I can't speak to the accuracy, but I just integrated stripe's offering for our product (which involves banking). We were small enough for a while not to need it, but eventually the fraudsters find you.

If you don't take these measures, you will lose money to fraud. You may also lose your business because you aren't meeting your AML/anti-terror obligations. (I also just had to take my annual training course).

There are a bunch of mitigations, of which identity verification is just one, and all of them are lousy for our good customers. I wish the banking systems were better and we didn't need to do any of it.