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 do I need to complete KYC to receive COD payments?
To receive money from Cash on Delivery (COD) orders in your bank account, you must complete KYC and verify your bank account with Shiprocket, the third-party partner handling COD settlements. This is required before COD payouts can be released.
2. Can I start accepting COD orders before completing KYC?
Yes — you can enable COD and accept COD orders on your storefront immediately. However, you will not receive the COD amounts until you complete the Shiprocket KYC and bank verification.
3. How do I begin the KYC process with Shiprocket?
Link or create a Shiprocket account via Profile > Delivery Settings > Manage courier in SmartBiz.
Log in to Shiprocket using OTP with your SmartBiz registered mobile number.
In Shiprocket, go to Settings > KYC and choose your business type.
Complete photo ID and upload required documents.
4. What business types can I choose during KYC?
You can choose:
Individual (unregistered seller)
Sole Proprietorship
LLP / Partnership / Private or Public Company
Each type has specific document requirements.
5. How long does KYC take?
Express KYC: typically completed within ~30 minutes if you have required documents.
Manual KYC: may take 2–3 business days.
6. What should I do if my KYC is rejected?
KYC may be rejected if:
Business name entered does not exactly match your documents
Registered business GST certificate pages are incomplete
Original documents or photos are unclear
Ensure all information and uploads are accurate for approval.
7. How do I verify my bank details after KYC?
After KYC, go to Settings > COD Payments > Bank Details in Shiprocket. Enter your account number, name, account type, and IFSC code. Shiprocket will do a penny drop verification.
8. What if bank verification fails?
If all three automatic attempts fail:
You must upload supporting documents such as a cheque, passbook (with bank stamp), recent bank statement, or bank letterhead showing your account details.
Verification will then be done manually.
9. Why have my bank details not been verified?
Common reasons for verification failure:
Beneficiary name doesn’t match the KYC documents
Typographical errors in account or IFSC details
Passbook is uploaded without bank stamp/signature/photo
Student savings accounts are not accepted for COD payout verification via Shiprocket
10. Can I use a different courier partner to fulfill COD orders and still receive payments?
Yes — you can ship COD orders using other courier partners under Self-Ship. However, you must complete KYC with that courier partner as per RBI guidelines to receive COD payouts.
11. When will I receive COD payments into my bank account?
You will receive the COD amount (after delivery and settlement processes) within 7–10 days after successful delivery to the customer.
C. How will I receive payments for my COD orders?
You will receive payment in your bank account within 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.