Understanding KRA: A Comprehensive Guide for Businesses
What is a KYC Registration Agency ?
The acronym for KYC Registration Agency is KRA. In accordance with the 2011 KYC Regulations Act, KRA is registered with SEBI. This organization is in charge of centrally keeping track of the investors' KYC documents. On behalf of the capital market intermediaries that are registered with SEBI, including asset management companies and stock brokers, these registration agencies keep these records up to date.
KRA Registration Process
Step 1: Fill-up KYC Form Along with correct set of documents.
An investor must fill out the KYC Form if they wish to finish their KYC through a KYC Registration Agency. You must provide the self-attested set of documents for evidence of identity and proof of address (for individual KYC process) in addition to the correctly completed KYC form. SEBI has specified several types of documentation for non-individual KYC. Each KRA's KYC form is available for download on their own website.
Step 2 : Documents submission and KYC verification.
The financial entity you are dealing with verifies that the information provided in the KYC form is accurate and matches the given documents once you have completed the necessary paperwork. If there are any differences, the organization will report them in the KRA system and update it whenever the customer provides the necessary KYC document. In-Person Verification (IPV) is another method for confirming the client's identity. On any of the KRA websites, investors can verify the status of their KYC depending on their PAN card.
Step 3: Uploading and updating your details.
The KYC documentation in scanned format is accepted by all KYC registration agencies. This is carried out in accordance with SEBI's KRA regulations. By completing the KYC update form available at any KYC Registration Agency, an investor has the option to update their information in the KRA system.
What does a KYC Registration Agency do ?
- The KYC registration agency bears the responsibility of preserving, protecting, and obtaining the KYC records that are provided to the different intermediaries that hold SEBI registrations.
- The KYC registration agency will keep all original KYC documents for a predetermined amount of time, both electronically and physically. Additionally, it must guarantee that the retrieval of the KYC data is completed within the allotted time frame.
- All intermediaries involved with the KYC registration agency for the client should receive updates regarding the client's information from the agency.
- To ensure agency compatibility, the agency should be electronically connected to the other KYC registration agencies.
- Following the receipt of the KYC documents from the intermediary, each client should receive a letter of confirmation from the KYC Registration Agency.
