Development sources said the Central Bank had discussed the issue with the government and highlighted the difficulties citizens would face. As a result, at the end of October, the government made it three months available to the account holder to comply with the standards. If the address changes due to a move or other reason, customers can have the new correspondence address with the bank within two weeks of the change, RBI added. Our video “How to choose a bank account” explains the different types of accounts and the choice of the right account. Some of your tenants may not open a bank account. For example, it may be difficult for them to provide the correct documents attesting to their address and identity, or they may have refused previous applications because of low income or poor credit history. The rental or rental agreement is written on a stamp paper. There are 2 types of rentals in India, one is a lease that lasts at least 12 months. This is governed by the rent control laws enacted by the state government. The other type is a rental and licensing agreement of up to 11 months, which is not covered by rent control laws. The account holder can withdraw the money paid if the owner releases the deposit.
If the address on the document differs from the current address listed in the account opening form, banks must currently obtain separate proof of address. If you wish, you can also open a rental deposit account in a branch. Don`t forget to bring your ID and the signed lease. These specialized accounts have been specifically designed to help people budget and manage their rents. They work by automatically setting aside rents so that they are not used for other expenses. This requirement stems from a change in anti-money laundering rules, as notified by the Ministry of Finance, which imposes five specific documents as proof of the “current” address that a customer must provide to a bank branch to open a new account. A rental agreement with the customer`s address duly registered with the government or a similar registration authority may also be accepted as proof of address. When selecting a bank account, your tenants must aim for an account that allows: Positive confirmation This address can be verified by the bank by a “positive confirmation” such as confirmation of receipt of (i) letter, checkbooks, bank cards; (ii) phone calls; iii) visits,” he said. Some people become disoriented by the levies and standing orders and the difference between them.
Others may need help managing the timing of their payments and avoiding denied payments and bank fees. For proof of address, the RBI allowed banks to accept documents such as the lease and electricity bills. Funds and interest on deposits fall within the scope of the deposit guarantee up to the amount prescribed by law. From the point of view of deposit guarantee, the banks that are members of the OP financial group are considered to be one bank. If one of the above documents has been filed as proof of the postal address, another of the above documents will be received as an additional document for opening a non-personal account. If an NRI wishes to open the account before going abroad, a copy of the employment contract, the university letter, the text of the contract or another document may be received as proof of the postal address, provided that the address on the application form and the address on the documents are identical.