RBI Sets Guidelines on Penal Charges, Prohibits Additional Interest on Defaults
In a significant move aimed at safeguarding borrowers’ interests, the Reserve Bank of India (RBI) has issued new guidelines for lenders regarding penal charges imposed on defaulting borrowers. Effective from January 1, 2024, these directives prohibit the computation of further interest on such charges, thereby relieving borrowers from undue financial burden. Read More: India Should…
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