KYC can now be done remotely; RBI eases fresh KYC process by starting V-CIP facility

The Reserve Bank of India(RBI) announced on Thursday that a new KYC process can be completed in person at a bank branch or remotely via a Video-based Customer Identification Process.

RBI stated in a release that a self-declaration from the individual customer is sufficient to finish the re-KYC process if there has been no change to the KYC.

“Fresh KYC process can be done by visiting a bank branch, or remotely through a Video based Customer Identification Process (V-CIP) (wherever the same has been enabled by the banks), as provided in Section 18 of the Master Direction on KYC.”, RBI clarified in a statement.

The central bank stated that banks have been advised to offer a facility of this self-declaration to the individual customers through various non-face-to-face channels.

KYC

Some customers have also expressed dissatisfaction over the fact that digital re-KYC is not executed through bank websites and mobile applications, despite multiple online submissions of supporting documentation.

According to the most recent notification from the RBI, individual bank customers are encouraged to learn more about the options their bank offers them for completing re-KYC, such as submitting a self-declaration through the various non-face-to-face channels mentioned or completing new KYC in person at a bank branch or remotely via V-CIP.

Customers can complete re-KYC using registered email addresses, registered mobile numbers, ATMs, digital channels (like online banking/internet banking, mobile applications), letters, etc. without having to go to a bank branch, according to the RBI.

Additionally, customers can provide a revised or updated address through any of these channels if there is only a minor address change. The bank will then verify the updated address within two months.

The banking regulator has added that because banks are required to maintain their records by conducting routine reviews and updates, a new KYC process may be necessary in some circumstances, such as when the KYC documents present in bank records do not match the current list of the Officially Valid Documents or when the validity of the KYC document submitted earlier may have run out of time.

In these situations, the banks are required to provide a confirmation of receipt of the customer’s self-declaration or KYC documents.

The Voter’s Identity Card, a driver’s licence, an Aadhaar number proof, a job card issued by NREGA, and a letter from the National Population Register are considered Officially Valid Documents.

The V-CIP infrastructure and application should be able to block connections from IP addresses that are spoof or are located outside of India.

The live GPS coordinates (geo-tagging) and time-and-date stamp of the customer performing the V-CIP should be included in the video recordings. The live video quality in the V-CIP should be sufficient to enable unquestionable customer identification.