Name
Global FinTech Guide
Country _ Name
Colombia
SectionTitle
Identification
Body
FinTechs belonging to this category provide identification services, which are required for most banking services.

Introduction

Attitude of the country towards identification services

The social and political climate towards identification services is very positive. The know your client (KYC) process has become a standard in the country and an obligation for financial entities supervised by the Colombian Financial Superintendence.

Legal affairs

Obligations and requirements to provide identification services

Identification services are regulated by Law 527 of 1999, regulated by Decree 19 of 2012, Article 160, which was in turn regulated by Decree 333 of 2014. For the electronic signature, an authorisation is required. Such authorisation shall be issued by the Organismo Nacional de Acreditación to public or private legal entities.  The above rule was declared in accordance with Colombia's constitutional guidelines in Ruling 219 of 2015.

Additional comments regarding the legal situation for identification services or what FinTech’s must be aware of in this business area

Law 527 of 1999 and its decrees regulate identification services. Such services can be provided through strong authentication mechanisms such as:

  • Biometry;
  • Digital signature;
  • One Time Password (together with a second authentication method);
  • Cards fulfilling EMV standard (together with a second authentication method); and
  • Registration of the terminal authorised to effectuate transactions (together with a second authentication method).
For entities under the surveillance of the Colombian Finance Superintendence, the minimum standards for KYC identification process, for current and potential customers, are described in article 4.2.2.2.1 of Chapter IV, Title IV, Part I of the Basic Legal Circular 029 of 2014.

Economic conditions

Market size for identification services and biggest companies in this business area

There are no official figures as to the size of the market. The following are the main biggest companies in the market:

  • For strong authentication services: Gmalto, Vasco, RSA, Visa, Mastercard;
  • For electronic signatures: ETEK, Avanxo, Docusign, Microsoft, Deceval, Papel Cero, DoyFe, Andes, Certicámara, GSE and DIAN (Dirección de Impuestos y Aduanas Nacionales); and
  • For biometric authentication: RNEC, Certicámara, Thomas Gerg & Sons and Carvajal.

Additional comments regarding the economic situation for identification services or what FinTech’s must be aware of in this business area

N/A.
 

Authors

Close

Choose country