Link Aadhaar Card5671 views
- Know the benefits of linking Aadhaar with Savings Account.
The Central Government of India has made it mandatory to link Aadhaar card with bank accounts, mobile numbers, and PAN card. The mandatory norms for linking Aadhaar number with a bank account has been released under the changes made to the Prevention of Money-laundering (Maintenance of Records) Rules, 2005.
Those who do not have an Aadhaar card can submit the proof of application to prevent their bank accounts from getting blocked. UIDAI has introduced face authentication which will come into effect from July 1, 2018. Let us see the details of linking Aadhaar with savings bank account. Linking Aadhaar to bank cccount is now mandatory as per RBI’s new KYC guidelines.
Table of Contents
- 1 Who is eligible to link Aadhaar Card with Bank Account
- 2 How to Link Bank Account with Aadhaar?
- 3 How to Link Aadhaar with Different Bank Accounts
The Resident Indians who have their respective accounts are eligible for linking their Aadhaar with their bank accounts. Even businesses, trusts or joint accounts and those having power of attorney have to submit their Aadhaar details to their own banks. However, if you are an NRI (Non-Resident Indian) under specified rules of the banks, then specify your non-resident status proof to your bank. According to the gazette notification of Ministry of Finance, small accounts with a deposit less than ₹50,000 need not require seeding of Aadhaar. These accounts are known as ‘small’ or ‘no-frill account’ where such accounts are opened on a self-declaration basis. These small accounts are primarily kept by the poor section of society and can be maintained by an applicant who is above 18 years of age and doesn’t have any valid KYC document.
The process of Aadhaar linking to banks accounts is quite simple. Below are the steps to follow:
- Log-in to your bank account by using Net Banking.
- Visit nearest bank branch and submit a request in the application form.
- After 3-4 working days, an e-KYC (Know your Customer) authentication procedure is followed by Unique Identification Authority of India.
- Some banks have the option of linking Aadhaar with bank accounts with the help of an IVRS call which will guide you step by step.
- There is also an option to link by sending an SMS to the respective number of the bank.
On successful completion of each of the process, a confirmation message is sent to the registered mobile number.
As mentioned above, regardless of the number of savings account or current bank account with different banks, linking your bank account with Aadhaar card is mandatory. The procedure will remain same as per Bank’s norms. So, check your personal details during the process carefully. In case your address in the Aadhaar database doesn’t match with your current address, then submit your another official valid document as address proof such as Voter Id, ration card, passport and utility bills.
The linking of your multiple bank accounts with Aadhaar will allow you to avail the below-mentioned benefits:
- LPG Subsidy to the latest linked account– Let’s say you have linked your HSBC Bank account with Aadhaar on 1st September 2017 and to SBI Bank on 25th September 2017, then the gas subsidy will be credited to SBI.
- Subsidy for commodity products– You get the subsidy for various commodities such as kerosene, sugar, rice, pulses and many other products whose prizes are subsidized are also transferred to the linked account.
- Mahatma Gandhi National Rural Employment Guarantee (MNREGA): The wages under MNREGA scheme will be credited directly to the linked bank accounts of the workers.
- Tribal welfare schemes: The payments from the schemes will also be credited to the linked bank accounts.
- Scholarship: Students who receive the scholarship from the government can get this money only if their bank account is linked to their Aadhaar number. However, this is mandatory only for the students from select Indian states.
- Nationwide access: The online, inter-operable architecture of Aadhaar Enabled Payment System (AEPS) allows access to the account from anywhere in the country.
Below are the side-effects of not linking the 12 digits UIDAI number to the bank accounts:
- Your bank account to be blocked which means no internet banking or transferring money or withdrawal or deposits.
- You will not be able to file Income Tax Returns or avail any governmental schemes.
- Activation of your account after the stipulated deadline will no longer be possible.
In short, while seeding your Aadhaar to your Saving Account will open the avenues for you to access multiple services offered by Government of India on an instant basis. From filing income tax returns(ITRs) to obtaining your own government schemes and benefits requires Aadhaar Card for speeding out your application process.