Last Updated on March 11, 2019
A new mutual fund investor has to verify ID and address proof. This is known as KYC or Know Your Customer. Here is how you can do online KYC using Paytm money. The facility of online KYC is crucial for direct mutual fund investors who are too busy to visit an AMC office or CAMs or Karvy for “in-person verification”. Online KYC facility introduced by Paytm Money is a game changer in the direct mutual fund investing space. Here is step-by-step instructions. Please share this post with those who wish to start mutual fund investments.
Note: KYC process is onetime and valid across all mutual fund investment platforms and fund houses. So even if you do not wish to invest via Paytm money, you can get the online KYC done, park money in a liquid fund for emergency purposes and invest elsewhere. If you need help to get started, consult my handpicked list of mutual funds for beginners.
Motivation: I have no connection with Paytm Money. The only purpose of this post is to serve as a guide to those who wish to complete their mutual fund KYC process online easily. This post is inspired by two college kids belonging to low-income households. They heard me addresses World Bank staff at a hotel where they worked part-time and wanted to become financially free. When I tried to find easy solutions for them to get started on direct mutual funds, Paytm Money seemed the simplest solution.
How to do Online KYC in Paytm Money to start investing in mutual funds
Paytm Money is a SEBI registered Investment Adviser and a Digital Platform that allows you to do paperless investments in Direct Mutual Funds (at Zero Commission/Fees).
Get free money management solutions delivered to your mailbox! Subscribe to get posts via email!
🔥Enjoy massive discounts on our robo-advisory tool & courses! 🔥
1. To begin with, download the Paytm Money app from the Google Play Store.
2. Login to the Paytm Money app with your registered mobile number or email address. In case, you do not have a Paytm account, you can sign up using the link on the first screen. Once you login, the first screen would ask you to input your PAN number to check the investment readiness stage.

Paytm Money checks your investment readiness in 6 stages
- PAN Card
- Personal Details
- Address Proof
- Nominee & Declarations
- Communication Details
- Bank Account

We take each of the above 6 stages in detail as under:
PAN Card:
Enter your Permanent Account Number.

Your PAN will be checked for correctness once you click on submit. If you are not KYC verified with Paytm, you would be asked to upload a picture of your PAN Card and agree to the Terms of Paytm Money for conducting your KYC.
Pan image upload screenshots
Note: The PAN Card photo must be sharp/clear and the name on it must be easy to read. PAN Card should also have a signature to be a valid document.




Personal Details:
This stage is covered in 4 sub-stages:-
1. Personal: Enter your Name, Date of Birth, Fathers Name exactly as written on the PAN Card. (If the details as mentioned in the images uploaded do not match with what you have filled in the form, the app would reject your application)
2. Signature: You can either sign on the screen or upload a photo of your signature. It is recommended to upload a photo of your signature as signing on the screen is a bit difficult. Sign on a blank white page & upload a clearly visible picture.
3. Photo: Upload a photo which is clear and taken in sufficient light. In order to avoid rejection, it is recommended to upload a photo which you might have taken for your Passport. If you are taking a photo using the phone camera, ensure that your face and torso are visible with a light background.
4. In Person Verification: As per KYC regulations, you need to record a 5 second video to prove that you are the one who is creating the account. It prevents others from creating the account on your behalf using your details. Please ensure that your face is clearly visible while recording the video. A sample video is available on the app. You need to speak & record the following: “My name is (as mentioned in your PAN Card) and this is my in person verification video for Paytm Money.”
entering personal details for online KYC in Paytm Moneyonline signature or upload screenshot in Paytm Money

5. Address Proof:

Enter your address exactly as mentioned in your address proof. If the details entered do not match exactly as on your address proof, the application would be rejected. Government approved documents such as Aadhar, Passport or Driving License are accepted as address proof. Upload a picture of the front and back side of your address proof.
6. Nominee & Declarations:
Entering details of Nominee is optional. However, it strongly recommended you to enter the name, date of birth and relationship of the nominee for smooth claim settlements in the future.
As a part of KYC process, you need to declare your: Income, Nationality, Tax Residency and Politically Exposed Person (PEP) status. Below are brief details to help you understand PEP and tax residency status:
PEP: Members of Parliament, State Assemblies, Judges, Governors and senior government officers would come within the Politically Exposed Persons (PEP) category along with their close relatives. If you are a PEP, you will be watched more closely to check for corruption or money laundering. The KYC may take longer & additional documents may be asked from you for the process.
Tax residency: According to the tax laws, an individual is considered to be a tax resident if he or she is present in India for:
- 182 days or more in a fiscal year, or
- 60 days or more in a fiscal year and 365 days or more during the preceding 4 fiscal years.
Communication Details:
Now you would be required to enter your email address to receive communications from Paytm Money. An OTP would be sent to your email address and it needs to be entered to verify the email address.
Bank Details:
Enter your account number, IFS Code from which you would be making payments for your investments. The redemptions would also be credited to this account. Hence, choose the account wisely. The account that you use here, should have facility like Internet Banking/Debit card if you wish to make online payments. Typically, it should be your primary savings/salary account.
Paytm will instantly verify your bank account by crediting 1 rupee. The narration for this transaction in your account will show text such as IMPS Fund Trf/PAYTMMONEYLIMIT. If you have activated SMS alerts for the account, you would also receive the transaction alert.
After this, you would be asked to upload a cancelled cheque or the bank account statement. Ensure that your name and account number is clearly visible in the document you upload.
Hurray! You have completed all the steps for Paytm KYC.
Checking the status of KYC
You can view the stage wise status of your KYC from the Home Screen. If you find that
a certain stage is rejected, click on View to know the reasons. Here are some examples.
Click on the “Cross” mark to delete your existing details & re-enter/upload the revised details. Once all the details/stages are verified, check the status of your KYC by clicking on the Profile tab on the bottom right of the screen. On successful completion, “Investment Ready” would be shown against your name with a green color tick mark.
Congratulations! Your KYC is now complete and you can start investing on Paytm Money. #PaytmPaytmy for investing in mutual funds”
Video version: Online mutual fund KYC steps
🔥Enjoy massive discounts on our courses and robo-advisory tool! 🔥
Use our Robo-advisory Excel Tool for a start-to-finish financial plan! ⇐ More than 1000 investors and advisors use this!
New Tool! => Track your mutual funds and stocks investments with this Google Sheet!
- Follow us on Google News.
- Do you have a comment about the above article? Reach out to us on Twitter: @freefincal or @pattufreefincal
- Join our YouTube Community and explore more than 1000 videos!
- Have a question? Subscribe to our newsletter with this form.
- Hit 'reply' to any email from us! We do not offer personalized investment advice. We can write a detailed article without mentioning your name if you have a generic question.
Get free money management solutions delivered to your mailbox! Subscribe to get posts via email!
Explore the site! Search among our 2000+ articles for information and insight!
About The Author

Our flagship course! Learn to manage your portfolio like a pro to achieve your goals regardless of market conditions! ⇐ More than 3000 investors and advisors are part of our exclusive community! Get clarity on how to plan for your goals and achieve the necessary corpus no matter what the market condition is!! Watch the first lecture for free! One-time payment! No recurring fees! Life-long access to videos! Reduce fear, uncertainty and doubt while investing! Learn how to plan for your goals before and after retirement with confidence.
Our new course! Increase your income by getting people to pay for your skills! ⇐ More than 700 salaried employees, entrepreneurs and financial advisors are part of our exclusive community! Learn how to get people to pay for your skills! Whether you are a professional or small business owner who wants more clients via online visibility or a salaried person wanting a side income or passive income, we will show you how to achieve this by showcasing your skills and building a community that trusts you and pays you! (watch 1st lecture for free). One-time payment! No recurring fees! Life-long access to videos!
Our new book for kids: “Chinchu gets a superpower!” is now available!


Must-read book even for adults! This is something that every parent should teach their kids right from their young age. The importance of money management and decision making based on their wants and needs. Very nicely written in simple terms. - Arun.Buy the book: Chinchu gets a superpower for your child!
How to profit from content writing: Our new ebook for those interested in getting side income via content writing. It is available at a 50% discount for Rs. 500 only!
Want to check if the market is overvalued or undervalued? Use our market valuation tool (it will work with any index!), or you buy the new Tactical Buy/Sell timing tool!
We publish monthly mutual fund screeners and momentum, low volatility stock screeners.
About freefincal & its content policy Freefincal is a News Media Organization dedicated to providing original analysis, reports, reviews and insights on mutual funds, stocks, investing, retirement and personal finance developments. We do so without conflict of interest and bias. Follow us on Google News. Freefincal serves more than three million readers a year (5 million page views) with articles based only on factual information and detailed analysis by its authors. All statements made will be verified from credible and knowledgeable sources before publication. Freefincal does not publish any paid articles, promotions, PR, satire or opinions without data. All opinions presented will only be inferences backed by verifiable, reproducible evidence/data. Contact information: letters {at} freefincal {dot} com (sponsored posts or paid collaborations will not be entertained)
Connect with us on social media
- Twitter @freefincal
- Subscribe to our Youtube Videos
- Posts feed via Feedburner.
Our publications
You Can Be Rich Too with Goal-Based Investing

Gamechanger: Forget Startups, Join Corporate & Still Live the Rich Life You Want

Your Ultimate Guide to Travel
