InvestorQ : What are the new digital KYC norms?
seema Upadhyaya made post

What are the new digital KYC norms?

Anushri Vasa answered.
3 years ago
The Reserve Bank of India has recently introduced the Aadhaar-based Video Customer Identification Process (V-CIP) to allow the banks and major lenders to complete KYC of customers on video.

This step was taken by RBI to leverage the digital channels for the Customer Identification Process (CIP) by the lenders, this method shall be an alternate method and the earlier e-KYC facility shall continue as it was. The video KYC will be consent-based, which means the banks will have to take the permission of the customers for video-based KYC.  

The RBI has made changes in the definition of Digital KYC under section 3 of its Master Direction On KYC. It is now defined as “capturing live photo of the customer and officially valid document or the proof of possession of Aadhaar, where offline verification cannot be carried out, along with the latitude and longitude of the location where such live photo is being taken by an Authorized officer of the Reporting Entity (RE) as per the provisions contained in the Act."

Entities other than banks shall carry only Offline Verification of Aadhaar. RBI has explained the norms for capturing the images and other documents so as to avoid any disagreement or chaos with the requirements.