iDenfy, a RegTech company offering ID verification and fraud prevention solutions, has announced a partnership with RATO, a licensed bank with nearly 30 years of financial heritage in Lithuania. By integrating iDenfy’s AI-powered identity verification and anti-money laundering (AML) screening into its digital onboarding flow, RATO bank can now verify new customers faster, more securely, and in full compliance with KYC and AML regulatory requirements through its newly launched mobile application.

RATO is an officially specialized bank in Lithuania that provides traditional banking services. Back in 1996, it was founded as one of the country’s longest-running credit unions. Over nearly three decades, it grew into one of the most trusted financial institutions that now offers retail and business clients a full suite of services: deposits, loans, SEPA instant payments, and internet banking via its own dedicated mobile application. As the bank continues to grow its client base, it has grown the demand for onboarding new accounts as well as the need to keep up with the latest regulatory requirements and security for the synthetic fraud scams.

Financial institutions continue to shift toward fully digital services; therefore, the need for a secure, efficient, but at the same time compliant onboarding solution has become critical. Traditional onboarding methods often involve manual verification processes that are both time-consuming and not 100% reliable due to human error. This can create some difficulties and time waiting for end-users, which is automatically the first sign of the increased operational costs for banks.

The decision to partner with iDenfy was initiated by the company’s existing integrations within the Lithuanian banking technology ecosystem, including RATO core banking system suppliers Forbis and Lenders, helping to significantly reduce the time and complexity to verify users and check regulated compliance. 

iDenfy’s all-in-one identity verification solution covers its bank’s strictly regulated requirements. The solution supports recognition of users’ documents from over 3,000+ document types across 200+ countries. From passports and ID cards to driving licenses and residence permits. The system is backed by advanced facial recognition and 3D liveness detection functions, with the 24/7 screening verification backed by an internal professional review team that guarantees 99.9% accuracy in onboarding the right customers. An unlimited number of ID verifications are processed within a very short time, promising zero downtime, no matter how many clients RATO acquires.

Most importantly, iDenfy’s functionality charges only per completed verification session, rather than for all verifications, even the ones that did not pass the system due to the bad lighting, suspicious accounts, mismatched faces, etc. For this reason, the credits can be used more efficiently and saved up with the guarantee that no extra cost per new account is made. 

In addition, RATO chose to implement an AML screening and monitoring function; for this reason, it has accessible international sanctions lists such as Interpol, FSE, World Bank, law enforcement lists, Europol, FBI, NCA, and adverse media sources to check the user. For adverse media, iDenfy has built its own search engine system, which indexes more than 20 million relevant news sources from major search engines. To improve the search accuracy, it supports different languages. 

The fact that the entire procedure can be finished in a single session is crucial. The new RATO onboarding procedure is substantially quicker, easier to use, and available from any location for end customers. There is no longer a need to visit a physical branch or submit paper documents; customers can use any kind of smart device to complete registration and authenticate their identities in less than three minutes. This degree of modern innovative solutions is in line with what contemporary banking clients expect: easy-to-use and secure digital solutions.

“At RATO, client convenience and the efficiency of our internal processes are top priorities. Today, a new customer can complete their full identity verification and become our client in a few minutes, entirely through our mobile app. That is exactly the kind of modern banking experience we set out to build,” said X at RATO.

“We are excited to support RATO as they bring their decades of financial expertise into the digital era. Our platform was particularly built to provide financial institutions the tools they need to onboard clients securely and efficiently, without sacrificing their time efforts. This partnership is a great example of how the right technology can simplify compliance with the opportunity to scale globally,” commented Domantas Ciulde, the CEO of iDenfy.