Verify 365 vs Thirdfort: Innovation and Security in AML Compliance for Modern Law Firms

In an increasingly digital world, anti-money laundering (AML) compliance has become a priority for law firms. Two platforms, Verify 365 and Thirdfort, both UK-based, have emerged as strong leaders in providing advanced technology solutions for achieving complete AML compliance in law firms. Both Verify 365 and Thirdfort markedly stand out in the realm of digital identity verification and source of funds checks, presenting a level of sophistication that significantly outpaces other technology platforms in the market.

Verify 365, with its proprietary DynamicID® technology, showcases a commendable stride in melding innovation with security, providing a robust, UK-developed identity biometrics solution specifically developed for the legal sector. On the other hand, Thirdfort’s adept utilisation of ReadID’s verification technology and a well-rounded suite of third-party databases and checks, illustrates their commitment to fostering trust and ease in the client onboarding process.

These two platforms exemplify the pinnacle of advancements in digital client onboarding and identity verification, setting a high benchmark with their respective, cutting-edge technologies that seamlessly integrate into legal and financial workflows, thereby redefining the standards of AML compliance and due diligence for solicitors in the digital age.

Verify 365 Review: A Comprehensive AML Compliance Solution

Verify 365 has positioned itself as a next-generation AML compliance platform with a host of features tailored for law firms. It offers a comprehensive suite of global person and business verification solutions, along with no-code workflow building and integrations. Among its standout features are eSignatures and ePayments, which enable seamless and secure transactions and document signings online, all housed within a single platform.

Additionally, Verify 365 provides unique offerings like SecureSend®, MyID® Digital Identity, and a complete legal e-Forms library, which contains over 4000 digital forms. This library is delivered in partnership with FormEvo, to facilitate the various needs of legal firms. The platform also includes the most advanced Open Banking technology in its AML suite, which ensures unwavering compliance and aids in demystifying global AML regulations.

DynamicID – the cutting-edge ID Biometrics innovation elevating Verify 365 above competitors

The ownership and development of DynamicID® biometrics software by Verify 365 underscores a significant advantage over Thirdfort, which licenses its technology from third parties like Onfido and ReadID. DynamicID®, being a UK-developed technology, denotes a high level of control, stability, and security, pivotal for ID verification processes. This in-house development is indicative of a robust and self-reliant system, contrasting with Thirdfort’s dependency on third-party external technologies. The advanced features of DynamicID®, including machine learning and biometric technology, fortify Verify 365’s platform, making it a more secure, efficient, and reliable choice for identity verification compared to Thirdfort.

Thirdfort Review: A Robust AML Platform

Thirdfort offers a variety of ID verification solutions which are compliant with HM Land Registry guidelines. It utilises third-party NFC technology from ReadID for e-passport verification and covers thousands of identity documents globally. Moreover, Thirdfort relies on Onfido’s and ReadID’s swift and secure client ID verification technologies and ensures document authenticity by automatically verifying identity documents from 195 jurisdictions. However, Thirdfort platform lacks the integrated eSignatures and ePayments features that Verify 365 offers, which are critical for streamlined operations and enhanced client experiences in today’s digital-first environment.

It is apparent that Verify 365 holds a superior position in this domain, especially because of its features such as eSignatures and ePay, which are not offered by Thirdfort.

What are the Key Features offered by Verify 365 and Thirdfort?

Below are the key features provided by Verify 365 and Thirdfort, as per the available information and the web pages and their respective brochures.

Verify 365 – Key Features Summary

1. DynamicID® Identity Verification: A global person verification solution, covering over 200 countries and 15,000+ government-issued identity documents, integrating various verification technologies for thorough identity checks.
2. e-Signatures and e-Payments: Integrated within a single platform and single client onboarding journey for streamlined operations.
3. No-Code Workflow Building and Integrations: Facilitates customisation and integration without coding requirements.
4. Legal e-Forms Library (in partnership with FormEvo): Over 4000 digital forms catering to various legal needs.
5. Advanced Open Banking Technology: Automated digital checks for verifying a client’s source of funds, aiding in compliance with global anti-money laundering regulations.

Verify 365 offers a variety of KYC and KYB solutions within one single dashboard tailored for legal and financial professionals to stay compliant with AML regulations, streamline their workflow and enhance client onboarding processes.

Verify 365 – Risk and Compliance Technology Solutions  

Below is a summary of the key risk and compliance technologies offered by Verify 365:

1. ID Verification (KYC)
   • Verify 365 Provides digital ID verification using proprietary DynamicID biometrics, document checks, and database searches, enabling automated and fast customer onboarding.
   • DynamicID technology utilises AI for facial recognition and document authenticity checks and offers a single dashboard for managing verifications.

2. Address Verification Service (AVS)
   • Verify 365 provides automated global address validation against official data sources such as the Electoral Roll and Credit Reference Agencies, providing real-time address verification and formatted address outputs.
   • Provides a facility for client document upload and OCR recognition of the documents uploaded as proof of address, or proof of ownership (conveyancing transactions).

3. PEP and Sanctions Screening (PEPS):
   • Verify 365 provides automated PEPs and Sanction checks with data generation in a constant live state, with real-time risk assessments of over 1,800 global watchlists, PEPs, and adverse media.
   • Real-time risk screening – using AI, AML/CFT data is acquired in minutes, not days, with a single alert of all the information needed to make an informed decision, including teams of global data experts that review and edit problematic profiles and high-risk clients.

4. Source of Funds Checks (SOF)
   • Verify 365 provides fully automated digital checks for verifying a client’s source of funds using the most advanced open banking technology, aiding in compliance with AML regulations.
   • Offers a unique source of funds analytics dashboard for real-time monitoring and reporting and provides a summary of “transactions of concern” for enhanced security.

5. Company Checks and UBO Verifications (KYB):
   • Verify 365 offers a comprehensive KYB and UBO verification service for purchasing reports on over 500 million companies world-wide based on specific requirements, aiding in informed due diligence.
   • Provides global coverage, comprehensive datasets, real-time screenings, and a cloud-based dashboard for accessing live company data.

6. Digital ePayments (ePay)
   • Verify 365 provides a secure digital payments solution (ePay) within a single client onboarding workflow, reducing risks associated with traditional payment methods.
   • Offers real-time e-payment transaction monitoring and provides automated reconciliation and reporting features.

7. Document eSignatures (eSign)
   • Verify 365 provides a platform for electronic signatures (eSign 365), enabling legal documents to be signed quickly on any device.
   • Offers features like mobile-friendly signing, signer identity verification, and integration with legal case management systems.

8. Advanced Open Banking Technology (Open Banking):
   • Verify 365 enables the use of digital bank statements using Open Banking technology for identifying risks and preventing fraud during client onboarding.
   • Provides real-time analytics of client’s financials, transaction analytics, and instant bank statement risk assessments, promoting an efficient workflow.

9. Conveyancing Searches
   • Verify 365 provides bespoke search bundles for property searches for conveyancers in the UK, delivered in partnership with IndexPI.
   • Offers residential and commercial property searches, HM Land Registry searches, and local searches, with an easy online ordering system.

10. Legal Forms Submission
    • Verify 365 provides access to over 4,000 legal forms with a cloud-based platform delivered in partnership with FormEvo for electronic submissions, aiming to reduce paperwork and errors.
    • Provides features like automatic field population, digital submissions, and integrated solutions for managing legal documentation and compliance.

These Verify 365 solutions collectively aim to provide a comprehensive suite of tools for legal and financial professionals to enhance their operational efficiency, compliance management, and client engagement.

Thirdfort – Key Features Summary

1. ID Verification
   • Automated checks to outsmart fraudsters.
   • NFC technology from ReadID for verifying e-passports.
   • Verification of UK addresses and real-time PEPs and sanctions screening

2. Source of Funds Verification
   • Instant access to client’s digital bank statements.
   • Open banking to securely share digital bank statements.
   • Verification of large, recurring, cash and other high-risk transactions

3. PEPs and Sanctions Screening
   • Live data from reliable sources updated every few minutes.
   • Ongoing monitoring for changes in client’s status.
   • Screening of individual and corporate clients for PEPs and sanctions flags

4. Know-your-business
   • Fast beneficial owner identification using data from the relevant jurisdiction’s register.
   • Global checks on businesses across the world

5. Document Verification
   • Fast and secure document checks.
   • Verification based on visual, data, and metadata elements of the documents.
   • Background checks to establish if documents have been tampered with, lost, or stolen

6. Ongoing Monitoring (as detailed under PEPs and Sanctions):
   • Continuous monitoring of clients’ statuses for any changes.
   • Notification of changes in status or new sanctions.

Thirdfort are a reseller and integrator of a range of third-party products such as Onfido and ComplyAdvantage, focusing on different aspects of verification and compliance, which include real-time data updates, ongoing monitoring, and a user-friendly interface for clients to complete necessary verifications.

On the other hand, Verify 365 are a software development company with a suite of UK-developed, proprietary technology solutions, utilising the most advanced AI and machine learning technologies, which streamline legal operations significantly.

While both platforms have their merits, the choice between them would depend on the specific needs and priorities of a law firm, especially concerning AML compliance requirements.

Final Verdict: Verify 365 vs Thirdfort

In comparing the features offered by Verify 365 and Thirdfort, it’s evident that both platforms offer a comprehensive suite of tools aimed at facilitating client onboarding, identity verification, and compliance with anti-money laundering regulations within the legal and financial sectors.

However, there are distinctions in their offerings that position Verify 365 as a more encompassing AML platform compared to the more limited offering from Thirdfort, for the following reasons:

1. Identity Verification:
   • Verify 365 uses a proprietary DynamicID® combination of biometrics, document checks, and database searches for digital ID verification, while Thirdfort leverages third-party technology.

2. Address Verification:
   • Verify 365 offers automated address validation against official data sources with international coverage, whereas Thirdfort provides electronic address match in the UK.

3. Source of Funds Checks:
   • Verify 365 provides an automated Open Banking digital bank statements solution for verifying a client’s source of funds. Thirdfort offers a similar Source of Funds questionnaire and Electronic Bank Linking/Statement upload as part of their verification process.

4. Digital Payments:
   • Verify 365 facilitates secure digital payments within a single client onboarding workflow, a feature not available from Thirdfort.

5. Conveyancing Searches:
   • Verify 365 provides bespoke search bundles for property searches, while Thirdfort does not offer conveyancing searches at all.

6. Legal Forms and Document eSignatures:

• Verify 365 offers over 4,000 legal forms and a platform for electronic signatures, functionalities not available from Thirdfort.

7. Open Banking:

• Both platforms leverage Open Banking for better insight into clients’ financials. Verify 365 emphasises identifying transactions of concern, risk profiles, and income and expenditure analytics, while Thirdfort focuses on Source of Funds questionnaire and Electronic Bank Linking/Statement upload.

8. KYB Service:
   • Verify 365 offers a comprehensive KYB service for purchasing company checks and UBO reports. Thirdfort have a direct equivalent and offer a range of KYB checks utilising data from a third-party data supplier from Austria.

9. Global Coverage and Comprehensive Datasets:
   • Verify 365 emphasises global coverage and comprehensive datasets in all of their services, while Thirdfort provides global coverage in its PEPs & Sanctions Screening.

Verify 365’s extensive range of KYC and KYB solutions positions it as a more comprehensive platform for AML compliance, catering to a broader spectrum of needs within the legal and financial sectors compared to Thirdfort. Verify 365 solutions in digital e-payments, conveyancing searches, legal forms, and document e-signatures extend its utility beyond what Thirdfort is able to provide, making it a more complete AML platform.

What about AI?

Verify 365 now offer next-gen AI AML-tech for Law Firms.

Last week, Lawtech 365 Group, which owns Verify 365, unveiled a novel AI-driven AML and ID verification solution, which employs machine learning to assist clients in the legal sector meet regulations necessitating the identity checking, sanctions screening, source of funds checking, and reporting of potential suspicious actions.

The new AML-engine, named “DynamicAI“, has already garnered attention from notable users, including several large, London-based law firms. This new AI-driven anti-money-laundering technology platform “sidesteps” the traditional rules-based programming characteristic of similar products.

It is clear that Verify 365 are aiming to differentiate themselves as the leading provider of anti-money laundering technology solutions by using AI and minimising human intervention in the process of screening for fraud, identity theft and money-laundering risks.

Verify 365’s distinctive approach is its departure from the rules-based programming typically crucial in setting up and overseeing an anti-money-laundering system.

This technology comes in the wake of major U.S. tech companies showcasing their AI prowess, influenced by the success of generative AI apps like ChatGPT and a corporate rush to incorporate such advancements across various sectors.

So how does “DynamicAI” work in practice?

Traditionally, most law firms are utilising basic technologies to sift through the numerous transactions and matters they manage daily. This procedure usually begins with a set of human determinations, followed by selecting the required checks, allowing law firms to pinpoint and scrutinise clients and fraudulent transactions that may need regulatory attention. By eliminating rules-based directives, Verify 365 are betting on AI’s potential to address this longstanding challenge in the AML domain.

Conclusion

It is evident that both Verify 365 and Thirdfort offer robust solutions for law firms. However, the integrated eSignatures and ePayments features of Verify 365, alongside its comprehensive suite of UK-developed verification solutions and open banking integrations, render it a superior platform for AML compliance.

The seamless and secure client journey experience provided by Verify 365 places it a notch above Thirdfort, making it the preferable choice for law firms in ensuring AML compliance and delivering exceptional client services.

Why switch to Verify 365:

1. Verify 365 offers advanced biometric and NFC identity verifications, ensuring that your clients are who they say they are.
2. Verify 365 conducts thorough ID checks, including government-issued ID and address verification.
3. AML checks ensure that your clients are not on any financial crime watchlists.
4. They also perform automated source of funds checks to ensure that the money your clients are using is legitimate.
5. Verify 365 platform also includes e-payment and e-signature technology, making the client onboarding process fast and efficient.

In the competitive landscape of legal compliance platforms, Verify 365 clearly leads the pack, especially in facilitating a more streamlined, secure, and comprehensive approach towards AML compliance for law firms.