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Launch HN: Berbix (YC S18) – Instant ID checks to fight fraud and stay compliant

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Launch HN: Berbix (YC S18) – Instant ID checks to fight fraud and stay compliant

#1
Hi everyone!

We’re Steve and Eric, the founders of Berbix (https://www.berbix.com). We make it easy to instantly verify photo IDs. Our goal is to empower platforms to accurately identify their users while being responsible stewards of sensitive information.

Today, we’re launching our self-service ID checks (https://www.berbix.com/pricing) to organizations of any size that need to answer the question: Are you who you say you are?

We’re taking a privacy-first approach to identity verification. Your government-issued photo ID is one of the most sensitive pieces of information you own, and sharing it with a company online can be scary. We’ve invested significant effort to try to do this the right way from a security perspective, ensuring all images that ever leave our system are aggressively watermarked, and enforcing short retention policies to automatically purge data. We aren’t—nor do we ever intend to be—in the business of selling personal data.

Unless you’re a credit card processor, everyone knows that you’d be crazy to collect credit card numbers directly without using a system like Stripe because of PCI compliance. But there’s no equivalent standard for identity documents. It’s still the wild west when it comes to best practices around this extremely sensitive data. Companies inevitably will need to collect this data, whether to comply with regulations to verify age, confirm the identity of a GDPR or CCPA request, or deter fraud on a marketplace. It may come across as self serving, but we’d rather have a privacy-oriented company collect that data on their behalf.

We were the product and engineering leaders of the Trust & Safety team at Airbnb for several years where we were tasked with stopping all bad things from happening on Airbnb—both online and offline. This was a challenging problem as it included your typical online fraud like chargebacks, account takeovers, and wire scams in addition to much more novel offline risks like property damage and personal safety issues.

We learned to distinguish between “premeditated” bad actors who come to a platform with the intent to cause harm and “opportunistic” bad actors who would swipe a $20 bill on a nightstand, as an example. Some techniques work well against one group, but not the other. One effective means to fight both is to check a government-issued photo ID. Premeditated bad actors will often leave to find another platform with fewer protections, and opportunistic bad actors will think twice before doing something malicious in the moment when they know their ID has been checked.

Historically, checking IDs online has been hard. It required a 5-figure contract with a legacy ID verification provider, would take minutes or more, and the quality of the data returned left a lot to be desired. We knew there had to be a better way, and so we started Berbix. Our product returns a result in 2 seconds or less and leverages the machine- and human-readable components of a photo ID to maximize accuracy.

We’ve designed Berbix in a way that we, as developers, would want to use it (https://docs.berbix.com), with backend API libraries that make an integration simple and intuitive. We offer client-side SDKs for a number of platforms including React, iOS, Android and more (https://github.com/berbix). We make integration simple enough to be completed in a matter of minutes, while also providing flexibility to offer custom configurations if desired. Using our API, you can request the information you need to verify your users, while isolating your servers from ever handling the sensitive user-submitted ID images directly.

We’d love feedback from the HN community. Looking forward to hearing your thoughts!

Re: Launch HN: Berbix (YC S18) – Instant ID checks to fight fraud and stay compliant

#3

Love this! We put it on the roadmap as an integration for our company Moonlight in Q1. Do users typically redirect to Berbix, or is there a hidden API integration?

Our customers typically integrate with us using one of our client-side SDKs (https://docs.berbix.com/docs/client-sdks). Our web SDKs embed an iframe into your website (or spawn a modal) that will take the end user through the image collection flow. Our mobile SDKs get baked into mobile apps so that there’s no additional app to download to complete the end user flow. In either case, as soon as the end user finishes the flow, you can fetch the data about the transaction via our API (or using our backend SDKs).

Re: Launch HN: Berbix (YC S18) – Instant ID checks to fight fraud and stay compliant

#5

Congrats on the launch. Couple questions - Is the verification completely automated? - Sound's really expensive at $1 per check, why?

Thank you! Super excited to show what we’re working on. Yes, our product is fully automated - our customers can choose to review items that we’ve flagged as problematic, but they can also choose to reject them outright. As for the pricing, we’ve found that our price is competitive in this space, and we can provide significant volume discounts.

Drop me a line at (my first name) @berbix.com and I’ll shoot over a demo link so you can try it!

Re: Launch HN: Berbix (YC S18) – Instant ID checks to fight fraud and stay compliant

#7
post #6

Who's liable in the case of an "oops", and a fulfilled GDPR data request winds up being a GDPR violation ?

Our customers can specify their own risk profile, and in general, customers using us for more sensitive use cases (e.g. returning all the data they possess about individuals), tend to pick our most thorough checks. In addition, we return a number of signals to our customers to help them determine how confident they should be about a given verification. That said, it is ultimately the responsibility of the business who's the recipient of the data request to determine whether they're confident enough about the identity of a "data requester" before acting on their request.

The unfortunate reality is that very often, businesses do not do enough due diligence before responding to data requests. [1] Berbix makes such diligence easier and more secure, such that more companies should be able to adopt better processes around data access requests.

[1] "GDPArrrrr: Using Privacy Laws to Steal Identities" https://i.blackhat.com/USA-19/Thursday/us-19-Pavur-GDPArrrrr...

Re: Launch HN: Berbix (YC S18) – Instant ID checks to fight fraud and stay compliant

#9
Congratulations! Know your customer/online id verification sure looks like the business to be in lately. Given that there's https://veriff.com which seems to be the most advanced one and they are also YC graduate, what's the advantage/edge you guys have? Selling on the price looks like a race to the bottom.

Or are you focusing on USA customers only? GDPR and all that.

Re: Launch HN: Berbix (YC S18) – Instant ID checks to fight fraud and stay compliant

#10

How is your service different from the KYC service providers out there targeting fintech startups?

Many of the existing KYC providers for fintech startups rely on credit reports to perform identity checks. Our perspective is that relying on credit reports alone is becoming increasingly problematic given the widespread data breaches which expose the underlying data. Bad actors have access to full name, date of birth, address history, and social security numbers for countless individuals.

We believe that going forward, fintech startups are going to have to have to have increasingly robust KYC programs, which will include an ID checks. Berbix is an effective tool to collect and check IDs instantly as part of a robust KYC program. To that end, we’re currently serving multiple customers in the fintech space with such programs.

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