If they want to update their KYC (Know Your Customer) information , Indian citizens can now do it online and avoid going to the bank. In order to ensure uniformity throughout the sector and safeguard the financial system, the Reserve Bank of India (RBI) has made it required for customers to update their KYC information on a regular basis. The RBI has now made online KYC updates available for consumers who have already provided valid documentation and whose address has not changed in order to improve this procedure.
KYC updates up until last year needed a trip to a bank. However, the Reserve Bank of India (RBI) stated in a circular dated January 5, 2023, that customers can make a self-declaration using their email address, registered mobile number, ATMs, or other digital means if there are no changes to their KYC information. According to the circular, a self-declaration to that effect from the individual client is sufficient to finish the re-KYC procedure if there has been no change in KYC information.
The banks have been requested to provide these self-declaration facilities to individual customers via a variety of non-face-to-face methods, such as registered email addresses, registered mobile numbers, ATMs, digital channels (such as online banking / internet banking, mobile applications), letters, etc., without the need for a visit to a bank branch.
How to update KYC online Quickly
- Access the online banking website of your bank.
- Find and choose the “KYC” tab.
- Follow with the on-screen prompts and enter your information, including your name, address, and birthdate.
- Upload scanned versions of your PAN, Aadhaar, and any other necessary papers. Make care to scan both sides of your official identification cards.
- Press the “Submit” button. The bank will provide you a service request number and, as necessary, inform you on the status through SMS or email.
Notably, sometimes you may be required to update your KYC documents in person at a bank location. If your KYC documents have expired or are otherwise invalid, you will often need to do this. You must bring the documents listed on the list of officially valid documents (OVD) when you visit the bank office.
What if KYC is not updated
Know Your Customer (KYC) is a process through which banks gather information on the names and addresses of its clients. Confirming the client’s identity as well as assessing their level of risk are the goals of the information gathered. The KYC procedure is essential in preventing the improper use of banking services.
Banks must follow the KYC procedure and keep it up to date on a regular basis when creating new accounts.
If you don’t update your KYC information, you risk having transactions restricted or possibly having your bank account temporarily suspended. Non-updates occasionally even lead to account closure. Consequently, you won’t be able to utilise your account for some financial or non-financial purposes.
However, the bank will let you know if your KYC is out of date before suspending your account before taking this significant move.