Lenders not allowed to levy foreclosure charges on MSEs, says RBI
Source: Business Standard 2 min read Last Updated : Oct 09 2024 | 8:12 PM IST The Reserve Bank of India (RBI) on Wednesday said that banks and non-banking financial companies (NBFCs) cannot levy foreclosure charges or pre-payment penalties on floating rate term loans sanctioned to Micro and Small Enterprises (MSEs). A draft…