KYC – Know Your Customer, is a process to get your identity. This is a paper based verification system usually used when you open a Bank account or Stock Broker account. In this process, you need to physically present your documents like PAN card, Aadhar Card, Driving Licence, Voter Id and similar documents. This process helps to ensure that banks services are not misused and periodically updated the information in system.
eKYC – Electronic Know Your Customer, is a paperless Aadhaar based process for fulfilling your KYC requirements to start investing in Mutual Funds. SEBI has recently allowed Aadhaar-based KYC to be used for MF investments, for the convenience of investors or in order to reduce paperwork. In eKYC process, one need to submit the digital copy of documents and OTP based Aadhar verification.
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