Online trading platforms have made stock markets accessible to a wide range of traders across India. Just two major online trading platforms account for 40% of the total active user base in the Indian investment market today. Their wide adoption can be attributed to the fact that they enable real-time trading, access to market data, transparency of transactions, automation of trading activities, quick execution of orders, and so much more. However, onboarding on these platforms can be tedious and time-consuming for users as it involves verification processes that could take up to a few days.  

Customer onboarding and verification in India is heavily regulated by the Securities and Exchange Board of India (SEBI). The securities market regulator insists on KYC, risk assessment, due diligence, disclosure, and transparency, along with meticulous record keeping. These may impede and delay the online onboarding process, making for a less-than-optimal customer experience.

We highly recommend that you read our e-books on customer onboarding and KYC .

Bank statement analyser for onboarding traders

Our bank statement analyser BankConnect can assist with verification of online traders while adhering to the highest standards of verification, and also ensuring an unencumbered user experience.

Efficient KYC compliance

By automatically extracting relevant data from bank statements, such as income sources, account balances, and transaction history, our bank statement analyser helps fulfil KYC requirements more efficiently. Its Account Aggregator-first journeys allow platforms to fetch financial information directly from users’ banks, ensuring that accurate information is gathered for compliance.

Risk assessment

BankConnect performs a comprehensive assessment of the trader’s financial health, investment behaviour, and spending patterns by parsing their bank statements. It takes into account hundreds of parameters across income and obligation classification, fraud detection, and more. This assists in determining the risk profile of the trader, which allows trading platforms to curate suitable investment products or trading limits for each user.

Fraud detection

Fraud comes in many forms – as identity theft, statement tampering, accounting and transactional inconsistencies, and more. BankConnect is adept at identifying such patterns within bank statements, revealing any discrepancies in the trader’s financial history.

Faster onboarding leads to fewer drop-offs

BankConnect promises analysis that is not only compliant with the highest standards set by SEBI and PMLA norms, but also enables onboarding at breakneck speed. Our bank statement analyser has been designed to minimise the time taken for onboarding users through its simultaneous statements processing. In addition to this, BankConnect flags inconsistencies in the data format and insufficient documentation so that the user may take corrective action within the onboarding journey and the platform may avoid drop-offs.

Moreover, BankConnect is integrated with Account Aggregator , which facilitates a seamless fetching of bank statements via a simple OTP-based method, significantly reducing the cognitive burden on the end user and bringing down the turnaround time of the user journey.

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Dhan Financial Services, an online trading platform, reported 30% lower drop offs after integrating BankConnect into its onboarding journey. It helped Dhan achieve this by simplifying document sharing for their end users, while also freeing up resources on the customers  end by migrating them away from a time-intensive offline KYC process to a more efficient digital verification that does the job within seconds.

Unlock the benefits of comprehensive and speedy bank statement analysis for your trading platform and other digital products with FinBox BankConnect - Sign up for a demo .