How to do Aadhaar based e-KYC for mutual fund investments?
What is e-KYC?
e-KYC facility enables you to complete the entire KYC process online with direct authorization of investors. Currently e-KYC is available only to individual investors with single mode account. The key objective of e-KYC is to reduce turnaround time and paper work. e-KYC formalities can be completed online with hassle-free and paperless.
There are no forms to download, no taking print-outs, no signing and no document proofs to be uploaded for all resident individuals. Even no need to visit a physical office for verification. Everything can be done in easy 3 simple steps.
3 simple steps for Aadhaar based e-KYC
1. Enter your Aadhaar number, PAN card number, mobile number, Email ID. After providing the Aadhaar number and registered mobile number, an OTP will be sent to that UIDAI registered mobile number from the Aadhaar database. The same needs to be entered on the screen along with your pincode. The OTP will be valid for 30 minutes. In the event of non-receipt you need to regenerate OTP button to restart the process.
2. Once the OTP entered, e-KYC application form gets auto-populated data with your UIDAI data. Investors needs to cross check these and needs to enter additional details like email id, AMC name, bank name, date of birth, mode of holding, PAN number, nominee and mode of holding etc.
3. After successful e-KYC compliance, he/she can start investing after setting up your user credentials like user name and password
The investor has to log into any one of the KRA website, KRA’s are the agencies offers KYC services to all mutual fund companies. Investors are required to fulfill KYC requirements with these agencies once and your KYC completed record will be updated into KYC registration Agency Systems for usage by other intermediaries.
Currently SEBI permits mutual fund investment of Rs 50,000 each financial year per mutual fund for e-KYC. Once the investment reaches Rs 50,001 in a financial year, the investor will have to undergo normal in-person KYC verification.