Importance of e-KYC Documentation Through an Aadhaar Card

Aadhaar Card is a crucial document for every Indian citizen. Right from the verification of Income Tax Return to opening a bank account, this document services several purposes. Aadhaar Card works as an UID (Unique Identity Number). It is one of the most reliable sources to verify a person’s personal details such as name, age, address, etc. This document is accepted in India as an individual’s proof of identity and address. The Aadhaar database stores information of a person’s biometric and demographic information. Biometric details include the fingerprints of all the ten fingers and scan of iris of both the eyes.

An Aadhaar Card also helps in e-KYC documentation. The e-KYC does away with the physical need of documents that are used as proof of address and identity. Also, e-KYC helps you to avail certain services online than visiting a physical centre for the same. Let us understand the purpose of an Aadhaar Card and how useful it is for an e-KYC.

What is the Intention of Introducing Aadhaar Card?

The Government of India has built a centralized database of citizens through their Aadhaar numbers. The intention behind launching this document was to keep a check on the population pool and identity the illegal immigrants. It also intended to maintain transparency in financial transactions and reduce malpractices in other services. Since biometric details are unique to a person, Aadhaar Card is a reliable document to establish the identity of a person.

• Aadhaar is also used to avail the government subsidies and scheme benefits.
• Individuals must link their Aadhaar number to bank account to keep the account operational.
• Children required Aadhaar Number or enrolment number during admission in schools.

Thus, Aadhaar has several uses. It is best to get one as soon as possible. Because Aadhaar card is also necessary to avail basic financial products such as a personal loan, instant cash loan, insurance, credit card, etc.

What is e-KYC? How Aadhaar Card Help it?

Like discussed, an Aadhaar Card contains demographic details of the card holder. These details are the holder’s address, residential area, location, postal code, state, etc. These details are stored in a centrally organized database. Now UIDAI (Unique Identification Authority of India) can link the card holder’s information to Aadhaar linked services.

This way, the individual can avail such services through digital authentication of documents (e-KYC). As Aadhaar is accessible online on UIDAI’s digital platform, the government has launched another digital platform to access proof of identity and address. This platform is known as e-KYC service or Electronic Know Your Customer.

• Through e-KYC, the card holder gives authority to UIDAI to share his/her demographic and/or biometric details for address and identity information.
• This information can be shared with a relevant agency or provider to avail a service.
• The authentication process is simple and done through an OTP (One Time Password) sent to the individual’s registered email id or mobile number, or through scanning biometrics.
• With e-KYC, a person can instantly authenticate his/her details and skip verification through physical documents. The procedure is paperless and works online on digital platforms.
• Aadhaar e-KYC also keeps the documentation process transparent. Any financial transaction thus done through e-KYC Aadhaar is safe and free of errors.
• The e-KYC process also reduces cost of documentation as no manual procedures are required.

You can download e-Aadhaar online on the UIDAI’s customer portal. It is a downloadable PDF file. You can only open it with Aadhaar Card Password. The document is encrypted and can be opened only with Aadhaar Card Password. The e-Aadhaar password is a combination of characters of your name and birth year.