Know your client (KYC) verification is a mandatory requirement for mutual fund investments in India. KYC essentially is a record of the investor’s identity and address. If you are new to mutual funds, you must submit self-attested copies of your identity proof (either one of passport, driving license, PAN card, Aadhaar card etc.), address proof (either one of passport, Aadhaar card, property tax bill, electricity bill etc.) and PAN card which is mandatory, along with the duly filled KYC form with your photograph affixed on it. You can submit the form to a mutual fund distributor or to the Asset Management Company (AMC) or Registrar and Transfer Agency (CAMS, Karvy etc.) for in-person verification (IPV) which is mandatory. Whoever is doing your IPV, will verify your KYC from based on the documents submitted by you.
Please note that effective 1st January 2018, AADHAR has become mandatory for mutual fund investments in India. Therefore, submitting AADHAR Card copy with your KYC form is mandatory.
Please read in details how you can do KYC for mutual fund
Once you have submitted the necessary KYC documents to the AMC or RTA you can check your KYC status online on the websites of the KYC Registration Agencies (KRA) like CAMS, Karvy, CDSL, NDML, NSE etc. Please note that, you can check your KYC status on websites of any KRA, irrespective of where you submitted your KYC documents. Below are the steps to be followed for checking KYC status on CDSL website.
The output screen will show when the KRA was submitted, the KYC status (registered, on hold, rejected etc.) and the KYC hold reason (if any).
If you are an existing mutual fund investor but you have not made any mutual fund transaction for a long time, the AMC may reject your transactions, if your KYC is “On Hold” status. Therefore, if you have not made any mutual fund transaction for a long time you should check your KYC status online.
Let us now discuss what different KYC status means.
As you can see it is very easy to check your KYC online. However,if for any reason your KYC is not showing as registered or you know the reason for the KYC on hold,you can then submit the necessary pending documents and get your mutual fund KYC registered. Alternatively, you should contact your financial advisor or the AMC or the RTA whom you had submitted your mutual fund KYC application.