Fintech players likely to request RBI for a simpler merchant KYC process

It has proposed that payment aggregators will be required to undertake Contact Point Verification (CPV) of entities which involves physical verification of customers

Fintech players are planning to suggest a minimal know-your-customer (KYC) process for small merchants, and a risk-based and graded approach to customer verification.

This is part of the feedback on draft directions of payment aggregator regulations by the Reserve Bank of India (RBI).

Fintech players told Business Standard some merchants might be “too small” to go through the full KYC process, which requires physical verification of such customers. This, in turn, may increase their costs.

“For smaller merchants, there should be a process that is digital and a minimum KYC journey should be allowed. These merchants do business of less