What changed
Earlier, only UTI Infrastructure and Technology Services Ltd was allowed as a tie-up partner for UCBs acting as PAN Service Agents. Now, NSDL e-Governance Infrastructure Limited or any other agency authorized by the Income Tax Department can also be used. All other conditions from the November 14, 2013 circular remain unchanged.
What it means for you
UCBs that are financially sound and well-managed get more flexibility to offer PAN issuance services to customers through multiple authorized agencies. This reduces dependency on a single partner and may improve service reach. Banks must still obtain prior RBI approval before entering any such tie-up.
What you must do
- Verify your bank's classification as Financially Sound and Well Managed as per RBI circular dated October 1, 2013.
- Obtain prior RBI approval before entering into any PSA tie-up with NSDL e-Governance or other IT dept authorized agencies.
- Ensure compliance with all terms and conditions from the November 14, 2013 circular.
- Update internal policies and customer communication to reflect the expanded list of authorized PSA partners.
Who it affects
Primary (Urban) Co-operative Banks classified as Financially Sound and Well Managed, Customers of such UCBs seeking PAN issuance services, Authorized agencies like NSDL e-Governance Infrastructure Ltd and other IT dept-approved entities
Which UCBs are eligible to act as PAN Service Agents under this circular?
Only Financially Sound and Well Managed UCBs, as defined in RBI circular UBD.CO.LS.(PCB).Cir.No.24/07.01.000/2013-14 dated October 1, 2013, are eligible.
Do we still need RBI approval before starting PAN services with NSDL?
Yes, prior approval of the Reserve Bank is mandatory before entering into any tie-up with NSDL e-Governance Infrastructure Limited or any other authorized agency.
Does this circular change any other conditions from the earlier November 2013 circular?
No, all other terms and conditions from the November 14, 2013 circular remain the same. Only the list of permissible tie-up agencies has been expanded.