RBI curbs on Bajaj Finance over digital lending norms

The Reserve Bank of India on Wednesday directed Bajaj Finance to stop sanction and disbursal of loans under its two lending products — eCOM and Insta EMI Card — with immediate effect due to the non-adherence of the company to the extant provisions of digital lending guidelines.

“This action is necessitated due to non-adherence of the company to the extant provisions of digital lending guidelines of the Reserve Bank of India, particularly non-issuance of key fact statements to the borrowers under these two lending products and the deficiencies in the key fact statements issued in respect of other digital loans sanctioned by the company,” the RBI said.