RBI has updated its OVD (Officially Valid Documents) list and has added “Proof of possession of Aadhaar number” for opening a bank account. OVDs are those documents that a customer has to provide when he applies for a new bank account. However, applicants can use their Aadhaar card for identity and address verification on a voluntary basis only. It is not mandatory to furnish Aadhaar to open a bank account at present. In addition to the bank account, Indian residents can use the Aadhaar card as a proof of identity and address for getting a new SIM card as well.
The Master Direction on Know Your Customer has been amended by the Reserve Bank of India. After this move, banks will now be able to go for Aadhaar authentication or offline verification of customers who provide Aadhaar on a voluntary basis.