{"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":"md12961","title":"Reserve Bank of India (Non-Banking Financial Companies – Undertaking of Financial Services) Directions, 2025 (Updated as on July 01, 2026)","document_kind":"Directions","page":"https://bankpulse.ai/rule/md12961","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":"md12961","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/md12961.json","effective":"none held","transition":"none held","deadline":"none held"}},"rbi_source":{"url":"https://rbi.org.in/Scripts/BS_ViewMasDirections.aspx?id=12961","document_date":"Nov 28, 2025","read_by_bankpulse":"2026-08-21 16:21:40 UTC","text_sha256":"fa145a743b32358e414a2a8e53611f77b944a29117957589480815f77f4d96bb","word_count":7868,"standing_last_checked":"Standing checked on RBI’s Master Directions index, 15 September 2026, 5:58 am IST."},"counts":{"points_shown":40,"points_naming_an_rbi_paragraph":40,"points_stored":40,"actions":0,"amendments":3},"points":[{"n":1,"claim":"md12961-c5253d2c","page_group":"Chapter I. Preliminary","stored_section":"THE CORE IDEA","heading":"Other business for NBFCs","plain_english":"This document sets what other business the lender may take on.","rbi_paragraph":"Para 1","rbi_char_offset":3763,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p1","layer":"bankpulse"},{"n":2,"claim":"md12961-27e662d9","page_group":"Chapter I. Preliminary","stored_section":"WHAT CHANGES","heading":"In force at once","plain_english":"The rules took effect the day they were issued. There was no grace period.","rbi_paragraph":"Para 1","rbi_char_offset":3915,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p2","layer":"bankpulse"},{"n":3,"claim":"md12961-2643c1a9","page_group":"Chapter I. 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It is taken proportionately from Tier-1 and Tier-2 capital.","anchor":"https://bankpulse.ai/rule/md12961#p7","layer":"bankpulse"},{"n":5,"claim":"md12961-62e5e71f","page_group":"Chapter II. General Guidelines","stored_section":"WHAT CHANGES","heading":"Some funds are exempt","plain_english":"The Reserve Bank may exempt named funds from these rules by notification.","rbi_paragraph":"Para 11","rbi_char_offset":12593,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p8","layer":"bankpulse"},{"n":1,"claim":"md12961-819b97f1","page_group":"Chapter III. 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Financial Services","stored_section":"WHO SHOULD ACT","heading":"Investment company needs approval","plain_english":"A core investment company needs approval before a financial venture abroad.","rbi_paragraph":"Para 20","rbi_char_offset":18242,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p13","layer":"bankpulse"},{"n":6,"claim":"md12961-b0f6f281","page_group":"Chapter III. Financial Services","stored_section":"WHO SHOULD ACT","heading":"Registration needed abroad","plain_english":"A core investment company investing abroad in finance must hold a registration.","rbi_paragraph":"Para 20","rbi_char_offset":18362,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p14","layer":"bankpulse"},{"n":7,"claim":"md12961-c7d111b1","page_group":"Chapter III. Financial Services","stored_section":"KEY DATES","heading":"Thirty days to report","plain_english":"An unregistered company must report such an investment within thirty days.","rbi_paragraph":"Para 21","rbi_char_offset":19132,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p15","layer":"bankpulse"},{"n":8,"claim":"md12961-3d42adae","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Net worth held after","plain_english":"The minimum net owned funds must still be met after the overseas investment.","rbi_paragraph":"Para 22(1)","rbi_char_offset":19720,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p16","layer":"bankpulse"},{"n":9,"claim":"md12961-984bf139","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Bad loans under one","plain_english":"Net bad loans must not exceed one per cent of net advances at the last balance sheet.","rbi_paragraph":"Para 22(1)","rbi_char_offset":19909,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p17","layer":"bankpulse"},{"n":10,"claim":"md12961-07143fd7","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Three years of profit","plain_english":"The company should have earned a profit continuously for the last three years.","rbi_paragraph":"Para 22(1)","rbi_char_offset":20056,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p18","layer":"bankpulse"},{"n":11,"claim":"md12961-efe4cd29","page_group":"Chapter III. 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Financial Services","stored_section":"WHAT CHANGES","heading":"At most two tiers","plain_english":"Where a holding company is needed abroad, the structure cannot exceed two tiers.","rbi_paragraph":"Para 22(2)","rbi_char_offset":21221,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p23","layer":"bankpulse"},{"n":16,"claim":"md12961-81ee998c","page_group":"Chapter III. Financial Services","stored_section":"KEY DATES","heading":"Certificate by 30 April","plain_english":"The yearly certificate as at end March is due by 30 April.","rbi_paragraph":"Para 22(2)","rbi_char_offset":21772,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p24","layer":"bankpulse"},{"n":17,"claim":"md12961-0299dab9","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Automatic route limits activity","plain_english":"A company taking foreign investment by the automatic route may do only permitted work.","rbi_paragraph":"Para 23","rbi_char_offset":23688,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p25","layer":"bankpulse"},{"n":18,"claim":"md12961-ba07207a","page_group":"Chapter III. Financial Services","stored_section":"WHO SHOULD ACT","heading":"Insurance entry through Pravaah","plain_english":"Entry into insurance business is applied for through the Pravaah portal.","rbi_paragraph":"Para 26","rbi_char_offset":24277,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p26","layer":"bankpulse"},{"n":19,"claim":"md12961-14fd94ec","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Insurance not done in house","plain_english":"A finance company cannot carry on insurance business departmentally.","rbi_paragraph":"Para 27","rbi_char_offset":24543,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p27","layer":"bankpulse"},{"n":20,"claim":"md12961-3ea6f05a","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Higher stake sold down","plain_english":"A higher initial stake may be allowed but must be divested within the set period.","rbi_paragraph":"Para 28(1)","rbi_char_offset":25149,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p28","layer":"bankpulse"},{"n":21,"claim":"md12961-f08ac6e7","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Tested on audited accounts","plain_english":"Eligibility is judged on the latest audited balance sheet for the previous year.","rbi_paragraph":"Para 31(2)","rbi_char_offset":28432,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p29","layer":"bankpulse"},{"n":22,"claim":"md12961-976b0b14","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"No forcing an insurer","plain_english":"The company cannot compel a customer towards one insurer on assets it finances.","rbi_paragraph":"Para 32(2)","rbi_char_offset":28904,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p30","layer":"bankpulse"},{"n":23,"claim":"md12961-28877078","page_group":"Chapter III. Financial Services","stored_section":"THE CORE IDEA","heading":"Customer chooses","plain_english":"The customer must be left free to make his own choice.","rbi_paragraph":"Para 32(2)","rbi_char_offset":29062,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p31","layer":"bankpulse"},{"n":24,"claim":"md12961-85a28ef2","page_group":"Chapter III. Financial Services","stored_section":"WHO SHOULD ACT","heading":"Say it in publicity","plain_english":"All publicity material must state prominently that insurance is voluntary.","rbi_paragraph":"Para 32(3)","rbi_char_offset":29127,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p32","layer":"bankpulse"},{"n":25,"claim":"md12961-92cb3e29","page_group":"Chapter III. Financial Services","stored_section":"THE CORE IDEA","heading":"No link to lending","plain_english":"There must be no link, direct or indirect, between the loan and the insurance.","rbi_paragraph":"Para 32(3)","rbi_char_offset":29251,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p33","layer":"bankpulse"},{"n":26,"claim":"md12961-565466ab","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Premium goes direct","plain_english":"The premium is paid by the insured straight to the insurer, not through the lender.","rbi_paragraph":"Para 32(4)","rbi_char_offset":29429,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p34","layer":"bankpulse"},{"n":27,"claim":"md12961-200007b1","page_group":"Chapter III. Financial Services","stored_section":"THE CORE IDEA","heading":"Agency risk stays outside","plain_english":"Risk in the insurance agency work must not pass to the lending business.","rbi_paragraph":"Para 33","rbi_char_offset":29542,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p35","layer":"bankpulse"},{"n":28,"claim":"md12961-c4ab532f","page_group":"Chapter III. Financial Services","stored_section":"WHAT CHANGES","heading":"Stake set by the regulator","plain_english":"The most a company may hold in the insurance venture is what the insurance regulator allows.","rbi_paragraph":"Para 34","rbi_char_offset":30240,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p36","layer":"bankpulse"},{"n":1,"claim":"md12961-8ddcca61","page_group":"Chapter IV. Repeal and Other Provisions","stored_section":"WHAT IT REPLACES","heading":"Old rules stay repealed","plain_english":"Rules repealed before this document was issued remain repealed.","rbi_paragraph":"Para 61","rbi_char_offset":48452,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p37","layer":"bankpulse"},{"n":2,"claim":"md12961-ad5201b1","page_group":"Chapter IV. Repeal and Other Provisions","stored_section":"WHAT IT REPLACES","heading":"Past acts still stand","plain_english":"Anything done under the old rules is still judged by the old rules.","rbi_paragraph":"Para 62","rbi_char_offset":48571,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p38","layer":"bankpulse"},{"n":3,"claim":"md12961-562eb172","page_group":"Chapter IV. Repeal and Other Provisions","stored_section":"WHAT IT REPLACES","heading":"Old approvals carry over","plain_english":"Approvals given under the repealed rules are now read under these rules.","rbi_paragraph":"Para 62","rbi_char_offset":48782,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p39","layer":"bankpulse"},{"n":4,"claim":"md12961-ed77acc3","page_group":"Chapter IV. Repeal and Other Provisions","stored_section":"THE CORE IDEA","heading":"Added to other law","plain_english":"These rules sit on top of every other law and rule already in force.","rbi_paragraph":"Para 63","rbi_char_offset":49674,"weight":"DO IT","role":"All staff","team":null,"products_covered":[],"products_excluded":[],"bankpulse_example":null,"anchor":"https://bankpulse.ai/rule/md12961#p40","layer":"bankpulse"}],"actions":[],"amendments":[{"id":"nt13212","title":"Reserve Bank of India (Non-Banking Financial Companies – Undertaking of Financial Services) (Amendment) Directions, 2025","date":"Dec 05, 2025","rbi_url":"https://rbi.org.in/Scripts/NotificationUser.aspx?Id=13212&Mode=0","order":1,"layer":"rbi_source"},{"id":"nt13379","title":"Reserve Bank of India (Non-Banking Financial Companies– Undertaking of Financial Services) –Amendment Directions, 2026","date":"Apr 27, 2026","rbi_url":"https://rbi.org.in/Scripts/NotificationUser.aspx?Id=13379&Mode=0","order":2,"layer":"rbi_source"},{"id":"nt13501","title":"Reserve Bank of India (Non-Banking Financial Companies – Undertaking of Financial Services) Second Amendment Directions, 2026","date":"Jun 15, 2026","rbi_url":"https://rbi.org.in/Scripts/NotificationUser.aspx?Id=13501&Mode=0","order":3,"layer":"rbi_source"}],"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. 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