wordpress blog stats
Connect with us

Hi, what are you looking for?

Uniform KYC norms and measures to tackle fake loan apps discussed at Financial Stability Council meeting

Finance Minister discusses digital KYC and measures against unauthorized lending apps at FSDC meeting.

In a meeting of the Financial Stability and Development Council (FSDC) chaired by Finance Minister Nirmala Sitharaman on February 21, the Council discussed simplifying KYC norms in the financial sector and measures to curb illegal loan apps, among other things. Uniform KYC norms and inter-usability of records for the financial sector The council discussed prescribing uniform know-your-customer (KYC) norms across the financial sector and the interoperability of KYC records. It also deliberated on the simplification and digitalization of the KYC process. Notably, the Central KYC Registry, a centralized repository of KYC records introduced by the government in 2016 for these very purposes, already exists. However, it remains unclear whether the government intends to update its policies regarding this registry to further streamline KYC norms or plans to introduce new measures altogether. Despite the existence of the Central KYC Registry, the KYC process is far from seamless. Different types of financial entities still adhere to varying KYC norms, and inconsistencies can even be found among entities of the same kind, such as banks. Additionally, individuals often find themselves needing to undergo a fresh KYC procedure when applying for a new service or dealing with a new entity. Furthermore, the KYC process is not fully digitized, requiring physical presence or documents in certain cases. These complexities can prove burdensome for both financial entities and customers alike. Failure to comply with KYC norms carries significant risks, as demonstrated by recent actions taken by the Reserve Bank of India (RBI) against non-compliant financial entities.…

Please subscribe/login to read the full story.
Written By

Free Reads

News

The ‘Reforming Intelligence and Securing America Act’ (RISAA) is a legislation to reauthorize Section 702 of the Foreign Intelligence Surveillance Act (FISA).

News

In its submission, the Interior Ministry said the decision to impose a ban was "made in the interest of upholding national security, maintaining public...

News

Among other things, the security requirements include data encryption and regular review and updated access permissions to reflect personnel changes.

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

NPCI CEO Dilip Asbe recently said that what is not written in regulations is a no-go for fintech entities. But following this advice could...

News

Notably, Indus Appstore will allow app developers to use third-party billing systems for in-app billing without having to pay any commission to Indus, a...

News

The existing commission-based model, which companies like Uber and Ola have used for a long time and still stick to, has received criticism from...

News

Factors like Indus not charging developers any commission for in-app payments and antitrust orders issued by India's competition regulator against Google could contribute to...

News

Is open-sourcing of AI, and the use cases that come with it, a good starting point to discuss the responsibility and liability of AI?...

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ