SBI customers alert! Bank freezes accounts for not updating KYC
PremiumSBI freezes accounts for not updating KYC: Taking to the social media platform Twitter, the users have complained about the same tagging the official handle of the bank
Do you have an account in the State Bank of India (SBI)? Then this bit of news is very important for you. The country's top lender has frozen several accounts of SBI customers for non-compliance with Know Your Customer (KYC) norms. Taking to the social media platform Twitter, the users have complained about the same tagging the official handle of SBI.
SBI customer Gaurav Agarwal tweeted: “My account has been put on STOP because of KYC overdue. No one asked me for KYC so why the hell my account put on STOP mode. Is everyone fool in SBI ?"
Replying to the customer, SBI tweeted, “As per RBI Mandate, customers supposed get their KYC updated periodically. Hence, customers whose KYC updates are due are notified through many channels, one of them being SMS.
“Based on this notification one can either visit any of our Branches to update their KYC details or send a copy for their KYC Documents to their Branch email id through your registered mail id (if the KYC details are unchanged)," the bank added.
Another user, who is an NRI tweeted, "My account money transfer is banned and it shows message "KYC non compliance". Atleast call or mail to complete the KYC, but here SBI directly stopped transaction.... I am NRI... please guide how to complete KYC..."
“We would like to inform you that KYC is an ongoing exercise conducted at regular intervals. It seems that your account is due for KYC, hence the message has been forwarded to you. Kindly visit the branch and get it done for the smooth functioning of the account," State Bank of India said in its reply.
Reserve Bank of India (RBI) advises banks to regularly update KYC given the increasing threat of online frauds.
What is Know Your Customer (KYC)
Know Your Customer ( KYC) is a process where banks obtain information about their customers’ identity. The KYC procedure is used when bank customers open accounts. Periodic updation has to be carried out at least once every two years for high risk customers, once eight years for medium risk customers and once in every ten years for low risk customers.
Documents needed for SBI KYC updation
Passport
Voter's Identity Card
Driving Licence
Aadhaar Letter/Card
NREGA Card
PAN Card
How to update SBI KYC details
SBI customers need to submit a duly filled and signed prescribed format if there is no change in the KYC information provided earlier by them. This format can be submitted to the branch in person, or through the registered email id or by post.