Know Your Customer (KYC) is a mandatory process of identifying and verifying a customer’s identity when they enter into any transaction with a financial organisation. From investments to loans to managing accounts, regulatory bodies mandate to record this information to confirm and maintain customer records for all future transactions.
But KYC is also limited in its current form, requiring massive manpower, time investments and repetitive forms as customers file multiple applications for a single financial transaction. A customer, for example, ordinarily must file a KYC with one institution to open an account – and then repeat the process should he/she need to transact with a different financial organisation. This repetitive nature of the KYC process slows down the onboarding process, drives up the overhead costs and lacks quality control. For both, the customer and the financial organisation, the process is time consuming, slow and frustrating as databases are updated individually for even the most trivial changes in the customer information.
Central Know Your Customer (CKYC) is a regulatory initiative instituted by the Reserve Bank of India (RBI) to address exactly these problems. Under the new guidelines, people looking to initiate a financial relationship would simply fill one KYC document, either personally, through agents or using services in the case of larger companies. This single document will be managed by the Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI) as mandated by the Govt. of India, allowing them to maintain a centralised databank of the latest customer information. When that customer then wants to conduct a financial transaction with a new partner – his/her details are automatically accessed and processed via this CKYC registry, ensuring compliance and speeding up the process significantly.
Any changes or updates to this document by the customers will also reflect in their CKYC record, allowing them to update their information across the financial sector without the duplication of efforts. CKYC, in one convenient move, will therefore save financial institutes and their patrons both money and time through the automation of KYC tasks.
YOUR PATH TO EASY COMPLIANCE BEGINS WITH CKYC PROCESS AUTOMATION AND BPO
Crown Records Management has been a central kyc registration agency partner to many leading financial organisations, extending its expertise with a range of offerings to ease the burden of due process for thousands of customers across the globe. This now includes assisting your company with CKYC applications and onboarding processes. Your digital transformation will begin with the digitisation of legacy documents (essential for CKYC!), and other onboarding processes tailored to your convenience. We offer two options when it comes to updating your CKYC information with the central registry:
- A one-time project where we update and digitise your records in compliance with CKYC and CERSAI regulations.
- On an ongoing basis, wherein Crown will constantly update and maintain documents pertaining to CKYC to ensure easy compliance.
Prudent financial decisions begin with understanding the processes behind them. Crown’s BPO and automation process is transparent, efficient and meticulous – ensuring compliance and digitisation of your records take place without any hassle.
