RBI tightens norms for P2P lending platforms to improve transparency

The Reserve Bank of India (RBI) on Friday tightened norms for Non Banking Financial Company-Peer to Peer Lending Platforms (NBFC-P2P Lending Platform) to improve transparency and compliance.

As per the revised master direction issued by the RBI, a P2P platform should not promote peer-to-peer lending as an investment product with features like tenure-linked assured minimum returns, liquidity options, etc.