RBI Halts Loan Disbursals by Four NBFCs

• RBI has directed Navi Finserv and three other NBFCs to stop loan sanctioning and disbursal due to supervisory concerns.
• The directive, effective from October 21, 2024, cites excessive loan pricing and non-compliance with regulatory norms.
• Companies affected include Navi Finserv, DMI Finance, Arohan Financial Services, and Asirvad Micro Finance.
• Violations include unfair pricing, evergreening of loans, and failure to assess household income.
• The restrictions will be reviewed if the companies take remedial actions to comply with RBI guidelines.

Source: Abp News, The Times Of India, The Economic Times