KYC pending on your demat account or mutual funds? Here's how to do it online
Is you KYC status showing as pending on your demat account or mutual fund? This can lead to blocked transactions. Here's how to get your KYC done in advance without visiting the bank.
Why KYC is necessary for investors Know Your Customer (KYC) is a SEBI rule mandate for demat account holders and mutual fund investors. If your KYC status is 'rejected', 'on hold', or 'pending verification', you won't be allowed to invest new money or redeem the money that you have invested. Having an up-to-date KYC verifies your identity and reduces the risk of fraudulent activities. It helps financial institutions identify and prevent money laundering. So it is a very important step for seamless and stress-free investment.
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How to check your KYC status You can check your KYC status online through KYC Registration Agencies (KRAs) like CVL-KRA, CAMS KRA, NSDL KRA or CDSL KRA. Go to the KRA website and enter your PAN. Your status will be displayed as ‘Verified’, ‘Pending’, ‘On Hold’, or ‘Rejected’. If it shows anything other than ‘Verified’, you’ll need to update your KYC or re-submit documents as required.
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How to update KYC online To renew your KYC, you must open your mutual fund website, broker portal, or KRA site. Upload scanned documents—Aadhaar, PAN, and fresh photo. Some portals even have eKYC using Aadhaar OTP, making it simpler. You may even have to upload address proof, especially if there is a discrepancy. Updation will happen in 5-7 working days.
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When offline verification may still be required If your data is mismatched in databases (like PAN vs. Aadhaar mismatch), you may be asked to go through IPV—In-Person Verification. Certain brokers offer this via video call or doorstep facility. Have your documents scanned correctly and have your mobile number linked to Aadhaar for OTP verification. Avoid last-minute hassles by ensuring your name, date of birth, and address are the same in records.
How to avoid your KYC from being frozen again Once your KYC is updated, it is always a good idea to check its status time to time, especially in event of an address change or document upgrade. A proof that is out of sync or an expired proof can lead to a 'KYC hold' situation in the future. Ensure also that your mobile and email number are active so that you are reminded by brokers or fund houses in the future for your KYC requirements.
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Remain current and compliant KYC is not a one-time event. In 2025, the regulators are all the more keen on keeping records of investors up to date. When your demat or mutual fund transactions suddenly get held up, check and renew your KYC as your first action. Do it online where feasible—it's faster, more convenient, and gets your investments flowing uninterrupted.
