RBI Master Circular for Residuary Non-Banking Companies (2009)
No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2009-10/11 · issued 01 Jul 2009 · ~2 min read
Quick answerRBI updated its Master Circular for Residuary Non-Banking Companies (RNBCs) as of June 30, 2009, consolidating all instructions from the 1987 Directions. Key rule: RNBCs cannot accept deposits with maturity less than 12 months or more than 84 months. This circular applies to all RNBCs as defined under the RBI Act.
What changed
RBI issued an updated Master Circular (DNBS (PD) CC No. 154) that consolidates and updates all existing instructions for RNBCs up to June 30, 2009. The circular reaffirms the deposit maturity restrictions: RNBCs cannot accept deposits repayable in less than 12 months or more than 84 months from the date of receipt. It also clarifies that for deposits received in installments, the period is computed from the first installment date.
What it means for you
For RNBCs, this circular is a compliance reminder that deposit tenures must strictly fall between 12 and 84 months. Any deviation could invite regulatory action. Banks dealing with RNBCs should verify that their counterparties adhere to these maturity norms to avoid indirect exposure risks.
Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.
What banks were required to do at the time
Review your RNBC counterparties' deposit products to ensure compliance with the 12-84 month maturity rule.
Update internal compliance checklists to reference the latest Master Circular (2009) for RNBC due diligence.
Train relationship managers on the updated RNBC regulatory framework to avoid inadvertent non-compliance.
Who it affects
Residuary Non-Banking Companies (RNBCs), Banks with RNBC as counterparties or deposit holders, RBI supervisory teams monitoring NBFC compliance
❓ Common questions
Regulatory timeline
Decoded by BankPulse2026-06-19 09:51 IST
repealed_by — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
Status change: withdrawn03 Aug 2026, 04:00 IST
Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).
What is the minimum and maximum deposit tenure for RNBCs under this circular?
RNBCs cannot accept deposits repayable in less than 12 months or more than 84 months from the date of receipt. For installment-based deposits, the period starts from the first installment.
Does this circular apply to all RNBCs?
Yes, it applies to every residuary non-banking company as defined in the 1987 Directions, which excludes equipment leasing, hire purchase, housing finance, insurance, investment, loan, mutual benefit, and miscellaneous non-banking companies.
What should banks do if they find an RNBC counterparty violating the tenure rule?
Banks should flag the issue to their compliance team and consider reporting to RBI's Department of Non-Banking Supervision, as such violations could indicate broader regulatory risks.
📜 This document’s life story (1 recorded event, each backed by RBI’s own words)
Repealed byRBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
📜 Read the original circular — full text as issued by RBI
RBI/2009-10/11
DNBS (PD) CC No. 154 / 28.18.001/ 2009-10
July 01, 2009
To
The Chairman/CEOs of all Residuary Non-Banking Companies
Dear Sir,
Master Circular – Residuary Non-Banking Companies
As you are aware, in order to have all current instructions on the subject at one place, the Reserve Bank of India had issued a Master Circular on the captioned subject, which is now updated up to 30th June 2009. It may be noted that the Master Circular consolidates and updates all the instructions contained in the notifications listed in the Appendix , in so far they relate to Residuary Non-Banking Companies . The Master Circular has also been placed on the RBI web-site ( http://www.rbi.org.in ). A copy of the revised Master Circular is enclosed.
Yours Sincerely,
(P. Krishnamurthy)
Chief General Manager -in-Charge
Appendix
Residuary Non-Banking Companies (Reserve Bank) Directions, 1987
Sl.No.
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2009-10/11 · issued 01 Jul 2009. The plain-English explanation above is BankPulse’s own independent summary.
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BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=5081&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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