Growing network of AAs in India
Drive the Change
Account Aggregators empower users with their data by,
Giving them control over their financial data
Real-time sharing of information
Better and faster access to an array of new age financial services
Data Empowerment a Reality with
the AA Ecosystem
Secure and seamless sharing of data through encryption
User-controlled data sharing with unified consent management
No physical document collection or submission, preventing leakage and misuse
No sharing login credentials with third parties reducing security breach
How to become an AA?
The Reserve Bank of India (“RBI”) has issued directions for registration and operations of NBFC-Account Aggregators. These include registration requirements, the process of registration and other ancillary requirements necessary to become an Account Aggregator. We briefly cover the application procedure, divided into 2 phases.
In-Principle Approval:
Submit application to the RBI
As per RBI master direction, no entity other than a company can become an AA. Submit an application in the prescribed format under Annexure A of the guidelines addressed to the Department of Non-Banking Regulation.
Provide company identification information
Submit a comprehensive overview of your business operations and model, also including company’s background information, the key managerial positions, an overview of the proposed AA framework etc
Provide statement of capital funds
Share details about the company’s corporate structure, capital funds, net worth, shareholding pattern, auditor’s certificates etc. An indicative list has been provided by the RBI to gauge what documents are required.
Submit a business plan
The business plan provides RBI a view of the business operation, product offering, mechanisms on how data flows, the consent mechanisms for users, plan for customer acquisition and retention etc.
Comply with RBI requirements
RBI has set certain conditions for entities to become an AA. This includes requirements related to necessary resources, capital structure, investment from Financial Action Task Force (“FATF”) etc.
Get application reviewed by RBI
The RBI may take up to a year to review the application, often following up with queries. After due diligence, the application is either granted an in-principle approval; sent back due to lack of information; or rejected.
Operating License
Comply with regulatory and technical requirements
After in-principle approval, your company has 12 months from the date of receiving such approval to comply with all the regulatory and technical requirements prescribed by the RBI.
Procure adequate capital
If your company is unable to meet the minimum net owned fund requirements of two (2) crore, adequate capital must be brought into the company.
Make technological platform operational
Ensure that the technology platform is operational and is in compliance with technical specifications. Enter into agreements with relevant stakeholders to ensure services are continued to customers.
Put measures to protect customer data
Ensure that you have extensive and elaborate controls, procedures, and policies in place to make sure that customer data is always protected.
Solutions by Sahamati
Use the following services offered by Sahamati to seamlessly integrate the AA framework within your organisation.
Additional Resources
FAQs
What does the linking of accounts mean in an AA app?
In the AA app, users need to link with their FIPs (bank accounts) by which a user can share the data from that FIP with an FIU. The linking process requires users to enter a unique identifier by which the FIP can discover your account (e.g. PAN number, Customer Registration Number or mobile number – this is FIP specific). The FIP will verify that the user is the owner of that account by sending an OTP.
Is any technical documentation related to being an AA available?
Please refer to our Resources section of the website. It has all the required technical and policy documents.
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