Post Offices To Bring New Features For Account Holders! Open RD, PPF Accounts Using Aadhaar

Opening recurring deposits and public provident fund (PPF) has become a lot easier with Aadhaar biometrics. The Department of Post Office has extended the e-KYC facility to depositors willing to open their RD, PPF or utilise any other benefits. Earlier, the e-KYC digital facility only limited to the Monthly Income Scheme (MIS), Time Deposit (TD), Kisan Vikas Patra (KVP), and National Savings Certificate (NSC) Income Tax Guide.

With the renewed facility, people can now use their Aadhaar biometric to open a new RD or PPF account, and manage existing RD or PPF accounts for easier and faster access.

New Aadhaar Biometric e-KYC at Post Offices

The e-KYC digital facility will cover all small savings instruments at India Post's Core Banking-enabled branches, focusing initially on the popular RD and PPF schemes.
In January 2025, the e-KYC facility was rolled out for Aadhar-based eKYC for onboarding for new customers for opening Post Office accounts. The Department of Post Office has recently extended the e-KYC facility to add popular savings schemes like Monthly Income Scheme, Time Deposit, Kisan Vikas Patra, and National Savings Certificates.

What Are The Services Under RD And PPF Accounts That Can Be Used For Using Aadhaar-Based E-KYC?

Under the extended facilities, people can use Aadhaar-based biometric e-KYC authentication at India Post's Core Banking Solution (CBS) post offices effective June 27, 2025.
Other thanthe opening of RD and PPF loans, people can also repay loans in RD and PPF accounts, withdraw their amount without any limit, and can be done using Aadhaar biometric at Post Offices.

The latest interest rates for Small Savings Schemes for July to September 2025 have been announced. Additionally, efforts are underway to extend biometric-based e-KYC for account closure, nomination changes, and account transfers.

"As a major initiative, it has been decided by the competent authority to introduce a paperless KYC process and POSB account opening and transactions through Aadhaar Authentication basis (e-KYC). The e-KYC-based account opening is proposed to be implemented in a phased manner. Accordingly, it has been decided that onboarding of new customers (Creation of Customer Information File (CIF)) and opening of Single & Individual Type Post Office Savings Account (POSA) in Departmental Post Offices through Aadhaar based e-KYC process are done in Phase - I and necessary changes have been made in Finacle-CBS," read a notice by Department of Posts in January.

Masked Aadhaar Card

The Aadhaar numbers will appear in a disguised form on all account opening forms and other documents obtained from clients for e-KYC transactions. The postmaster will ensure that the first eight digits of the Aadhaar number are hidden using a black ink pen.
"All post offices and CBS-CPCs should ensure that the Aadhaar Number is masked in all existing documents like AOF, KYG Form etc., containing the Aadhaar Number including the copy of the Aadhaar obtained," stated the order.

Biometric Authentication To Simplify Transactions

The Post Office Assistant (PA) will take the depositor's biometric authentication to obtain consent for using Aadhaar.

No Pay-In-Slip

Depositors will not require a pay-in slip for credit or debit transactions in RD, PPF, RD Loan accounts when conducted through e-KYC. For RD and PPF account openings based on Aadhaar authentication.