Identity checking service to be extended
A new electronic service to help combat identity fraud will be made available to banks and other financial institutions, the Minister of Internal Affairs Nathan Guy has announced today.
“The Data Validation Service has been developed by the Department of Internal Affairs as a way of proving identity. It has been trialled by other government agencies, and now Cabinet has agreed to let private sector organisations use it as a way of confirming identity and reducing costs.
“This service allows users to enter the information they hold into the Data Validation Service website, which can immediately confirm whether it is consistent or not with other personal details held by the Department of Internal Affairs. This can include details on citizenship, passports and births, deaths and marriages databases and registers.
“This service will help ensure compliance with the Anti-Money Laundering and Countering Financing of Terrorism Act 2009, which requires banks and other financial institutions to undertake more comprehensive ‘know your customer’ checks.
“The government is mindful of privacy concerns. The records do not include sensitive information such as income, travel details or criminal records, and agencies using this tool will first need their customers’ permission to make the checks.
“The Data Validation Service will be available only to organisations which meet strict security, privacy and integrity criteria. The Government has also agreed that the Privacy Commissioner will monitor this service,” says Mr Guy.
A bill will be introduced later this year to make the Data Validation Service available to the private sector.