The use of electronic signatures in banking to improve processes.

Learn how electronic signatures for banking can turn your printed trails into digital ones for added security, organization, convenience, and peace of mind.

Paper trails are messy, hard to track, and only as secure as the filing cabinets where they’re stored. The paper trails left by banking and financial services are no exception. Between opening accounts, borrowing money, managing investments, and paying off loans, all that documentation can feel overwhelming. Learn how to turn your printed trails into digital ones for added security, organization, convenience, and peace of mind.

Electronic signature online banking benefits.

Integrating electronic signatures in the banking industry has completely changed and improved the way financial institutions operate and interact with customers. Here’s a list of some of the benefits for bankers and customers of using electronic signatures:

• Security. Electronic signatures increase the level of document security compared to traditional signatures since they use encryption to ensure signed documents are authentic.
• Faster transactions. Electronic signatures make it easier to process documents and transactions, which benefits both the customer and banker when it comes to loan approvals or opening new accounts.
• Customer convenience. Customers like being able to sign documents from anywhere and at any time, using their computer or their phone — electronic signature software makes this possible.
• Environmental benefits. By moving toward digital signatures, financial institutions significantly reduce their paper usage, which contributes to environmental sustainability.
• Ease of customer onboarding. For banks, electronic signatures make the onboarding process simpler because customers can complete any paperwork necessary digitally. This reduces the need for clients to be physically present in the branch and makes it a paperless process.

What processes can electronic signatures for banking streamline?

Although we have already gone over the various benefits of using electronic signatures in the online banking industry, we will now explore the different processes that electronic signatures can streamline in banking.

• Opening accounts.
• Getting loans approved.
• Credit card applications.
• Processing mortgages.
• Updating customer information.

What to know about electronic signatures for banking.

Whether you work for a bank or use one every day, here’s what you need to know about electronic documents and signatures for your banking.

• Understand the policies. Make sure you understand your bank’s electronic signature policy. Many states have adopted UETA—the Uniform Electronic Transactions Act. If a state has not adopted UETA (currently, these include New York, Illinois, and Washington), the federal statute ESIGN—Electronic Signatures in Global and National Commerce—will take effect. Together, these two pieces of legislation ensure digital commerce has the same legal footing as paper commerce. Work with your bank or your legal experts to identify any areas of exclusion and understand how these policies affect you personally.
• Save. Allowing electronic signatures for most of your transactions will save considerable amounts in printing, processing, and outdated operational costs if you’re the bank. I If you’re the customer, electronic signatures save you time spent printing, signing, faxing, or scanning documents and allow you to bank on the go.
• Ensure security. Electronic signatures allow you to keep a digital audit trail of your banking history, whether you’re a banker working with a client or a person using banking services. Having all of your signed agreements and paperwork in one place helps keep things organized, searchable, and secure. No loose paperwork required.

What’s included in a bank electronic signature policy?

Whether you’re a customer or a banker, understanding what’s included in a bank’s electronic signature policy is important. Here’s a list of the most common components that banks include in their policy to ensure security, privacy, and compliance:

• Security protocols. They ensure the confidentiality and authenticity of electronic transactions. Security protocols also safeguard the integrity of the signature and are essential to uphold the highest standards of security and trust when it comes to digital transactions.
• Privacy measures. These are policies that outline how a company or a bank handles customer information and how it’s protected during the electronic signature process.
• Legal compliance. These are guidelines that ensure the electronic signature process is compliant with laws and regulations such as the ESIGN Act and UETA.
• Document management. A bank’s electronic signature policy may also include guidelines on how a company stores, accesses and manages signed documents within their system.
• Verification processes. These are procedures to verify the identity of an individual who is signing a document electronically to prevent fraud and identity theft.
• Customer consent. Customer consent policies ensure that customers are completely informed and they consent to the use of electronic signatures.
• User authentication. These are methods to authenticate users before they can sign any documents electronically.

Upgrade your experience with electronic signatures for banking.

Learn how you can use Adobe Acrobat to simplify, streamline, create e-signatures, and encrypt a PDF to secure sensitive information and take your paperwork to the next level.