RBI relaxes KYC norms for foreign students

The RBI move follows complaints that foreign students are facing difficulties in complying with the know your customer (KYC) norms.

Written by ENS Economic Bureau | Mumbai | Published: September 3, 2013 12:46 am

The Reserve Bank of India has allowed more flexibility while opening bank accounts by foreign students arriving in India.

In a notification to all banks,the RBI said banks may open a Non-resident Ordinary (NRO) bank account of a foreign student on the basis of his/her passport (with appropriate visa and immigration endorsement) which contains the proof of identity and address in the home country along with a photograph and a letter offering admission from the educational institution.

The RBI move follows complaints that foreign students are facing difficulties in complying with the know your customer (KYC) norms while opening a bank account due to non-availability of any proof of local address. Banks should not insist on the landlord visiting the branch for verification of rent documents and alternative means of verification may be adopted,it said.

For all the latest News Archive News, download Indian Express App

    Live Cricket Scores & Results