New Delhi, Sept. 18 -- If you miss a KYC update deadline, can your bank freeze your account immediately? Not necessarily! Under Reserve Bank of India rules, banks are required to send reminders to customers before taking action on accounts with incomplete KYC. So here is a look at what can happen.

KYC, or Know Your Customer, is a mandatory requirement for bank customers and helps lenders verify their identity, address and other details.

This ensures that the institution knows its customers and prevents the misuse of its services for money laundering, terrorist financing, or proliferation financing.

As per the rules, KYC is a mandatory requirement in India. Banks and other regulated entities must complete KYC when opening any account. ...