KYC norms to open bank account: You must be aware of these changes

For opening a bank account, someone needs to undergo know-your-customer (KYC) verification. The Reserve Bank of India (RBI) has simplified the KYC documentation allowing submission of a single document with photograph and address.

The documents approved for KYC include passport, driving licence, voter ID card, PAN card, Aadhaar and job card.

But in a recent directive, the apex bank said with customers’ consent banks can carry out Aadhaar authentication for a number of banking services.

An individual can use Aadhaar number for identification purpose for offline verification as well, the apex bank said.

In February, the Union Cabinet had approved promulgation of an ordinance to allow voluntary use of the 12-digit unique number as identity proof for opening bank account.

The RBI further said that 'Proof of possession of Aadhaar number' has been added to the list of Officially Valid Documents (OVD).

For Individuals desirous of receiving any benefit or subsidy under direct benefit transfer (DBT), the bank should obtain the customer's Aadhaar and may carry out its e-KYC authentication, the apex bank added.

The amended KYC norms further said for non-individual customers, PAN/Form No 60 of the entity (for companies and partnership firms - only PAN) should be obtained apart from other entity related documents. The PAN/Form No 60 of the authorised signatories shall also be obtained.

Form 60 is required to be submitted by an individual who does not have a Permanent Account Number (PAN).