There are different types of KYC or Know Your Customer norms that banks and other financial institutions follow. The most common types of KYC procedures are Offline KYC or In-Person-Verification (IPV) KYC and Aadhaar based KYC (eKYC). In Aadhaar based KYC, your identity is verified online in a paperless manner using your Aadhaar card. In offline or IPV KYC, your identity and address are verified in person by a representative of the bank or financial institution. No matter which KYC type is carried out, it is necessary to verify the identity of the customer and prevent fraudulent activities.
1. Paper-based KYC
This type of KYC verification happens in person using self-attested, physical copies of the address and identity proofs. You need to physically visit the bank, fund house office, or KYC Registration Agency and submit the signed form along with the documents.
2. Aadhaar-based eKYC
In this method, the data collected by the Unique Identification Authority of India (UIDAI) is used to authenticate customers remotely. You can opt for online identity verification using Aadhaar OTP based or Biometric-based verification. For OTP-based verification, you would need to have your mobile number linked with your Aadhaar Card. For biometric verification, on the other hand, you need to provide your biometrics, which would then be evaluated using UIDAI-certified biometric scanners.
3. Digital KYC
This type of KYC verification involves the geotagging of your live photograph along with the Officially Valid Documents (OVDs). You can upload the scanned copies of the KYC documents online while submitting the form. The digital KYC process then verifies the details entered against the information on the geo-tagged documents.
4. Offline KYC
The offline KYC process is different from in-person, paper-based verification. This type of KYC requires you to download and share your Aadhaar Paperless Offline e-KYC document. You also need to provide your consent that the information in the document can be used for KYC verification.
5. Central KYC (CKYC)
CKYC is the process of submitting the KYC documents and authenticating your identity, after which, the KYC records are added to the central repository. This central repository is maintained by the Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI) and can be accessed using the 14-digit number assigned against the record.
6. Video KYC
As the name suggests, this type of KYC is done through a video. The process may be assisted or non-assisted, but it is entirely paperless and online. For fraud-free authentication, you need to submit the KYC documents and record a video using a web portal or an app chosen by the financial institution to verify your KYC. Post submitting, the application is manually viewed and verified by an agent.
