The Reserve Bank of India (RBI) has proposed the creation of a public repository for digital lending apps. This announcement was made by RBI Governor Shaktikanta Das during the recent Monetary Policy Committee (MPC) meeting.
What It Means for Borrowers
The proposed repository is set to serve as a comprehensive database of authorized digital lending platforms.
Key Benefits for Borrowers
- Comprehensive Database:
- A centralized list of verified and legitimate digital lending apps.
- Enhanced Consumer Protection:
- Addresses growing concerns over fraudulent and unauthorized lending apps.
- Empowered Decision-Making:
- Enables consumers to make informed decisions and avoid predatory lenders.
Summary Table
| Aspect | Benefit |
|---|---|
| Comprehensive Database | Centralized list of authorized apps |
| Enhanced Consumer Protection | Addresses fraudulent app concerns |
| Empowered Decision-Making | Informed choices and safer lending |
The proposed repository aims to tackle the rising issue of unauthorized digital lending apps, which have been a source of concern for borrowers due to their predatory practices. By maintaining a publicly accessible list of approved lending platforms, the RBI seeks to provide a safer lending environment for consumers.