Aadhaar e-KYC Authentication: The Reserve Bank of India said that NBFCs and payment system providers can apply for Aadhaar e-KYC verification license with the central bank.
Aadhaar e-KYC for NBFCs: Now Non-Banking Finance Companies (NBFCs) and Payment System Providers have also got the license for Aadhaar e-KYC authentication. The Reserve Bank of India has taken a big decision for NBFCs and payment system providers and has approved Aadhaar e-KYC. This will encourage digitization.
According to the news of PTI, the Reserve Bank of India said that NBFCs and payment system providers can apply to the central bank for Aadhaar e-KYC verification license.
The circular issued by the Reserve Bank said that NBFCs, payment system providers and payment system participants can apply to the department for Aadhaar verification license-KYC user agency (KUA) license or sub-KUA license, which is called It will be forwarded to the Unique Identification Authority of India (UIDAI). The application format has also been provided by RBI.
These people welcomed the decision
Ankit Bhatnagar, Head Product, Mswipe said that this initiative of RBI will increase the circle of trust among the customers. Now with e-KYC, NBFCs will rectify the problems. On the other hand, Manoj Chopra, Head Innovation and Product Development, Infrasoft Technologies, said that now it will become more secure for NBFCs, payment system providers and payment system participants to provide facilities to customers.
Apart from this, Tide (India) CEO Gurjodhpal Singh said on RBI’s decision that it is a good decision for the fintech ecosystem. This will encourage digitization, while the delivery of financial products will accelerate.
RBI alerts on KYC fraud
RBI has also alerted people on frauds taking place in the name of KYC verification. RBI has advised people not to share important information like their account details or password with any person or agency. Such frauds are done by sending calls, SMS, e-mails to the customers regarding KYC verification.
In these, personal details, account / login details, card details, PIN, OTP are asked from the customer. In this, it is asked to download the unauthorized application through the link sent for KYC update. If not, the customers are also warned to close the account.
