Platforms: Protect sensitive customer data during calls and video streams.
- Automate Where Possible: AI-powered liveness checks can speed up the process while staying compliant.
Security and Privacy Concerns
Both borrowers and lenders should treat verification seriously. Here’s how each side can stay secure:
- Borrowers should avoid sharing information outside the platform and ensure the app uses encryption.
- Lenders must follow data privacy laws, store video calls securely, and ask only for necessary information.
The Mutual Benefit: Trust, Speed, and Safety
By incorporating call and video verification, digital lending becomes a safer, more trustworthy process. Borrowers gain clarity and peace of mind, while lenders protect themselves against risk.
In a world where digital fraud is rising, taking a few minutes for a simple call or video can make all the difference. It’s not just about ticking a box—it’s about creating real human connection in a digital transaction.
Final Thoughts
Call and video verification aren’t just about identifying someone—they’re about building trust on both ends. As online lending grows, so does the need for stronger verification methods that are both secure and convenient.
Whether you’re a borrower seeking fast funds or a lender looking to minimize risk, embracing this modern approach is a smart, future-proof move.
Ready to apply for your loan?
Make sure you’re camera-ready—your loan approval could be just a video call away.
