Aadhar Number is now mandatory for opening bank account. For creating a new account its mandatory seeding the personal account number with the Aadhar number. And for existing account, the account must be linked with their Aadhar number by 31st December. Failing to which the account will be inoperative.
Aadhar Number is now mandatory for opening bank account, Transaction over Rs 50K
Aadhar number is the biometric identity number issued by Unique Identification Authority of India (UIDAI). Recently, the government has made this identity number mandatory for opening a new bank account as well as for a financial transaction over 50,000 rupees and above.
As per the revenue department notification, all the existing account holder need to link their account with their Aadhar number by 31st December.
The government Budget 2017 has made seeding Aadhar number with the personal account number. So that It can avoid individuals using multiple PANs to evade taxes. Also accounts having a deposit of 50,000 can be opened at the bank branches having core banking solution.
Such account can be opened at branches where it is easy to monitor manually. As well as to need to make sure that foreign remittance is not credited to such accounts. And the monthly stipulated amount, an annual aggregate of transaction and balance should not breach.
Post-June 1, a person must have his/her Aadhar number while opening a new bank account. Failing to which the person has to submit the application of enrollment of Aadhar card and within six months he has to provide the Aadhar card number to the bank.
The official notification says “In case the client, eligible to be enrolled for Aadhaar and obtain a PAN and does not submit the Aadhaar number or the PAN at the time of commencement of an account based relationship with a reporting entity, the client shall submit the same within a period of 6 months from the date of the commencement of the account based relationship.”