How OCR in Finance Impacts Financials and Accounting

Optical Character Recognition (OCR) is still unfamiliar to many, whether in the finance and accounting sectors or among consumers. However, this artificial intelligence-based technology significantly influences both industries. But how does OCR play such a crucial role? How does it work? Are the benefits it offers to finance and accounting sectors factual or just exaggerated claims? Read on to find out more.
A Brief Introduction to OCR
Optical Character Recognition (OCR) is a technology that enables computers to read, interpret, and convert images and text (in conventional forms) into machine-readable digital data. This technology allows data translated from conventional files (documents, photos, handwriting) to be stored digitally. More concisely, securely, and durably without physical degradation. Its practicality has led to its application across various sectors, including finance and accounting.
How OCR Plays a Role in Finance and Accounting Industries
OCR finance refers to the application of optical character recognition technology in the finance and accounting industries. Technically, OCR has been implemented in various aspects of these sectors.
1. Identity Verification
Through Anti-Money Laundering (AML) and Know Your Customer (KYC) features, financial institutions can better recognize their customers. The identities submitted by customers undergo digital verification to prove non-involvement in illegal financial activities, such as money laundering and phishing.
2. Automation of Financial Reporting Processes
By using financial OCR, the preparation of reports as part of accounting becomes faster. The system can automate invoices, receipts, credit and debit card usage, and other income and expenditure. Thus, no data will be overlooked or misplaced.
3. Enhancing Report Accuracy
The use of OCR-based office applications in finance and administration can help prepare reports accurately in a shorter time. This technology helps minimize reporting errors due to human oversight.
4. Improving Customer Service Effectiveness and Efficiency
Financial OCR also serves to enhance the effectiveness and efficiency of services. Data collection, validation, and tracking of credit histories and other information become faster. This is advantageous for customers, as services no longer take a long time and are less labor-intensive.
Choose The Best OCR Technology for Your Business
Verihubs offers a powerful and reliable OCR technology system designed to support your business needs. Powered by cutting-edge AI, Verihubs enables faster, more accurate data extraction from documents, making your operations more efficient and cost-effective. Trusted by businesses across Southeast Asia, our technology streamlines processes, starting from automating data entry to validating identities. We can help you work faster, smarter, and more securely. Not only is our technology advanced, but it’s also incredibly easy to integrate with your existing systems. Best of all, Verihubs delivers these benefits at a highly competitive and affordable price, perfect for businesses of any size.
Don’t wait, elevate your business today! Click here to connect with Verihubs’ expert team.
