As BluSmart’s cash crunch drags on, nearly 500 employees at the all-electric cab service are still awaiting clarity on their March salaries. Sources familiar with the matter say the company has yet to make any disbursements.
Lenders need OTP consent for KYC data access
The Central KYC Records Registry (CKYCRR) has mandated the use of a one-time password (OTP), an explicit consent mechanism for any institution seeking access to personally identifiable data through the CKYC database.
Driving the news: CKYCRR aims to empower consumers and ensure up-to-date records by enforcing a consent-based access model. This move aligns with the Department of Financial Services’ push for banks to adopt CKYC as the primary KYC system.
Context setting: The government wants financial institutions (FIs) to streamline KYC processes. However, the CKYC database has seen limited use due to technical issues and outdated data. The OTP-based consent mechanism, along with a push for regular updates from lenders, is expected to improve data accuracy and usability.
Industry speak: Industry insiders using the CKYC for digital lending say the changes could improve the database but may complicate workflows. They also warn that meeting the May 9 deadline could be challenging due to the significant changes required in their systems.
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