KYC FRAUD ALERT! RBI CAUTIONS customers against KYC UPDATING scams; Check more information SHARED by Reserve Bank
RBI has also informed that the process of periodic updation of KYC has been simplified to a large extent in a circular dated May 10, 2021.
The Reserve Bank of India (RBI) has been receiving complaints, reports about customers falling prey to frauds being perpetrated in the name of KYC updation, it said in a circular.
The usual modus operandi in such cases include receipt of unsolicited communication, such as calls, SMSs, emails, etc., by customer urging him/her to share certain personal details, account, login details, card information, PIN, OTP, etc. or install some unauthorised, unverified application for KYC updation using a link provided in the communication, RBI said.
Such communications are also reported to carry threats of account freeze, block, closure. Once customer shares information over call, message, unauthorised application, fraudsters get access to customer’s account and defraud him/her, it added.
Members of public are hereby cautioned not to share account login details, personal information, copies of KYC documents, card information, PIN, password, OTP, etc. with unidentified persons or agencies, the Central bank informed.
Further, such details should not be shared through unverified, unauthorised websites or applications. In case they receive any such requests, customers are requested to get in touch with their bank, branch.
It is also clarified that while the Regulated Entities (REs) are required to undertake periodic updation of KYC, the process of periodic updation of KYC has been simplified to a large extent vide circular dated May 10, 2021.
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Further, vide circular dated May 5, 2021, REs have been advised that in respect of customer accounts where periodic updation of KYC is due and pending as on date, no restrictions on operations of such account shall be imposed till December 31, 2021, for this reason alone, unless warranted under instructions of any regulator, enforcement agency, court of law, etc.
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