As a tech-savvy millennial constantly making use of FinTech platforms, you must have come across the KYC requirement at least once in your life and probably wondered what it represented and/or meant.
Look no further, the KYC is basically an acronym for “Know Your Customer”. It refers to a process that banks, FinTechs and all other providers of financial services need to engage in, in order to verify the authenticity of users on their platform.
The KYC requirement is a compulsory practice put in place by the regulatory institution responsible for monitoring the actions of financial service providers in a country, and it requires all users to pass through the process before carrying out certain financial transactions.
This process of verifying the authenticity (or not) of users could include requesting for more information like the Personal Identifiable information, identification documents — National ID card, Passport, Driver’s License, etc and sometimes even your Bank Verification Number (BVN).
As a user who is being asked to present these documents, it is very easy to think of this process as a bottleneck and unnecessary, however, it is important to understand that having your KYC documentation completed on your Paga Account brings a ton of benefits to you, such as:
- Prevents Fraud on your account, Updating your KYC helps us to understand the nature of activities going on in your account, verify that the source of funds is legitimate, and prevents any potential money laundering activity on the account.
- Guards against identity theft; By engaging in this process, we are able to establish your identity as a customer, ensuring that someone else is not impersonating you and carrying out fraudulent financial transactions through your Paga account.
- Increased transaction limit; On the Paga app, when you complete your KYC process, you are able to increase your daily transaction limit from 50,000 Naira to 5,000,000 Naira and your daily account balance limit from 300,000 Naira to an unlimited amount!
To enjoy these benefits, update your KYC on the Paga app by clicking here for a simple 3 step process.
Just Paga It!