What Does Third-Party Verification Mean?
Third party verification (TPV) is when an outside organization is used to review and confirm a customer's information and intentions to ensure accuracy. Third-party verification is typically done by conference call and often used with sales departments to verify that a potential customer has interest in or agrees to a purchase before passing the customer back or on to a salesperson. TPV is also used in situations in which a customer wants to provide or update information but cannot readily deliver a contract or physical copy of that information because the update is occurring over the phone or online.
Understanding Third-Party Verification (TPV)
Third-party verification allows a company to reference the interaction history maintained by an independent third party in the case that a customer claims that they did not authorize an account change or transaction to take place. In order to move out of the verification process, the customer must agree to consent to a transaction that is going to take place, which demonstrates that the agreement is legally binding. TPV is sometimes required by law, especially with the advent of the internet and do-not-call phone lists.
Using Third Party Verification
An example of third party verification would be when a customer speaks with a cable television sales rep to make changes to a plan. After reviewing options and determining that the customer would like to proceed, and will accept a new contract for a period of time, the sales rep will conference to a third party. The TPV may just be a timed and tracked recording service that is a separate entity from the cable company. The sales rep will then review the changes and the customer's personal information and have them verbally agree to the new contract on the recorded line.