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What are KYC documents and why is it required to be submitted?

Understand the meaning of KYC documents and why they are required. Find the standard KYC documents list needed for most transactions.

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2 mins 60 secs
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Last Updated - July 27, 2023
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KYC means “Know Your Customer”. KYC is a set of documents that are required to establish the identity of a person. Generally, an Identity Proof with a photograph and an Address Proof are the two basic mandatory KYC documents that are required to establish one’s identity. KYC documentation is usually required at the time of opening a bank account, fixed deposit, mutual fund, insurance etc.. Financial institutions may also require you to furnish Income Proof before opening a bank account, issuing a credit card, or issuing an insurance policy.

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KYC full form is Know Your Customer

KYC Document List

  • Photo Identity Proof
  • Address Proof

Nowadays, your Aadhaar Card should be enough for both Identity Proof and Address Proof. However, you may still find institutions insisting and a separate ID Proof and Address Proof along with your Aadhaar Card.

Why are KYC documents required?

KYC documents and the customer’s photograph have been mandatory only in the recent past when fraudulent transactions, fraudulent accounts, and money laundering had become prevalent. Thus banks, other financial institutions, telecom companies, and some government departments require these documents to establish the correct identity of a person before proceeding with any transaction. Income proof is needed to ensure that the source of money is clean.

Identity Proof – Document List

  • Aadhaar Card
  • Passport
  • PAN Card
  • Voter’s Identity Card
  • Driving License
  • Photo identity proof of Central or State government
  • Ration card with photograph
  • Letter from a recognized public authority or public servant
  • Bank Pass Book bearing photograph
  • Employee identity card of a listed company or public sector company
  • Identity card of University or board of education like ISC, CBSE, etc.

Address Proof – Document List

  • Passport
  • Voter’s Identity Card
  • Driving License
  • Electricity Bill, Telephone bill including mobile, landline, wireless, etc type of connections, not more than 6 months old
  • Bank Account Statement
  • Consumer Gas connection card or Gas Bill
  • Letter from any recognized public authority or public servant
  • Credit Card Statement
  • House Purchase deed
  • Lease agreement along with the last 3 months’ rent receipt
  • Employer’s certificate for residence proof

Income Proof – Document List

  • Income Tax Returns
  • Salary Slips
  • Bank Statement

There would be other identity and address proofs that are also accepted by different banks, financial institutions, telecom companies, and government departments. The list mentioned above is some of the most common and easily available documents.

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Author

Deepak Yohannan is the Founder & CEO of MyInsuranceClub. He enjoys writing on Personal Finance and focusses on explaining the basic concepts of insurance in simple language.