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India Post and Nippon India Mutual Fund launched door-to-door KYC verification to boost mutual fund access in rural areas, supporting the Jan Nivesh initiative for financial inclusion.
Expense ratio impacts long-term mutual fund returns.
India Post has teamed up with Nippon India Mutual Fund to launch a door-to-door KYC verification service. This initiative aims to enhance mutual fund accessibility in rural and underserved areas as part of the Jan Nivesh initiative.
The Ministry of Communication highlights that India Post is an excellent partner due to its extensive presence across the country, including the remotest regions. This partnership is expected to streamline the KYC process for individuals residing in rural areas or those with mobility challenges.
KYC (Know Your Customer) is a mandatory requirement for investing in mutual funds. Once completed with one fund house, the KYC status is valid across all Asset Management Companies (AMCs).
Benefits Of Doorstep KYC
Enhanced Access: Residents of rural areas and individuals with mobility issues can now complete their KYC process from the comfort of their homes.
Added Convenience: There is no need for travel, as the verification takes place at the doorstep.
Financial Inclusion: The initiative allows a broader range of individuals to enter the mutual fund space.
India Post has already demonstrated its efficiency and security by successfully handling over 500,000 KYC verifications for UTI and SUUTI in a short period. This proves its capability to manage large-scale operations.
Empowering Investors
The door-to-door KYC service not only provides convenience but also aligns with the Government of India’s Jan Nivesh initiative, which focuses on promoting financial inclusion. This service ensures that a wider segment of the population, especially those in rural and underserved areas, can participate in the mutual fund market and make informed investment decisions.
Step-by-Step Guide To Using the Service
- Download the KYC form from a KRA (KYC Registration Agency) or AMC website.
- Fill in the required details—name, address, PAN, and contact information.
- Attach self-attested documents and submit them to the KRA, R&T agent, or AMC office.
- India Post will schedule a home visit for in-person verification.
- It may take up to a week for the KYC update to reflect in your account.
By offering this service, India Post is making financial products more accessible to those who might otherwise face barriers, thereby empowering them to secure their financial future.
