You don’t have to visit bank to update your KYC; how to do it online
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Synopsis
Banks have to update their database in regard to their customers' latest KYC status. This is an regulatory requirement and failure to do so could result in suspension of one's bank account. Read below to find out how to update one's KYC completely online
By Neelanjit Das, ET Online
Last Updated:
You are no longer required to visit the bank branches to update 'know you customer' (KYC) details if you have already submitted the valid documents and have not changed your address. If there is no change in your KYC information, you can submit a self-declaration through email-id, registered mobile number, ATMs, or any other digital channels.
According to the said RBI circular, banks have “been advised to provide the facility of such a self-declaration to the individual customers through various non-face-to-face channels such as registered email-id, registered mobile number, ATMs, digital channels (such as online banking/internet banking, mobile application), letter, etc., without need for a visit to a bank branch.”
However in some specific scenarios like if one’s KYC document’s validity has expired, or the submitted KYC document is no longer an officially valid document (OVD). In this case, one needs to physically visit the bank branch with documents listed on the current OVD list.
For HDFC bank customers, they can use this link: https://www.hdfcbank.com/personal/useful-links/important-messages/re-kyc-update to update their KYC. It can be done online.
ICICI bank customers can use the i-Mobile app to update their KYC details online. One needs to register on the i-Mobile app first and then log in using their mobile banking credentials. After that, an ‘update KYC’ banner will appear in their main mobile banking dashboard. Clicking that will start the KYC updation process.
Sometimes non-updating may lead to the closure of the account as well. According to an FAQ about KYC updation published by RBI, “If a customer having an existing account-based relationship with a regulated entity gives in writing to the regulated entity that he does not want to submit his Permanent Account Number or equivalent e-document thereof or Form No.60, a regulated entity shall close the account, and all obligations due about the account shall be appropriately settled after establishing the identity of the customer by obtaining the identification documents as applicable to the customer.”
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In a circular dated January 5, 2023, the Reserve Bank of India (RBI) said, "As per the present guidelines, if there is no change in KYC information, a self-declaration to that effect from the individual customer is sufficient to complete the re-KYC process,” read the circular from RBI dated January 5, 2023."According to the said RBI circular, banks have “been advised to provide the facility of such a self-declaration to the individual customers through various non-face-to-face channels such as registered email-id, registered mobile number, ATMs, digital channels (such as online banking/internet banking, mobile application), letter, etc., without need for a visit to a bank branch.”
How to update KYC details online
So if there is no change in address and the submitted KYC documents are still relevant, then you can submit a self-declaration to update your KYC. However “if there is only an address change, customers can furnish revised/updated addresses through any of these channels (mentioned above) after which, the bank would undertake verification of the declared address within two months,” said the RBI in the circular.However in some specific scenarios like if one’s KYC document’s validity has expired, or the submitted KYC document is no longer an officially valid document (OVD). In this case, one needs to physically visit the bank branch with documents listed on the current OVD list.
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For HDFC bank customers, they can use this link: https://www.hdfcbank.com/personal/useful-links/important-messages/re-kyc-update to update their KYC. It can be done online.
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ICICI bank customers can use the i-Mobile app to update their KYC details online. One needs to register on the i-Mobile app first and then log in using their mobile banking credentials. After that, an ‘update KYC’ banner will appear in their main mobile banking dashboard. Clicking that will start the KYC updation process.
What happens if the KYC updation is not done?
If an individual does not comply with KYC updation rules, then he/she stands at risk of restriction on transactions and even temporary suspension of their banking account. Simply put, their bank account will be unusable for carrying out certain financial or non-financial transactions. However, before this adverse step is taken, the bank will inform the said customer who has not updated their KYC before the account is suspended.ADVERTISEMENT
Sometimes non-updating may lead to the closure of the account as well. According to an FAQ about KYC updation published by RBI, “If a customer having an existing account-based relationship with a regulated entity gives in writing to the regulated entity that he does not want to submit his Permanent Account Number or equivalent e-document thereof or Form No.60, a regulated entity shall close the account, and all obligations due about the account shall be appropriately settled after establishing the identity of the customer by obtaining the identification documents as applicable to the customer.”
