The struggle to get KYC (Know Your Customer) verified with CDSL for mutual funds
So Indian Mutual funds are now required by law to have their customers Know your Customer or KYC for short verified for any amount of investment. Even a Rs. 500 SIP will need you to be KYC verified no matter what. So in December I decided to get KYC verified. To get your KYC verified, you have to fill up the online KYC form along-with PAN card and address proof and submit it to a center for processing these applications
Since then its been a long wait to get KYC certified. Its been around 3.5 months since I had applied for KYC but presently I have been able to hit the status ‘Present in verification’ only. Before this my status was stuck at ‘Present in Process’ for a very very long time. Approximately 2.5 months went by and the status remained ‘Present in Process’.
In the meantime my orders on Mutual Fund sites are being rejected as KYC is failed and its caused some loss to me as I wasn’t able to purchase units while the market was so down. The Indian Govt. is famous for such half baked ideas without any focus on actual implementations for the same.
The disclaimer on the site reads :
This KYC status shall be used exclusively for investment in mutual funds which have appointed CDSL Ventures Limited for centralized KNOW-YOUR-CUSTOMER (KYC) process, & shall not be used or relied upon for any other purposes, including commercial transactions, or more particularly for authenticating the identity of the investor .CVL shall not be liable to any person using this information for any purpose, other than investments in mutual funds.
But the reality is that all Mutual Funds are using this data to check your KYC eligibility and you are doomed if this doesn’t reflect correctly. To check your KYC verified status for investing in mutual funds, access :
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How can I do investment in MFs without KYC ? CVL CDSL is delaying my daughter’s KYC in the same way. Truly inefficient work by them.
Yes, mine is in PRESENT IN PROGRESS since 1 month; no one know when it will change. I want to invest in MF but unfortunately I will have to wait.
CVL has lots of POS in almost every city but delay is incredible. Poor MF companies, they might not be getting retail small investor since 3-4 months
I agree with above comments. My and my wife and daughter and Son in law (total 4 KYc) case is as described by others. What we should do now??? Since one of MF had written me that next investment will not be accepted. Who will advice further??
Yes its totally ridiculous. The other way out is open a trading account with a broker and you can buy/sell,invest in SIP fast without any hassles.I did that and am comfortable and of course the delivery brokerage he charges.Single statement and no wait..Thats the reality.
I AM VERY MUCH UPSET WITH TOO MUCH DELAY.
FOR LONG DURATION IT WAS ‘UNDER PROCESS’. TWO DAYS BACK ‘UNDER HOLD’.
NOW ‘ INVALID DATA’.
I DONT KNOW THE REAL STATUS OF MY APPLICATION AFTER AWAITING FOR 4 MONTHS.
I AM FACING THE SAME PROBLEM.I APPLIED FOR KYC THREE MONTH BACK.THE STATUS SHOWING IS ON HOLD.MY PAN IS xxxxxxxx
Go in for the services of a private broker(ICICI Direct is best). No hassles. Start investing in mutual funds right away.
Regards
(Siddharth Razdan)
Both myself and my husband applied for KYC Change status and submitted documents as per procedure in end-january 2011. Four months down the road nothing has happened. I cannot get anyother investment done due to this undue delay. Who is accountable? CDSL, pl wake up.
Ah!
same with me, was wondering if we can ask for info on RTI?
Please reply…
i update my KYC But I get not
KYC status is showing as “HOLD C/O address is given for proof of correspondence address”, what to do?
Myself and my wife have submitted prescribed application with documents for KYC updation with changed address during March 2011 first week through ICICI Direct, Bangalore. The status displays old date of verification and I dont know how to ensure that address stands updated.
R V Indiresh
dont feel so bad-they wont update my status or bank details and now I CANT SELL my mutual fund
I had applied for KYC in ICICI Bokaro Branch in Jan 2011. One acknowledgement was received by post from CDSL by end Jan 2011. Their portal always reflected ‘DOCUMENTS YET TO BE RECEIVED’ and mutual fund purchase was possible. Suddenly in end FEb CDSL date showed ‘Invalid data’. MF purchases were getting rejected. I went to ICICI but they refused to do anything. Then I had to apply again . This time I submitted to CAMS Bokaro office in Sept 11. During the intervening period I could not purchase MF when market was down. Present status in CDSL website says ‘ FRON OFFICE VERIFICATION DONE. There is no phone no. where someone can talk to CDSL personnel. Its is very sorry state of affair. SEBI must look into this.