KYC full form in banking :- Has your account been frozen? Are you unable to carry out your online activities? Have you been banned from transacting with the bank or any online payment app in any way? ? and don’t know how to resolve this?
Are you feeling confused because you don’t understand what to do? Do you know what KYC means? Why is it important? When should you do it? Which documents are needed for it?
Don’t worry! We’ll explain everything to you in simple words. We’ll tell you what KYC is, why it’s important, and how to complete it step by step so you can solve your problems easily!
What is KYC in Banking?
KYC is a process which is so important that you cannot do any digital activity without completing this process. A bank and institution get their customer’s KYC done to know about them, by which they verify their background, they verify that this is the same person who is in front of us, to identify the customer whether he is the same person or not.
| KYC Full Form | Know Your Customer |
| eKYC Full Form | Electronic Know Your Customer |
Also Read : TRF Full Form
What are the benefits of KYC?
When we talk about KYC benefits, there are a lot of them, some of which are given below:
- Protection from fraud
- Providing security to customers
- Monitoring online un-activities of the customer so that no illegal process can be done and the customer can get the benefit of all the services.
Why is KYC necessary?
One of the main objectives of the KYC process is to identify the customers and to avoid wrong activities. Now, when we go to any bank or institution, we use Paytm online payment application, which we all use today, but do you know that before using it, you have to do KYC on this application as well so that the bank and you know that you are safe. All your activities are happening correctly and you can avoid fraud and scams and fraud messages and calls and be careful about all financial problems.
There are some services for which it becomes mandatory to get KYC done.
- Banking
- Insurance
- Mobile SIM
- For passport application
- While applying for a bank loan
- While applying for a credit card
- While opening an investment account
- If you make any change in your address
What are the documents required for KYC?
The most important documents for KYC are as follows ;
- Aadhar Card
- PAN Card
- Mobile Number
- Email ID
- Bank Account Number
- Biometric in which your eyes and fingers are scanned
KYC FAQs:
KYC (know your customer) is a process in which banks and other financial institutions identify their customers and know their identity and address. It is important in banks to keep customer data updated for security reasons.
Documents required for KYC are Aadhaar card, PAN card, mobile number, email ID, or may be bank account number (Passbook).