September 22, 2023 7:44 AM

RBI proposes changes in instructions dealing wilful defaulters

Reserve Bank of India has proposed changes in the instructions dealing wilful defaulters. In a press release, the RBI said, wilful defaulters must be defined as someone who has an outstanding amount of 25 lakh rupees and above and those who refuse to repay their loans despite having the capacity to pay. As per the revised guidelines, lenders will have to identify and label defaulting borrowers as "wilful defaulters" within six months of an account turning non-performing. It adds that w...