Photo of Satyadarshi Kunal

Senior Associate in the Projects and Project Finance practice at the Mumbai office of Cyril Amarchand Mangaldas. Kunal possess broad range of experience in Banking and Finance Laws and disputes concerning financial laws. He regularly advises banks, non-banking financial institutions and other financial institutions on project finance practice and disputes. He can be reached at satyadarshi.kunal@cyrilshroff.com

 

P2P lending in India Rules and Regulations

Fintech has massively transformed money flow and settlement transactions among millennials. Out of numerous existing fintech models, one is peer to peer (P2P) lending. P2P lending platforms play the role of an intermediary between two individuals, the lender and the borrower. With the upscaling growth rate of such platforms it has become a target for regulatory attention and the Reserve Bank of India (RBI) came up with regulation on October 4, 2017, vide the master direction bearing number DNBR(PD) 090/0.10.124/2017-18 (Master Direction) on non-banking financial peer-to-peer lending platforms.[1]

The Master Direction covers all prospective and existing P2P platforms (NBFC-P2P), which perform as P2P lending platforms on the fulfilment of certain conditions (one of which includes holding a net-owned fund of INR 2 crore). These registered P2P lending platforms would appear on the RBI list of registered NBFC-P2Ps as and when granted the certificate of registration. As per the last updated list[2], there are 11 NBFC- P2Ps registered while more than 50 still exist and are awaiting clearance from the RBI, Department of Non-Banking Regulation, Mumbai.
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Summary of Delhi HC Judgement of 13 3A SARFARESI

Can a secured creditor respond to a representation by a borrower, in response to a notice issued to him under section 13(2) of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI Act), beyond the mandatory period of 15 days (as stipulated under Section 13 (3A) of SARFAESI Act)?
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