{"id":8037,"date":"2023-02-22T13:40:12","date_gmt":"2023-02-22T13:40:12","guid":{"rendered":"https:\/\/signdesk.com\/in\/?p=8037"},"modified":"2025-09-17T07:19:44","modified_gmt":"2025-09-17T12:49:44","slug":"pan-as-common-id-for-business-verification","status":"publish","type":"post","link":"https:\/\/melento.ai\/en-in\/blog\/pan-as-common-id-for-business-verification","title":{"rendered":"PAN As Common ID- How To Streamline KYC Verification Across BFSI"},"content":{"rendered":"<h2><strong><span style=\"color: #2c5363;\">PAN As Common ID Document &#8211; Union Budget FY23<\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">With the recent developments in digitizing processes, the government proposed the use of the Permanent Account Number or PAN as common ID. This move aims to assist regulators in data collection &amp; processing, while also making it easier for companies to verify their clients\u2019 details.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Business establishments that utilize digital systems from government agencies for various purposes will be able to use PAN cards as a standard <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/complete-guide-to-identity-verification-api\">ID document<\/a><\/span> to conduct verification.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The government included this proposal in the Union Budget for Fiscal Year 2023, as a way to improve the ease of doing business, which can be especially beneficial for firms in the BFSI sector.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The proposition of <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/indianexpress.com\/article\/business\/union-budget-2023-pan-common-indentifier-8417136\/\">PAN as a uniform digital identity<\/a><\/span> also helps streamline &amp; optimize the KYC process substantially, which is an integral component of customer onboarding in banks, investment &amp; insurance firms.<\/p>\n<h2><strong><span style=\"color: #2c5363;\">Single ID For Business Verification\u00a0<\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN is a widely recognized ID document in India &amp; is extensively used for various transactions, both financial &amp; non-financial, across the country. Using PAN as a common ID can improve the way multiple processes take place, streamline them &amp; benefit businesses in many industries.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Permanent Account Number or PAN as a common business ID presents benefits for businesses in many ways like lowering the risk of fraud, streamlining the verification process, guaranteeing compliance with regulatory requirements, &amp; lowering the cost of KYB verification.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Using PAN as a standard ID for business transactions also helps companies provide a better onboarding experience for corporate clients.<\/p>\n<h2><strong><span style=\"color: #2c5363;\">Why Is a Common Business Identifier Needed? <\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">According to <a href=\"https:\/\/documents1.worldbank.org\/curated\/en\/471531468196759403\/pdf\/103570-REVISED-Implementing-a-unique-business-identifier-in-government.pdf\"> case studies conducted by the World Bank<\/a>, implementing a common business identifier &#8211;<\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Lowers the time it takes to register businesses, sometimes to just 2 days<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Decreases the administrative burden placed on businesses due to time spent dealing with various government entities<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Improves customer service metrics as businesses coould devote more resources to high-impact areas<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Increases government efficiency in terms of disbursing services, quality of data stored, and data management processes implemented<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Lowers the cost of interacting with government agencies for businesses, compliance costs for businesses, and even administrative costs for governments<\/li>\n<\/ul>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Implementing a common business identifier will also help streamline the KYB and due diligence process for businesses when onboarding new partners or corporate clients. When combined with the recent proposal to <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/inc42.com\/buzz\/union-budget-2023-entity-digilocker-for-msmes-startups\/\">expand the scope of DigiLocker<\/a>,<\/span> PAN as a common business ID will enable hassle-free business documentation.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The proposed \u201cEntity DigiLocker\u201d will be capable of storing business documents and IDs of MSMEs and large enterprises. Businesses will be able to produce Officially Valid Documents (OVDs) for instant verification or due diligence purposes using DigiLocker. The digital vault will also enable enterprises, regulators, and other government entities to quickly retrieve business documents for purposes of KYB, disbursing services, risk management, and onboarding.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN verification is among the most vital steps in enabling seamless digital KYB verification.<\/p>\n<h2><strong><span style=\"color: #2c5363;\">PAN Verification In The KYB Process<\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN verification is a Know Your Business (KYB) process that involves validating the authenticity of a company&#8217;s Permanent Account Number (PAN) with the appropriate government authorities.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN verification is an important part of the KYB process because it allows businesses to establish their reliability and credibility. And with PAN as single business <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/automate-workflow-with-signdesks-api\">ID<\/a><\/span> has the potential to expedite the business verification procedure multifold.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Businesses have to submit their PAN alongside other relevant documents to the verifying entity as part of the KYB process. The verifying entity then compares the PAN information to the Income Tax department&#8217;s database to ensure that the PAN is valid &amp; that the business is registered.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Companies can carry out PAN verification for KYB online on <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/how-is-kyc-different-from-kyb\">KYB verification platforms<\/a><\/span> like Melento (Formerly SignDesk).<\/p>\n<p><span style=\"color: #000000;\"><b>PAN Verification For KYB &#8211; Process Flow<\/b><\/span><\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The process of PAN verification for business entities involves the following steps:<\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The business submits PAN details, along with other relevant documents, for verification.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">A request is placed to check the PAN against the Income Tax department&#8217;s database.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The PAN details provided by the business are checked against the Income Tax department&#8217;s database to verify the authenticity &amp; ensure the PAN details are valid.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">If the PAN details are found to be correct and valid, the business is considered to have passed the KYB PAN verification stage.<\/li>\n<\/ul>\n<h2><strong><span style=\"color: #2c5363;\">PAN Verification API <\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN card verification via the<span style=\"color: #333333;\"> <a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/pan-verification-api#:~:text=Pan%20verification%20API%20is%20one,official%20or%20any%20third%20party\">PAN verification API<\/a> <\/span>is a quick &amp; easy way for companies to verify the authenticity of PAN &amp; the accuracy of PAN details furnished by their business partners.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The API enables firms to quickly &amp; accurately verify PAN since it requires minimal manual intervention. Businesses in any sector can seamlessly integrate the <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/automate-workflow-with-signdesks-api\"><strong>API<\/strong><\/a><\/span> into their ID verification process to validate PAN details.<\/p>\n<h3><span style=\"color: #2c5363;\"><b>PAN Verification Using API &#8211; How It Works\u00a0<\/b><\/span><\/h3>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Verifying PAN through PAN verification API typically happens in this manner:<\/p>\n<ol>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The company integrates the PAN verification API into its business verification system.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The company submits the PAN information for the corporate client or business partner entity that needs to be verified.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The system sends a request to the PAN verification API &amp; submits the PAN details to be verified.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The PAN verification API responds to the request &amp; retrieves the necessary information from the Income Tax department\u2019s database.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The API verifies the authenticity &amp; accuracy of the PAN details provided by the business by verifying them against the details retrieved from the ITD (Income Tax Database).<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The API communicates the verification results to the company\u2019s verification system, enabling the firm to easily accept or reject the business partnership.<\/li>\n<\/ol>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN verification APIs help businesses conduct hassle-free digital KYB, comply with due diligence procedures, and enable accelerated digital onboarding.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Melento (Formerly SignDesk)\u2019s PAN verification API leverages OCR, face match, and smart verification techniques to instantly scan, extract and verify PAN details from business IDs.<\/p>\n<div align=\"center\"><span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/talk-to-sales\"><button class=\"wpcf7-form-control wpcf7-submit envor-btn envor-btn-primary envor-btn-normal\" style=\"border-radius: 30px !important; background-color: #00b087; border: #00b087;\" type=\"button\"><strong>Try It Now!<\/strong><\/button><\/a><\/span><\/div>\n<h2><strong><span style=\"color: #2c5363;\">Why Do Firms Verify PAN?\u00a0<\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/pan-card-kyc-verification\">PAN verification process<\/a><\/span> ascertains the veracity of the PAN card information furnished by the customer. Using a common ID verification system enables BFSI businesses in easily verifying the PAN of business clients or individuals &amp; analyze factors like:<\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Checking PAN status, i.e., whether the PAN is active, deactivated, deleted, or not present in the database.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Checking PAN genuinity i.e., whether the PAN card is authentic or fake.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Name of the PAN holder.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Name printed on the PAN card.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">And whether the PAN card has been previously updated.<\/li>\n<\/ul>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN, as common ID document for verification, assists bankers, insurers &amp; securities intermediaries in procuring their customers\u2019 identification information for due diligence purposes faster &amp; more efficiently.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The government\u2019s FY23 Union Budget proposal of PAN card as a singular ID document also helps these businesses take their customer verification process online using <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/kyc-verification\">video-Based KYC verification<\/a><\/span>.<\/p>\n<h2><strong><span style=\"color: #2c5363;\">PAN Verification For Banks &amp; NBFCs <\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Banks &amp; non-banking financial institutions need to verify the information provided by new customers before carrying out business with them. Before disbursing loans or opening up accounts to new customers, these financial institutions need to verify if the PAN card details submitted by the customer are accurate.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Video-based Customer Identification Process or<span style=\"color: #333333;\"> <a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/what-are-the-steps-in-rbis-new-vcip\">VCIP<\/a> <\/span>is a seamless &amp; secure alternative to the typical face-to-face CIP &amp; enables bankers to verify customers\u2019 PAN details online. On Melento (Formerly SignDesk), banks &amp; NBFCs can use an end-to-end encrypted VCIP solution to record &amp; digitally verify customers\u2019 PAN data in real-time.<\/p>\n<h3><span style=\"color: #2c5363;\"><b>Video-Based Customer Identification Process Flow<\/b><\/span><\/h3>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">VCIP takes place as follows:<\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">\u00a0The customer logs in to Melento (Formerly SignDesk)\u2019s video KYC portal to get on the video call &amp; uploads an image of his PAN card.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">\u00a0Melento (Formerly SignDesk) extracts key data from the PAN using OCR &amp; cutting-edge data extraction techniques.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">\u00a0We verify the PAN card details against reliable databases to ensure it is authentic &amp; spot fake IDs instantly.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">We leverage smart Machine Learning techniques to confirm that the PAN card belongs to the person on the call.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Profile filters are used to remove violators from the VCIP in case they are detected.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">\u00a0We use geo-tagging to determine the location where the customer is present during VCIP.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Liveness checks are made to ensure the customer\u2019s presence during the video call. &amp; counter spoofs &amp; deep fakes.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The video-based customer identification procedure is complete &amp; the customer can avail of banking products &amp; services if his\/her PAN details are accurate.<\/li>\n<\/ul>\n<h2><strong><span style=\"color: #2c5363;\">PAN Verification For Insurance Companies <\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Insurance providers are required to verify PAN details whenever they want to establish or continue an account-based relationship with a customer or for any other insurance service. In addition, they have to also carry out PAN verification of insurance policy beneficiaries.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">For this purpose, they can utilize a Video Based Identification Process for insurance businesses, more commonly known as <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/what-does-irdai-vbip-mean-for-insurers\">VBIP<\/a><span style=\"color: #333333;\">.<\/span> Melento (Formerly SignDesk)\u2019s automated VBIP solution helps insurers to obtain customer identification information &amp; conduct PAN card verification online over secure, encrypted &amp; recorded video calls.\u00a0<\/span><\/p>\n<h3><span style=\"color: #2c5363;\"><b>Video Based Identification Process Flow<\/b><\/span><\/h3>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">VBIP takes place in this manner:<\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The insurance official invites the customer for the video-based identification procedure.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The customer uploads his PAN card photograph or scanned copy for authentication via Aadhaar eSign.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The insurance representative initiates an audio-visual interaction with the customer while recording the video.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The official captures live images of the customer &amp; his PAN card.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The images are matched with the photo on the PAN card using Machine Learning techniques.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">AI &amp; OCR technologies extract image data &amp; verify it against standard databases for authenticity.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Geo-tagging is utilized to establish the customer\u2019s live location.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The video-based identification process is complete &amp; if the PAN details are correct, the customer can avail of insurance services.<\/li>\n<\/ul>\n<h2><strong><span style=\"color: #2c5363;\">PAN Verification For Securities Intermediaries <\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Securities intermediaries need to perform KYC before carrying out business with any new investor. In addition, they have to conduct KYC on an ongoing basis depending on the level of risk associated with the customer &amp; also when they make additional investments.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">These checks help them identify &amp; address any significant threats or malicious transactions. For this purpose, they can utilize Video In-Person Verification or <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/video-in-person-verification-vipv\">VIPV<\/a> &amp; verify ID documents like PAN cards of investors.\u00a0<\/span><\/p>\n<h3><span style=\"color: #2c5363;\"><b>Video In-Person Verification Process Flow<\/b><\/span><\/h3>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"><strong>VIPV occurs as follows<\/strong>:<\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">An authorized official invites the investor for <a href=\"https:\/\/melento.ai\/en-in\/blog\/vipv-enabled-video-kyc-for-mutual-funds\">VIPV<\/a> &amp; commences it after the investor consents to the terms &amp; conditions.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The investor uploads his PAN card for verification.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The investor\u2019s &amp; his PAN card\u2019s images are captured &amp; verified, or the PAN card is validated via OTP.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Facial matching &amp; geo-tagging are performed to verify &amp; confirm the investor\u2019s location during VIPV.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The official conducts a question-driven interaction to perform the investor\u2019s liveness check.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The verification is complete &amp; the official can approve or reject the investor based on it.<\/li>\n<\/ul>\n<h2><strong><span style=\"color: #2c5363;\">PAN Verification In The KYB Process <\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN verification is a Know Your Business (KYB) process that involves validating the authenticity of a company&#8217;s Permanent Account Number (PAN) with the appropriate government authorities.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"><span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/pan-card-kyc-verification\">PAN verification<\/a><\/span> is an important part of the KYB process because it allows businesses to establish their reliability and credibility. And with PAN as single business ID has the potential to expedite the business verification procedure multifold.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Businesses have to submit their PAN alongside other relevant documents to the verifying entity as part of the KYB process. The verifying entity then compares the PAN information to the Income Tax department&#8217;s database to ensure that the PAN is valid &amp; that the business is registered.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Companies can carry out PAN verification for KYB online on <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/how-is-kyc-different-from-kyb\">KYB verification platforms<\/a><\/span> like <span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/signdesk.com\/\"><strong>Melento (Formerly SignDesk)<\/strong><\/a><\/span>.<\/p>\n<h3><span style=\"color: #2c5363;\"><b>PAN Verification For KYB &#8211; Process Flow<\/b><\/span><\/h3>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"><strong>The process of PAN verification for business entities involves the following steps<\/strong>:<\/p>\n<ol>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The business submits PAN details, along with other relevant documents, for verification.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">A request is placed to check the PAN against the Income Tax department&#8217;s database.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The PAN details provided by the business are checked against the Income Tax department&#8217;s database to verify the authenticity &amp; ensure the PAN details are valid.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">If the PAN details are found to be correct and valid, the business is considered to have passed the KYB PAN verification stage.<\/li>\n<\/ol>\n<h2><strong><span style=\"color: #2c5363;\">PAN Verification API <\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN card verification via the<span style=\"color: #333333;\"> <a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/pan-verification-api#:~:text=Pan%20verification%20API%20is%20one,official%20or%20any%20third%20party\">PAN verification API<\/a> <\/span>is a quick &amp; easy way for companies to verify the authenticity of PAN &amp; the accuracy of PAN details furnished by their customers or business partners.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The API enables firms to quickly &amp; accurately verify PAN since it requires minimal manual intervention. Businesses in any sector can seamlessly integrate the API into their ID verification process to validate their customers\u2019 PAN details.<\/p>\n<h3><strong><span style=\"color: #2c5363;\"><span style=\"color: #2c5363;\">PAN Verification Using API &#8211; How It Works <\/span><\/span><\/strong><\/h3>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"><strong>Verifying PAN through PAN verification API typically happens in this manner<\/strong>:<\/p>\n<ol>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The company integrates the PAN verification API into its customer or business verification system.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The company submits the PAN information for the individual or entity that needs to be verified.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The system sends a request to the PAN verification API &amp; submits the PAN details that need to be verified.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The PAN verification API responds to the request &amp; retrieves the necessary information from the Income Tax department\u2019s database.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The API verifies the authenticity &amp; accuracy of the PAN details provided by the business by verifying them against the details retrieved from the database.<\/li>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">The API communicates the verification results to the company\u2019s verification system, enabling the firm to easily accept or reject the customer\/business partnership.<\/li>\n<\/ol>\n<h2><strong><span style=\"color: #2c5363;\">What Is The Importance of PAN Card Verification?\u00a0<\/span><\/strong><\/h2>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN card verification is an integral process for many businesses, especially those operating in the banking, financial services &amp; insurance sector. PAN verification is important for these reasons:<\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"><span style=\"text-decoration: underline;\"><b>Finance Fraud Prevention<\/b><\/span>:\u00a0<span style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Businesses can significantly reduce the risk of fraudulent transactions by ensuring that the person claiming to be the PAN card holder is actually the rightful owner of the card.<\/span><\/li>\n<\/ul>\n<p style=\"padding-left: 30px;\"><span style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Verifying customers&#8217; PAN card details can assist businesses in detecting &amp; preventing fraud &amp; financial crime, such as money laundering &amp; identity theft.\u00a0<\/span><\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"><span style=\"text-decoration: underline;\"><b>Improved Compliance<\/b><\/span>:<span style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"> PAN card verification is requisite for many financial transactions, including opening a bank account, buying insurance &amp; investing in financial products.\u00a0<\/span><\/li>\n<\/ul>\n<p style=\"padding-left: 30px;\"><span style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Businesses can ensure they stay compliant with regulatory &amp; legal requirements by verifying their customer\u2019s PAN details when they carry out these transactions.\u00a0<\/span><\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"><span style=\"text-decoration: underline;\"><b>Enhanced Customer Experience<\/b><\/span>:<span style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"> PAN card verification using remotely implementable procedures like VCIP, VBIP &amp; VIPV simplifies customer journeys.<\/span><\/li>\n<\/ul>\n<p style=\"padding-left: 30px;\"><span style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Companies can verify potential customers online &amp; offer them improved accessibility to their products &amp; services.\u00a0<\/span><\/p>\n<ul>\n<li style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\"><span style=\"text-decoration: underline;\"><b>Better Risk Management<\/b><\/span>: <span style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">In the BFSI sector, PAN verification acts as a valuable tool for controlling &amp; mitigating risk.\u00a0<\/span><\/li>\n<\/ul>\n<p style=\"padding-left: 30px;\"><span style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Businesses can assess the risk associated with a specific individual or company by verifying their PAN details &amp;\u00a0 implementing proper measures to mitigate that risk.\u00a0<\/span><\/p>\n<h3><span style=\"color: #2c5363;\"><b>Verify PAN With Melento (Formerly SignDesk)\u2019s Robust <a style=\"color: #2c5363;\" href=\"https:\/\/melento.ai\/en-in\/blog\/all-about-kyc-verification\">KYC Verification<\/a> Solution<\/b><\/span><\/h3>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN verification is an essential component of KYC processes as it assists BFSI businesses in identifying their customers, along with their income sources &amp; status. Knowing them helps these businesses determine the customer\u2019s creditworthiness &amp; helps them lower the likelihood of financial fraud due to onboarding the particular customer.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">PAN card verification is a critical process for BFSI firms because it assists them in identifying their customers, complying with legal &amp; industry regulations, assessing risk &amp; reducing the risk of fraud &amp; financial crime.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Melento (Formerly SignDesk)\u2019s state-of-the-art video KYC platform is designed to enable BFSI companies to conduct PAN verification and <a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/pan-aadhaar-link-verification\">pan aadhaar link verification<\/a> of their customers in an online environment.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Our<span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/digital-onboarding\"> PAN verification solutions<\/a><\/span> use cutting-edge compliance technology to help lower customer verification costs, &amp; reduce KYC drop-offs &amp; TAT. The procedure also entails an audit trail to record the entire transaction for future reference.<\/p>\n<p style=\"text-align: justify; font-size: 17px; font-family: 'open sans';\">Melento (Formerly SignDesk)\u2019s VBIP, VCIP, VIPV, &amp;<span style=\"color: #333333;\"> <a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/blog\/automate-workflow-with-signdesks-api\">API-based PAN verification<\/a><\/span> solutions protect your business against fraud &amp; allow for easy customer verification &amp; onboarding. Schedule a free demo with us to learn how online PAN verification via video KYC can help you speed up your customer onboarding process.<\/p>\n<div align=\"center\"><span style=\"color: #333333;\"><a style=\"color: #333333;\" href=\"https:\/\/melento.ai\/en-in\/talk-to-sales\"><button class=\"wpcf7-form-control wpcf7-submit envor-btn envor-btn-primary envor-btn-normal\" style=\"border-radius: 30px !important; background-color: #00b087; border: #00b087;\" type=\"button\"><strong>Book A Demo!<\/strong><\/button><\/a><\/span><\/div>\n","protected":false},"excerpt":{"rendered":"<p>PAN As Common ID Document &#8211; Union Budget FY23 With the recent developments in digitizing processes, the government proposed the use of the Permanent Account Number or PAN as common ID. This move aims to assist regulators in data collection &amp; processing, while also making it easier for companies to verify their clients\u2019 details. Business [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":9664,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"page_templates\/blog-new-3.php","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[14,18,20],"tags":[347,348,1811,1817,1818,1819,1820,1821,1822,1841,1842,1843,2108],"class_list":["post-8037","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ekyc","category-id-verification","category-regulations","tag-common-business-identifier","tag-common-id-verification","tag-pan-a-common-identifier","tag-pan-as-common-id","tag-pan-as-common-id-document","tag-pan-as-common-id-document-union-budget-fy23","tag-pan-as-common-identifier","tag-pan-as-comon-business-id","tag-pan-as-single-business-id","tag-pan-verification-for-kyb","tag-pan-verification-for-securities-intermediaries","tag-pan-verification-in-the-kyb-process","tag-single-id-for-business-verification"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How To Streamline KYB &amp; KYC Verification With PAN As Common ID<\/title>\n<meta name=\"description\" content=\"As per recent proposals in the Union Budget, PAN can serve as a common business ID. This simplifies KYB verification, digital KYC &amp; financial transactions.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/melento.ai\/en-in\/blog\/pan-as-common-id-for-business-verification\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How To Streamline KYB &amp; KYC Verification With PAN As Common ID\" \/>\n<meta property=\"og:description\" content=\"As per recent proposals in the Union Budget, PAN can serve as a common business ID. This simplifies KYB verification, digital KYC &amp; financial transactions.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/melento.ai\/en-in\/blog\/pan-as-common-id-for-business-verification\" \/>\n<meta property=\"og:site_name\" content=\"Melento (Formerly SignDesk)\" \/>\n<meta property=\"article:published_time\" content=\"2023-02-22T13:40:12+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-09-17T12:49:44+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/melento.ai\/en-in\/blog\/wp-content\/uploads\/2023\/02\/PAN-As-Common-ID-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Abhijith NS\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Abhijith NS\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"12 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/melento.ai\/en-in\/blog\/pan-as-common-id-for-business-verification\",\"url\":\"https:\/\/melento.ai\/en-in\/blog\/pan-as-common-id-for-business-verification\",\"name\":\"How To Streamline KYB & KYC Verification With PAN As Common ID\",\"isPartOf\":{\"@id\":\"https:\/\/melento.ai\/en-in\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/melento.ai\/en-in\/blog\/pan-as-common-id-for-business-verification#primaryimage\"},\"image\":{\"@id\":\"https:\/\/melento.ai\/en-in\/blog\/pan-as-common-id-for-business-verification#primaryimage\"},\"thumbnailUrl\":\"https:\/\/melento.ai\/en-in\/blog\/wp-content\/uploads\/2023\/02\/PAN-As-Common-ID-1.jpg\",\"datePublished\":\"2023-02-22T13:40:12+00:00\",\"dateModified\":\"2025-09-17T12:49:44+00:00\",\"author\":{\"@id\":\"https:\/\/melento.ai\/en-in\/blog\/#\/schema\/person\/ec422007f10d83f117454e7779dc4d23\"},\"description\":\"As per recent proposals in the Union Budget, PAN can serve as a common business ID. 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