Bank account-mobile number linking, KYC in demat account, other money tasks to do before September 30

All thanks to Covid-19, the month of September in 2021 has become important from a personal finance standpoint. That is because there are three important money tasks that must be completed in September 2021. Missing some of these deadlines will lead to penal consequences.

Here is a look at the three money tasks you must complete in the month of September:

• Add/update correct mobile number in your bank account

Starting from October 1, 2021, auto-debit payments from your bank account will require two-factor authentication. Thus, it is important that mobile number in your bank account is the right one, else you should update it to the correct one in the bank's records.


If the bank has the wrong mobile number, then your auto-debits will not get validated and will not get debited from your account. The auto-debit mandate is usually given for mutual fund SIPs for general investments and tax-saving purpose, for payment of utility bills, on OTT platforms such as Netflix, loan EMI repayments etc.

Missing an auto-debit payment can have penal consequences. For instance, bank can charge bounce fee due to non-validation of payment.

As per the Reserve Bank of India (RBI) directive, banks are required to send a notification to customers five days before the payments are scheduled to be debited and allow the debit once it is confirmed.

The rule related to two-factor authentication was supposed to come into effect from April 1, 2021. However, big banks like State Bank of India, HDFC Bank etc. were yet to make arrangements to comply with it.

Therefore, to avoid inconveniencing the customers, the RBI extended the timeline by six months to September 30, 2021.

• Complete KYC in demat account

The Securities and Exchange Board of India (Sebi), via a circular dated July 30, 2021, announced that the deadline to update KYC details in investors' demat and trading accounts has been extended to September 30, 2021. The earlier deadline was July 31, 2021.

As per Sebi, an individual is required to update the following details with regards to KYC: name, address, PAN, Valid mobile number, email ID and income range.

If the KYC details are not updated, then an individual will not be able to trade in the stock market as the individual's demat/trading accounts would be deactivated. Even if shares are bought, then the transfer of such shares will not be completed till the time the demat and trading accounts become KYC compliant.

• Payments for Vivaad Se Vishwas settlement cases

The last date for payment of tax without additional amount under Vivad se Vishwas has been further extended to September 30, from earlier deadline of August-end. With the additional amount, the last date remains as October 31.

The relaxation was given after taxpayers faced difficulties in issuing and amending requisite forms, the government said in a statement issued on August 29, 2021.