I know for a fact some (maybe all) banks require people to send photographs (and videos in certain circumstances) of themselves with relevant documentation to show that they are
1 - the person they say they are
2 - not a robot
The video bit is just to prove 100% that you own the documentation, you are who you say you are, and therefore not a spammer.
I assume the TOCs are trying to ensure that people don't use things like bots online to send 100s of requests for Smart Cards.
So what
@Bletchleyite said essentially.
-Peter