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Privacy Policy |
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Cyber Jagrukta Abhiyaan |
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RBI - Nationwide Awareness Poster |
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Banking For The Common Man |
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6 Easy Steps To Open A Bank Account |
KYC is an acronym for 'Know your Customer', a term used for customer identification process. It involves making reasonable efforts to determine true identity and beneficial ownership of accounts, source of funds, the nature of customer's business, reasonableness of operations in the account in relation to the customer's business, etc which in turn helps the banks to manage their risks prudently. The objective of the KYC guidelines is to prevent banks being used, intentionally or unintentionally by criminal elements for money laundering.
KYC has two components - Identity and Address. While identity remains the same, the address may change and hence the banks are required to periodically update their records.
| Features | Documents |
|---|---|
| Idenetity Proof(Any One) |
1. Passport 2. Pancard 3. Voter's Identity Card 4. Driving License 5. Identity Card 6. Letter from a recognized public authority or public servant verifying the identity and residence of the customer to the satisfaction of bank. |
| Address Proof(Any One) |
1. Telephone Bill 2. Bank Account Statement 3. Letter from any recognized public authority 4. Electricity bill 5. Ration card 6. Letter from employer (subject to satisfaction of the bank) (any one document which provides customer information to the satisfaction of the bank will suffice) |
What is Cheque Truncation System
Truncation is the process of stopping the flow of the physical cheque issued by a drawer at some point with the presenting bank en-route to the drawee bank branch. In its place an electronic image of the cheque is transmitted to the drawee branch by the clearing house, along with relevant information like data on the MICR band, date of presentation, presenting bank, etc. Cheque truncation thus obviates the need to move the physical instruments across branches, other than in exceptional circumstances for clearing purposes. This effectively eliminates the associated cost of movement of the physical cheques, reduces the time required for their collection and brings elegance to the entire activity of cheque processing.
