Jio Financial Service (JFS) had earlier planned to concentrate on unsecured lending. Now it has decided to shift focus towards secured loans, including leasing. (It has also set up a 100% leasing subsidiary to undertake lease operations) “Large opportunity in the secured lending space. Noticeable market reaction vis-à -vis unsecured lending leading to calibrated approach towards … Read more
The Reserve Bank of India (RBI) on Monday took another step to harmonize regulations applicable to mortgage financiers and other non-bank lenders, proposing higher liquid assets to back deposits at housing finance companies, smaller aggregate deposits as a proportion of their own capital, and allowing them to issue co-branded credit cards. These are part of … Read more
The Reserve Bank of India has decided to tighten the connected lending norms to prevent instances where persons in power who influence lending decisions have close connections with borrowers. The regulator has also decided to come out with a unified regulatory framework on connected lending for all the regulated entities to avoid gaps in regulation. … Read more
Rural fintech firm Navadhan has raised $5 million (about ₹40 crore) in a pre-Series A round led by Prime Venture Partners. Existing investors Gemba Capital and Varanium NexGen Fintech Fund also participated. The new funds will be used to enhance the company’s AceN tech platform, which connects small, rural businesses with NBFCs and banks, and … Read more
AU Small Finance Bank (AU) is acquiring Fincare Small Finance Bank (Fincare) in a 100% share swap transaction. Fincare is a rural microfinance focused business with 15+ years of experience Microfinance is 53.9% of advances, followed by 18.9% Small Business Loans, 14.2% Home Loans, 10.2% Gold Loans and 2.6% others It’s majorly focused on South … Read more
In a move to simplify and streamline bank account transfers, the National Payments Corporation of India (NPCI) is set to facilitate hassle-free fund transfers of up to Rs 5 lakh without the need to add a beneficiary, states an ET report. The revised Immediate Payment Service (IMPS) will soon allow users to make secure and … Read more
The app in question is Bob World. “This action is based on certain material supervisory concerns observed in the manner of onboarding their customers onto this mobile application,” the RBI said. “Any further onboarding of customers of the bank on the ‘bob World’ application will be subject to rectification of the deficiencies observed and strengthening … Read more
The RBI is concerned about the strong growth in some personal loans and is watching out for any stress in that segment, asking banks, NBFCs and fintechs to strengthen their surveillance mechanisms. “Certain components of personal loans are recording very high growth… These are being closely monitored by RBI for any signs of incipient stress,” … Read more