IDBI Bank allows video-based customer identification

IDBI Bank on Wednesday announced a video-based customer identification process, in line with the RBI's decision to allow banks to accept the method due to the coronavirus-posed challenges to the economy.

In an unscheduled announcement, RBI Governor Shaktikanta Das directed banks and other regulated financial entities not to impose any punitive restriction against customers for failure to update KYC till December-end, in view of the second wave of coronavirus cases.

The regulator also extended the scope of video KYC (know-your-customer) or V-CIP (video-based customer identification process) for new categories of customers such as proprietorship firms, authorised signatories and beneficial owners of legal entities.

Also read — RBI relaxes KYC norms in wake of second Covid-19 wave, asks banks not to impose restrictions till Dec-end

IDBI in a release mentioned that the RBI has decided to extend the scope of the video-based customer identification process (V-CIP) known as Video KYC. "It has advised inclusion of additional categories of the customers as well as periodic updating of KYC records through Video KYC, as a customer-friendly measure. As a response, IDBI Bank has launched the facility of periodic KYC updation through the V-CIP," it said.

Suresh Khatanhar, Deputy Managing Director said, "In continuation of various digital measures introduced by IDBI Bank, customers can now update their KYC through the V-CIP without any need to visit the branches."

The customers can initiate the process at their convenience through the V-CIP link available on the bank's website. This is a completely contactless process, he said.

The Reserve Bank announced a set of measures in the wake of the second wave of the Covid-19 pandemic.