RBI tightens norms on personal loans for Banks and NBFCs

The Reserve Bank on Thursday tightened norms for unsecured personal loans for banks and non-banking financial companies.The revised norms wherein risk weights have been increased by 25 percentage points will not be applicable on certain



consumer loans, including housing, education, and vehicle loans.

Besides, the norms will not be applicable on loans secured by gold and gold jewellery. These loans will continue to attract 100 per cent risk weight.