CKYC vs eKYC: A Complete Guide for Financial Institutions

 

Central KYC (CKYC) is a government-led initiative in India, managed by the Central Registry of Securitisation Asset Reconstruction and Security Interest of India (CERSAI).
Its goal is to store KYC data in one central repository to maintain uniformity, reduce redundancy, and improve transparency in the financial sector.

When customers complete the CKYC process, they receive a 14-digit KYC Identifier (KIN), which can be used by financial institutions to avoid repeating the same KYC steps with different organizations.

CKYC vs eKYC What’s the Difference?

While both CKYC and eKYC aim to verify customer identity, they differ in implementation, regulation, and use cases.

1. Authority & Management

  • CKYC: Managed by CERSAI under a government mandate.

  • eKYC: Conducted by banks, NBFCs, or service providers using Aadhaar-based systems.

2. Data Centralization

  • CKYC: Stores KYC data in a centralized repository, accessible by all financial institutions.

  • eKYC: Data remains with the organization that initiated the process.

3. Onboarding Method

  • CKYC: Assisted onboarding with document submission and validation.

  • eKYC: Self-service onboarding, completed online without human intervention.

4. Verification Process

  • CKYC: Uses document uploads, validations, and sometimes physical verification.

  • eKYC: Uses Aadhaar OTP, biometric authentication, and instant document checks.

5. Reusability of KYC

  • CKYC: Provides a reusable KIN across institutions.

  • eKYC: Data usually can’t be reused outside the initiating institution.

6. Suitability & Use Case

  • CKYC: Best for compliance, traditional banking, and long-term customer records.

  • eKYC: Ideal for quick, remote onboarding.

7. Compliance Focus

  • CKYC: Designed for regulatory requirements.

  • eKYC: Focused on convenience and speed.

How CKYC Works – Step by Step?

  1. Customer Onboarding – Data collected online or in-branch.

  2. Document Collection – ID/address proof submission.

  3. Data Extraction & Verification – OCR/manual entry of KYC details.

  4. Image Compression – As per CERSAI standards (automated by Pixl.ai).

  5. Upload to CERSAI – Files sent via secure API/SFTP.

  6. KIN Issued – A unique KYC number generated after approval.

Tip: Pixl.ai’s CKYC API automates this entire process with accuracy and compliance.

How eKYC Works Step by Step?

  1. User Initiation – Customer starts verification via website or app.

  2. Document Submission – Upload Aadhaar, PAN, or other IDs.

  3. Biometric Verification – Match fingerprints, face, or voice with government records.

  4. Completion – Approval is instant if verification passes; otherwise, full KYC is required.

How Pixl.ai Simplifies CKYC Processing?

  • Easy Integration – Works with on-premise or cloud systems.

  • Real-Time Verification – Validate customer data instantly.

  • AI-Powered Automation – Extract, check, and prepare documents automatically.

  • In-House Validations – Reduce rejections with pre-checks.

  • Duplicate Detection – Alerts for possible repeat customers.

Final Thoughts

Understanding CKYC vs eKYC is key for financial institutions to improve onboarding while staying compliant.

  • CKYC ensures regulatory consistency.

  • eKYC speeds up customer verification.

With Pixl.ai’s CKYC & eKYC solutions, you get the best of both worlds  speed, compliance, and automation.

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