The Reserve Bank on Monday cautioned people against frauds in the name of KYC updation and advised them not to share key information like account details or passwords with unidentified persons or agencies. 

In a statement, the RBI said it has been receiving complaints/reports about customers falling prey to frauds being perpetrated in the name of KYC updation.

“@RBI Kehta Hai..Stay Alert! Do not share your login details, personal information, copies of KYC documents, card information, PIN, password, OTP, etc. with unknown people or through unverified websites or Apps,” tweeted.

On Monday, the RBI issued a launch wherein the financial institution mentioned that it has been receiving complaints about prospects falling prey to frauds being perpetrated within the identity of KYC updation.

“The same old modus operandi in such circumstances embrace receipt of unsolicited communication, equivalent to, calls, SMSs, emails, and so forth by buyer urging him/her to share sure private particulars, account/login particulars/card data, PIN, OTP, and so forth or set up some unauthorized/unverified utility for KYC updation utilizing a hyperlink supplied within the communication,” the financial institution mentioned within the launch.

It mentioned that when a buyer shares data over name/message/unauthorized utility, fraudsters get entry to the buyer’s account and defraud him/her.

What to do?

RBI said that in case customers receive any request for sharing details account login, personal information, copies of KYC document, etc, they should get in touch with their bank/branch.

The RBI further said it is also clarified that while the Regulated Entities (REs) are required to undertake periodic updation of KYC, the process of periodic updating of KYC has been simplified to a large extent vide circular dated May 10, 2021.

Further, through a circular dated May 5, 2021, the Regulated Entities were “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,” RBI said.