What is Phone Verification and Why it is Important?

Whether you are a business owner or a user, it is important to understand the importance of phone verification and to always verify your phone number when required.

Today we are living in a modern and digital world, almost everything is digital or almost everything is going digital. Everyone is trying to adapt to this evolving trend including businesses/organizations who are also taking on this path to going digital and it is more important than ever for them to establish a good relationship with their clients.

In the process of an organization establishing a good relationship with its clients, there is always an exchange of information which includes the contact details, and having these details is crucial not only for the purpose of exchanging information but also a vital part of KYC procedures. While receiving these contact details it’s irresponsible to receive the data and not verify it and one of the details that need to be reliably verified is the phone numbers — to ensure that the person using the phone number is indeed its owner, as this helps to prevent fraudulent activities such as identity theft, spamming, and hacking.

So, what is phone verification, and why it is important;

Phone verification is a process of confirming the ownership of a phone number by requiring the user to provide a code sent via SMS or phone call. It is a crucial process that many industries are using today to confirm the validity and availability of a user’s phone number. It’s commonly used as identity verification for tech companies like Google and Facebook when accessing accounts from new devices.

Phone verification has been used for years — and combined with people’s concern about the use of their personal data, it has led to the birth of many different methods to trick the system, and the creation of fake accounts. Although understandable, it’s a problem for companies relying on their clients’ phone numbers to deliver crucial information. If the number is not valid, the information never reaches them, which is a waste of time and the company’s resources.

Verifying the phone numbers of customers is very vital when fighting fraud. Fraudsters rarely [don’t] use their real contact information. And even if the phone number is valid and available, certain factors can help determine the risk associated with it — for instance getting tracked down by authorities in case of breaking a law(s).

Phone verification has become the preferred method of validating account ownership over email verification.

How Phone Verification works

It is relatively simple. A company sends a one-time numerical code to the client’s phone number via a short message provided. The owner of the phone number will then type back the numerical code into the required field to confirm their identity.

With a phone number linked to an account, users are also able to enroll in additional security features, enjoy faster account recovery in case access is lost, and much more.

Here are the reasons why phone verification is important:

  • Anti-fraud: By verifying a user’s phone number, companies can deter fraudulent activities such as identity theft and phishing scams. It is challenging for an attacker to use a phone number that is not associated with their name.
  • Secure accounts: Phone verification ensures that only the rightful owner of an account can access it, especially for sensitive accounts like bank accounts, email accounts, and social media accounts.
  • Improved user experience: Verifying a user’s phone number enhances the overall customer experience by reducing issues like account deactivation, password reset difficulties, and other security-related problems.
  • Enhanced trust: Phone verification demonstrates a company’s commitment to its customers’ security and privacy, building trust between the company and its customers, and leading to increased customer satisfaction and loyalty.
  • Phone verification is also important in the context of online transactions. For example, when making a purchase online, it is important to ensure that the person entering their payment information is indeed who they claim to be.
  • Another reason why phone verification is important is to prevent spamming. Spammers often use large numbers of fake phone numbers to send unsolicited messages or calls, which can be both annoying and harmful.

In conclusion, phone verification is an essential step in many online transactions, as well as reducing the risk of fraud and spamming, providing a safer and more secure environment for customers while also improving their overall experience. Companies that adopt phone verification demonstrate their commitment to the safety and security of their customers. Whether you are a business owner or a user, it is important to understand the importance of phone verification and to always verify your phone number when required.


Winnie Nantongo

Winnie is a tech reporter with a passion for digital media & communications.
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