In a move aimed at enhancing consumer convenience and streamlining financial processes, the Reserve Bank of India (RBI) has unveiled three major reforms focused on banking customers. These steps, announced in the August 2025 monetary policy review, are designed to simplify re-KYC (Know Your Customer) processes, ease claim settlements in case of deceased bank account holders, and boost retail participation in government securities.
1. Simplified Re-KYC Process
The RBI is further easing the re-KYC process to reduce the burden on customers. While re-KYC is a regular requirement, especially when there are changes in customer details, the RBI now plans to expand digital and video-based KYC options, making it easier for customers to update information without visiting bank branches.
This is expected to benefit:
- Senior citizens
- NRIs
- Individuals in remote areas
More details on the updated digital KYC framework will be released shortly by the RBI.
2. Streamlined Process for Claiming Deceased Account Holders’ Balances
To address the delays and challenges faced by families of deceased customers, the RBI will introduce a nationwide, uniform web portal that helps in locating unclaimed deposits across multiple banks. This portal will assist claimants in:
- Identifying dormant or unclaimed bank accounts
- Initiating a smoother, standardized claim process
This reform is particularly useful in preventing money from lying idle in banks and ensuring rightful heirs can access the funds quickly and securely.
3. Retail Direct Scheme to Be Made More Investor-Friendly
The Retail Direct Scheme, launched earlier to allow retail investors to buy government securities (G-Secs) directly from RBI, will now be revamped to enhance user experience and participation. Planned upgrades include:
- Easier onboarding and account setup
- Improved interface and support
- Investor awareness campaigns
With these changes, the RBI aims to empower more individuals to participate in secure, long-term investments backed by the Government of India.
