RBI allows e-docs issued from DigiLocker for KYC process

Monday 13 January 2020 12:59 CET | News

The Reserve Bank of India (RBI) has officially granted recognition to the DigiLocker platform, which allows citizens to store their personal documents online, for KYC process.

Via this move, e-documents issued by issuing authority to customer’s Digital Locker account will now be accepted in the KYC process. This decision follows the inclusion of DigiLocker e-documents in the PMLA Act (The Prevention of Money-laundering (Maintenance of Records) Rules, 2005) four months ago.

The RBI also allowed banks and other lending institutions regulated by it to use Video-based Customer Identification Process (V-CIP) for the KYC process, as well as it has permitted live photos of the customer and their officially valid document as a proof of identification. However, EnTrackr reports that the changes done by the RBI – the official recognition to DigiLocker and the announcement of video-based KYC as an option to establish a customer’s identity – are seen as a boost for the financial services industry, since they will replace the extensive and cumbersome physical KYC process.

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Keywords: e-documents, DigiLocker, KYC, RBI, PMLA Act, video-KYC, banks, identity, customer identification
Categories: Fraud & Financial Crime
Countries: India
This article is part of category

Fraud & Financial Crime