InvestmentYogi takes a look at what it takes to become Know-Your-Customer (KYC) compliant if you are an NRI or a PIO card holder.
As of 1st January, 2011, Know-Your-Customer (KYC) norms are mandatory for all retail investors, irrespective of the amount you are investing. In the past, retail investors who had invested less than Rs 50,000 had not been required to follow KYC guidelines. That has now changed.
How to become KYC Compliant
CDSL Ventures Limited (CVL), a wholly owned subsidiary of Central Depository Services (India) Limited (CDSL), has been appointed by the mutual fund industry, to do the KYC verification of the investors in India.
You will need to submit the following mandatory documents at a CVL Points of Service (POS) location:
1) Completed KYC application form
2) Address Proof (A utility bill, passport, letter from your employer or housing society, ration card, voter ID card, or drivers licence are all acceptable forms of residential proof.)
3) PAN Card
If you are submitting your KYC application in person you will need to have the original documents with you, as well as the copies to be processed. Originals will be returned to you after they are verified as accurate.
If you are sending the document through a courier, documents need to be attested by a Notary Public, Gazetted Officer, or Manager of a scheduled commercial bank.
As of now, there are no charges/fees for KYC verification.
Additional Information for NRIs and PIOs
Additional information for NRIs and PIOs (Person of Indian Origin) will be:
1) Certified True Copy of Passport
2) Certified True Copy of the Overseas address
3) Permanent address
4) For PIO – A certified true copy of the PIO Card
All documents must be submitted in English and can be attested by the Consulate office or overseas branches of scheduled commercial banks registered in India.
How to be compliant if you live outside India
As mentioned above, you will need to get the soft copy of the KYC form that is made available on the website of all Mutual Funds, AMFI and Central Depository Services (India) Limited (CDSL). The same duly completed along with the necessary attested documents (see above list) can be submitted at the POS or mailed to your representative or distributor who can complete the KYC formalities.