Mutual Fund KYC for NRIs - Online & Offline Process

You want to invest in Indian mutual funds from Dubai. You've heard about the India growth story. Your friends are already investing.

But when you try to open an account, you hit a wall: KYC.

Suddenly, you're being asked to attest documents, complete In-Person Verification, and navigate five different agency websites. If you're from the US or Canada, there's another layer-FATCA compliance. Many NRIs give up here.

We have seen this confusion first-hand while building Belong. We work with hundreds of NRIs who want to invest in India but get stuck at KYC. 

That's why we wrote this guide-to walk you through the entire process, online and offline, so you know exactly what to expect.

By the end of this article, you'll know which documents you need, how to complete KYC from abroad, what SEBI's latest rules mean for you, and how long the process actually takes. You'll also learn about common rejection reasons and how to avoid them.

Let's get your KYC sorted so you can start investing.

What is Mutual Fund KYC and Why NRIs Must Complete It

KYC stands for "Know Your Customer." It's a verification process where financial institutions confirm your identity, address, and financial background before allowing you to invest.

For mutual funds in India, KYC is mandatory under regulations set by SEBI (Securities and Exchange Board of India) and enforced by the Prevention of Money Laundering Act, 2002.

Here's what KYC does:

• Verifies your identity using government-issued documents
• Confirms your current address (both in India and abroad)
• Prevents financial fraud and money laundering
• Creates a centralized record so you don't repeat the process

Once you complete KYC with one Asset Management Company (AMC), your details are stored in a central database maintained by KYC Registration Agencies (KRAs). This means you won't need to redo KYC when investing with a different fund house.

👉 Tip: KYC is a one-time process. Complete it properly once, and you're set for all future mutual fund investments.

Also Read - How to Repatriate Mutual Fund Proceeds to Your Country

1. Also Read - Impact of FEMA Rules on NRI Mutual Fund Investments

The Three KYC Status Types You Need to Know

SEBI classifies KYC into three status types. Understanding yours is critical because it determines what you can and cannot do.

1. KYC Validated

This is the gold standard. Your documents have been verified directly against Aadhaar or another Officially Valid Document (OVD).

What you can do:

• Invest in any mutual fund
• Open new folios with any AMC
• No restrictions

2. KYC Registered

Your KYC is complete, but it hasn't been validated through Aadhaar. This usually happens when you used a passport, voter ID, or driving license.

What you can do (as of 2025):

• Continue investing in existing mutual funds
• Invest in new mutual funds until April 30, 2026 (SEBI extended this deadline for NRIs)

After April 2026, you may need to upgrade to "Validated" status or re-submit documents each time you invest with a new AMC.

3. KYC On Hold

Your KYC has issues-incomplete PAN-Aadhaar linking, unverified email/mobile, or missing documents.

What you can do:

• Redeem existing investments (depending on fund house policies)
• Cannot make new investments until the issue is resolved

You can check your status on any KRA website. We'll cover how to do this later in the article.

Also Read - Types of Mutual Funds

What Changed? SEBI's Latest KYC Rules for NRIs (Recent Updates)

SEBI updated KYC norms in April 2024. The goal was to strengthen verification using Aadhaar. But this created challenges for NRIs, who often don't have an active Aadhaar.

Here's what SEBI did:

In May 2024, SEBI relaxed the rules for NRIs and OCIs. You can now continue investing with "KYC Registered" status until April 30, 2026.

This means:

• NRIs can use passports, OCI cards, or PIO cards for KYC
• No immediate need for Aadhaar-based validation
• You can invest in new mutual funds with any AMC
• Email validation is mandatory; mobile validation is optional (only if you use an Indian number)

What happens after April 2026?

SEBI hasn't announced the final rule yet. But it's likely that NRIs will either need to upgrade to "Validated" status or re-submit documents for each new AMC.

My advice? Complete your KYC now while the process is simplified. Don't wait for April 2026.

Documents Needed for NRI Mutual Fund KYC

Here's what you'll need to gather before starting the process. Make sure all documents are clear, legible, and self-attested.

Mandatory Documents:

Additional Documents (if applicable):

• OCI Card or PIO Card (if you're an Overseas Citizen of India or Person of Indian Origin)
• Mariner's Declaration or Continuous Discharge Certificate (for merchant navy professionals)
• Cancelled Cheque or Bank Statement from your NRE or NRO account

👉 Tip: If your overseas documents are in a foreign language (e.g., Arabic, Japanese), get them translated into English by a certified translator before submission.

Also Read - Common Mistakes NRIs Make When Investing in Indian Mutual Funds

Who Can Attest Your Documents? Attestation Rules Explained

NRIs cannot self-attest documents the same way resident Indians can. Your documents must be attested by specific authorized entities.

Who can attest your documents:

1. Authorized officials of overseas branches of scheduled commercial banks having a presence in India (e.g., SBI Dubai, ICICI Bank London). The key is the bank itself being regulated in India, not necessarily the branch being "registered in India." (source)
2. Public Notary in your country of residence
3. Court Magistrate or Judge
4. Indian Embassy or Consulate in your country

What does attestation mean?

The authorized person must:

• Verify that the copy matches the original document
• Sign and stamp the copy
• Mention their name, designation, and contact details

If you're using a bank official, they must be from a bank that has a presence in India (like ICICI, HDFC, SBI, or their international branches).

Online KYC Process: Complete Step-by-Step Guide

Online KYC is faster and more convenient. You can complete it entirely from your home in Dubai, London, or New York.

Step 1: Choose Your Platform

You have three options:

• AMC website (e.g., ICICI Prudential, HDFC Mutual Fund)
• KRA website (CAMS, CVL, Karvy)
• Investment platform (like SBNRI, iNRI, or Belong)

I recommend using a platform that specializes in NRI investments. They handle the paperwork and IPV for you.

Step 2: Fill Out the KYC Form

Download the KYC application form from the platform's website. Fill it out carefully.

Make sure to:

• Mark your status as "Non-Resident Indian"
• Provide both your overseas and Indian addresses
• Mention your NRE or NRO account details (you'll need one to invest)

Also Read -Best NRE Savings Accounts

Step 3: Upload Documents

Scan and upload all required documents in PDF or JPG format. Ensure:

• Documents are clear and readable
• File sizes are under 2MB each
• All pages are included (for multi-page documents like passports)

Step 4: Complete FATCA/CRS Declaration

This is a mandatory form where you declare your tax residency status. It helps India comply with global tax treaties.

You'll need to provide:

• Country of tax residence
• Tax Identification Number (TIN) or equivalent
• Place of birth

If you live in a country with a Double Taxation Avoidance Agreement (DTAA) with India, mention this-it can reduce your tax liability.

Step 5: In-Person Verification (IPV) via Video Call

IPV confirms that you're the person in the documents. It's done through a video call using Skype, Zoom, or the platform's app.

What happens during IPV:

• A KRA representative will call you at a scheduled time
• You'll show your original documents on camera
• They'll ask you to confirm your details
• The call takes 5-10 minutes

Make sure you have good lighting and a stable internet connection.

Step 6: Receive KYC Acknowledgment

Once verified, the KRA will upload your details to the central database. You'll receive:

• A KYC acknowledgment number
• An email confirmation
• Your KYC status (usually "KYC Registered")

You can now start investing in mutual funds.

👉 Tip: Keep a copy of your KYC acknowledgment number. You'll need it when opening new folios with different AMCs.

Offline KYC Process: When Physical Documents Are Needed

If you prefer offline KYC-or if your chosen AMC requires it-here's how the process works.

Step 1: Download Forms

Visit the CDSL Ventures (CVL) website or your AMC's website. Download:

• KYC application form
• FATCA/CRS declaration form
• IPV form (if applicable)

Step 2: Fill and Attest Documents

Fill out the forms by hand or type them out. Get all documents attested by an authorized entity (as mentioned earlier).

Step 3: Submit to a KRA Point of Service (PoS)

You have two options:

1. In India: If you're visiting India, submit the documents in person at any CVL PoS office or your AMC's branch.
2. From abroad: Courier the documents to:

• Your AMC's registered office
• Your mutual fund distributor or financial advisor in India
• The KRA's office address

Make sure to use a trackable courier service (DHL, FedEx, Aramex).

Step 4: In-Person Verification

If you submitted documents by courier, the AMC or distributor will arrange IPV.

Some AMCs allow video-based IPV even for offline submissions. Others may require you to visit the Indian Embassy in your country.

Step 5: Wait for Confirmation

Processing takes 7-10 business days. You'll receive:

• KYC acknowledgment via email
• Physical acknowledgment receipt (if submitted in India)

Also Read - How NRIs Can Invest in Mutual Funds from Abroad

In-Person Verification (IPV): What Actually Happens

IPV is often the part NRIs worry about most. Let me clarify what it involves.

Why is IPV needed?

SEBI requires it to prevent identity fraud. The verifier must confirm that the person in the documents is the person applying.

Who can conduct IPV:

• Authorized officials of the AMC
• SEBI-registered intermediaries (distributors, advisors)
• Bank officials at overseas branches of Indian banks
• KRA representatives (for video IPV)

Can it be done over video?

Yes. Most platforms now offer video-based IPV using tools like Skype or Appear.in. You don't need to visit India or an embassy.

What if the platform requires physical IPV?

If the AMC insists on physical verification, you can:

• Visit an Indian Embassy or Consulate
• Use a Power of Attorney (more on this later)
• Wait until your next India trip

Also Read - What Happens to Mutual Funds If You Return to India (RNOR → Resident)

How to Check Your KYC Status in Minutes

You can check your KYC status on any KRA website. Here's how:

Option 1: CVL KRA

1. Visit CVL KRA KYC Inquiry
2. Click on "KYC Inquiry"
3. Enter your PAN number and captcha
4. View your KYC status

Option 2: CAMS KRA

1. Visit CAMS KRA
2. Enter PAN details
3. Check status

Option 3: Karvy KRA

1. Visit Karvy KRA
2. Enter PAN and verify with OTP
3. View status

Your status will show as "KYC Validated," "KYC Registered," or "On Hold."

Meet the KRAs: CAMS, CVL, Karvy & Others

KRAs are SEBI-registered agencies that maintain a centralized KYC database. There are five main KRAs in India:

Do you need to choose one?

No. When you complete KYC through an AMC or distributor, they submit your details to their preferred KRA. But because all KRAs share data, your status is visible across all five.

This is why KYC is a one-time process.

US & Canada NRIs: What You Must Know About FATCA & CRS

If you live in the United States or Canada, mutual fund investing in India comes with extra compliance.

What is FATCA?

The Foreign Account Tax Compliance Act (FATCA) is a US law that requires foreign financial institutions to report accounts held by US taxpayers.

What is CRS?

The Common Reporting Standard (CRS) is similar but applies to residents of the UK, Canada, and 100+ other countries.

How does this affect you?

Many Indian AMCs do not accept investments from US and Canada NRIs because of the compliance burden.

Why?

US NRIs face complex tax reporting requirements (PFIC forms) and potential double taxation. Canadian NRIs have similar challenges under CRS.

Which AMCs accept US/Canada NRIs?

A limited number. As of 2025, some of the AMCs that allow US/Canada NRI investments are:

• Nippon India Mutual Fund
• UTI Mutual Fund
• Navi Mutual Fund
• PPFAS Mutual Fund (Parag Parikh)
• Aditya Birla Sun Life Mutual Fund
• SBI Mutual Fund
• ICICI Prudential Mutual Fund
• TATA Mutual Fund

(source)

You may also need to:

• Complete a physical application (online platforms often don't support US/Canada NRIs)
• Be physically present in India for the first transaction
• Submit additional FATCA declarations

Is there an easier alternative?

Yes. Consider investing through GIFT City. GIFT City operates as an offshore financial center, so FATCA compliance is simpler. Belong offers USD-denominated investments in GIFT City that are easier for US and Canada NRIs to access.

👉 Tip: If you're a US or Canada NRI, consult a cross-border tax advisor before investing in Indian mutual funds. The tax implications can be severe.

Switching from Resident to NRI? How to Update Your KYC

Many NRIs started investing in mutual funds when they lived in India. When you move abroad, you must update your KYC and residential status.

Why?

• RBI and SEBI require it
• Tax treatment changes
• Your redemption proceeds must go to an NRO account (not a regular savings account)

How to update:

1. Fill out a "Change of Residential Status" form (available on your AMC's website)
2. Submit:

• Copy of passport with visa
• Overseas address proof
• NRO account details

1. Update your NRI status on the Income Tax portal
2. Re-do KYC with NRI documents

This update is mandatory. If you don't do it, your SIPs may be stopped and redemptions could be delayed.

Also Read - Residential Status Under Section 6 Of Income Tax Act

Why KYC Applications Get Rejected (And How to Avoid It)

KYC rejections are frustrating. Here are the most common reasons and how to prevent them:

👉 Tip: Before submitting, double-check every document against the checklist provided by the AMC or KRA.

Timeline: How Long Does KYC Really Take?

Online KYC:

• Document upload: 10-15 minutes
• IPV scheduling: 1-3 business days
• KRA verification: 3-7 business days
• Total: 7-10 business days

Offline KYC:

• Document preparation: 1-2 days
• Courier to India: 5-7 days
• Processing: 7-10 business days
• Total: 15-20 business days

What if there's an issue?

If your KYC is rejected or put "On Hold," resolving it can take another 7-10 days.

Do You Need to Repeat KYC for Every Mutual Fund?

No. Once your KYC is validated or registered with one AMC, it's available to all other AMCs.

When you invest with a new fund house, they simply fetch your KYC from the central database using your PAN number.

Exception:

If your KYC status is "KYC Registered" (not "Validated"), SEBI's April 2026 deadline may change this. After that date, you might need to re-submit documents for each new AMC.

But for now, it's a one-time process.

Also Read - Are NRIs Allowed to Invest in Direct vs Regular Mutual Funds?

Aadhaar Linking: Are NRIs Exempt?

Yes. NRIs are exempt from mandatory PAN-Aadhaar linking for mutual fund investments.

But:

You must update your residential status as "Non-Resident" on the Income Tax portal. This tells the system that you're an NRI and don't require Aadhaar.

If you don't update your status, your KYC might be marked "On Hold."

Do NRIs need Aadhaar at all?

It's optional. If you have an Aadhaar and want "KYC Validated" status, you can use it. But it's not mandatory. Learn more about Aadhaar for NRIs.

Power of Attorney: Can Someone Else Handle Your KYC?

Yes. You can appoint a trusted person in India as your Power of Attorney (PoA) to handle KYC and investments on your behalf.

What the PoA holder can do:

• Submit KYC documents
• Invest in mutual funds
• Redeem investments
• Update details with the AMC

What they cannot do:

• Nominate on your behalf
• Change bank account details without your written consent

How to set up a PoA:

1. Draft a PoA document (consult a lawyer)
2. Get it notarized
3. Submit a copy to the AMC or distributor

The PoA holder must also be KYC-compliant.

Is PoA a good idea?

It's useful if you travel frequently or find it difficult to complete KYC from abroad. But choose someone you trust completely-parents, siblings, or a SEBI-registered advisor.

Also Read -RBI's New Rules for Investment - What Every NRI Must Know

What Happens After KYC Approval?

Once your KYC is verified, you can:

1. Invest in any mutual fund (subject to AMC's NRI policies)
2. Open folios with multiple fund houses
3. Start SIPs or make lump-sum investments
4. Track investments on AMC websites or consolidation platforms

Your investment proceeds (redemptions and dividends) will be credited to your NRE or NRO account. Tax will be deducted at source (TDS) as per Indian tax laws. Learn about mutual fund taxation for NRIs.

Also Read -FEMA Guidelines Every NRI Should Know

Any Costs Involved?

KYC itself is free. KRAs, AMCs, and investment platforms don't charge for KYC verification.

However, you might pay for:

• Notarization or attestation fees: Varies by country (₹500-₹2,000)
• Document translation fees: If your address proof is in a foreign language (₹1,000-₹3,000)
• Courier charges: Sending documents to India (₹2,000-₹5,000)
• Platform fees: Some investment platforms charge a subscription or transaction fee

Belong does not charge for KYC support. Our team guides NRIs through the entire process at no extra cost.

How Belong Simplifies NRI Investments

At Belong, we built our platform to remove the KYC headache.

Here's what we do differently:

• Simplified KYC: We handle the paperwork and IPV coordination. You just upload documents.
• GIFT City investments: No NRE/NRO account needed. Invest in USD-denominated fixed deposits and funds.
• Tax-free returns: GIFT City investments are exempt from Indian taxes.
• Expert support: Our team personally answers your questions.

You can explore NRI investment options on our app and join our WhatsApp community to connect with other NRIs navigating the same journey.

Final Thoughts

Completing KYC is the only real barrier between you and investing in Indian mutual funds.

Yes, the process involves paperwork. Yes, attestation can be annoying. But once it's done, you're set for life.

Here's my advice:

1. Start now. Don't wait until you're ready to invest. Get KYC done while you have time.
2. Use online KYC. It's faster and less hassle than couriering documents.
3. Double-check everything. Rejections happen because of small mistakes-mismatched names, blurry scans, missing attestations.
4. Ask for help. If you're confused, reach out to a platform like Belong or your financial advisor.

And if you're still debating whether mutual funds are right for you, consider exploring GIFT City investments. They offer a simpler KYC process, no currency conversion headaches, and tax-free returns.

Ready to get started?

Download the Belong App and complete your KYC in under 10 minutes.

Or join our WhatsApp community to ask questions and learn from other NRIs.

We're here to help.

Sources:

• SEBI KYC Guidelines
• CVLKRA
• CAMS KRA
• Karvy KRA
• ICICI Bank NRI Mutual Funds Guide
• SBNRI NRI KYC Process
• iNRI KYC Validation Rules