 "rbi")
The Reserve Bank of India (RBI) has increased eligibility criteria for microfinance loans to a household having an annual income of up to Rs 3 lakh while removing the interest rate cap on such loans. It has also asked all lenders to put in place a board-approved policy on pricing.
In the final guidelines for microfinance loans released on Monday, the RBI said it will scrutinise the rates charged by the lenders so that they do not charge usurious rates, and has asked the lenders to put in place a ceiling on pricing of loans and related fees.
The microfinance
