What Is KYC In Banks? | KYC Full Form | KYC Meaning
We all know how much technology has progressed today and there is some change in every field, so in today’s time, the way of customer verification has also changed. You must have heard somewhere or you have heard all the customer executives The phones will keep on coming, Sir, you have not completed your KYC or
if you complete your KYC quickly, then if not all people have information about KYC, today I will tell you in this article what is the last KYC, what is KYC in banks What happens is that doing KYC is so important, why are we going to see the answers to all these questions in this article, what is KYC in banks, so let’s start
Today, almost everyone opens bank accounts in banks. And every day every month, they deposit their deposits in that account of the bank and want to take advantage of all the facilities available from the banks.
But they need to complete KYC to avail the facilities in all banks and private financial sector today, KYC process is an important and important process. This is what we know in this article.
What is KYC in banks? | KYC Full Form
If you do not know what is KYC in banks, or KYC Full Form then I will tell you
KYC full form: – “Know Your Customer,” writes like this.
KYC is a process whereby banks and any private financial sector companies fill a from all their customers and take KYC Documents from them in which they receive the Identity Card and Address Proof of the customers.
This ensures that the customer will not misuse the services of the bank or the company of the private financial sector. That’s why banks and private financial companies need to update their KYC based on the KYC status of customers from time to time, so far we have come to know what KYC is and what is KYC in banks. When is KYC required? And what documents are required for KYC?
What is KYC in banks?
I will tell you its information All the banks and private financial companies take necessary information about their customers and the cards of the customers under the KYC process.
So that if a person reveals his wrong identity and wrong address to commit fraud, then banks and private financial companies can be easily known before the fraud takes place. Due to which the criminal activities are reduced, so you must have realized that KYC is important.
Let’s know now what documents are required for KYC?
To perform KYC, the customer has to fill a form and along with the verification you have to provide the necessary documents in which you have to attach and submit the photocopy of those documents.
i) PAN card
iii) Voter ID card
iv) Aadhaar Card
v) Driving License
KYC requires these documents
What are some questions related to KYC in banks: –
1) Question: – I have not done my KYC. But I want to invest in the bank or private finance sector. So can I do this without KYC?
Answer: – You cannot do KYC before investing.
2) Question: – How long does the Verification of KYC take?
Answer: It usually takes less than 1 day for KYC Verification to take place. And the maximum time is up to 7 days.
3) Question: – I made my KYC earlier while investing. And if I am investing again, do I have to get my KYC done again?
Answer: KYC is from any institution approved by SEBI, so you will not need to get KYC again. KYC is only required at the beginning when making the first investment.
What are the types of KYC?
There are 2 types of KYC. But both have to take the information. But let’s see what difference between them
1) EKYC – Electronic Know Your Customer This is the way to know about the KYC of customers digitally. It is mostly based on KYC. It does not require any paper. In this, you have to put your thumb on the Biometric Device. The process of KYC is done by scanning it, your paperless Aadhaar gets your identity card – ID proof and your address – address proof information. This KYC is authenticated electronically.
2) CKYC – Central Know Your Customer This is KYC taking information from the customer by filling the form, it is done by all banks and all institutions. In which xerox copy of your identity card – ID proof and your address – Address proof is taken with the form, this KYC is used by insurance companies / mutual funds companies, etc. It is done in KYC Physical way.
Now you must have known how many types of KYC are there and how they work in both types.
What is KYC in banks How to submit Physical KYC Documents?
There is no way online to submit Physical KYC Documents, for which you have to submit all your papers only and only by going to Bank or any Financial Institution.
This type of information is to be given in Physical KYC Documents: –
√ Customer Name –
√ Date of Birth –
√ Father’s Name –
√ Mother’s Name –
√ Marital Status –
√ Address Proof –
√ Identity Proof –
√ Contact No –
√ PAN Card –
√ Source of the Funds –