How do you protect your e-signature from forgery and fraud? This article will take you through all the basic steps you need to know.
Electronic signatures are a modern, convenient method of signing documents online. There are so many Benefits of Signing Your Document Online and many businesses are beginning to use e-signatures instead of traditional signatures (to save them from the time and hassle of signing by hand, printing and scanning documents). And what’s more, e-signatures are completely online meaning it’s environmentally friendly!
However, e-signatures do present an increased risk of forgery and fraud compared to using traditional pen-and-ink signatures. When somebody manages to obtain your e-signature, they can electronically sign important contracts on your behalf without you even knowing.
Step 1) Use a strong password to protect your e-signature
Just as you would safely secure your IDs and confidential usernames, you need to be doing the same or even more to protect your e-signature. Passwords are a great method but consider implementing a 2-factor authentication system. That way, the public cannot have access to your e-signature without your password and your second authentication process.
What is a strong password?
Avoid using your name, birthday and never use “password” as your password. This is not the time to be silly! Ensure you use a mix of characters (upper-case, lower-case, numbers and symbols) and make it unique. Do not write down your password where people can easily access such as a sticky note on your desk or a notebook you leave around open.
Alternatively, you can use a passphrase instead of a password. Read through Creating Strong Passphrases to find out more.
Step 2) Prompt the signees’ verification
When you’re sending documents to be signed, prompt them with the option to identify and verify themselves. This can involve asking them to identify their:
- Email address
- IP address
- Full name
- Time-stamp
This step can effectively prevent somebody else from signing important documents on somebody else’s behalf.
Step 3) Reinforce the effect of e-signatures to your clients, employees and partners
Now, you should start educating your clients, employees, partners and all the people associated with signing your company’s documents with an e-signature. Confirm that they understand that e-signature actually represents their authentic, pen-and-ink signature. By ensuring the signees thoroughly understand the same legal effect e-signatures hold as pen-and-ink signatures, it can also minimise the chance of somebody else signing important documents on their behalf.
Step 4) Hire a third-party to manage and oversee the verifiability of e-signatures
You also have the option of hiring an independent third-party to manage and oversee the authenticity of e-signature signed documents. This will probably be the most effective measure in verifying your company’s documents and protecting e-signatures but, of course comes with an expensive cost. So be careful and make sure to balance out the benefit of a third-party security against the financial damage it can potentially cause on your business.
Stay safe and protect your e-signature!
Now good luck and stay safe! To learn more about the benefits of e-signatures and get started straight away, click on Sign Your Documents the Easy Way. It will take you through all the things you need to know and help you set up your e-signature today.
