On 30 August, RBI decided to extend the deadline for updating the KYC by 6 months. It also warned that the deadline will no longer be extended.
29 February 2020
Many users using PhonePe, Paytm, Amazon Pay or other similar payment wallet apps have been postponed by the Reserve Bank of India for about 6 months. Reserve Bank of India (RBI) has extended the last date for completing the KYC of users using these apps to 29 February 2020. Now users whose PhonePe, Paytm or Amazon Pay apps have not completed the KYC update. They too will be able to use the digital wallet by the end of February next year without any restriction.
RBI decided to extend
Earlier, the RBI had asked these digital platforms to complete KYC (Know Your Customer) of all its users by 31 August. But on 30 August RBI decided to extend the date of this deadline by 6 months.
RBI told all PPI issuers or mobile wallet platforms, “It is advised that the minimum time limit for conversion of KYC compliant PPI to PPI (pre-paid payment tool) has been increased from 18 months to 24 months. It is also to be noted that no further extension will be given for this purpose. “
Following the rules of KYC update means that mobile wallet providers will have to go to their customers and do the verification. Earlier there was partial verification which was done through a smartphone.
At the same time, the industry body Payment Council of India has expressed hope that the government will devise a method so that mobile users do not have to do face-to-face verification.