{"what_this_is":"The machine-readable twin of the BankPulse page for one RBI rulebook. Same points, same dates, same paragraph references as the page a person reads. RBI's own wording is not reproduced here: each point names the RBI paragraph, the character offset into the text BankPulse read and the sha256 of that text, so the claim can be checked against RBI's own document.","schema_version":1,"release_id":"d653cdb0a5","generated_at":"2026-09-15T00:33:59.117975+00:00","id":"md12944","title":"Reserve Bank of India (Non-Banking Financial Companies – Prudential Norms on Declaration of Dividends) Directions, 2025 (Updated as on July 01, 2026)","document_kind":"Directions","page":"https://bankpulse.ai/rule/md12944","status":"In force","importance":{"code":"MR","label":"MUST READ","weight":"Must read","why":"Binding RBI Directions naming this institution class in the title","layer":"bankpulse_inference"},"applies_to":{"shown":"Finance companies","class_code":"NBFC","from":"the document's own title","layer":"bankpulse_inference"},"dates":{"prid":"md12944","mode":"four_dates_v1","published":{"label":"Published","value":"Nov 28, 2025","stated":true,"why":"The day RBI put this document out."},"effective":{"label":"Starts to apply","value":"","stated":false,"why":"Not stated separately in this document. Read the rule itself before you assume a start date."},"transition":{"label":"Time to get ready","value":"","stated":false,"why":"Cannot be worked out until the day it starts to apply is known."},"deadline":{"label":"Last date to act","value":"","stated":false,"why":"No date to act by was found in this document. Other dates may sit inside single paragraphs."},"sources":{"published":"doc_date in data/highlights/md12944.json","effective":"none held","transition":"none held","deadline":"none held"}},"rbi_source":{"url":"https://rbi.org.in/Scripts/BS_ViewMasDirections.aspx?id=12944","document_date":"Nov 28, 2025","read_by_bankpulse":"2026-08-21 16:21:11 UTC","text_sha256":"8208b49e7257d909eddd6e08b83b7e7a8aa2ed00521b9ff2a752a19168529766","word_count":2163,"standing_last_checked":"Standing checked on RBI’s Master Directions index, 15 September 2026, 5:58 am IST."},"counts":{"points_shown":28,"points_naming_an_rbi_paragraph":28,"points_stored":28,"actions":0,"amendments":0},"points":[{"n":1,"claim":"md12944-0e747d72","page_group":"Chapter I. Preliminary","stored_section":"KEY DATES","heading":"Start date","plain_english":"These Directions took effect immediately upon issuance.","rbi_paragraph":"Para 2","rbi_char_offset":3289,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":"There is no gap here between issue and effect. The Directions come into effect immediately upon issuance. A bank cannot wait for a separate start date, because there is none.","anchor":"https://bankpulse.ai/rule/md12944#p1","layer":"bankpulse"},{"n":2,"claim":"md12944-9ac14757","page_group":"Chapter I. Preliminary","stored_section":"WHO IT APPLIES TO","heading":"Who is covered","plain_english":"These rules bind registered non-banking financial companies across all layers.","rbi_paragraph":"Para 3","rbi_char_offset":3376,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p2","layer":"bankpulse"},{"n":3,"claim":"md12944-a45a1fd0","page_group":"Chapter I. Preliminary","stored_section":"WHO IT APPLIES TO","heading":"Holding companies excluded","plain_english":"A non-operative financial holding company is outside these rules.","rbi_paragraph":"Para 3","rbi_char_offset":4925,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p3","layer":"bankpulse"},{"n":4,"claim":"md12944-6cf3e6ea","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"Interim counts too","plain_english":"Dividend here includes any interim dividend.","rbi_paragraph":"Para 4","rbi_char_offset":5459,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p4","layer":"bankpulse"},{"n":5,"claim":"md12944-da69422b","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"Payout ratio defined","plain_english":"The payout ratio compares the year's dividend, interim included, with audited net profit.","rbi_paragraph":"Para 4","rbi_char_offset":5507,"weight":"BACKGROUND","role":"Audit","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p5","layer":"bankpulse"},{"n":1,"claim":"md12944-91bbd7ae","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Dealers need twenty","plain_english":"A standalone primary dealer needs 20 per cent CRAR in each quarter of the year.","rbi_paragraph":"Para 8(1)","rbi_char_offset":7496,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":"A dealer reports 22, 21, 20 and 19 per cent across the four quarters. The last quarter is below 20 per cent, so the test is not met. The minimum of 20 per cent has to hold in every one of the four quarters.","anchor":"https://bankpulse.ai/rule/md12944#p6","layer":"bankpulse"},{"n":2,"claim":"md12944-d0288e2f","page_group":"Chapter II. 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Declaration of dividend","stored_section":"WHAT CHANGES","heading":"The ten per cent door","plain_english":"A company failing the three-year tests may still pay, capped at ten per cent.","rbi_paragraph":"Para 11(2)","rbi_char_offset":11409,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p9","layer":"bankpulse"},{"n":5,"claim":"md12944-874d7117","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Four per cent to enter","plain_english":"That door needs current capital compliance and net bad loans under four per cent.","rbi_paragraph":"Para 11(2)","rbi_char_offset":11761,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p10","layer":"bankpulse"},{"n":6,"claim":"md12944-561c1d6b","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Fifteen stops a dealer","plain_english":"A dealer below 15 per cent CRAR in any quarter may pay nothing.","rbi_paragraph":"Para 12","rbi_char_offset":11871,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":"A dealer falls to 14 per cent in one quarter. It may declare no dividend at all that year. The regulatory minimum is 15 per cent, and one quarter below it is enough.","anchor":"https://bankpulse.ai/rule/md12944#p11","layer":"bankpulse"},{"n":7,"claim":"md12944-aeac473f","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"A third at most","plain_english":"With every quarter at or above the minimum but below 20 per cent, payout cannot exceed 33.3 per cent.","rbi_paragraph":"Para 12","rbi_char_offset":12209,"weight":"MUST KNOW","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":"A dealer holds 17 per cent in one quarter and above 15 per cent in the rest. It stays above the minimum but under 20 per cent. So the payout may not exceed 33.3 per cent of profit.","anchor":"https://bankpulse.ai/rule/md12944#p12","layer":"bankpulse"},{"n":8,"claim":"md12944-0eb466f4","page_group":"Chapter II. Declaration of dividend","stored_section":"KEY DATES","heading":"A fortnight to report","plain_english":"Dividend details go to RBI's regional supervision office within a fortnight of declaration.","rbi_paragraph":"Para 13","rbi_char_offset":12494,"weight":"MUST KNOW","role":"Compliance","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p13","layer":"bankpulse"},{"n":9,"claim":"md12944-e5f7f52b","page_group":"Chapter II. Declaration of dividend","stored_section":"WHO SHOULD ACT","heading":"What the Board weighs","plain_english":"The Board must weigh divergence findings, auditor qualifications and long term growth plans.","rbi_paragraph":"Para 6","rbi_char_offset":6415,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p14","layer":"bankpulse"},{"n":10,"claim":"md12944-ee82504a","page_group":"Chapter II. Declaration of dividend","stored_section":"WHO SHOULD ACT","heading":"Board owns the total","plain_english":"The Board must ensure the year's total dividend stays inside these ceilings.","rbi_paragraph":"Para 7","rbi_char_offset":6675,"weight":"DO IT","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p15","layer":"bankpulse"},{"n":11,"claim":"md12944-07bca3ad","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Three clean years","plain_english":"Capital requirements must have been met in each of the last three financial years.","rbi_paragraph":"Para 8(1)","rbi_char_offset":7095,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p16","layer":"bankpulse"},{"n":12,"claim":"md12944-34b1af89","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Young firms since birth","plain_english":"A younger company must have complied since its registration.","rbi_paragraph":"Para 8(1)","rbi_char_offset":7383,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p17","layer":"bankpulse"},{"n":13,"claim":"md12944-2716830e","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"The reserve fund first","plain_english":"The statutory reserve fund requirement of the RBI Act must be met.","rbi_paragraph":"Para 8(3)","rbi_char_offset":8928,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p18","layer":"bankpulse"},{"n":14,"claim":"md12944-4df9edaf","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Housing firms, housing law","plain_english":"A housing finance company meets the reserve requirement of the housing bank law instead.","rbi_paragraph":"Para 8(3)","rbi_char_offset":9040,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":["housing-loan"],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p19","layer":"bankpulse"},{"n":15,"claim":"md12944-453c758d","page_group":"Chapter II. Declaration of dividend","stored_section":"THE CORE IDEA","heading":"Preference shares counted","plain_english":"Proposed dividend counts equity and the convertible preference shares sitting in core capital.","rbi_paragraph":"Para 9","rbi_char_offset":9544,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p20","layer":"bankpulse"},{"n":16,"claim":"md12944-e9d9ecdf","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Windfalls come out","plain_english":"Exceptional income and any overstated profit are removed before the payout ratio is worked out.","rbi_paragraph":"Para 9","rbi_char_offset":9974,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p21","layer":"bankpulse"},{"n":17,"claim":"md12944-c2b3c0bb","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Type I uncapped","plain_english":"A Type I company faces no specified payout ceiling.","rbi_paragraph":"Para 9","rbi_char_offset":10317,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p22","layer":"bankpulse"},{"n":18,"claim":"md12944-bc802343","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Base layer freed","plain_english":"A base layer company with customer interface and no public funds faces no ceiling.","rbi_paragraph":"Para 9","rbi_char_offset":10410,"weight":"BACKGROUND","role":"Branch","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p23","layer":"bankpulse"},{"n":19,"claim":"md12944-5449f00b","page_group":"Chapter II. Declaration of dividend","stored_section":"IMPACT","heading":"No ad-hoc mercy","plain_english":"RBI and NHB will not entertain requests for ad-hoc dividend dispensation.","rbi_paragraph":"Para 9","rbi_char_offset":10687,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p24","layer":"bankpulse"},{"n":20,"claim":"md12944-1e148505","page_group":"Chapter II. Declaration of dividend","stored_section":"WHAT CHANGES","heading":"Provision reversals guided","plain_english":"Payouts from reversed provisions follow the credit risk transfer Directions.","rbi_paragraph":"Para 10","rbi_char_offset":10778,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p25","layer":"bankpulse"},{"n":21,"claim":"md12944-b2ab5e5e","page_group":"Chapter II. Declaration of dividend","stored_section":"KEY DATES","heading":"Housing firms report NHB","plain_english":"A housing finance company reports its dividend to the National Housing Bank within a fortnight.","rbi_paragraph":"Para 14","rbi_char_offset":12782,"weight":"BACKGROUND","role":"Compliance","team":null,"products_covered":["housing-loan"],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p26","layer":"bankpulse"},{"n":22,"claim":"md12944-7cd1850f","page_group":"Chapter II. Declaration of dividend","stored_section":"KEY DATES","heading":"Dealers report differently","plain_english":"A dealer reports in its own format with the Board resolution, to the debt management department.","rbi_paragraph":"Para 15","rbi_char_offset":12963,"weight":"BACKGROUND","role":"Board","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p27","layer":"bankpulse"},{"n":1,"claim":"md12944-849b5dcd","page_group":"Chapter III. Repeal provisions","stored_section":"WHAT IT REPLACES","heading":"Old actions stay valid","plain_english":"Action taken under the repealed rules is still governed by those rules.","rbi_paragraph":"Para 17","rbi_char_offset":13726,"weight":"BACKGROUND","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12944#p28","layer":"bankpulse"}],"actions":[],"amendments":[],"layers":{"rbi_source":"Facts taken from RBI's own document.","bankpulse":"BankPulse's plain-English summary of RBI's document.","bankpulse_inference":"BankPulse's own inference, not stated by RBI."},"rbi_wording_not_included":"By design. BankPulse never republishes RBI's exact sentences. Use rbi_paragraph with rbi_source.url to read RBI's own words.","terms":"BankPulse's plain-English summaries are BankPulse's own work. The underlying regulation is the Reserve Bank of India's. Always check the RBI document named in rbi_source before acting."}