KYC Through Aadhaar:
What is Aadhaar Card KYC and E-KYC?
However, verifying the details of Aadhaar takes some time as you need to visit each centre to submit your card and get it verified. In such cases, E-KYC is highly helpful as institutions and companies do not need you to come and verify the details mentioned on the card. This is because they are accessing these details directly through UIDAI, meaning it’s already verified. This makes the whole process quicker and easier.
This service has modernised the process along with offering the freedom to customers to disclose their Aadhaar information to service providers. This is a convenience for both existing and new customers of various companies and banks.
Aadhaar E-KYC Process:
E-KYC of any individual holds equal significance like any other physical document. This comfortably keeps up with the Information Technology Act, 2000. In addition, electronic documentation is also much safer than paper documents as the data cannot be stolen or tampered with under any condition. Aadhaar E-KYC is also accepted by the Ministry of Finance under the PML (Prevention of Money Laundering) Rules.
Impact of Aadhaar E-KYC:
Aadhaar E-KYC benefits both service providers and customers as it reduces the paperwork on both sides. Customers do not have to worry about carrying a load of documents and service providers do not have to store and safeguard tonnes of documents provided by customers. This reduces maintenance and overall operational costs as well. Any service provider can store their customer information on one server which can be accessed anytime as per their need. Moreover, limited human intervention also makes the whole process secure and less prone to frauds and mistakes. This gives immediate results and improves overall efficiency.