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How to Verify Your Customer Income with Ayoconnect API

How to Verify Your Customer Income with Ayoconnect API

February 2, 2022

Proof of income can be an important number for lenders, landlords, banks, and other financial entities. Since income can show your financial health, financial report and how it impacts different areas of your life, income verification is needed especially employer for employment verification. It’s a factor in determining your ability to pay for a health insurance plan or the amount of money you can receive for a personal loan.

Before, income verification was enabled manually by submitting a few documents and letting the institution check your bank records. However, these days open APIs improve the convenience of delivering better services to consumers. We can do income verification using open APIs. Read more below for more solution!

What is income verification?

Many businesses, especially financial institutions, carry out the practice of income verification service. For example, a bank will ask borrowers to prove their income and employment verification services and their economic status to assess their ability to repay the loan. This is meant as prevention to ensure that consumers can pay for a product or service checked through their employment and income verification.

Typically, income verification is used by these entities for the following reasons:

  • Mortgage companies: Make sure that an applicant can pay back a loan especially if they're self-employed.
  • Landlords or rental companies: Make sure an applicant can pay the rent for the desired place by the provider.
  • Government agencies: convincing an applicant is qualified for government aid and how much they qualify.

Based on the scenarios, income verification checks an applicant’s financial ability through their payroll and applicant's employment to afford what they’re pursuing.

Income verification is made easy with open APIs

As mentioned above, you're income verification can be done with open APIs. These APIs might help institutions that have encountered fraudsters. Many businesses have lost a significant amount of money due to such fraudsters, and income verification APIs technology may save those institutions from unnecessary threats or frauds they gathered from income verification data streamline.

An income verification API is a solid system to help a business quickly verify an individual's bank account and transaction details with the highest accuracy. Also, this system is designed to protect the user's needs, so it's not prone to errors. The entirety of the concept is based on the need for a more secure system that benefits the users. Thus, it resulted in the income verification API, a system with stable and solid functionality.

How does income verification API work?

Online income verification using APIs works by extracting and validating data from the consumers'  or employee's information based on their authorize, or pay by instant verification. These APIs are designed to reduce employee development time and costs and convince clients employment information is always compliant and confirm their employment records.

An example of the income verification API workflow is as below:

  1. Users generate a new request for an income verification API session with their new consumer to estimate income and payment frequency.
  2. A new consumer is sent an authorization session link via SMS
  3. New consumer provides access to their bank account via open banking.
  4. The new consumer session and involvement end at this point.
  5. Income verification API algorithms use AI to analyze end-user financial data for income and employment.
  6. A user receives income verification analysis in JSON/Application format.

Where can you get income verification APIs for your business?

Accessing tailored and flexible financial products and services quickly is now possible due to open banking technology. Integrating income verification APIs for your business can help you conduct background checks and verify if the proof of income documents are authentic, legitimate, and government-issued.

As the largest open finance platform, you can choose and enjoy many services from Ayoconnect. We provide open banking APIs provide, account opening, account balance and transaction checks, telco and utility bills payment tools, recurring subscriptions, and lifestyle services, including income verification API with accurate data and no chances of error. You'll be amazed at what we can do to make your life easier. Apply now, it's easy!

Ayoconnect’s income verification API offers many benefits for your business as an employer. Get verified information or letter on your customers’ application source income amount quickly. It’s simpler and faster for consumers to open accounts and obtain financial services with the help of the API. With so many conveniences, don’t forget to click here for more information!