How to Improve Security and Retain Customers Using Qualified Electronic Signatures

If your business uses eSignature technology, then you know the value of obtaining quick electronic approvals and eliminating paper-based processes. No doubt you’ve seen an uptick in productivity since running an eSignature platform, but did you know eSign solutions can do even more? Run-of-the-mill eSign tools simply digitise signatures, but exceptional ones elevate your security posture, reduce customer churn, and lower your costs.

These sophisticated eSign solutions employ qualified electronic signature (QES) technology—delivering the most secure type of eSignature available. Read on to learn more about the benefits of QES and why businesses are adopting it to cut a competitive edge.

QES is an eSign technology that binds the signer’s identity to its signature using a personal, qualified certificate issued by a Qualified Trust Service Provider (QTSP). It is distinct from a simple electronic signature (SES) and an advanced electronic signature (AES) in that it is the most secure type of electronic signature.

QES is recommended—and in some countries, required—for high-value transactions such as leasing agreements or purchase contracts. It’s growing in use among European businesses because it ensures security and compliance in an increasingly threatening cyber landscape. Learn more about QES and the other types of eSignatures in this guide for businesses.

Fraudulent attacks are only growing in scope and volume as cybercriminals consistently innovate new, creative ways to dupe companies.

Basic eSignatures leave you vulnerable to fraud tactics such as forged or falsified eSignatures. QES protects your business against fraud by ensuring the signature is attached to the real signer. It provides an ironclad guarantee of the signer’s identity—an essential verification for contracts in financial services, real estate and other industries that use high-stakes agreements and require strict compliance with regulations.

QES also puts the burden of proof on the disputing party should anyone contest the eSignature’s validity. If your business uses qualified signatures, the disputer is responsible for proving forgery in order to successfully contest authenticity of a QES.

McKinsey research has found that financial institutions—specifically lending ones—need to keep customers digitally engaged to retain them. “Increasing the level of digital engagement with customers and reducing the number of manual processes for approval will help retain customers and attract new ones,” says the research firm. Further proof is in the numbers of potential customers abandoning applications: The Battle to Onboard 2022 report found that 68% of consumers abandoned financial services applications in 2022—up from 63% in 2020.

Customers should encounter zero friction when it comes to signing contracts and understanding application workflows. eSignature solutions that provide seamless user experiences with QES help you keep customers in the application process. QES eSign tools like Nitro were designed with ease-of-use in mind so financial services customers stay within heavy-form workflows.

KeyTrade Bank leveraged Nitro Sign Premium to give ready-to-sign customers clear instruction on the signing process and provide a flawless user experience. The bank saw a 99% success rate as a result. Check out this case study to learn more about how KeyTrade Bank was able to shorten customer loan close time to 48 hours.

QES shouldn’t come at a significant cost, especially as it becomes standard throughout Europe and businesses need it to stay compliant. In fact, the right QES eSignature solution should save you money, when you consider the savings in terms of administrative costs and heightened productivity as you reduce the steps involved in various workflows. Secure signatures not only support greater profitability by facilitating more transactions, they also save you the immense costs of recovering from fraud.

Various countries in the European Union require QES in certain contexts. Today, businesses comply with the Electronic Identification, Authentication and Trust Services (eIDAS) regulation which defines and enforces the legal structure for electronic identification, signatures, seals, and documents throughout the EU. Adopting QES today prepares your business for this inevitable future.

Learn more about the EU legal requirements for eSignatures.

Nitro supports numerous signing methods. In Ireland, we’ve recently extended our partnership with Belgian digital identity verifier itsme® to offer a super streamlined eSigning experience for Irish businesses that want to leverage QES. Together, we deliver one tool that keeps your customers in process, while securing every signature.

• Save money: Nitro offers QES at a fraction of the cost of other eSignature tools that don’t deliver the same security.
• Prevent fraud and build trust: We are the partner of choice for businesses looking to level-up their fraud prevention, cut costs, and improve their customer experiences.
• Integrate seamlessly: By integrating easily into your existing applications, Nitro introduces QES without disrupting your operations.
• Get strong security and compliance: we keep your signature processes compliant with the laws of Europe and other jurisdictions in which you do business.

We’d love to hear how we can help you with your organisation’s goals and challenges. Get in touch with Nitro today to see a demo of our advanced eSign solutions.