NBFC-P2P REGISTRATION
NBFC-PEER TO PEER LICENCE
A NBFC-P2P is a company registered under the Companies Act, 1956/ Companies Act, 2013 act as an Intermediary and will provide marketplace that lists borrowers, looking for funds, and lenders, looking for investing their funds, on its online platform. NBFC-P2P shall undertake due diligence on the participants by associated with the external agency or by itself using technology and various parameters and comply with the Master Directions – Non-Banking Financial Company – Peer to Peer Lending Platform (Reserve Bank) Directions, 2017 issued by the Reserve Bank of India.
Eligibility Criteria to Register as NBFC-P2P
- The company should be registered under the Companies Act, 1956/Companies Act 2013
- Company should have a minimum net owned fund of ₹ 200 lakh/ Fixed Deposit of Rs. 200 lakh.
- The company has the necessary technological, entrepreneurial and managerial resources to offer such services to the participants.
- The promoters and the Directors of the company are fit and proper.
- The company has submitted a plan for, or implemented, a robust and secure Information Technology system
- Cibil score of all the Director should be more than 700.
NBFC-P2P Registered
NBFC-P2P Registered
Brief procedure to set up NBFC in India
To register/ Set up NBFC-P2P in India, Company has to apply Reserve Bank of India for the License to carry the business of NBFC-P2P. Following are the brief steps in this regards:-
- Incorporate a company under a companies Act 2013 with minimum 2 Core equity capital
- Open current bank account of the Company and deposit 2 Cr. as per the shareholding of the members and keep this 2 Cr. as Fixed deposit which is free from all lien
- File online application with RBI portal with all the annexures
- Two sets of Physical application in originally will be submitted along with necessary annexures to RBI Mumbai head branch.
- RBI scrutinize the application and ask for some information/clarification/submission
- Submit reply to RBI within 30 days of receiving notice.
- On being satisfied, RBI grant in-principle approval with validity of 12 months for setting up of a Peer to Peer Lending Platform, subject to such conditions which it may consider fit to impose.
- Within the period of twelve months, the company shall put in place the technology platform, enter into all other legal documentations required and report position of compliance with the terms of grant of in-principle approval to the Bank.
- The Bank may, after being satisfied that the entity is ready to commence operations, grant a CoR as an NBFC–P2P, subject to conditions as deemed fit by the Bank.