RBI Imposes ₹76.6 Lakh Penalty on Four NBFCs for P2P Lending Compliance Violations
On March 7, 2025, the Reserve Bank of India (RBI) imposed monetary penalties totaling ₹76.6 lakh on four non-banking financial companies (NBFCs) for non-compliance with specific provisions related to peer-to-peer (P2P) lending platforms. The penalties are distributed as follows:
Fairassets Technologies India: ₹40 lakh
Visionary Financepeer: ₹16.6 lakh
Bridge Fintech Solutions: ₹10 lakh
Rang De P2P Financial Services: ₹10 lakh
These actions were taken due to the entities’ failure to adhere to the ‘Non-Banking Financial Company – Peer-to-Peer Lending Platform (Reserve Bank) Directions, 2017’. The RBI emphasized that these penalties are based on deficiencies in regulatory compliance and are not intended to question the validity of any transactions or agreements entered into by the NBFCs with their customers.
Peer-to-peer lending platforms serve as intermediaries connecting individual borrowers with lenders, offering an alternative to traditional banking channels. The RBI’s 2017 guidelines were established to regulate these platforms, ensuring transparency, protecting participant interests, and maintaining the financial system’s integrity. Non-compliance with these guidelines can lead to operational risks and undermine stakeholder confidence.
The RBI’s enforcement actions underscore its commitment to enforcing regulatory standards and promoting a stable financial environment. NBFCs operating P2P platforms are reminded to strictly adhere to regulatory frameworks to avoid penalties and contribute to a trustworthy financial ecosystem.
