Mandatory KYC attributes for Demat account - Angel One (2024)

Realising the importance of KYC (Know Your Customer), concerned depositories have asked investors with Demat accounts to complete their KYC process. But what is KYC? KYC is the process of identifying and verifying the authenticity of a customer. It helps in bringing transparency by eliminating unlawful practices. All the Demat account holders must mandatorily update 6 KYC attributes to continue trading or investing using their Demat accounts. To make it easy for the users and the regulators, online KYC has now become a trend.

6 attributes of KYC

Fields that need to be mandatorily filled by the participants are,

1. Name

The name you provide should match with the name on your PAN card, that is, the name as on the income tax site

2. Address

Make sure your address matches with the one on the address proof provided (Refer KYC checklist to know the documents accepted)

3. PAN

Clients must submit a PAN card to continue transacting in the stock market. Checklist for a valid PAN:

– PAN should be seeded with Aadhar Card. If it is not linked to Aadhaar Card till the date specified by the government, it won’t be considered a valid PAN. If your PAN is not linked to Aadhaar yet, do it now,here

– Online PAN verification can be done using the Income Tax database. Click hereto verify your PAN

4. Mobile Number

Make sure the following pointers are taken care of while entering your mobile number.

– Enter a valid 10-digit mobile number of your own

– If your mobile number is linked to more than 1 Demat account and the family flag is not updated, you’ll receive a 15 days notice to submit a modification form for the same.

Angel One has made the above process easy for you,

– You can modify your mobile number by going to your Angel One mobile application or web platform profile

– You can send your family declaration details (Name, Relationship, PAN, Mobile number, Client Code) from your registered email to [email protected]

5. Email ID

While entering your email ID, please keep in mind the following points.

– If @ is not mentioned in email ID or is mentioned multiple times, it will be invalid

– If ‘Noemail’,’ not provided’ or ‘XYZ’ is filled for the email ID, it won’t be considered valid

– Don’t add invalid email domains

Points to keep in mind for mobile number and email ID

– All the Beneficial Owner (BO) account holders must provide separate email ids and mobile numbers

– As a BO, if you want to update the mobile number and email address of your family members, you can do so – by submitting a written declaration

– Please note that only self, spouse, dependent parents and dependent children are considered as a family for this purpose

Verification of mobile number and email ID

– You will receive an SMS and an email for electronic confirmation of both

– Once the verification is done, a ‘verified’ flag will be enabled against your mobile number and email ID

– In case mobile number or email ID cannot be verified, your account will be considered non-compliant

6. Income Range

Declaring income range has been made mandatory by the depository participants. You will need to fill and submit Form 9 (Account opening form for individuals) or Form 11 (for non-individuals) to specify the income range. The income range options for the individuals and non-individuals in these forms are mentioned in the table below.

What is the deadline to update your KYC?

The original deadline for making your existing Demat accounts KYC compliant was 31-Jul-21, and for the new clients, it was made effective from 01-Aug-21. SEBI has now extended the deadline for the current clients of Demat account to 31-Dec-21 from 30-Sep-21. It is the second time the deadline has been extended for the existing clients.

Conclusion

This initiative by the regulators and depositors will ultimately benefit clients like us. It will help minimise the risk and save you from fraudulent activities. If you haven’t already updated your KYC, do it today by clickinghere.