What changed
RBI inserted an Explanation in paragraph 64 of the Directions stating that the RE that last uploaded or updated the customer's KYC records in CKYCR is responsible for verifying identity/address; banks downloading and relying on such records are not required to re-verify, provided records are current and compliant, but remain responsible for all other CDD aspects.
What it means for you
This amendment clarifies responsibilities for KYC procedures among Regional Rural Banks regarding CKYCR records, ensuring compliance with PML Act/Rules.
What you must do
- Review and update KYC procedures to reflect the new responsibilities
- Ensure that customer records are uploaded and downloaded correctly from CKYCR
- Verify the identity and address of customers as per the amended Directions
Who it affects
Regional Rural Banks
What is the purpose of the RBI Know Your Customer Amendment Directions 2025?
The purpose is to clarify the responsibility of entities uploading customer records to and downloading the same from CKYCR, based on the office memorandum issued by the Department of Revenue, Govt of India.
What are the key changes in the amended Directions?
The RE that last uploaded or updated the customer's KYC records in CKYCR is responsible for verifying identity/address. Banks downloading and relying on such records are not required to re-verify, provided records are current and compliant, but remain responsible for all other CDD aspects.
What are the implications of non-compliance with the amended Directions?
Non-compliance may result in risks under the PML Act, 2002 and PML Rules, 2005.