RBI decision to allow NBFCs apply for Aadhaar-e-KYC license to promote digitisation !
Nowadays, nearly every aspect of our lives is touched by technology, and banks are no exception. Bank customers expect the system to move from traditional, manual to open the fast and digital account. This is important because the process of attracting new customers is the bank’s first chance to win them over and pave the way for the entire relationship to move forward.
Experts say e-KYC provides the efficiency built for the people. Through this process, important documents such as Identity proof, address proof, age proof, don’t have to be submitted by an individual, thereby helping them to get their work done quickly.
Here is the good news!
The RBI has said NBFCs, Payment System Providers and Payment System Participants desirous of obtaining Aadhaar Authentication License may submit their application to the central bank for onward submission to UIDAI which means now NBFCs and Payment Systems are allowed to move faster with their processes by e-KYC facility.
Reserve Bank’s decision to allow NBFCs and payment service providers to apply for obtaining Aadhaar e-KYC Authentication Licence will promote digitisation and check frauds, opined Fintech players. The RBI has said NBFCs, Payment System Providers and Payment System Participants desirous of obtaining Aadhaar Authentication License – KYC User Agency (KUA) License or sub-KUA License, may submit their application to the central bank for onward submission to Unique Identification Authority of India (UIDAI).
The Reserve Bank’s initiative will also help in improving trust levels among customers because only licensed entities will be permitted to conduct EKYC
NBFCs can now apply for Aadhaar EKYC license. To promote digital usage across financial institution RBI has announced on new circular RBI/2021-22/98 DOR.AML.REC 48/14.01.001/2021-22 issued on 13th September 2021.
This will promote digitization, resulting in a forward-thinking approach to ensure fast delivery of financial products in the sector and thus improve experience for many customers who had been facing a lot of issues.
According to circular Non-Banking Finance Companies (NBFCs), Payment System Providers and Payment System Participants aspiring to get an Aadhaar Authentication License – KYC User Agency (KUA) License or sub-KUA License, may complete their application and submit it to the central bank for onward submission to Unique Identification Authority of India (UIDAI).
The applications can also be forwarded over email on
Email Id: cgmaml@rbi.org.in
As per the circular application should be submitted on below address –
The Chief General Manager-in-Charge Department of Regulation
Business Conduct Group Reserve Bank of India,
Central Office 12th Floor,
Central Office Building Shahid Bhagat Singh Marg,
Fort Mumbai-400 001
JISASoftech provides CryptoBind-EKYC solution that offers secure and completely remote identity verification complying with the guidelines of UIDAI.
The CryptoBind provides an API-based EKYC solution where KYC is done electronically. Aadhaar EKYC is defined as a paperless Know Your Customer (KYC) procedure, wherein the identity and address of the user are verified electronically through Aadhaar authentication. EKYC is a strategy that has been established to control theft of identity, frauds as well as money laundering.
CryptoBind EKYC is a middleware which handles EKYC and E-Authentication activity on behalf of the client application. It is secure and safe method to share confidential information with relevant KUA’s. It is quick and paperless procedure for verification.
JISA Softech is a cryptography-focused information technology company based in India. We offer cryptographic solutions to financial institutions, manufacturers, enterprises and government agencies. Our primary product lines have included industry-compliant Hardware Security Modules, Key Management Solutions, Tokenisation, Encryption, Aadhaar Data Vault, and Authentication solutions. All our Cryptographic solutions are sold under the brand name CryptoBind. Our innovative solutions have been adopted by businesses across the country to handle mission-critical data security and data protection needs.
To implement Aadhaar EKYC service contact us at:
Phone: +91-9619222553
Email: sales@jisasoftech.com
