The Reserve Bank of India (RBI) has extended the deadline for doing the full KYC of customers for prepaid instruments (PPIs), like digital wallets, by 6 months. Experts say this move will benefit e-wallet issuers such as Paytm, Freecharge, Airtel Money, Ola Money, Amazon Pay, and PayU.

The extension was announced on 30th of August, just a day before the 31st August deadline expired. Earlier, for conversion to full KYC from minimum details, the deadline was August 31, by which time the e-wallets were supposed to get their users to complete KYC. Before this, the deadline was February 1, when the RBI extended the deadline by more 6 months after a series of appeals from fintech companies.

E-wallet players suffered a setback after an SC directive on Aadhaar prohibited its usage by private players for e-KYC. This forced digital wallet companies, which had obtained Aadhaar data from customers, to re-verify all those users physically. For e-wallets, the biggest hardship with compliance has been physical verification of the users’ documents, which can be painstaking and arduous.

Without this extension of the deadline by RBI, a large number of people using e-wallets would have found themselves restricted or completely blocked from using their mobile wallet apps. Users, who would have failed to meet the deadline to do full KYC, wallet companies / fintech players were supposed to give users the option to transfer their outstanding e-wallet balance to their respective bank accounts for the last time.

Find out how to complete KYC for you e-wallet;

KYC process through the Paytm app

  • Firstly, log in to the Paytm App
  • Then you need to click on the ‘Nearby’ option
  • Select the ‘Upgrade Account’ option and proceed
  • Click on your desired location from the dropdown list areas
  • Then you need to visit the KYC point nearest to your location to complete your KYC
  • You need to carry your Aadhaar card and Pan card as an ID Proof (Also, if you have done your Aadhaar OTP based KYC, it is only valid for 1 year as per RBI guidelines. Hence, to continue using your wallet after 1 year, you need to complete your in-person verification.)

Paytm KYC Without Aadhaar

  • You can also complete your KYC without Aadhaar, however, this facility is available only at select locations.
  • As per RBI guidelines, verification of original documents is required and needs to be done by Paytm employees.
  • For this, you need to carry your PAN and with either one of these documents for verification – driving license, passport, Voter ID card or NREGA job card.

KYC for Amazon Pay

  • Firstly, you need to have the Amazon app (download it)
  • To conduct the verification, you can choose a date and time slot as per your convenience and provide your address
  • An agent will be assigned to you who will arrive at the scheduled time for background-verified, to verify your original proof of address and PAN card.
  • You need to show your address proof which could be either of Driving license/ Passport/ Voter card along with PAN card.
  • The agent will then scan a QR code to confirm in-person verification. However, make sure you are present during the verification, as it is mandatory that the person who owns the Amazon pay balance account is present.