COD KYC Process

  • Updated

Important: To fulfill COD orders via 'Self-Ship' with alternative courier partners, complete KYC with respective courier partners to receive payments as mandated by RBI guidelines.

You can enable COD and start accepting orders on your storefront immediately. Please note that you will be able to disable COD only if there is at least one online payment method activated on your storefront. Refer Payment KYC to learn more about setting up online payments.

In order to receive the amount from COD orders in your bank account, you will first need to complete KYC and verify the bank account with Shiprocket, a third party offering COD services. In this article, we will cover:

      A. How do I complete KYC and bank account verification?

      B. Important points to note during KYC (FAQ's)

      C. How will I receive payments for my COD orders?

A. How do I complete KYC and bank account verification?

1. If you do not have an existing Shiprocket account, you can either create or link your existing Shiprocket account to SmartBiz by navigating to Profile > Delivery Settings > Manage courier for delivery in the SmartBiz app. Ignore this step if you have already set up a Shiprocket account with SmartBiz. 

2. Next, login to Shiprocket (https://app.shiprocket.in/login) by completing OTP verification with your SmartBiz registered mobile number.

3. Navigate to 'Settings' on the left panel and click on 'KYC' in the 'Company' card.

4. Next, chose the business type and start the KYC process - select 'Individual' if you are an unregistered seller or 'Company' for LLP, Partnerships and private/ publicly listed companies or 'Sole Proprietor'.

5. Complete your photo identification by capturing a selfie.

6. Upload documents depending on the type of your business. Refer the table below for details. 

Note: Opt for 'Express KYC' to complete your KYC process within 30 minutes. However, if you do not have the necessary documents for express KYC, you can opt for the manual KYC process. This will take upto 2-3 business days.

Business Type

Express KYC Manual KYC
Individual OTP verification with Aadhar card You can upload any two of the original documents - PAN card, Driving license, passport
Sole Proprietorship OTP verification with mobile linked to GST You can upload any one of the original documents - PAN card, Aadhar card, passport
LLP/ Partnerships/ Private or publicly listed companies OTP verification with mobile linked to GST

1. Company PAN is mandatory.

2. Any one of the documents need to be uploaded - company incorporation certificate, Company Registration certificate

7. Upon successful verification, you will receive the following message.

How do I verify my bank details?

After successful completion of KYC, you will need to share your bank details with Shiprocket to receive COD payments. Shiprocket will verify your bank account details via a penny drop. 

1. Navigate to Settings > COD Payments > Bank Details from the left panel on the Shiprocket website.

2. Enter your bank account details ((Beneficiary account number, account name, account type, and IFSC code). Note: Ensure that the beneficiary name exactly matches the name in the KYC documents.

3. Shiprocket will issue a token amount to verify your account details. Three attempts will be made to validate your bank account. 

4. In case all three attempts fail, your account details will be verified manually. You can upload any of the following documents - cheque, passbook (will name and bank stamp), latest month's bank statement or details on bank letterhead by stating that the client is an account holder in the bank with account details mentioned in it.

B. Important points to note during KYC (FAQ's):

1. Why has my KYC been rejected?

Please ensure the following - i) the business name entered should exactly match the uploaded documents, ii) if you have a registered business, all 3 pages of GST certificate need to be uploaded and iii) original documents are uploaded

2. Why have my bank account details not been verified?

If your account needs to be manually verified, please note the following - i) beneficiary name is the same as that in uploaded documents, ii) student accounts are not approved, iii) there should be no spelling mistakes while entering details and iv) if you upload passbook, it should contain the bank stamp and signature along with your photo

3. Can I fulfil COD orders by opting for a courier partner other than Shiprocket?

Yes, you can fulfil COD orders by opting for other courier partners under 'Self-Ship'. However, please ensure to complete KYC with the courier partner to ensure that you receive payments for COD orders as KYC is a mandatory requirement as per RBI guidelines.

C. How will I receive payments for my COD orders?

You will receive payment in your bank account 7-10 days after the order has been successfully delivered to your customers. For any questions, you can reach out to our support by logging into the app and navigating to Profile > Help > Contact Us > Request callback/ chat.