For those who want to invest in mutual funds (MFs) but do not have enough resources to do so, India Post has come to help. The Department of Posts has now tied up with Nippon India Mutual Fund to help those people who want to invest in MFs but don’t have enough access to do the same.
Many citizens, like senior citizens who are too elderly to go to a bank branch, those who are living in remote areas with little access to financial institutions can now take help from this service.
The KYC (Know Your Customer) verification, which is required before you can invest in mutual funds, can now be done right at your doorstep.
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This move, announced by the Ministry of Communications on April 3, 2025, is aimed at making investing easier, especially for those who often get left out such as senior citizens, people with mobility issues, and residents of rural India.
Why Is KYC Important?
For investors in India, MF investments won’t happen unless you are KYC-compliant. This is part of Securities and Exchange Board of India’s (Sebi) rules under the Prevention of Money Laundering Act, 2002.
KYC is a process where you provide basic documents that verify who you are with documents like your PAN, proof of address, and identity cards (Aadhaar or Voter IDs).
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How Is This Tie-up Going To Help You?
Previously, completing the KYC process required either visiting a financial intermediary (like a bank branch) or doing it digitally via online KYC processes. These methods can often be cumbersome for people without access to smartphones, internet, or a bank branch nearby.
Here’s how this doorstep KYC process by India Post will work:
Under this new doorstep KYC initiative, an agent from the Indian Post will come to your home to collect the required documents and help you complete the in-person verification.
This means that you won’t need to download any forms, scan documents, or go anywhere.
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The process is designed to be simple and inclusive for everyone.
This initiative also aligns with the government’s larger goal under Jan Nivesh campaign which aims to bring basic financial tools to every Indian and make them aware about how to use them.
Here are a few things you should keep in mind:
KYC is mandatory for investing in mutual funds
Once you complete the KYC with one fund house, it would be valid across others
In case there is any mismatch in the details or documents you submit, your KYC request might get rejected. Therefore, you should double check before handing in your documents
It may take around 7-10 days for your KYC status to get updated
The initiative would be instrumental in helping people who are not tech-savvy, giving them a fair chance to invest and grow their money.
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