Video KYC (Know Your Customer) is a modern, RBI-approved digital verification method that allows customers to complete their KYC process remotely using a video call. This innovative approach has revolutionized banking by making account opening and verification faster, more convenient, and more secure than traditional methods.
What is Video KYC?
Video KYC, also known as Video-based Customer Identification Process (V-CIP), is a digital verification method where a bank’s authorized representative conducts a real-time video call with the customer. During this process, the customer’s identity and address are verified through live video interaction combined with document verification. According to the RBI’s Master Direction on Know Your Customer, video KYC is a legitimate and fully compliant method of customer verification.
This method eliminates the need for customers to visit bank branches in person, making it especially beneficial for individuals in remote areas or those with limited mobility.
Why RBI Approved Video KYC?
The Reserve Bank of India has specifically endorsed video KYC as part of its digital banking initiatives. The RBI’s guidelines ensure that video KYC maintains the same security and verification standards as in-person KYC. Key reasons the RBI approved this method include:
- Enhanced Security: Video verification provides biometric confirmation through live face recognition
- Regulatory Compliance: Meets all Anti-Money Laundering (AML) and Know Your Customer norms
- Financial Inclusion: Enables banking access for customers in underserved areas
- Fraud Prevention: Real-time verification reduces identity theft and account misuse
- Operational Efficiency: Reduces processing time from days to minutes
Video KYC Process: Step-by-Step Guide
Step 1: Initiate the Video KYC Request
- Visit your bank’s website or mobile app
- Select the Video KYC option
- Provide basic information (name, contact details)
- Choose your preferred time slot
Step 2: Prepare Required Documents
- Valid government-issued identity proof (Aadhaar, PAN, Passport)
- Address proof (utility bill, bank statement)
- Recent passport-sized photograph
- Internet connection and device with camera (smartphone or laptop)
Step 3: Join the Video Call
- The bank’s authorized officer calls you at the scheduled time
- Ensure proper lighting and clear background
- Have all documents ready and clearly visible
- Follow the officer’s instructions for document presentation
Step 4: Verification and Document Review
- The officer verifies your identity through facial recognition
- Documents are reviewed for authenticity
- Your address is confirmed through the address proof
- All details are cross-checked against government databases
Step 5: Signature and Approval
- Digital signature or thumb impression may be required
- Sign the KYC declaration form
- Receive confirmation of successful completion
Benefits of Video KYC
Video KYC offers numerous advantages over traditional in-person KYC processes:Convenience: Complete KYC from anywhere, eliminating the need to visit a branch
Speed: Faster verification process – completion in 15-30 minutes
Accessibility: Especially beneficial for seniors, students, and people in remote areas
Cost-Effective: No travel expenses or time off work required
Enhanced Security: Biometric verification ensures genuine identity confirmation
Reduced Fraud: Real-time verification prevents identity theft and unauthorized account use
24/7 Availability: Video KYC services are available across extended operating hours
Paperless Process: Digital documentation reduces paperwork and environmental impact
Comparison: Video KYC vs Traditional KYC
Video KYC is significantly more convenient than traditional methods. While traditional KYC requires visiting a bank branch during business hours and waiting in queues, video KYC can be completed in minutes from your home or office. The process is identical in terms of security and compliance, but video KYC is faster and more accessible.
For a detailed comparison of different KYC types, you may want to review our comprehensive guide onMinimum KYC vs Full KYC