Aadhaar-Based E-KYC Now Available For Post Office RD And PPF Account Opening And Withdrawal

The post office recurring deposits (RDs) and Public Provident Fund (PPF) account can now be opened through the electronic Know Your Customer (e-KYC) process. The Department of Posts has issued a circular in this regard dated July 7, 2025, extending the e-KYC functionality for RD and PPF account operations.

It announced in a notification, “eKYC enabled functionalities in respect of Recurring Deposit (RD) and Public Provident Fund (PPF) schemes, as below, have been developed and deployed in CBS w.e.f. 27.06.2025.” The eKYC functions are now available for depositing in RDs and PPF accounts, opening and disbursing RD and PPF loans irrespective of amount, withdrawal from the PPF account, and even for the repayment of the loans.

E-KYC:

E-KYC is the electronic form of know your customer (KYC). The digital documentation and KYC process make the entire process of account opening and other verifications easier and faster.

Incidentally, the department of posts had implemented eKYC for selected schemes with effect from April 23, 2025. These schemes included post-office savings accounts, monthly income accounts, Kisan Vikas Patras (KVPs), and National Savings Certificates VIII (NSCs) accounts at that time.

“Aadhaar based e-KYC process has been introduced pan India in all Departmental post offices w.e.f. 06.01.2025 for onboarding of new customers (creation of customer information File (ClF)) and opening of single and individual Type post office Savings Accounts (POSA),” the circular said.

How Will It Work?

The postmaster will obtain the depositors’ biometrics to use the depositors’ information in Aadhaar, and fill in the other necessary information required for opening an account. Once all the required information is filled in the system (online), a second biometric of the depositor will be obtained to authenticate the transaction. In short, the biometric details will be obtained twice for opening an account.

Once the account is opened, a depositor can transfer funds or make withdrawals with biometrics. No withdrawal or transfer form will be required anymore. As a security measure, the Aadhaar number will be masked in all the documents, including the account opening form, KYC form, etc.

However, the process is so far limited to account opening and other transactions, but not for account closure. For account closure, transfer, or non-financial transactions, such as modifying or changing the nomination, the old system will continue working until e-KYC is extended to these as well, for which work is underway.